[THE INVESTOR]  The South Korean government and the ruling party consider purchasing rice surplus in bulk to control falling prices.

“We urged the government to purchase the surplus production in bulk within this year to separate them from the market,” said Rep. Kim Gwang-lim, the policy official of Saenuri, at the meeting with financial officials on Oct. 5.

The government also said it will make efforts to reflect such a move.

Rice prices in the country have been falling throughout this year on the back of favorable weather coupled with rising stockpiles.

The two sides also agreed to find ways to promote exports of locally produced rice in order to maintain the price while improving distribution networks.

Saenuri said it is necessary for the government to buy up the surplus in bulk, since small separate purchases will benefit retailers rather than smaller farms.

They also agreed to reorganize the country’s agriculture-only zones, inducing more farmers to utilize their land for other purposes.

(theinvestor@heraldcorp.com)