Required Report - public distribution

**Date:** 10/31/2003

**GAIN Report Number:** KS3066

KS3066

**Korea, Republic of**

**Citrus**

**Annual**

**2003**

**Approved by:**

![](media/image1.wmf)Marcus Lower

#### U.S. Embassy

**Prepared by:**

Stan Phillips / Seung Ah Chung

**Report Highlights:**

Korea\'s 2003 Unshu orange production is expected to fall 15 percent.
Aside from a typhoon in September that reduced the quality of the
harvest, the 2003 crop is expected to increase Brix levels. Jeju
producers are focusing on removing low quality Unshu oranges from supply
through a newly established marketing order. A new \$3.5 million
producer check-off program, half of which will be funded by the
government, will sharply increase promotional support for Unshu oranges.

Includes PSD Changes: Yes

Includes Trade Matrix: Yes

Annual Report

Seoul \[KS1\]

\[KS\]

Table of Contents

[**Citrus Production 3**](#citrus-production)

[Local Citrus Situation 3](#local-citrus-situation)

[Import 4](#import)

[Export 4](#export)

[Competitors 5](#competitors)

[Phytosanitary Issues 5](#phytosanitary-issues)

[FOJC Market Situation 6](#fojc-market-situation)

[PS&D 7](#psd-1)

[PS&D for Fresh Tangerines 7](#psd-for-fresh-tangerines)

[PS&D for FOJC 7](#psd-for-fojc)

[PS&D for FOJC 8](#psd-for-fojc)

[Production 9](#production)

[Korea: Citrus Production Situation 1/
9](#korea-citrus-production-situation-1)

[Korea: Citrus Utilization 9](#korea-citrus-utilization)

[Korea: Citrus Greenhouse Production Situation
10](#korea-citrus-greenhouse-production-situation)

[Korea: 2001/2002 Citrus Variety Production Situation
10](#korea-20012002-citrus-variety-production-situation)

[Korea: Purchasing Price of Processing Tangerine Oranges
11](#korea-purchasing-price-of-processing-tangerine-oranges)

[Korea: Citrus Production as Ratio to Total Fruit Production
11](#korea-citrus-production-as-ratio-to-total-fruit-production)

[Korea: Total Fruits and Citrus Per Capita Consumption
12](#korea-total-fruits-and-citrus-per-capita-consumption)

[Tariff 13](#tariff)

[Korea: Import Quota and Tariff for Fresh Orange
13](#korea-import-quota-and-tariff-for-fresh-orange)

[Korea: Import Quota and Tariff for Other Citrus
13](#korea-import-quota-and-tariff-for-other-citrus)

[Korea: Monthly Orange Imports 13](#korea-monthly-orange-imports)

[Trade Matrix 14](#trade-matrix)

[Import Matrix for Oranges 14](#import-matrix-for-oranges)

[Import Matrix for Lemon 15](#import-matrix-for-lemon)

[Import Matrix for Grapefruit 16](#import-matrix-for-grapefruit)

[Export Matrix for Korean Tangerines
17](#export-matrix-for-korean-tangerines)

[Import Matrix for FOJC 18](#import-matrix-for-fojc)

[Export Matrix for FOJC 19](#export-matrix-for-fojc)

[Korea: Monthly Average Foreign Exchange Rate
20](#korea-monthly-average-foreign-exchange-rate)

[Price Table 21](#price-table)

[Korea: Monthly Average Wholesale Auction Prices for Tangerines
21](#korea-monthly-average-wholesale-auction-prices-for-tangerines)

[Korea: Average Auction Prices for Greenhouse Tangerine
21](#korea-average-auction-prices-for-greenhouse-tangerine)

[Korea: Average Retail Prices for Tangerine, Nationwide
22](#korea-average-retail-prices-for-tangerine-nationwide)

[Korea: Average Retail Prices for Imported Oranges, Nationwide
23](#korea-average-retail-prices-for-imported-oranges-nationwide)

[Korea: Average Auction Prices for Imported Valencia
24](#korea-average-auction-prices-for-imported-valencia)

[Korea: Wholesale Prices for Domestic & Imported Oranges
25](#korea-wholesale-prices-for-domestic-imported-oranges)

[Korea: Average Auction Prices for Imported Lemon
26](#korea-average-auction-prices-for-imported-lemon)

[Korea: Average Auction Prices for Imported Grapefruit
27](#korea-average-auction-prices-for-imported-grapefruit)

# Citrus Production

## Local Citrus Situation

The MY 2003/2004 outdoor Unshu orange crop is estimated at 640,000 MT, a
15-percent decrease from the previous year. Despite a dramatic
production drop from the previous year, the MY 2003/2004 production
forecast still exceeds the target production level of 550,000 MT.
Therefore, the Jeju Provincial government and producers' cooperatives
are trying to cut the supply level to 550,000 MT by culling up to 30,000
MT of fruit from trees before ripening and by sorting and removing
60,000 MT of lower quality fruit from the market place. Jeju people
believe that such an extensive program to control volume of fruit
released into the market is their best hope of avoiding unprofitable
market prices of the past four consecutive years. As of late October,
the wholesale market auction price of outdoor Unshu oranges was higher
than the year before. Thus, Jeju has high hopes that this year may
offset losses that they have suffered during the past four years.

Despite year round wet weather until fall and a typhoon in September,
the MY 2003 crop is expected to have a higher Brix level than the
previous year crop thanks to sunny and dry fall weather. However, the
typhoon hurt the surface of fruits and caused significant scarring. The
provincial government encouraged farmers to divert such damaged fruits
to processing rather than the fresh market.

