Partnering with Leading Southeast Asian Online Platform to Open New Southern Market Export Routes for SMEs

4th Online Video Export Consultation Meeting Held on the 17th

[Asia Economy Reporter Kim Cheol-hyun] A dedicated Korean product zone has been established within Southeast Asia's leading online platforms 'Shopee' and 'Qoo10', providing an opportunity to expand the on- and offline New Southern Policy market entry of Korean small and medium-sized enterprises (SMEs).

The Ministry of SMEs and Startups (Minister Park Young-sun, hereinafter referred to as the Ministry) announced that it held an online video export consultation meeting on the 17th at COEX targeting promising consumer goods SMEs entering the New Southern Policy region, together with the New Southern Policy Special Committee (Chairman Park Bok-young, hereinafter New Southern Policy Committee), the Korea SMEs and Startups Agency (Chairman Kim Hak-do, hereinafter KOSME), and the Korea International Trade Association (Chairman Kim Young-joo, hereinafter KITA).

The online video export consultation meeting has been promoted since April through collaboration among three export-related organizations?KOSME, the Central Association, and KITA?to open new avenues for exports of SMEs struggling due to the COVID-19 pandemic.

So far, 265 domestic SMEs have participated in video consultations conducted by sector, including K-Beauty & K-Quarantine, Brand K, and promising consumer goods in the New Northern Policy region, holding 389 consultations with 125 buyers from 43 countries. Among these, 102 companies were requested by buyers to send samples for contract review, and about 44 companies are pursuing contracts worth approximately 13.21 million USD.

The New Southern Policy region covered in this consultation includes India, Indonesia, Singapore, Malaysia, Thailand, and the Philippines, encompassing a total population of 2 billion, a gross domestic product (GDP) of 5.6 trillion USD, an annual economic growth rate of over 5-7%, and an average annual consumer market growth rate of 15%. This young and dynamic growth region is considered a very important emerging market for diversifying the export markets of Korean SMEs, which have been concentrated in the U.S., China, and Japan.

This video consultation meeting was co-hosted by KOSME and KITA, with 117 companies participating and conducting video consultations with 52 leading buyers from nine New Southern Policy countries. In particular, the Ministry plans to expand the entry of promising consumer goods such as Brand K into the New Southern Policy region by collaborating with Southeast Asia's representative online platforms Shopee and Qoo10 to open dedicated Korean product zones within shopping malls in seven New Southern Policy countries. A business agreement was also signed between KOSME and Shopee·Qoo10 to expand the operation of the Korean product zone, including special promotional events for excellent products.

Taking this opportunity to establish the dedicated Korean product zone, the Ministry plans to expand support for the entry and sales of promising products suitable for each country's market conditions through various Hallyu-linked marketing activities such as online fan meetings of Hallyu idols and live special sales using local influencers.

Park Bok-young, Economic Secretary and Chairman of the New Southern Policy Committee, who visited the consultation site, said, "Although the difficulties in exports for our companies are increasing due to COVID-19 and the global economic slowdown, it is a time when strategies that wisely respond to crises while actively utilizing opportunities are needed." He added, "The New Southern Policy Committee will expand policy support so that Korean SMEs can actively enter the New Southern Policy region by strengthening export support in new industries such as medical and healthcare, untact, and 5G, leveraging Korea's enhanced status through successful COVID-19 response, and expanding entry into infrastructure projects in the New Southern Policy region using the experience of Sejong City development."

This content was produced with the assistance of AI translation services.