I. GENERAL PROVISIONS

Article 1 (Purpose)
  The purpose of this Act is to develop agriculture and rural communities, the foundation of a nation and its economy, by prescribing the basic directions of the agriculture and  rural communities and the basic aspects of the Government policy.
Article 2 (Basic Principle)
  The basic principle underlying this Act shall be that  agriculture is a key industry which is conducive to the economy and well-being of the general public by executing such functions as ensuring stable supply of food and contributing to preserving the environment of the national territory, and as such, shall serve as a foundation for a well-balanced development of the economy, and farmers shall be assisted in their effort to earn equitably with those working in other industries on the basis of independence and creativity, and the agricultural community shall become an affluent working and living space, the unique tradition and culture of which shall be fostered and handed down to posterity.
Article 3 (Definitions)
  For the purpose of this Act, the definitions of terms shall be as follows:
  1. The term "agriculture" means agricultural production,  livestock farming, forestry and such other related industries as prescribed by the Presidential Decree;
  2. The term "farmer" means a person who works in the agricultural industry  and is prescribed by the Presidential Decree;
  3. The term "agricultural management entity" means a farmer, a farming association corporation defined in Article 15, and an agricultural corporation defined in Article 16;
  4. The term "producers' organization" means an independent organization of farmers as prescribed in the Presidential Decree, the purpose of which is the promotion of agricultural production and the protection of farmers' rights;
  5. The term "rural community" means any areas in Kun and Shi which are prescribed by the Presidential Decree; and
  6. The term "agricultural product" means products of the outcome of agricultural activities, such as agricultural products, livestock products, forestry products and any other products prescribed by the Presidential  Decree.
Article 4 (Duty of State, Local Government and Farmers)
  ⑴ It shall be the  duty of the State and local governments to establish and execute comprehensive policies for stable growth and development of agriculture, development of the rural communities and so on.
 ⑵ Farmers, as leaders of the development of agriculture and the rural communities, shall endeavor to ensure stable production and supply of safe products of high quality and realize production enhancement and management innovation, thereby contributing to the development of the Nation.



Ⅱ. BASIC DIRECTION OF THE POLICY ON AGRICULTURE AND RURAL COMMUNITIES

Article 5 (Basic Principles Underlying the Establishment and Execution of Policy)
  The State and local governments shall pursue efficiency on the basis of the market principle in the establishment and execution of agricultural policies, taking into consideration the role of the agricultural industry in serving the interest of the public.
Article 6 (Stable Supply of Food for General Public)
  The State and local governments shall be aware that stable supply of food for the public is an essential factor for sound development of the nation and the stability in the lives of the public, and hence, to this end, shall set and maintain an appropriate level of food self-sufficiency for the public and strive to secure a sufficient stock of food.
  Article 7 (Facilitation of Restructuring in the Agricultural Industry)
   The State and local governments shall endeavor to comprehensively improve the agricultural structure including production and distribution therein, so as to enhance agricultural competitiveness and increase the income of farmers.
 Article 8 (Development of Rural Communities and Improvement of Social Welfare)
  ⑴ The State and local governments shall strive to develop  rural communities as a living space well-connected to the urban areas in order to improve the amenities in  rural communities.
  ⑵ The State and local governments shall endeavor to preserve and hand down the unique tradition and culture of the rural communities and work toward improving the welfare of the residents in rural communities.
  Article 9 (Fostering Environment-friendly Agriculture)
  The State and local government shall fortify the role of  agriculture in preserving the environment, and foster environment-friendly and sustainable agriculture in order to promote the production and consumption of agricultural products.
Article 10 (Agricultural Policies in Preparation of Unification)
 ⑴ The Government shall, in preparation of unification of the Korean peninsula, investigate and study the agricultural production system, farmland, and agricultural product distribution system in North Korea.
  ⑵ The Government shall recognize that inter-Korean agricultural trade is internal trade between the same people, and shall strive to enhance mutual exchange and cooperation between the two Koreas in the agricultural sector.



