Gyeonggi-do Brings Red Ginseng to the U.S.... Overcoming the COVID-19 Logistics Crisis

Park Young-joo, CEO of Gyeonggi Trade Corporation, Exports Agricultural Products from 16,000 Farms
Secures Shipping Space and Achieves Delivery through KOSME's 'Maritime Transport Support Project'

CEO Park Young-joo

There is a businessperson gaining attention by actively promoting excellent domestic agricultural products to the global market. Park Young-joo, CEO of the agricultural corporation Gyeonggi Trade Corporation, successfully exported red ginseng products to the United States this year despite the logistics crisis. Through his experience overcoming this crisis and targeting the U.S. market, he is taking a step closer to the goal of globalizing Korean agricultural products.

CEO Park stated, "We export various agricultural products from Gyeonggi Province, including Cheongyeongsam, the integrated brand of 16,000 farms and four ginseng cooperatives in Gyeonggi-do." Gyeonggi Trade Corporation was spun off in 2014 from SW Global, a company specializing in international import and export logistics and trade. It was established to export red ginseng products and fresh foods produced in Gyeonggi Province based on accumulated expertise in international logistics. In addition to red ginseng and processed red ginseng products, the company successfully exports seasonal fruits such as strawberries, pears, grapes, Shine Muscat, apples, melons, peaches, blueberries, as well as excellent Korean processed products like lotus root and burdock root, which can be produced year-round, to Hong Kong, Thailand, Japan, Malaysia, Singapore, and other countries. Before the spread of COVID-19, sales in 2019 increased by 54% compared to the previous year, showing rapid growth.

However, the global logistics crisis caused by COVID-19 posed a significant challenge to CEO Park and Gyeonggi Trade Corporation. As air and sea freight rates continued to rise, export routes for small and medium-sized enterprises became severely blocked. Freight costs soared, container supply difficulties worsened, and securing vessels became increasingly difficult, prolonging the crisis.

CEO Park was able to overcome this crisis through the ‘Maritime Transport Support Project’ conducted by the Small and Medium Business Corporation. After learning about this project, he decided to seek assistance by confirming the specific details through K-Biz Korea. The Maritime Transport Support Project operates dedicated shipping space for small and medium-sized enterprises in collaboration with the national shipping company HMM to alleviate logistics difficulties caused by shortages of export shipping space and other burdens.

The Maritime Transport Support Project immediately opened export routes for Gyeonggi Trade Corporation, which was facing a critical challenge. When struggling to secure shipping space for delivering red ginseng drinks and sticks to a distributor located in Atlanta, North America, CEO Park requested help through the maritime transport help desk. Thanks to the prompt response of the staff, he was recommended a forwarder company with the earliest possible departure. This enabled the export value of $80,000 and preserved the trust relationship with the local buyer, which could have been damaged due to delayed delivery.

CEO Park said, "Through the Maritime Transport Support Project by the Small and Medium Business Corporation using a national shipping company, we were able to secure shipping space and price competitiveness, enabling smooth exports." He added, "We plan to continue participating in various support policies for export companies in the future."

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