On October 27, 2003, the Ministry of Agriculture & Forestry (MAF)
announced implementation of a marketing order program for citrus. In
September, 92.8 % of Jeju farmers voted in favor of the marketing order
program. Based upon a program announced by MAF, this marketing order
will apply to all Unshu orange farmers, producer groups, and
distributors. According to the Jeju provincial government and citrus
cooperatives, this program aims to control quality of fruits to be
released into the market place, and not the volume of fruits. Thus,
fruits smaller than No. 1 and larger than #9 should not be released into
the commercial markets. Anyone violating this order will be subject to
fine of 3 million won (approximately 2,600 dollars) for the first
violation and 5 million won for the second violation. This order went
into effect from October 28 and will be effective until April 30, 2004.
This order applies to outdoor Unshu only. To oversee compliance of the
order, Jeju formed a team of 134 people, consisting of government
officials, farmers, cooperatives, and fruit sellers, to monitor, guide,
and enforce the market order program.

In 2003, Jeju finally reached consensus on a check off program and
obtained approval from the Ministry of Agriculture & Forestry in August
for implementation of the check off program. For the first year, a total
of 4 billion won (approximately 3.5 million dollars) will be gathered.
Of the four billion won, one billion won from farmers and one billion
won from cooperatives will be collected. The remaining two billion won
will be supported by the central government. This check off fund will be
used for a program to sort out lower quality fruit from the commercial
market, a program to promote citrus consumption, and PR promotions in
big supermarkets.

MAF announced its plan to support 166 billion won (approximately 145
million dollars) to Jeju citrus industry to enhance competitiveness of
Jeju citrus. The financial source is the so called "Free Trade Agreement
(FTA) Fund" that will be formed to support the portion of the
agricultural industry that would be damaged by the FTA with Chile.
Although citrus is not a commodity that will be directly damaged by the
FTA, MAF also plans to support those agricultural industries that may be
indirectly damaged by the FTA including citrus. The fund will be used to
build citrus industry infrastructure, packing houses, variety
improvement, R&D, etc. This money will be available once the FTA is
ratified by the National Assembly.

In 2003, greenhouse Unshu orange production area was slightly decreased
from 2002 due to high operating cost and producer decisions to plant
Hallabong oranges which are perceived to be more profitable. The trend
is expected to continue in coming years. Total greenhouse production in
2003 is estimated at 26,624 MT, one percent drop from the previous year.
A slow economic situation in Japan, the major export market of
greenhouse oranges, is also discouraging Jeju farmers from expanding
production. Instead of greenhouse production, late varieties grown in
confined facilities are more popular to farmers as well as consumers. In
2002, the total production area of late varieties reached 973.8 HA, with
production of 13,046 MT. Jeju expects a 10 percent annual increase in
late variety citrus production. However, Jeju is trying to strictly
control quality of late varieties that are released into the commercial
market to build demand for late varieties.

Producers have recently begun planting a new crop substituting for Unshu
oranges. Jeju contracted with Zespri, a New Zealand Kiwi Fruit Producer
Group, to introduce production of gold kiwi fruits in the southern part
of Jeju in 2003. From 2003 to 2004, Jeju will start production of gold
kiwi fruits on 50 HA. Area will be expanded to 100 HA in following
years. Harvest of fruits is expected to reach 1,000 MT in three to five
years. A 20-year production contract has been signed.

## Import

In MY 2003, traders estimate that fresh orange imports will amount to
140,000 MT to 160,000 MT. Despite the relatively slow Korean economy,
total imports are expected to exceed the past year level of 140,000 MT
in response to a stable currency exchange rate and consistent consumer
demand. Traders are optimistic about the market for imported oranges as
evidenced by increasing numbers of traders who are entering the
business.

In MY 2002, fresh orange imports increased by 40 percent due to
attractive prices for quality fruits. Traders report that price was the
key factor driving the increase in imports along with the poor quality
of local fruits in the market place.

As might be expected now that the in-quota and out-of-quota tariffs will
be equal in 2004, Jeju Citrus Grower's Agricultural Cooperative (JCGAC),
which was delegated rights to administer Korea's MMA quota for citrus,
is no longer interested in either direct imports of MMA quota oranges or
quota auction. Since the MMA quota and out of quota tariff will become
equal in 2004, private traders find no merit in purchasing MMA quota
from JCGAC. Also, as a producer cooperative, JCGAC is not in a position
to import oranges although JCGAC knows that it is a profitable business.
JCGAC and MAF are still considering how they will deal with the MMA
quota oranges for 57,020 MT allocated for 2004. However, it is very
unlikely JCGAC will hold a quota auction or import directly. For CY 2003
MMA quota oranges, traders who purchased quota from JCGAC completed
imports in September 2003.

## Export

In MY 2003, Jeju set an export goal of 15,000 MT of Unshu, mostly
destined to Canada, Russia, and South East Asian countries. Since the
local market seems more promising that the export market, it is unlikely
that Jeju will achieve its MY 2003 export goal. For green house citrus
exports, Jeju authorities are rather pessimistic because exports to
Japan, Jeju's major export market, have been hampered by the Japanese
economic situation. Green house citrus exports in 2003 were slightly
over 100 MT.

Exports of Jeju citrus to the U.S. are currently prohibited due to
presence of citrus canker in Jeju. Details are provided in the
Phytosanitary section.

## Competitors

Imports from countries other than the U.S. in MY 2002 account for only
two-percent of the fresh orange import market, dropping from four
percent a year ago. Major exporting countries are South Africa,
Australia, and New Zealand but it seems they never overcome consumers
and traders' strong recognition of U.S. oranges as fresh and flavorful.
Other countries such as Spain, Argentina, Egypt, and Chile have
initiated discussions with Korea for protocols on various citrus
imports. Such discussions are not expected to be completed in the near
future.

## Phytosanitary Issues

The National Plant Quarantine Service (NPQS) still applies a 100-percent
fumigation policy for imported California oranges due to red scale.
Presence of Septoria citri, a fungus often exacerbated by damp weather
conditions during the harvest season, is another concern of U.S.
oranges. It is a quarantine pest in Korea so a shipment where Septoria
citri is present will be rejected upon arrival. Caution is needed during
the damp harvesting seasons at U.S. packinghouses to avoid any financial
loss resulting from detection of Septoria citri.

