Market Overview
South Korea is the second largest export market for U.S. japonica-type rice. Per capita consumption is estimated at 136 pounds per year but is declining. South Korea is required by the World Trade Organization to import 408,700 MT of rice annually. That mandatory volume is imported with a tariff rate of 5% and anything above this amount comes in at 513%. In December 2019, the U.S. and South Korea signed a country-specific quota agreement, pledging access for 132,304 MT of U.S. rice annually. In addition to the U.S.-specific quota, Australia, China, Thailand, and Vietnam all share a combined 256,396 MT of quota. Korea solicits the remaining 20,000 MT through global tenders. South Korea imported $135 million of U.S. rice in 2019.
Single and two-person households have comprised more than half of the Korean population since 2015. This demographic has led to rapid growth in convenience foods and ready-made meal products.
USA Rice Activities
USA Rice works closely with rice importers to share information about the U.S. rice industry. Promotional activities include on-line internet advertising, introducing U.S. rice to the Korea Food Truck Association, and developing new menu items for the foodservice and food manufacturers with a focus on processed foods and snacks.