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Food

Five countries filed official objections with the World Trade Organization (WTO) over South Korea’s 513% tariff rate for rice after full rice market openness.

The Ministry of Trade, Industry and Energy (MTIE) announced on Jan. 6 that the US, China, Australia, Thailand, and Vietnam had filed objections with the WTO secretariat over the revised rice concessions schedule announced by the South Korean government. Accordingly, the WTO plans to examine the appropriateness of the rice tariff measures, after which South Korea is to reach bilateral agreements with the five countries that raised objections.

The rice tariff measures went into effect on Jan. 1 as announced to the WTO by the South Korean government, regardless of the examination procedures and negotiations. The rice tariff rate was set at 513%, with the tariff-rate quota (TRQ) maintained at its 2014 level of 408,700 tons. Existing special safeguards (SSGs) are also to remain in place.

“We announced our intentions regarding rice tariffs last September, and any countries that objected had until the end of the year to notify the secretariat, which is what five countries did by submitting their opinions,” explained an MTIE official.

“In the cases of Japan and Taiwan, it took 23 months and 57 months respectively before the final decision to set tariff rates in the 200% to 300% range, so it could be years before we finish negotiations with the countries that have objections,” the official added.

The Ministry of Agriculture, Food and Rural Affairs has said that the 513% tariff rate after opening South Korea’s rice market is based on the WTO Agreement and Agreement on Agriculture, and that it intends to insist on the level in its negotiations with other member countries.

By Jung Se-ra, staff reporter

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