On October 28, 2003, NPQS banned imports of citrus fruits including
oranges originating from Ontario in San Bernardino County, California in
response to detection of citrus fruit fly. This is the only region in
California where NPQS is presently imposing import ban.

Since suspension of exports of Jeju citrus as a result of findings of
citrus canker in December 2002, USDA's Animal Plant Health Inspection
Service (APHIS) is working with NPQS to amend the present work plan for
resumption of Jeju citrus exports. Both parties are engaged in amending
the work plan but a time line for resumption of Jeju citrus exports is
uncertain.

# FOJC Market Situation

In 2003, the overall juice market is forecast to remain the same or
slightly lower compared to the past year owing to the slow economic
situation. Orange juice (OJ) consumption, however, is expected to
increase slightly in line with increasing demand and availability of OJ
made of Jeju Unshu oranges and the premium cold chain OJ made of
non-frozen concentrate. Aside from these two products, most drinks
including juice made of OJ or other fruits are expected to decrease in
sales except mango juice. In 2004, domestic processors are forecasting
that demand for OJ will increase by 5 percent at a minimum with an
optimistic outlook for the Korean economic situation in 2004.

Despite a slight increase in total OJ demand in 2003, the premium cold
chain OJ market increased by eight percent in the first half of 2003.
Besides premium cold chain OJ, OJ made of Jeju mandarin marked a
dramatic increase whereas the market for diluted OJ with low fruit juice
content is shrinking. Consumers are demanding quality premium juice
which is marketed with emphasis on health effects. OJ made of Jeju
mandarin, which has a much sweeter taste than regular orange juice, will
continue to attract consumer's taste as long as Jeju can supply enough
concentrate. In 2003, the market for Jeju citrus juice is expected to
reach 100 billion Korean won (approximately 83 million US dollars),
double the market size in 2002.

Brazilian FOJC still dominates the Korean juice market with 75 percent
of market share and strong price competitiveness against U.S. origin OJ.
However, U.S. origin OJ is perceived by Korean consumers as a premium
product with good quality with freshness.

In December 2003, Jeju will bring online its second processing plant
with an annual processing capacity of 30,000 MT. This will alleviate the
bottleneck caused by limited capacity at the first processing plant and
facilitate an increase in Jeju mandarin juice (Unshu oranges). The
procurement price of citrus for processing is set at 100 Korean won per
kilogram. Jeju is searching for a possibility to export Jeju mandarin
juice to cities in the U.S. with high populations of people of Korean
heritage.

In MY 2002, OJ exports were insignificant. It is expected that Korea's
OJ exports will remain insignificant unless demand in Asian markets
expands rapidly.

# PS&D {#psd-1}

## PS&D for Fresh Tangerines

## ![](media/image2.wmf)  {#section .unnumbered}

## PS&D for FOJC

![](media/image3.wmf)

# Production

## Korea: Citrus Production Situation 1/

  ---------- ------------ --------------- --------------- -----------------
  Year       Area (HA)    Production (MT) Farm Household  Gross Income
                                                          (Mil.won)

  1996       25,802       480,000         36,055          607,900

  1997       25,781       693,200         36,050          400,862

  1998       25,860       543,980         36,212          515,800

  1999       25,823       638,740         36,073          325,709

  2000       25,796       563,341         36,590          370,811

  2001       25,408       646,023         36,580          361,667

  2002       25,207       788,679         35,078          316,494

  2003 2/    24,653       666,000         35,000          N/A
  ---------- ------------ --------------- --------------- -----------------

1/ Calendar year basis including greenhouse

2/ Preliminary

Source: Jeju Provincial Government & Jeju Citrus Grower's Cooperative

## Korea: Citrus Utilization 

(Unit: MT)

  ---------- -------------- -------------- --------------- ---------------
  Year       Total          Fresh          Processing      Other 1/

  1998       543,980        512,586        5,012           26,382

  1999       638,740        567,041        33,142          38,557 2/

  2000       563,430        502,838        26,526          33,124

  2001       646,023        527,326        47,445          71,252 3/

  2002       788,679        531,081        112,359         145,239 4/

  2003 5/    666,000        456,000        120,000         90,000 6/
  ---------- -------------- -------------- --------------- ---------------

1/ Other - composed of self consumption, loss and discarded citrus

2/ Other - including purchase by Jeju Provincial Government

3/ Other - including purchase by Central Government for Aid to North
Korea

4/ Other - including 1/, 2/, 3/, exports, and military consumption

5/ Preliminary

6/ Discarded

Source: Jeju Provincial Government

## Korea: Citrus Greenhouse Production Situation

  --------- ----------- ------------ ------------- ----------- -----------
  Year      Area (HA)   Production   Gross Income  Household   Price
                        (MT)         (Mil. Won)                (Won/Kg)

  1996      497.7       23,093       74,659        1,601       3,233

  1997      554.2       27,461       85,077        1,762       3,098

  1998      554         26,812       61,900        1,763       2,309

  1999      545         28,129       64,700        1,646       2,300

  2000      567         27,655       68,200        1,777       2,466

  2001      512         27,158       69,300        1,546       2,550

  2002      516         27,046       64,639        1,573       2,390

  2003      504         26,624       N/A           N/A         N/A
  --------- ----------- ------------ ------------- ----------- -----------

Source: Jeju Provincial Government & Korea Rural Economic Institute

## Korea: 2001/2002 Citrus Variety Production Situation

(Unit: HA, MT)

+-------------+-------------+-------------+-------------+-------------+
| Year        | Acreage     |             | Production  |             |
|             |             |             |             |             |
| Variety     |             |             |             |             |
+-------------+-------------+-------------+-------------+-------------+
|             | 2001        | 2002        | 2001        | 2002        |
+-------------+-------------+-------------+-------------+-------------+
| Very early  | 1,844       | 1,872       | 41,196      | 46,159      |
+-------------+-------------+-------------+-------------+-------------+
| Early       | 20,719      | 20,579      | 537,979     | 653,974     |
+-------------+-------------+-------------+-------------+-------------+
| Normal      | 1,986       | 1,781       | 55,717      | 75,500      |
+-------------+-------------+-------------+-------------+-------------+
| Late        | 859         | 974         | 11,131      | 13,046      |
+-------------+-------------+-------------+-------------+-------------+
| **Total**   | 25,408      | 25,206      | 646,023     | 788,679     |
+-------------+-------------+-------------+-------------+-------------+

