Despite Middle East War, K-Food Thrives... Exports to Middle East Up 37.6%

K-Food Exports Up 4.7% in January-April This Year

Ministry Eases Logistics Burden with Additional Support Through Export Vouchers

Despite the ongoing war between the United States and Iran, exports of K-Food to the Middle East have increased significantly. On May 21, the Ministry of Agriculture, Food and Rural Affairs announced that K-Food exports reached $3.58 billion from January to April this year, marking a 4.7% increase compared to the same period last year.

Among processed foods, ramen ($620 million), confectionery ($270 million), beverages ($240 million), and processed rice products ($100 million) led the robust export performance. For fresh foods, exports included strawberries ($57 million), grapes ($18 million), and pears ($8 million).

By country, major markets such as the United States (up 8.9%) and China (up 15.5%) saw increases, while new promising markets like the European Union (EU, up 8.7%) and Central and South America (up 13.6%) also recorded high export growth rates. Notably, despite maritime logistics disruptions and rising freight rates due to the recent war in the Middle East, exports to the Middle East (GCC) region reached $160 million, a 37.6% increase over the same period last year.

A Ministry official stated, "Since the outbreak of the Middle East war, the Ministry has expanded its pool of external experts for the 'K-Food One-Stop Export Support Hub' in areas such as the Middle East, transportation and logistics, and foreign exchange and currency risk, from 33 to 53 experts." The official added, "Through close communication with local buyers via domestic logistics companies and the Korea Agro-Fisheries & Food Trade Corporation (aT) Dubai branch, we have been quickly providing maritime, inland, and air logistics updates every week through the K-Agri-Food Export Information (KATI) website and social media channels."

According to the Ministry, a company named "Jeddah," which planned to export rice to Saudi Arabia, was initially notified that refrigerated containers could not enter the designated unloading port and urgently needed information on alternative routes. In response, the Ministry, together with the aT Dubai branch and logistics and legal experts, provided details on ports that could accept shipments and the transport safety of each port. Jeddah expressed gratitude, stating that with this accurate information, it was able to successfully coordinate the export schedule with local buyers.

In addition, the Ministry recently selected 211 companies for the supplementary K-Agri-Food Export Voucher project (KRW 7.2 billion), prioritizing those with export records to the Middle East or via the Middle East, to help address export challenges caused by the war in the region. Depending on export performance to or via the Middle East, fresh food export records, and whether the company is newly supported, up to KRW 150 million in support was allocated per company.

Furthermore, to ensure that support is aligned with the needs of businesses affected by the Middle East war, more than 50% of the program budget will be used for logistics items. The scope of logistics support has been expanded to include risk surcharges, detour freight charges, cargo delay fees, and collection/return fees; in addition, support will be retroactively provided for costs incurred since March, immediately after the outbreak of the conflict.

Jeong Kyungseok, Director General for Food Industry Policy at the Ministry of Agriculture, Food and Rural Affairs, stated, "The continued strong performance of K-Food exports even amid crises like the Middle East war is the result of the tireless efforts of our exporters combined with government support." He added, "We will further strengthen support for our exporters through the prompt execution of the supplementary budget, so that K-Food export achievements can continue to make history even in the face of adversity."

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