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The future of agriculture and rural areas in Jeju, experiencing population decline, aging, and the challenges of the "3 New Highs," relies on venturing into innovative solutions.
2022.11.08
“[International Agricultural Machinery Electrification and Autonomous Driving Expo] Venture Agricultural Machinery Distribution Activation Forum Opens“
“A forum aimed at exploring the transition to technology-intensive agriculture through agricultural machinery electrification was convened in response to the crisis facing the agricultural sector due to declining agricultural population and aging.
The ‘1st International Agricultural Machinery Electrification and Autonomous Driving Expo’ showcased milestones in agricultural machinery electrification and autonomous driving. On November 8th at 2:30 PM, the ‘Venture Agricultural Machinery Distribution Activation Forum’ was held. The event was jointly organized by the Rural Development Administration and the Jeju Agricultural Research and Extension Services.
This forum was planned in light of the pressing need for the development and distribution of customized agricultural machinery tailored to address the challenges faced by the agricultural sector in Jeju, including declining rural population, aging, high prices, high exchange rates, and high interest rates, commonly referred to as the ‘3 New Highs.’ It is part of a three-day expo held from November 8th to 10th at the Jeju Agricultural Research and Extension Services in Seogwipo City.“
#. Increasing agricultural productivity is crucial, with electrification and autonomous driving being key.
In the first keynote presentation, Kang Deok-il, the representative of SoSo 6th Industrial Research Institute, discussed the current status and issues of the domestic agricultural machinery industry.
Mr. Kang mentioned the recent surge in grain prices due to Russia’s invasion of Ukraine, causing instability in the entire industrial structure. He emphasized the importance of increasing agricultural productivity, mentioning the militarized food self-sufficiency rate. He highlighted that enhancing agricultural productivity is paramount.
However, he pointed out the difficulties faced by farmers, stating that while farming costs have increased by about twice, farm income has decreased by half. He underscored the era where farmers cannot make money even though they engage in farming.
Ultimately, the challenges faced by farmers lead to hesitation among young people to enter the agricultural sector, resulting in declining productivity and threatening food security. The fluctuation in grain prices also destabilizes the domestic industrial structure.
Mr. Kang emphasized the need to fiercely ponder how to develop agricultural machinery to increase productivity and cultivate high-income crops. He stated that the core issue lies in agricultural productivity. The focus is on developing agricultural machinery combined with the Fourth Industrial Revolution to elevate the current status, which is lower than international standards.
#. Nurturing agricultural machinery venture companies requires the public sector to play a bridging role.
In the second presentation on the topic of “Nurturing Venture Agricultural Machinery Companies and the Role of Public Institutions,” Park Young-soo, the director of the Daegu Agricultural and Food Venture Startup Center at the Rural Development Administration, emphasized the need for public institutions to take proactive steps to support the market entry and growth of venture companies.
Referring to the results of last year’s agricultural survey, he reiterated the importance of venture companies in the agricultural machinery market.
According to the survey, approximately 73% of farms in South Korea cultivate less than one hectare of land, and about 41% are part-time farming households. The proportion of rice farming households is decreasing, while the proportion of crop farming is gradually increasing.
In this context, Director Park highlighted the necessity of venture companies that can penetrate the domestic market with a variety of products, as large corporations tend to focus on entering overseas markets with large-scale equipment such as tractors and combines.
He advocated for public institutions like the Rural Development Administration to provide on-site verification services to support the growth of venture companies and facilitate the transfer of agricultural technology. Additionally, he emphasized the importance of playing a bridging role by organizing demonstration events to alleviate the difficulties in exploring new markets.
#. Venture companies face difficulties without experimentation spaces, and market exploration is also hindered by high barriers.
“In his presentation on ‘Case Studies of Venture Agricultural Machinery Companies,’ Jo Kyung-sik, CEO of AG Robotics, discussed the current market situation, challenges, and activation strategies for venture agricultural machinery companies.
Jo pointed out that venture companies in the agricultural sector require more time and capital for investment returns compared to other fields. Moreover, enduring this period necessary for growth is also challenging.
The most challenging aspects, as he mentioned, are securing experimental farms for agricultural machinery experiments and exploring markets. While AG Robotics leases entire fields for experiments, many venture companies struggle to secure experimental farms.
Additionally, due to low awareness and the difficulty of market exploration in the agricultural machinery sector, it’s not easy to survive, let alone thrive.
Jo mentioned, ‘Participating in agricultural machinery demonstration events allowed us to meet farmers nationwide, which was very helpful. Administrative support, such as creating an environment for pilot operations by discovering farms in need of equipment, would be a significant help.’“
#. Applying agricultural machinery in Jeju is challenging, but difficulties often lead to opportunities.
Following the preceding presentations, a comprehensive discussion took place with Yoo Yong-beom, an invited professor from the Department of Convergence System Engineering at Kyungpook National University, chairing the session along with three speakers and Kim Deok-moon, the chairman of the Jeju Agricultural Cooperative Association.
Kim, representing agricultural interests, highlighted the unique characteristics of Jeju’s agricultural villages, emphasizing the need for the development of agricultural machinery tailored to Jeju’s conditions, given its abundance of rocks and sensitivity to groundwater contamination.
In relation to this, Kang Deok-il remarked, “Jeju has many areas where land leveling is not done, and there are many rocks. There is also a strong agenda regarding groundwater contamination,” adding, “In other words, there are many obstacles, and rather than increasing productivity, there are environmental factors that push us to explore different directions.”
He further suggested, “It would be good to try applying technologies such as vertical crop production through smart farms and farming methods that do not require much water. We need to find approaches that consider Jeju’s unique circumstances rather than taking a traditional approach.”
Professor Yoo Yong-beom pointed out, “Jeju has many factors to consider, such as groundwater contamination standards, rocks, stone walls, and small-scale fields. While we can approach the problems technically, developing machinery tailored only to Jeju may lead to economic problems if demand is not supported.”
In response, Kim Byeong-woon, Deputy Director of the Korea Institute of Agricultural Technology Promotion, remarked, “If we develop and apply technology that surpasses the conditions of Jeju, wouldn’t it open up new markets? Turning constraints into opportunities could create new industries.”
He continued, “It seems that combining military technology recognized worldwide could be a solution. If we integrate military-grade robotics technology used to overcome harsh conditions into agriculture, it could greatly enhance technological capabilities.“
source : https://www.jejusori.net/news/articleView.html?idxno=409347