GNP seeks to spend W320b more for farmers

The ruling Grand National Party is seeking to spend an additional 320 billion won ($283 million) on compensation measures for the farming, fisheries and livestock industries feared to suffer from the free trade agreement with the U.S., a party official said Thursday.

The plan was put together after the party held talks with 39 industry lobbies, and party officials plan to discuss it with the government, said Hong Moon-pyo, head of the party’s special committee in charge of minimizing the trade pact’s damage to the primary industries.

The additional measures call for lowering interest rates on government loans to farmers and others. Should the government accept the plan, the total value of the support measures for the industries will rise to 22.4 trillion won from 22.1 trillion won.

South Korea’s ruling party-controlled National Assembly approved the trade pact last month, about a month after the U.S. Congress passed it during President Lee Myung-bak’s state visit to Washington.

Officials in Seoul believe that the trade accord will boost South Korea’s exports, create more jobs and strengthen the alliance with Washington. But opposition parties claim it favors the U.S. and hurts the livelihoods of ordinary people. 

(Yonhap News)