Succession Farming Fund Expanded from 600 Billion to 1.05 Trillion Won... "Aimed at Resolving Youth Difficulties"

The Ministry of Agriculture, Food and Rural Affairs announced on the 19th that it will increase the budget for agricultural management stabilization measures that young farmers and farmers can feel from the current 1.1 trillion won by an additional 577.1 billion won.

At the 'Economic Sector 2 Major Issues Solution Meeting' held on the 13th, the Ministry of Agriculture, Food and Rural Affairs actively proposed additional measures to alleviate the recent management burdens of farmers. Accordingly, Choi Sang-mok, Acting Prime Minister and Minister of Strategy and Finance, instructed to promptly prepare necessary measures to stabilize livelihoods and resolve farmers' difficulties, and after consultations within the government, additional support plans were prepared.

In 2025, the Ministry of Agriculture, Food and Rural Affairs will expand the scale of ▲Successor Agricultural Manager Development Funds ▲Mineral Fertilizer Raw Material Purchase Funds ▲Livestock Product Slaughter and Processing Company Operating Funds by a total of 577.1 billion won.

First, the scale of the Successor Agricultural Manager Development Funds, which provide loans for land purchase/lease, facility installation, and other necessary funds to young farmers, will be expanded from the existing 600 billion won to 1.05 trillion won.

Since last November, the allocation method of the Successor Agricultural Manager Development Funds, which was operated on a year-round continuous allocation basis, has been reorganized so that local governments prioritize based on management and repayment capabilities before proceeding with loans. Accordingly, from November 25 to December 9 last year, applications for the first half of 2025 funding were accepted, and through local government evaluations, 1,033 people were allocated 325 billion won.

The Ministry of Agriculture, Food and Rural Affairs plans to support young farmers who have already signed contracts but did not receive fund allocations with the additionally secured funds this time.

For mineral fertilizer manufacturers facing management burdens due to exchange rates and other factors, the Mineral Fertilizer Raw Material Purchase Funds will be increased from the existing 400 billion won to 500 billion won by adding 100 billion won. This measure aims to minimize the factors causing mineral fertilizer price increases so that it does not lead to increased management costs for farms. Alongside this, the government also plans to support fertilizer and feed companies with raw material purchase funds through the supply chain stabilization fund.

Additionally, the Livestock Product Slaughter and Processing Company Operating Funds, which provide facility and operating funds to slaughter and processing companies, will be expanded from the existing 80 billion won by adding 27.1 billion won to a total of 107.1 billion won.

Considering the increased management burden on the slaughter industry and livestock farms due to the termination of the 20% discount on slaughterhouse electricity bills at the end of last year, the scale of low-interest operating fund support has been expanded. Furthermore, for slaughterhouses wishing to install cost-saving facilities such as solar power systems, facility funds (interest rate 2.0~3.0%, 3-year grace period, 7-year equal repayment) will be prioritized to minimize the burden of increased electricity costs on the slaughter industry and to minimize increases in slaughter fees.

A Ministry of Agriculture, Food and Rural Affairs official said, "We will do our best to ensure that this additional support reduces the management burden on farmers and that the practical effects can be felt in the agricultural field," adding, "We will continue to prioritize livelihood stabilization and strive for the sustainable development of agriculture and rural areas."

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