Only NongHyup (excluding SuHyup and ImHyup) Charges Duty-Free Fuel Handling Fees

Only 154 out of 2,011 units (7.1%) Collect Fees, Causing Fairness Issues

Democratic Party of Korea Representative Seo Sam-seok (Yeongam·Muan·Shinan) ⓒ Asia Economy

Democratic Party of Korea Representative Seo Sam-seok (Yeongam·Muan·Shinan) ⓒ Asia Economy

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[Asia Economy Honam Reporting Headquarters Reporter Seo Young-seo] While the tax-exempt fuel benefits for farmers and fishermen under the Restriction of Special Taxation Act contribute to alleviating the economic burden and normalization of farmers and fishermen, concerns were raised during the National Assembly audit that the handling fees for tax-exempt fuel charged by Nonghyup are unfair and ineffective, and should be considered for abolition.


Currently, Nonghyup, Suhyup, and Imhyup all handle tax-exempt fuel, but only Nonghyup uniquely imposes a 2% handling fee on the supply price and collects it.


Regarding this, Seo Sam-seok, a member of the National Assembly’s Agriculture, Food, Livestock, and Fisheries Committee (Democratic Party, Yeongam-Muan-Shinan), pointed out the need to abolish the tax-exempt fuel handling fee, stating, “Suhyup and Imhyup do not separately impose handling fees, raising fairness issues, and only 154 out of 2,011 Nonghyup units collect handling fees, which reduces effectiveness.”


There are also claims that the handling fee should be abolished in line with the tax-exempt fuel policy’s purpose of reducing farmers’ burdens.


In fact, since the imposition and collection are set at 2% of the supply price, if petroleum prices rise, the burden on farmers inevitably increases.


Seo Sam-seok had also submitted a “Partial Amendment to the Restriction of Special Taxation Act” during the 20th National Assembly to abolish the tax-exempt fuel handling fee.


Additionally, the Anti-Corruption and Civil Rights Commission supported the call for abolishing Nonghyup’s tax-exempt fuel handling fee by citing “lack of fairness” and labeling it as “discriminatory collection” in related materials titled “Resolving Blind Spots in the Supply and Management of Tax-Exempt Fuel for Agriculture, Forestry, and Fisheries” released last May.



Seo Sam-seok stated, “I plan to propose a bill with the same intent in the 21st National Assembly soon,” and urged improvement toward abolishing the tax-exempt fuel handling fee, emphasizing that “Nonghyup also needs more meticulous management to reduce farmers’ burdens.”


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

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