Song Mi-ryeong, Minister of Agriculture, Food and Rural Affairs, noted on the 19th, “The government has decided to request the National Assembly to reconsider the four agricultural laws, including the Grain Management Act amendment.”
Minister Song held an emergency briefing immediately after Acting President and Prime Minister Han Deok-soo exercised vetoes on all four bills, including the Grain Management Act and the amendments to the Act on Distribution and Price Stabilization of Agricultural and Fishery Products (Nong-an Act), the Act on Measures for the Relief of Farmers and Fishermen Affected by Disasters, and the Agricultural and Fishery Disaster Insurance Act during the Cabinet meeting that day.
In the briefing, Minister Song emphasized, “This law is not only difficult to enforce, but its negative effects are clear,” and added, “As the minister for the relevant department, I had no choice but to request reconsideration.” Furthermore, Song requested, “I believe that the desire to solve the difficulties of agriculture and rural areas is shared by both the National Assembly and the government. Please discuss additional feasible alternatives at the National Assembly level to ensure the purpose of the law's amendments can be properly realized.”
At the center of the controversy, the Grain Management Act amendment includes provisions for the government to purchase surplus rice if overproduction occurs and to compensate for the price difference if rice prices fall below the average price. Regarding this, Minister Song pointed out, “Structural overproduction of rice is expected to persist, leading to further declines in rice prices, hindering transitions to other crops, and requiring substantial financial resources.”
The Nong-an Act amendment and the Disaster Relief Act amendment primarily guarantee minimum prices for agricultural products and support production costs, while the Disaster Insurance Act amendment excludes the application of additional premiums when setting insurance rates. Minister Song expressed concerns about the Nong-an Act amendment, saying, “There are concerns that production could be concentrated on items with high production convenience and guarantee levels, exacerbating supply and price volatility, creating conflicts within the agricultural sector during the selection process of supported items, and excessive fiscal burdens.”
Additionally, questions were raised regarding the equity and practical enforceability of the amendments to the Disaster Insurance Act and the Disaster Relief Act. Minister Song added, “Cooperation with the National Assembly is essential to enhance the effectiveness of the amendments, and there is a need to prepare feasible alternatives.”