Payments to begin mid-November at 60,350 won per head

Farms that produced goat meat before Korea-Australia FTA took effect are eligible

A goat grazes in a meadow. [Getty Images Bank]
A goat grazes in a meadow. [Getty Images Bank]

A total of 4.97 billion won ($3.66 million) in FTA damage compensation payments will be distributed to 691 goat farms that suffered price losses due to rising imports under free trade agreements. The per-head payment rate is 60,350 won, with individual farmers eligible for up to 35 million won and agricultural corporations up to 50 million won.

South Korea's Ministry of Agriculture, Food and Rural Affairs announced Tuesday that goat meat has been selected as the eligible commodity for the 2026 FTA damage compensation payment program, with disbursements set to begin in mid-November.

The FTA damage compensation payment system is designed to partially offset price declines suffered by domestic farmers when imports rise as a result of free trade agreement implementation.

Goat meat is the sole commodity selected for support this year. The ministry analyzed import damage across 105 agricultural commodities between February and March through the FTA Implementation Support Center at the Korea Rural Economic Institute. Of those, 42 were existing import-damage monitoring items, while the remaining 63 were commodities that farmers applied to have assessed this year.

Goat meat was confirmed as the final supported commodity in June, following deliberation and a vote by the Support Committee for Farmers under FTA Implementation, which includes producer groups and academic experts.

Eligible recipients are farmers and agricultural corporations that had been producing goat meat before Dec. 12, 2014, when the Korea-Australia FTA took effect. The ministry accepted applications through local governments from July 2 to Aug. 13, then conducted eligibility checks and on-site inspections before finalizing the list of 691 farms.

Payments are based on a rate of 60,350 won per head. However, the actual amount each farm receives will vary depending on the number of animals shipped, an adjustment coefficient and the statutory payment ceiling.

To qualify for FTA damage compensation payments, farms must meet all three criteria related to price and import volume. The average price of the commodity must have fallen below 90 percent of the three-year average — calculated by excluding the highest and lowest values from the preceding five years. Both total import volume and imports from FTA partner countries must also each exceed their respective thresholds.

Farmers can check their confirmed payment amounts and deposit schedules at the livestock division of their local district, county or ward office, or at their neighborhood administrative welfare center.

"We hope the FTA damage compensation payments will ease the financial burden on goat farms and help maintain a stable production base for the goat industry," a ministry official said.


adastra@heraldcorp.com