Source: Jeju Provincial Government & Jeju Citrus Grower's Cooperative

## Korea: Purchasing Price of Processing Tangerine Oranges

(Korean Won/Kilogram)

  ---------------------------------- ------------------------------------
  Year                               Price

  1995                               220

  1996                               220

  1997                               100

  1998                               100

  1999                               220

  2000                               100

  2001                               220

  2002                               100

  2003                               100
  ---------------------------------- ------------------------------------

1/ 100 Korean Won for compensation for discarding fruits at farms and
for purchase for processing

180 Korean Won for government purchase for North Korea Aid and
processing

2/ 100 Korean Won for purchase for processing

200 Korean Won for government purchase of 97,000 MT to remove fruits
from fresh market

Source: Jeju Citrus Grower's Cooperative

## Korea: Citrus Production as Ratio to Total Fruit Production

(Unit: 1,000 MT, Ratio: Percent)

  ------------- ------------------- ------------------- -------------------
  Year          Total Fruits        Citrus              Ratio

  1990          1,765               493                 30.4

  1995          2,150               615                 28.6

  1996          2,003               480                 24.0

  1997          2,330               693                 29.7

  1998          2,022               544                 26.9

  1999          2,229               639                 28.0

  2000          2,249               564                 23.0

  2001          2,284               646                 28.0

  2002          2,418               789                 32.0
  ------------- ------------------- ------------------- -------------------

Source: National Agricultural Quality Service, Ministry of Agriculture &
Forestry

## Korea: Total Fruits and Citrus Per Capita Consumption

  -------------------- ------------------------- -------------------------
  Year                 Total Fruits              Citrus

  1996                 52.3 Kg                   11.9 Kg

  1997                 57.9 Kg                   14.9 Kg

  1998                 49.2 Kg                   11.9 Kg

  1999                 55.7 Kg                   13.8 Kg

  2000                 58.4 Kg                   14.0 Kg

  2001                 59.2 Kg                   15.5 Kg

  2002                 58.8 Kg                   15.5 Kg
  -------------------- ------------------------- -------------------------

Source: Ministry of Agriculture & Forestry

# Tariff

On July 1, 1997, Korea liberalized the fresh orange market. Applied
tariffs for in-quota and out-of quota imported oranges and other citrus
in Korea's Uruguay Round Country Schedule follow;

## Korea: Import Quota and Tariff for Fresh Orange

(Unit: MT, %)

  -------------- --------------- -------------------- --------------------
  Year           Quota           In-quota Tariff      Out-quota Tariff

  2002           45,052          50                   59.8

  2003           50,684          50                   54.9

  2004           57,020          50                   50
  -------------- --------------- -------------------- --------------------

## Korea: Import Quota and Tariff for Other Citrus

(Unit: MT, %)

  -------------- --------------- -------------------- --------------------
  Year           Quota           In-quota Tariff      Out-quota Tariff

  2002           1,909           50                   147.2

  2003           2,002           50                   145.6

  2004           2,097           50                   144
  -------------- --------------- -------------------- --------------------

1/ HS 0805.20.1000, HS 0805.20.9000, HS 0805.90.0000

Note: On February 13, 2003, the total MMA quota for oranges was
auctioned off. 50,260 MT out of 50,684 MT were awarded to 15 companies.
The total MMA quota imports were completed in late September.

## 

## Korea: Monthly Orange Imports

(Unit: MT)

  ------ ------- ------- ------- ------- ------- ------ ------ ------ ------ ------ ------ -------
  Year   Jan     Feb     Mar     Apr     May     Jun    Jul    Aug    Sep    Oct    Nov    Dec

  '03    13231   16006   36442   34161   20644   7371   3710   3208   2238                 

  '02    4673    8469    27190   24865   17323   5643   2586   1996   2111   1066   865    4866

  '01    5140    11895   17378   32655   14450   2671   1474   1087   1510   1685   588    446

  '00    2389    13041   14524   23407   20861   5230   6846   2284   2297   3167   1351   3742

  '99    792     633     2076    2943    7269    3261   94     337    1044   426    115    11863
  ------ ------- ------- ------- ------- ------- ------ ------ ------ ------ ------ ------ -------

Source: Korea Customs Service

# Trade Matrix

## Import Matrix for Oranges

+---------------+------------+------------+------------+------------+
| Import Trade  |            |            |            |            |
| Matrix        |            |            |            |            |
+---------------+------------+------------+------------+------------+
| **Country:    |            |            |            |            |
| Korea**       |            |            |            |            |
+---------------+------------+------------+------------+------------+
| **Commodity:  |            |            |            |            |
| Orange (HS    |            |            |            |            |
| 0805.10)      |            |            |            |            |
| Unit: MT &    |            |            |            |            |
| U\$1,000**    |            |            |            |            |
+---------------+------------+------------+------------+------------+
| **Imports     | **MY       |            | **MY       |            |
| for**         | 2001/02**  |            | 2002/03**  |            |
|               |            |            |            |            |
|               | **(Oct.    |            | **(Oct. 02 |            |
|               | 01 - Sep.  |            | -- Aug.    |            |
|               | 02)**      |            | 03)**      |            |
+---------------+------------+------------+------------+------------+
| **Country**   | **Vol**    | **Val**    | **Vol**    | **Val**    |
+---------------+------------+------------+------------+------------+
| **U.S.**      | 95,351     | 81,776     | 139,525    | 108,095    |
+---------------+------------+------------+------------+------------+
| **Others**    |            |            |            |            |
+---------------+------------+------------+------------+------------+
| South Africa  | 1,799      | 1,218      | 1,098      | 855        |
+---------------+------------+------------+------------+------------+
| New Zealand   | 329        | 311        | 61         | 59         |
+---------------+------------+------------+------------+------------+
| Australia     | 1,875      | 1,875      | 749        | 779        |
+---------------+------------+------------+------------+------------+
| PRC           | 57         | 36         | 34         | 23         |
+---------------+------------+------------+------------+------------+
| Cameron       | 10         | 11         | 0          | 0          |
+---------------+------------+------------+------------+------------+
| Canada        | 0          | 0          | 68         | 50         |
+---------------+------------+------------+------------+------------+
|               |            |            |            |            |
+---------------+------------+------------+------------+------------+
| **Total for   | 4,070      | 3,451      | 2,010      | 1,766      |
| Others**      |            |            |            |            |
+---------------+------------+------------+------------+------------+
| **Grand       | 99,421     | 85,227     | 141,535    | 109,861    |
| Total**       |            |            |            |            |
+---------------+------------+------------+------------+------------+

