January 7, 2009
South Korea's beef cattle herd shrinking
The number of domestic beef cattle at South Korea's ranches has declined due to rising production costs and price cuts to Korean beef.
Korean beef cattle were about 2.27 million as of December 1, up 235,000 head on-year but down 30,000 head from three months ago, according to the National Statistical Office on Tuesday (Jan 6).
South Korea has fully reopened its market to US beef imports in June 2008, resulting in the decline of local beef prices, reduced farmers' profits and forcing the producers to raise fewer cattle, which could lead to an imbalance of supply and demand.
South Korea said on December 29 it will spend KRW530.9 billion (US$413.4 million) in 2009 to help domestic beef producers cope with cheap imports and fluctuating livestock numbers.
The four-year plan aims to encourage production increase among small cattle farmers to support efforts to improve meat quality, and to streamline distribution and slaughtering facilities to cut distribution costs.
In addition, the number of pigs at local farms fell 2 percent to about 9 million from three months ago, while the number of chickens decreased 0.5 percent in the same period.
