Gov't to accelerate export of smart farming

The Korea Times

The Korea Times

Business

Tue, October 3, 2023 | 12:50

Companies

Gov't to accelerate export of smart farming

Posted : 2022-09-15 08:04

Updated : 2022-09-15 17:42

A strawberry farm that employs smart technologies in Gumi, North Gyeongsang Province. Korea Times file

By Lee Kyung-min

The government will launch a team of agriculture and trade authorities to help accelerate the export of smart farming, the rural affairs ministry said Wednesday.

The move is a follow-up to a collective request by local farmers made during an export fair held in August. Most said the government should help the farmers identify stable sources of sales and strategies to keep up with rapidly changing market demands. Comparative analysis to fortify their competitive edge in the global market should follow, backed by aid to resolve legal and tax issues abroad, which are often very different from in Korea, they say.

The growth of smart farming is explosive, as indicated by data from MarketsandMarkets Research, a market research firm specializing in business-to-business transactions. The smart agriculture market, it said, is expected to grow to $20.8 billion (28.9 trillion won) by 2026, up from $12.9 billion in 2021. Propelling the growth are rising food costs due to the rapidly growing population, growing demand for modern technologies in agricultural businesses and rising income levels and demand for protein-rich food.

The Ministry of Agriculture, Food and Rural Affairs said eight government organizations will form a working group to better promote exports of smart farming.

The group will work to draw investments from both public and private market participants, laying the groundwork for the local farming industry to become a global leader. Underpinning the efforts will be smart technologies, a strength Korea is known for around the world.

Among the eight organizations are the Rural Development Administration, the Korea Trade-Investment Promotion Agency (KOTRA) and six other state-run agricultural organizations and research institutes.

The ministry, for example, will help Nexton, a local smart farm venture, to identify buyers in Canada and the Middle East, after they build farms that can produce a combined $27 million worth of vegetables and strawberries.

Some other local farming firms looking to expand their businesses in Mongolia and Australia will be provided with market information there and a line of credit.

KOTRA will share reports on market strategy recommendations and government assistance to facilitate the export of smart farming to help contribute to the economy and elevate them further as a growth driver.

"We will outline ways to help lower and altogether remove barriers to entering and expanding overseas, thereby helping a greater number of local firms find growth opportunities in the global market," an agriculture ministry official said. "The government will foster the smart farming industry as the new, next-generation export driver."

lkm@koreatimes.co.kr