Source: Korea Customs Service

## Import Matrix for Lemon

+---------------+------------+------------+------------+------------+
| Import Trade  |            |            |            |            |
| Matrix        |            |            |            |            |
+---------------+------------+------------+------------+------------+
| **Country:    |            |            |            |            |
| Korea**       |            |            |            |            |
+---------------+------------+------------+------------+------------+
| **Commodity:  |            |            |            |            |
| Lemon         |            |            |            |            |
| (0805.50.10)  |            |            |            |            |
| Unit: MT &    |            |            |            |            |
| U\$1,000**    |            |            |            |            |
+---------------+------------+------------+------------+------------+
| **Imports     | **MY       |            | **MY       |            |
| for**         | 2001/02**  |            | 2002/03**  |            |
|               |            |            |            |            |
|               | **(Oct.    |            | **(Oct.    |            |
|               | 01 - Sep.  |            | 02 - Aug.  |            |
|               | 02)**      |            | 03)**      |            |
+---------------+------------+------------+------------+------------+
| **Country**   | **Vol**    | **Val**    | **Vol**    | **Val**    |
+---------------+------------+------------+------------+------------+
| **U.S.**      | 3,610      | 4,828      | 3,353      | 3,823      |
+---------------+------------+------------+------------+------------+
| **Others**    |            |            |            |            |
+---------------+------------+------------+------------+------------+
| New Zealand   | 180        | 225        | 75         | 85         |
+---------------+------------+------------+------------+------------+
| Australia     | 52         | 51         | 20         | 22         |
+---------------+------------+------------+------------+------------+
|               |            |            |            |            |
+---------------+------------+------------+------------+------------+
| **Total for   | 232        | 276        | 95         | 107        |
| Others**      |            |            |            |            |
+---------------+------------+------------+------------+------------+
| **Grand       | 3,842      | 5,104      | 3,448      | 3,930      |
| Total**       |            |            |            |            |
+---------------+------------+------------+------------+------------+

Source: Korea Customs Service

## Import Matrix for Grapefruit

+---------------+------------+------------+------------+------------+
| Import Trade  |            |            |            |            |
| Matrix        |            |            |            |            |
+---------------+------------+------------+------------+------------+
| **Country:    |            |            |            |            |
| Korea**       |            |            |            |            |
+---------------+------------+------------+------------+------------+
| **Commodity:  |            |            |            |            |
| Grapefruit    |            |            |            |            |
| (0805.40)     |            |            |            |            |
| Unit: MT &    |            |            |            |            |
| U\$1,000**    |            |            |            |            |
+---------------+------------+------------+------------+------------+
| **Imports     | **MY       |            | **MY       |            |
| for**         | 2001/02**  |            | 2002/03**  |            |
|               |            |            |            |            |
|               | **(Oct.    |            | **(Oct. 02 |            |
|               | 01 - Sep.  |            | -- Aug.    |            |
|               | 02)**      |            | 03)**      |            |
+---------------+------------+------------+------------+------------+
| **Country**   | **Vol**    | **Val**    | **Vol**    | **Val**    |
+---------------+------------+------------+------------+------------+
| **U.S.**      | 1,724      | 1,464      | 1,764      | 1,639      |
+---------------+------------+------------+------------+------------+
| **Others**    |            |            |            |            |
+---------------+------------+------------+------------+------------+
| Israel        | 88         | 67         | 233        | 217        |
+---------------+------------+------------+------------+------------+
|               |            |            |            |            |
+---------------+------------+------------+------------+------------+
| **Total for   | 88         | 67         | 233        | 217        |
| Others**      |            |            |            |            |
+---------------+------------+------------+------------+------------+
| **Grand       | 1,812      | 1,531      | 1,997      | 1,856      |
| Total**       |            |            |            |            |
+---------------+------------+------------+------------+------------+

