Korea creates National grain procurement system

In response to growing concerns about food security, Korea recently announced the creation of a national grain procurement system. The newly created consortium is comprised of five major parties, including Korea Agro-Fisheries Trade Corporation, a government-invested entity and a key player of the consortium; CJ CheilJedang Corporation, a feed miller and food manufacturer; Samsung C&T Corporation, a general trading company; STX, an export elevator investor; and Hanjin Shipping.

According to the agreement, the consortium will work with the Korean government, which will provide financial support for the consortium to start the international grain trading business. The consortium aims to secure grains needed for both animal and human consumption and also plans to invest in 10 country elevators and an export elevator in the United States.

“Through this new system, the parties hope to import 50,000 metric tons (2 million bushels) of corn and 50,000 tons (1.8 million bushels) of soybeans in 2011,” said Byong Ryol Min, USGC director in Korea. “By 2020, they plan for this system to secure 30 percent of the nation’s total imports which would include diversifying origin by investing in grain production and marketing chains in Brazil, the Ukraine, the Maritime Province of Siberia and other countries.” Read more...

This blog is written by Martin Little The Aquaculturists, published and supported by the International Aquafeed Magazine from Perendale Publishers.