South Korean agricultural economic and structural challenges

South Korean agricultural stakeholders are grappling with systemic issues involving rural depopulation, trade policies, and economic instability. In Gyeongsangbuk-do, officials have discussed strategies to combat “rural extinction” and increase farm income through initiatives like the ‘K-Gyeongbuk Food’ industry and enhanced social safety nets.

At the same time, farmers in Jeju have protested against the nation’s pursuit of joining the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), arguing that rising costs for labor and supplies, combined with falling prices, threaten food security.

Economic distress has also manifested in specific sectors and infrastructure. Domestic solar salt prices have dropped by approximately 68.4% since 2023, reaching levels that fail to cover production costs, a decline partially attributed to the suspected illegal distribution of mislabeled imported salt. Additionally, agricultural infrastructure in Bonghwa County has faced scrutiny as the local Agricultural Product Processing Center operates at a critically low capacity of 13% to 20%, with revenues failing to cover equipment depreciation.