Government to Support 4,000 Young Farmers with Monthly Payment of 1.1 Million Won

Ministry of Agriculture, Food and Rural Affairs Opens Applications for 'Youth Successor Farmer Settlement Support Project'

[Asia Economy Sejong=Reporter Lee Jun-hyung] The government has doubled the number of young farmers supported from 2,000 per year to 4,000. The settlement support fund for young farmers will increase by 100,000 KRW from a maximum of 1 million KRW per month to 1.1 million KRW.

The Ministry of Agriculture, Food and Rural Affairs announced on the 25th that it is accepting applications for the "2023 Young Successor Farmer Settlement Support Project." The support period is from the 26th to the 27th of next month. This project provides young farmers with settlement support funds, farmland, capital, technical education, and more. The government has been promoting the Young Successor Farmer Settlement Support Project since 2018 to encourage youth entry into the agricultural sector.

What is noteworthy is that the support target has been significantly expanded. Originally, the Ministry of Agriculture, Food and Rural Affairs selected 1,600 to 2,000 young farmers annually from 2018 to this year. However, the selection scale for next year will be 4,000, doubling this year's (2,000) number. A ministry official explained, "Since the introduction of the project in 2018, the proportion of new entrepreneurs has steadily increased and the agricultural income of supported individuals has risen, showing results. Based on these achievements and changes in internal and external agricultural environments, we have greatly increased the selection scale."

The settlement support fund will increase by 100,000 KRW from the existing maximum of 1 million KRW per month to 1.1 million KRW. The support fund can be received for up to three years. Income criteria and restrictions on non-agricultural work have also been relaxed. From next year, the ministry will exclude parental income from the selection criteria for young farmers and only exclude those whose personal income exceeds a certain level. Also, while non-agricultural work was previously allowed only temporarily during the off-season, from next year, as long as the individual maintains their farming, work activities contributing to agriculture and rural areas will be allowed without time restrictions.

Conditions for startup capital support have also been eased. Originally, the ministry granted those selected for the Young Successor Farmer Settlement Support Project eligibility for the "Successor Farmer Management Development Project," providing policy fund loans of up to 300 million KRW at an annual interest rate of 2%. As farmland and raw material prices have risen, increasing investment costs for young farmers, from next year, the ministry plans to raise the funding limit from the existing maximum of 300 million KRW to 500 million KRW. The interest rate will be lowered to 1.5% per year, and the repayment period extended to a maximum of 25 years (5 years grace period, 20 years repayment). The ministry expects these measures to reduce the annual repayment burden for young farmers by about 45%.

Meanwhile, the ministry will hold regional project briefing sessions for young people wishing to participate early next month. The ministry plans to explain the project details and how to write farming plans at the briefing sessions. The final selection of young farmers will be made through document evaluation in February and interview evaluation in March next year. The ministry will finalize the project participants by the end of March next year.

Park Su-jin, Director of Agricultural Policy at the Ministry of Agriculture, Food and Rural Affairs, said, "We have actively pursued institutional improvements to resolve field difficulties raised during the project implementation process. We will do our best to ensure that young people can continuously maintain farming and settle in rural areas for a long time."

Jeong Hwang-geun, Minister of Agriculture, Food and Rural Affairs, Driving a Combine Harvester

(Iksan=Yonhap News) Reporter Nabo-bae = On October 13, Minister Jeong Hwang-geun of the Ministry of Agriculture, Food and Rural Affairs visited a powdered rice processing company in Iksan, Jeonbuk, and is seen driving a combine harvester. 2022.10.13
warm@yna.co.kr
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