Source: Korea Customs Service

## Export Matrix for Korean Tangerines

+---------------+------------+------------+------------+------------+
| Export Trade  |            |            |            |            |
| Matrix        |            |            |            |            |
+---------------+------------+------------+------------+------------+
| **Country:    |            |            |            |            |
| Korea**       |            |            |            |            |
+---------------+------------+------------+------------+------------+
| **Commodity:  |            |            |            |            |
| Tangerine (HS |            |            |            |            |
| 0805.10/20)   |            |            |            |            |
| Unit: MT &    |            |            |            |            |
| U\$1,000**    |            |            |            |            |
+---------------+------------+------------+------------+------------+
| **Exports     | **MY       |            | **MY       |            |
| for**         | 2001/02**  |            | 2002/03**  |            |
|               |            |            |            |            |
|               | **(Oct.    |            | **(Oct. 02 |            |
|               | 01 - Sep.  |            | -- Aug.    |            |
|               | 02)**      |            | 03)**      |            |
+---------------+------------+------------+------------+------------+
| **Country**   | **Vol**    | **Val**    | **Vol**    | **Val**    |
+---------------+------------+------------+------------+------------+
| **U.S.**      | 1,452      | 986        | 1,612      | 1,527      |
+---------------+------------+------------+------------+------------+
| **Others**    |            |            |            |            |
+---------------+------------+------------+------------+------------+
| Russia        | 662        | 187        | 2,133      | 758        |
+---------------+------------+------------+------------+------------+
| Canada        | 108        | 53         | 4,811      | 2,707      |
+---------------+------------+------------+------------+------------+
| Japan         | 336        | 741        | 237        | 451        |
+---------------+------------+------------+------------+------------+
| Singapore     | 136        | 79         | 0          | 0          |
+---------------+------------+------------+------------+------------+
| Hong Kong     | 7          | 3          | 9          | 10         |
+---------------+------------+------------+------------+------------+
| Guam          | 41         | 155        | 25         | 57         |
+---------------+------------+------------+------------+------------+
| Indonesia     | 66         | 47         | 72         | 55         |
+---------------+------------+------------+------------+------------+
| Malaysia      | 113        | 73         | 151        | 63         |
+---------------+------------+------------+------------+------------+
| PRC           | 11         | 6          | 0          | 0          |
+---------------+------------+------------+------------+------------+
| Philippines   | 12         | 8          | 0          | 0          |
+---------------+------------+------------+------------+------------+
| Taiwan        | 39         | 30         | 50         | 10         |
+---------------+------------+------------+------------+------------+
| Others        | 17         | 23         | 46         | 19         |
+---------------+------------+------------+------------+------------+
|               |            |            |            |            |
+---------------+------------+------------+------------+------------+
| **Total for   | 1,548      | 1,405      | 7,534      | 4,130      |
| Others**      |            |            |            |            |
+---------------+------------+------------+------------+------------+
| **Grand       | 3,000      | 2,391      | 9,146      | 5,657      |
| Total**       |            |            |            |            |
+---------------+------------+------------+------------+------------+

Source: Korea Customs Service

## Import Matrix for FOJC

+---------------+------------+------------+------------+------------+
| Import Trade  |            |            |            |            |
| Matrix        |            |            |            |            |
+---------------+------------+------------+------------+------------+
| **Country:    |            |            |            |            |
| Korea**       |            |            |            |            |
+---------------+------------+------------+------------+------------+
| **Commodity:  |            |            |            |            |
| FOJC          |            |            |            |            |
| (2            |            |            |            |            |
| 009.11/12/19) |            |            |            |            |
| Unit: MT &    |            |            |            |            |
| U\$1,000**    |            |            |            |            |
+---------------+------------+------------+------------+------------+
| **Imports     | **MY       |            | **MY       |            |
| for**         | 2001/02**  |            | 2002/03**  |            |
|               |            |            |            |            |
|               | **(Oct.    |            | **(Oct. 02 |            |
|               | 01 - Sep.  |            | -- Aug.    |            |
|               | 02)**      |            | 03)**      |            |
+---------------+------------+------------+------------+------------+
| **Country**   | **Vol**    | **Val**    | **Vol**    | **Val**    |
+---------------+------------+------------+------------+------------+
| **U.S.**      | 9,645      | 14,729     | 10,909     | 16,870     |
+---------------+------------+------------+------------+------------+
| **Others**    |            |            |            |            |
+---------------+------------+------------+------------+------------+
| Brazil        | 36,349     | 40,351     | 34,629     | 45,364     |
+---------------+------------+------------+------------+------------+
| Australia     | 129        | 127        | 316        | 305        |
+---------------+------------+------------+------------+------------+
| Israel        | 162        | 189        | 120        | 143        |
+---------------+------------+------------+------------+------------+
| Hong Kong     | 38         | 117        | 129        | 182        |
+---------------+------------+------------+------------+------------+
| Swiss         | 22         | 282        | 10         | 140        |
+---------------+------------+------------+------------+------------+
| Belgium       | 4          | 16         | 176        | 242        |
+---------------+------------+------------+------------+------------+
| Netherlands   | 0          | 0          | 62         | 100        |
+---------------+------------+------------+------------+------------+
| Canada        | 26         | 55         | 11         | 19         |
+---------------+------------+------------+------------+------------+
| Germany       | \-         | 3          | 0          | 0          |
+---------------+------------+------------+------------+------------+
| Other         | 1          | 1          | 0          | 5          |
+---------------+------------+------------+------------+------------+
|               |            |            |            |            |
+---------------+------------+------------+------------+------------+
| **Total for   | 36,731     | 41,141     | 35,453     | 46,500     |
| Others**      |            |            |            |            |
+---------------+------------+------------+------------+------------+
| **Grand       | 46,376     | 55,870     | 46,362     | 63,370     |
| Total**       |            |            |            |            |
+---------------+------------+------------+------------+------------+

