ID :
25505
Mon, 10/20/2008 - 09:17
Auther :

Gov't rice farming subsidies topped 990 bln won in 2007: gov't

SEOUL, Oct. 20 (Yonhap) -- The government paid nearly 1 trillion won in direct rice farming subsidies in 2007, a report showed Sunday, as allegations spread that some of the money ended up in the hands of rich landowners, not farmers.

After the South Korean government was forced to stop buying heavily subsidized
domestic rice under World Trade Organization rules in 2005, it decided to give
its tenant farmers some additional financial help. As many as 2.08 million people
benefited from the system but many of them were later found to be landowners who
were not eligible for the benefit.
On Monday, the Ministry for Food, Agriculture, Forestry and Fisheries said in a
report that in 2007 alone, 712 billion won was paid in "set" amounts to tenant
rice farmers, while 279.1 billion won was doled out as additional support in the
form of "variable" subsidies.
Both are designed to ensure stable income for poor tenant farmers. The ministry
said that each tenant farmer received an average of 661,000 won in "set"
subsidies and 275,000 won in variable subsidies last year.
Of those who received "set" subsidies, 60 percent or about 642,000 got less than
500,000 won, with 17 percent getting more than 1 million won. An additional 7,270
people received subsidies in excess of 5 million won.
For "variable" subsidies, 87 percent received less than 500,000 won, with only
3.6 percent or 36,712 getting more than 1 million won, according to the report.
Earlier, the ministry said it was moving to tighten rules for eligibility for
such financial support in 2009 so that non-rice growers such as landowners can
not receive the funds.
Under new measures under study, only farmers who actually rely on farming as
their main source of income, instead of those that have other jobs, can apply for
such subsidies.
Technically, under existing rules, only people who actually produce rice -- not
landowners -- are eligible for the subsidies, but definition of who can be
considered as a farmer is vague.
Other changes under study provide that people who apply for subsidies even though
they do not really farm the land would be penalized. Penalties may amount to 100
percent of the money requested or received.
yonngong@yna.co.kr
(END)


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