Jeonnam Province Adjusts Rice Management Stabilization Fund Budget... Maintains Highest Level of Support Nationwide

Reduction of Rice Management Stabilization Fund... Farmers' Protest Held on December 9
Adjustment Explained as "Unavoidable Due to Changes in Agricultural Policy Environment"
Shift from Rice-Centered Support Structure to Inclusive Support for All Farmers and Fishers

Jeonnam Provincial Government Office building.

In response to concerns raised regarding the adjustment of the rice management stabilization fund budget, the Jeonnam Provincial Government announced on December 9 that it will move away from a rice-centered support structure and instead provide balanced support to all farmers and fishers. The province also stated its intention to maintain the highest level of support nationwide, even after the adjustment.

On this day, Jeonnam Province explained that this adjustment was an unavoidable decision, taking into comprehensive consideration the changed agricultural policy environment, including the government's strengthened rice price stabilization system, the expansion of public benefit allowances for farmers and fishers, improvements in rice supply and demand and price recovery, increased financial burdens on cities and counties, and the introduction of a basic income for rural areas.

According to Jeonnam Province, the revision of the Grain Management Act has established a legal basis for the government to make mandatory purchases in the event of a drop in rice prices or oversupply. Additionally, the enactment of the Essential Agricultural Materials Act has created a system in which the government and local governments support price increases for essential agricultural materials such as fertilizer and feed.

Starting in 2026, the public benefit allowance for farmers and fishers will increase from 600,000 won to 700,000 won, expanding benefits beyond rice farmers to all 223,000 farming and fishing households in the province. This is intended to move away from a rice-centered support structure and provide balanced support to all farmers and fishers.

Furthermore, as a result of production adjustment policies such as expanding the cultivation of alternative crops in paddy fields, rice supply and demand have improved. As of November 25, the recent farmgate price of rice has recovered to 228,000 won per 80 kg, a 23.9% increase compared to the previous year.

With the increase in various cash-based support programs such as the public benefit allowance for farmers and fishers, the financial burden on cities and counties has grown. Moreover, there have been ongoing demands for similar support from producers of crops other than rice, as well as from the livestock and fisheries sectors, which could raise issues of fairness. In this context, as the government is implementing policies to adjust the area of rice cultivation, it is now necessary to comprehensively adjust cash support policies that are exclusively for rice farmers.

Additionally, starting in 2026, a new basic income program for all rural residents will be introduced. Although Jeonnam Province will implement this as a pilot project in only two counties in 2026, it is expected that significant local government spending will be required as the program expands.

Kim Youngrok, Governor of Jeonnam Province, stated, "This adjustment was by no means an easy choice, but it was an unavoidable decision to distribute limited resources more fairly in the changed agricultural policy environment. We will prepare practical and sustainable support measures to improve the lives of all farmers and fishers, including rice farmers."

Even after the adjustment, Jeonnam Province is maintaining a rice management stabilization fund of 28.5 billion won, the highest level nationwide. This is more than twice the amount provided by North Jeolla and South Gyeongsang Provinces, while some other provinces and cities have already suspended support or are proceeding with adjustments such as a 50% reduction starting in 2026.

Meanwhile, in response to the reduction of the rice management stabilization fund following the increase in the public benefit allowance for farmers and fishers, the Gwangju-Jeonnam Federation of the Korean Peasants League, the Jeonnam Branch of the Rice Association, and the Gwangju-Jeonnam Federation of the Korean Women Peasants Association held a protest in front of the Jeonnam Provincial Council on the morning of December 9.

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