S.Korea to Extend Zero Tariffs on Pork Belly Imports

South Korea planned to extend zero tariffs on imported pork belly as part of efforts to curb the potential price hike in the livestock product ahead of the summer holiday season, the finance ministry said on March 20, 2012.

No tariffs will be imposed on 70,000 tons of refrigerated and frozen pork belly imported by the end of June, according to the Ministry of Strategy and Finance. The zero-tariff scheme was originally scheduled to expire this month.

The ministry attributed the extension to concerns over the possible surge in domestic pork belly prices ahead of the summer excursion season, saying that demand for the livestock product tended to jump during the period.

Meanwhile, the reduced tariff rates will be imposed on 11,185 tons of dried red pepper imported from overseas by end-June, according to the ministry. The tariff rates that were cut from 50 percent to 10 percent earlier were originally planned to be imposed on 6,185 tons by the end of this month.

Currently, a total of 103 import items, including wheat and corn, were subject to lower or zero tariffs. The tariff quota for garlic will expire by the end of this month as planned.

The tariff quota is a flexible system that is temporarily applied to lower the basic tariff rate within 40 percentage points range in order to stabilize prices and secure a smooth supply.