Jeonbuk Farmers' Organization: "Government's rice lending will cause rice prices to fall... it must be withdrawn"
(Jeonju=Yonhap News) Reporter Nabo Bae = The Jeonbuk Provincial Federation of the National Farmers' Federation of Korea (JeonNong) expressed concern over the government's decision to supply rice (paddy) through a "lending" method, stating, "It is only talk of lending, but it will lead to a drop in rice prices by releasing it."
The Jeonbuk Provincial Federation of JeonNong issued a statement on the 12th, criticizing, "Since the harvest season last year, rice prices have risen, but the profits have been taken by the agricultural cooperatives, rice processing centers (RPC), or large distribution companies, not the farmers." They added, "As the harvest season approaches, if the government releases rice into the market, the price of new rice this year will inevitably fall."
Previously, the Ministry of Agriculture, Food and Rural Affairs decided to supply 30,000 tons of government rice to distribution companies in mountainous areas with insufficient supply on a "lending" basis, as the retail price of rice had risen by more than 10% compared to last year, approaching 60,000 won per 20 kg.
This method involves lending rice stored by the government to the private sector, and then receiving it back in the form of production after the harvest season this year.
The organization emphasized, "The release of rice must have a valid reason," and "If this method is the government's so-called 'supply and demand stabilization' policy for farmers, it is laughable. The government will be leading the drop in rice prices."
They further stated, "With the climate crisis, rice production and distribution are bound to become even more unstable," and "If the policy of releasing paddy is not withdrawn, we will take action."