Source: Korea Customs Service

## Export Matrix for FOJC

+--------------------+-----------+-----------+-----------+-----------+
| Export Trade       |           |           |           |           |
| Matrix             |           |           |           |           |
+--------------------+-----------+-----------+-----------+-----------+
| **Country: Korea** |           |           |           |           |
+--------------------+-----------+-----------+-----------+-----------+
| **Commodity: FOJC  |           |           |           |           |
| (2009.11/12/19)    |           |           |           |           |
| Unit: MT &         |           |           |           |           |
| U\$1,000**         |           |           |           |           |
+--------------------+-----------+-----------+-----------+-----------+
| **Exports for**    | **MY      |           | **MY      |           |
|                    | 2001/02** |           | 2002/03** |           |
|                    |           |           |           |           |
|                    | **(Oct.   |           | **(Oct.   |           |
|                    | 01 - Sep. |           | 02 --     |           |
|                    | 02)**     |           | Aug.      |           |
|                    |           |           | 03)**     |           |
+--------------------+-----------+-----------+-----------+-----------+
| **Country**        | **Vol**   | **Val**   | **Vol**   | **Val**   |
+--------------------+-----------+-----------+-----------+-----------+
| **U.S.**           | 4         | 3         | 4         | 3         |
+--------------------+-----------+-----------+-----------+-----------+
| **Others**         |           |           |           |           |
+--------------------+-----------+-----------+-----------+-----------+
| Spain              | 0         | 0         | 7         | 8         |
+--------------------+-----------+-----------+-----------+-----------+
| Hong Kong          | 5         | 3         | 0         | 0         |
+--------------------+-----------+-----------+-----------+-----------+
| Japan              | 1         | 2         | 5         | 17        |
+--------------------+-----------+-----------+-----------+-----------+
| Malay              | 5         | 11        | 0         | 0         |
+--------------------+-----------+-----------+-----------+-----------+
| PRC                | 0         | 0         | 8         | 7         |
+--------------------+-----------+-----------+-----------+-----------+
| Kenya              | 2         | 3         | 0         | 0         |
+--------------------+-----------+-----------+-----------+-----------+
| Other              | \-        | 1         | 2         | 3         |
+--------------------+-----------+-----------+-----------+-----------+
|                    |           |           |           |           |
+--------------------+-----------+-----------+-----------+-----------+
| **Total for        | 13        | 20        | 22        | 35        |
| Others**           |           |           |           |           |
+--------------------+-----------+-----------+-----------+-----------+
| **Grand Total**    | 17        | 23        | 26        | 38        |
+--------------------+-----------+-----------+-----------+-----------+

Source: Korea Customs Service

# Korea: Monthly Average Foreign Exchange Rate

(Unit: Korean Won/1U\$)

  ---------------- ------------------ ------------------ ------------------
  Month            2001               2002               2003

  January          1272.82            1313.60            1179.46

  February         1252.44            1318.72            1191.27

  March            1288.43            1322.51            1233.68

  April            1325.55            1318.93            1231.51

  May              1298.46            1266.06            1200.14

  June             1293.83            1233.47            1194.07

  July             1302.60            1185.12            1181.55

  August           1285.39            1196.37            1178.32

  September        1293.70            1208.50            1166.03

  October          1302.60            1241.13            1178.00 1/

  November         1284.00            1211.91            

  December         1289.66            1208.91            
  ---------------- ------------------ ------------------ ------------------

1/ October 29 spot rate

Source: Korea Industrial Bank

# Price Table

## Korea: Monthly Average Wholesale Auction Prices for Tangerines

(Unit: Korean Won per Kilogram)

  ------------ --------------- --------------- --------------- ---------------
  **Month**    **High                          **Medium        
               Quality**                       Quality**       

               **2002**        **2003**        **2002**        **2003**

  Jan.         984             609             727             368

  Feb.         1,235           539             931             327

  Mar.         1,240           569             1,018           350

  Apr.         1,420           661             1,100           393

  May -                                                        
  September:                                                   
  N/A                                                          

  Oct.         735             1,333 1/        510             1,133 1/

  Nov.         739             \-              501             \-

  Dec.         680             \-              462             \-
  ------------ --------------- --------------- --------------- ---------------

1/ October 30 spot price

Source: Garak Wholesale Market

## 

## 

## Korea: Average Auction Prices for Greenhouse Tangerine

(Unit: Korean Won per Kilogram)

  ----------- --------------- --------------- --------------- ---------------
  **Month**   **High                          **Medium        
              Quality**                       Quality**       

              **2002**        **2003**        **2002**        **2003**

  Mar.        2,084           \-              1,660           \-

  Apr.        2,723           2,013           1,965           1,456

  May         3,778           3,489           2,919           1,729

  Jun.        4,060           3,648           3,276           3,012

  Jul.        2,407           3,930           1,978           3,189

  Aug.        2,844           4,304           2,222           3,362

  Sep.        3,122           4,230           2,526           3,187

  Oct.        3,353           4,200           2,384           3,077 1/

  Nov.        \-              \-              \-              \-
  ----------- --------------- --------------- --------------- ---------------

Note: Price on a 5-kilogram box basis

1/ October 30 spot price

Source: Garak Wholesale Market

## Korea: Average Retail Prices for Tangerine, Nationwide

(Unit: Korean Won per 10 Fruits, Approximately 100-gram per fruit)

+------------+-----------+-----------+-----------+-------------------+
| **Year**   | **2001**  | **2002**  | **2003**  | **% Changes of    |
|            |           |           |           | 2002/03**         |
| **Month**  |           |           |           |                   |
+------------+-----------+-----------+-----------+-------------------+
| Jan        | 1,622     | 1,314     | 1,359     | 3                 |
+------------+-----------+-----------+-----------+-------------------+
| Feb        | 1,404     | 1,554     | 1,091     | -29               |
+------------+-----------+-----------+-----------+-------------------+
| Mar        | 1,949     | 2,188     | 1,007     | -53               |
+------------+-----------+-----------+-----------+-------------------+
| Apr        | 2,841     | 2,675     | 1,025     | -61               |
+------------+-----------+-----------+-----------+-------------------+
| May        | 2,960     | \-        | \-        | \-                |
+------------+-----------+-----------+-----------+-------------------+
| June -     |           |           |           |                   |
| September: |           |           |           |                   |
| N/A        |           |           |           |                   |
+------------+-----------+-----------+-----------+-------------------+
| Oct        | 2,076     | 1,988     | 2,611     | +31               |
+------------+-----------+-----------+-----------+-------------------+
| Nov        | 1,635     | 1,687     | \-        | \-                |
+------------+-----------+-----------+-----------+-------------------+
| Dec        | 1,352     | 1,554     | \-        | \-                |
+------------+-----------+-----------+-----------+-------------------+

Prices for medium quality

1/ October 29 spot price

Source: Agricultural & Fishery Marketing Corporation

## Korea: Average Retail Prices for Imported Oranges, Nationwide

(Unit: Korean Won per 10 Fruits)

