Park Ji-won, a member of the Democratic Party of Korea (representing Haenam, Wando, and Jindo), announced on the 27th that he had successfully pushed for a significant reduction in farmland lease fees.


The Korea Rural Community Corporation is a public institution that leases farmland to farmers and operates various projects aimed at the efficient use and preservation of agricultural production infrastructure. However, due to worsening management conditions for farmers and rising production costs, there have been ongoing demands for a reduction in farmland lease fees.

Assemblyman Park Jiwon met with Lee Byungho, president of Nong-eochon, last year to discuss lowering the commission fees for farmland lease consignment and simplifying the submitted documents. Photo by Assemblyman Park Jiwon's office

Assemblyman Park Jiwon met with Lee Byungho, president of Nong-eochon, last year to discuss lowering the commission fees for farmland lease consignment and simplifying the submitted documents. Photo by Assemblyman Park Jiwon's office

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In response, the Korea Rural Community Corporation announced a reform of the fee structure for the "Farmland Lease Entrustment Project" on the 22nd to significantly ease the burden on farmers. Farmers entrusting their land will receive a 50% reduction in fees, and if the total entrusted farmland area is 660 square meters or less, the fee will be completely waived.


The payment method for the fees has been made more flexible, allowing a choice between advance payment (with an additional 3% discount) and annual payment. Additionally, if the tenant deposits more than 1 million won as collateral for the lease, the fee can be paid in two installments within six months.


This decision is intended to alleviate the burden on farmers caused by worsening management conditions and rising production costs. Since last year, Park has continuously discussed the reduction of farmland lease entrustment fees and the simplification of required documents with officials from the Korea Rural Community Corporation.


Park emphasized, "Many farmers across the country, including those in Haenam, Wando, and Jindo, are farming not only their own land but also leasing others' land. There have been concerns from the field about the complicated paperwork required in the leasing process through the Rural Community Corporation and the significant burden of the fees."


He added, "Although the landlord pays the fee, it is ultimately included in the rent, so tenants have also demanded a reduction. To reflect the voices of farmers, we reached an agreement with the Rural Community Corporation. Since the end of last year, the required documents for farmland leases have been greatly simplified through linkage with the Ministry of the Interior and Safety's computer network, and the fee has been halved."


He went on to say, "The Rural Community Corporation has decided to cut the lease entrustment fee for farmland owned by farmers from 5% to 2.5% of the rent, and to fully exempt fees for areas under 200 pyeong. Although farmland owned by non-farmers is not included in the reduction, this is a progressive decision that reflects the voices of farmers," he welcomed.





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