Jeonnam Province Targets 100 Billion KRW Sales for Honam Region Eco-Friendly Integrated Logistics Center

[Asia Economy Honam Reporting Headquarters Reporter Park Jin-hyung] Jeonnam Province announced on the 18th that it plans to put all its efforts into production, supply, and distribution to expand sales channels for eco-friendly agricultural products by revitalizing the Honam region Eco-friendly Agricultural Products Integrated Logistics Center, aiming to achieve sales of 100 billion KRW by 2027.

Jeonnam Province has continuously promoted policies to foster eco-friendly agriculture in response to the increasing demand for safe food among the public, solidifying its image as "Jeonnam, the No. 1 place for eco-friendly agriculture" and growing into the nation's largest production base for eco-friendly agricultural products.

In fact, as of the end of December 2021, the certified area for eco-friendly agricultural products was 40,344 hectares, accounting for 54% of the national total (75,117 hectares). By certification stage, organic farming covers 25,816 hectares (64%), and pesticide-free farming covers 14,528 hectares (36%).

Meanwhile, Jeonnam Province has established a stable supply system through contract farming of eco-friendly agricultural products and fostering specialized items by city and county, and based on this, it has prepared plans to expand sales channels not only within Jeonnam but also to large cities, thereby revitalizing farm income generation.

In particular, a phased strategy has been set for the activation of the eco-friendly agricultural products logistics center. Phase 1 aims to establish a stable production and supply system by 2023 and achieve sales of 25 billion KRW through self-reliant management; Phase 2 targets expanding supply networks to other cities and provinces such as Seoul and Gyeonggi by 2025 and achieving 50 billion KRW in sales through business growth; Phase 3 aims to reach 100 billion KRW in sales by 2027 through the expansion of online and offline sales channels.

To this end, the province plans to build a stable year-round production and supply system by expanding contract farming. By 2023, the number of contract farming households will be increased to 500, fostering regionally specialized items such as melon, strawberry, and cucumber by city and county, and developing production area distribution organizations. Additionally, by supplementing Good Agricultural Practices (GAP) facilities, onions and potatoes will be supplied nationwide year-round through school meals in Seoul, Gyeonggi, and other areas.

Distribution will also be expanded through public meals including school meals and eco-friendly agricultural product packages. Currently, 110 items from 8 cities and counties in the province are supplied for school meals, but this will be expanded to 140 items across all 22 cities and counties in the province. Furthermore, for school meals in other cities and provinces, currently only Gyeonggi Province receives supplies worth 1.5 billion KRW, but the supply destinations will be increased to seven metropolitan cities including Seoul and Busan.

Active marketing efforts will be made by linking with online shopping malls such as Namdo Market, Nonghyup Mall, and Coupang, installing banners like "Jeonnam Eco-friendly Agricultural Products Banner." A partnership with Hanwha Hotels & Resorts is planned to have "Jeonnam Eco-friendly Packages" products listed. Currently, supplies are made to large marts such as Nonghyup Anseong Logistics Center and Lotte Mart, as well as eco-friendly specialty stores like "Chorokmaeul." In the future, new markets such as E-Mart, Homeplus, and Hansalim will be explored to diversify sales channels.

A Jeonnam Province official said, "We expect the Honam region Eco-friendly Agricultural Products Integrated Logistics Center to help stabilize farmers' incomes by securing stable sales channels for eco-friendly agricultural products," adding, "We will continue to promote eco-friendly agriculture policies centered on organic farming and develop it into the nation's No. 1 production and distribution base for eco-friendly agricultural products."

The Honam region Eco-friendly Agricultural Products Integrated Logistics Center was completed in August 2017 and has been entrusted and operated by Nonghyup Economic Holdings from Naju City since October 2017. Now in its fifth year since opening, it achieved sales of 13.7 billion KRW by the end of 2021, growing 57.4% compared to the previous year (8.7 billion KRW).

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