+------------+-----------+-----------+-----------+-------------------+
| **Year**   | **2001**  | **2002**  | **2003**  | **% Changes of    |
|            |           |           |           | 2002/03**         |
| **Month**  |           |           |           |                   |
+------------+-----------+-----------+-----------+-------------------+
| Jan        | 5,588     | 7,924     | 7,122     | -10               |
+------------+-----------+-----------+-----------+-------------------+
| Feb        | 5,773     | 8,061     | 6,329     | -21               |
+------------+-----------+-----------+-----------+-------------------+
| Mar        | 6,432     | 8,215     | 6,699     | -18               |
+------------+-----------+-----------+-----------+-------------------+
| Apr        | 6,579     | 8,766     | 7,228     | -17               |
+------------+-----------+-----------+-----------+-------------------+
| May        | 7,165     | 10,270    | 7,437     | -27               |
+------------+-----------+-----------+-----------+-------------------+
| Jun        | 6,995     | 8,418     | 6,676     | -20               |
+------------+-----------+-----------+-----------+-------------------+
| Jul        | 6,523     | 6,484     | 5,861     | -9                |
+------------+-----------+-----------+-----------+-------------------+
| Aug        | 6,223     | 5,628     | 6,120     | +8                |
+------------+-----------+-----------+-----------+-------------------+
| Sep        | 6,340     | 6,636     | 6,331     | -4                |
+------------+-----------+-----------+-----------+-------------------+
| Oct        | 6,805     | 7,293     | 6,999 1/  | -4                |
+------------+-----------+-----------+-----------+-------------------+
| Nov        | 6,872     | 8,249     | \-        | \-                |
+------------+-----------+-----------+-----------+-------------------+
| Dec        | 6,932     | 8,078     | \-        | \-                |
+------------+-----------+-----------+-----------+-------------------+

Prices for high quality

1/ October 29 spot price

Source: Agricultural & Fishery Marketing Corporation

## Korea: Average Auction Prices for Imported Valencia

(Unit: Korean Won per Kilogram)

  ----------- --------------- --------------- --------------- ---------------
  **Month**   **High                          **Medium        
              Quality**                       Quality**       

              **2002**        **2003**        **2002**        **2003**

  April       2,167           \-              2,083           \-

  May         1,883           1616            1,721           1,472

  Jun.        1,668           1,616           1,459           1,452

  Jul.        1,412           1,658           1,094           1,512

  Aug.        1,523           1,890           1,111           1,722

  Sep.        2,182           1,967           1,694           1,722

  Oct.        2,363           2,008           1,967           1,825

  Nov.        2,500           \-              2,083           \-

  Dec.        \-              \-              \-              \-
  ----------- --------------- --------------- --------------- ---------------

Source: Garak Wholesale Market

## Korea: Wholesale Prices for Domestic & Imported Oranges

(Unit: Korean Won per Kilogram)

  ----------- -------------- -------------- -------------- --------------
  **Month**   **Imported                    **Korean       
              Navel**                       Orange**       

              High           Medium         High           Medium

  Jan. 02     2,751          2,473          \-             \-

  Feb. 02     2,446          2,161          6,976          5,333

  Mar. 02     2,325          2,137          7,372          5,356

  Apr. 02     2,631          2,366          3,289          2,600

  May 02      \-             \-             \-             \-

  Jun. 02     \-             \-             \-             \-

  Jul. 02     \-             \-             \-             \-

  Aug. 02     2,472          1,750          \-             \-

  Sep. 02     2,581          1,895          \-             \-

  Oct. 02     2,654          2,249          \-             \-

  Nov. 02     2,665          2,387          \-             \-

  Dec. 02     2,587          2,169          \-             \-

  Jan. 03     1,441          2,250          6,844          5,198

  Feb. 03     1,630          \-             6,856          4,883

  Mar. 03     1,904          1,889          7,019          4,910

  Apr. 03     2,073          1,940          8,673          6,577

  May 03      2,224          2,040          9,677          7,385

  Jun. 03     1,716          1,736          \-             \-
  ----------- -------------- -------------- -------------- --------------

Source: Garak Wholesale Market

## Korea: Average Auction Prices for Imported Lemon

(Unit: Korean Won per 18 Kilograms Box)

  ----------- --------------- --------------- --------------- ---------------
  **Month**   **High                          **Medium        
              Quality**                       Quality**       

              **2002**        **2003**        **2002**        **2003**

  Jan.        54,740          49,900          49,760          46,000

  Feb.        52,000          43,864          46,881          \-

  Mar.        49,962          42,500          45,462          \-

  Apr.        53,423          47,115          49,231          \-

  May         59,611          55,833          52,889          54,091

  Jun.        70,700          50,100          63,740          42,000

  Jul.        60,278          45,648          54,333          39,352

  Aug.        61,056          42,885          47,667          37,500

  Sep.        63,522          46,804          53,500          36,261

  Oct.        71,389          45,000 1/       59,056          30,000 1/

  Nov.        57,269          \-              52,788          \-

  Dec.        47,500          \-              42,500          \-
  ----------- --------------- --------------- --------------- ---------------

1/ October 30 spot price

Source: Garak Wholesale Market

## Korea: Average Auction Prices for Imported Grapefruit

(Unit: Korean Won per 18 Kilograms Box)

  ------------- ------------------- ------------------- -------------------
  **Month**     **High Quality**                        

                **2001**            **2002**            **2003**

  Jan.          34,478              32,100              24,000

  Feb.          33,625              30,452              25,318

  Mar.          34,500              31,019              28,615

  Apr.          38,100              31,596              37,827

  May           36,630              35,667              43,500

  Jun.          27,365              28,460              35,460

  Jul.          26,231              25,315              28,704

  Aug.          27,000              23,519              35,000

  Sep.          32,077              29,261              35,000

  Oct.          32,696              50,333              35,000 1/

  Nov.          27,000              48,231              \-

  Dec.          33,846              29,500              \-
  ------------- ------------------- ------------------- -------------------

1/ October 20 spot price

Source: Garak Wholesale Market