CRI

 [ABSTRACT]

In general, the export environment of agri-food is in line with the change in the global trade environment. Recently, the global supply chain has been reorganized due to the deepening of the US-China conflict and the prolonged war between the US and Russia, and as a result, non-tariff barriers are expanding due to the strengthening of protectionism and national priority, export barriers are increasing.

In addition, ESG (Environmental, Social, and Governance) factors have played an important role in the agricultural and agri-food industries in recent years. In particular, the recent agri-food consumption trend is strengthening the ‘Smart-Green-Food’ trend that considers a healthy life and the global environment. Looking at the needs for health, the demand for health functional foods and premium foods for health by life cycle such as growth, menopause, insomnia, and aging is increasing. Meanwhile, with the digital transformation, AI, AR, and Cloud technologies (from the manufacturing process to the way consumers can choose optimized foods) are contributing to the ‘Smart-Green-Food’ lifestyle.

Considering these global trends, an export strategy centered on sustainability and innovation is essential for Chungbuk's agricultural and agri-food industry. This study first investigated the changes in the agricultural paradigm in the modern society and analyzed the current status of Chungbuk agriculture in order to pursue an export diversification strategy for Chungcheongbuk-do agriculture. In particular, the impact of the FTA agreement on agricultural exports was examined, and various export promotion strategies such as the digital transformation of agriculture and ESG strategies were also considerred. On this basis, difficulties in the process of revitalizing exports of Chungbuk agriculture in terms of FTA utilization were derived, and a comprehensive strategy using the 'ABCD model' was proposed to comprehensively solve this problem.

According to the results of the study, Chungcheongbuk-do has considerable potential and advantage in specific agricultural products, but there is a problem that it is insufficient in export conditions, and in particular, there is a lack of effective export strategies for local specialties. The details are as follows. First, the total export amount of Chungbuk agri-food is continuously increasing. However, the instability of the global economy is having a negative impact on the agricultural product trade in Chungcheongbuk-do. It recorded negative growth in terms of export growth rate of agricultural products in Chungcheongbuk-do to Japan, Australia, Russia, and Israel. Accordingly, response strategies need to be adjusted. Second, considering the characteristics of each country's crop exports, Chungcheongbuk-do is in a situation where agricultural product export performance is sluggish because it does not fully utilize the advantage of its product (brand recognition and geographical indication strategy are necessary). Third, Chungcheongbuk-do has signed FTAs with several countries, but has not been able to utilize them effectively. In particular, the inability of Chungcheongbuk-do to effectively utilize the FTA (Free Trade Agreement) can negatively affect agricultural exports.

Based on these research results, this study proposes a comprehensive strategy for revitalizing agricultural exports using ABCD strategies. First, as an ‘Agility strategy’, it is necessary to quickly introduce the latest agricultural technologies and strengthen the Chungbuk-type specialized capacity to adapt to continuously changing climate conditions. Second, as a ‘Benchmarking strategy’, a Chungbuk-type agricultural model should be established by benchmarking globally recognized agricultural management and technology. Third, as a ‘Convergence strategy’, it is necessary to build sustainable agricultural infrastructure and ecosystem through industry-academic convergence. Fourth, as a ‘Dedication strategy’, it is necessary to pursue strengthening export competitiveness through the use of FTA and sustainable agriculture based on ESG.