Ⅲ. RESTRUCTURING AGRICULTURAL INDUSTRY SECTION 1  FOSTERING AGRICULTURAL
     MANPOWER


Article 11 (Managerial Stability of Household Farming)
  The State shall establish and execute policies necessary for optimum scale production, specialization, collective production and the likes which are appropriate for the unique features of each agricultural household, in order to improve productivity and managerial stability of household farming, the main workforce of which are members of the family.
Article 12 (Fostering Successors of Farming)
  The Minister of Agriculture and Forestry shall, as a measure to ensure a continuous supply of agricultural manpower, select and support persons who are working or are willing to work in the  agricultural sector in accordance with the provisions of the Ordinances of the Ministry of Agriculture and Forestry.
Article 13 (Fostering Specialized Agricultural Manpower)  The Minister of Agriculture and Forestry shall select and support persons specializing in agricultural skills and management who may play a leading and central role in the development of the agricultural industry.
Article 14 (Fostering Female Farmers)
  The State and local governments shall establish and execute policies necessary for the enhancement of the status and specialization of female agricultural workforce such as expanding the participation of women in the establishment and execution of agricultural polices.
Article 15 (Fostering Farming Association Corporation)
  ⑴ Farmers who wish to enhance productivity through cooperative agricultural management and  deliver, process, and export agricultural products jointly with other farmers may establish a farming association corporation constituting 5 members or more.
  ⑵ A farming association corporation shall be a juristic person, and shall be established upon registration for incorporation in the location of the main office.
  ⑶ A farming association corporation shall have as its members such farmers and agricultural producer's organizations as prescribed by the articles of association. However, such persons who are not members of the association as prescribed by the Presidential Decree may join the association as a quasi-member who may invest in the farming association corporation but without voting right in accordance with the provisions of the articles of association.
  ⑷ A farming association corporation may join any such  producers' organization as prescribed by the Presidential Decree as a full-fledged or quasi-member.
  ⑸  Provisions of Article 176 of the Commercial Act shall apply mutatis mutandis in relation to the order to dissolve a farming association corporation. In this case, the Minister of Agriculture and Forestry may apply for dissolution of the farming association corporation to a court.
  ⑹ Matters regarding the establishment, investment, business, entries of the articles of association and dissolution of a farming association corporation shall be prescribed by the provisions of the Presidential Decree.
Article 16 (Fostering Agricultural Corporation)
  ⑴ Persons who wish to work, as their business, in the agricultural sector or distribute, process, and sell agricultural products, or wish to conduct agricultural works on behalf of farmers may establish an agricultural corporation in accordance with the provisions of the Presidential Decree.
  ⑵ Persons who are qualified to establish an agricultural corporation shall be farmers or  agricultural producers' organizations. However, persons who are not farmers may invest in an agricultural corporation within the scope determined by the Presidential Decree.
  ⑶ Provisions of Paragraph 4 and 5 of Article 15 shall apply mutatis mutandis in relation to agricultural corporations.
  ⑷ Matters regarding the establishment, investment, and incidental business shall be determined by the Presidential Decree.
  ⑸ Except as prescribed by this Act, the provisions of the Commercial Act regarding the corporation shall apply mutatis mutandis to farmer's corporations.
Article 17 (Managerial Renovation and Financial Support for Farmers)
  ⑴ The State and local governments shall establish and execute policies necessary for  consultation, advice, training and education, and provision of information for agricultural management in order that farmers may continuously increase their income through managerial reform.
  ⑵ The Government may support any fund for the agricultural sector to agricultural management entities, considering their business plans, standard of technology, and management ability.
Article 18 (Fostering Agriculture-related Organizations)
  The State and local governments may support the establishment and operation of agriculture-related organizations such as producers' organizations and farmers' organizations in order to protect the rights and interests of farmers and encourage their economic activities.
Section 2  Use and Preservation of Farmland
Article 19 (Basic Principles Regarding Farmland)
  Farmland shall be used and preserved with care because it serves as a foundation for the stable supply of food for the public and  the preservation of the environment, and valuable resources affecting the harmonious development of  agriculture and the national economy.
Article 20(Ownership and Use of Farmland)
  ⑴ The State and local governments shall establish and execute policies regarding the ownership of farmland and so on in order that the principle "farmers owning their own land" as provided in the constitution may be realized.  
  ⑵ The State and local governments shall establish and execute policies necessary for promoting the use of farmland in order that they may be used efficiently in developing  agriculture in line with the development of the national economy.
Article 21(Preservation of Farmland)
  ⑴ The State and local governments shall establish and execute policies necessary for the preservation of farmland in order that a desirable size of farmland may be maintained.
  ⑵ The State and local governments shall, in the establishment and execution of policies under the provisions of  paragraph (1), take measures to ensure that parcels of farmland of high quality for which agricultural production infrastructure is fully arranged or which exist collectively are preferentially preserved.  

SECTION 3  ADVANCEMENT IN THE AGRICULTURAL PRODUCTION STRUCTURE
Article 22(Arrangement of Agricultural Production  Infrastructure)
  The State and local governments shall establish and execute policies necessary for the arrangement of agricultural production infrastructures in order that continuous and stable agricultural production capacity may be maintained.
Article 23(Optimization of Scale of Agricultural Management and  Acceleration of Agricultural Management Assets Mobilization) The State and local governments shall establish and execute policies necessary for optimizing the scale of agricultural management and mobilizing assets in order to promote agricultural productivity and stability of the income of farmers.
Article 24(Facilitation of Agricultural Mechanization)
  The State and local governments shall establish and execute policies for the facilitation of research, development, supply and training for the use of agricultural machineries, materials, and facilities in order to attain cost-reduction and enhanced productivity.
Article 25 (Development of Agricultural Science and Technology) ⑴ The State and local governments shall establish and execute comprehensive policies for the development of agricultural science and technology such as policies regarding research, development, and supply of advanced agricultural science and technology and practical agricultural skills for the facilitation of modernization and advancement of  agriculture.
  ⑵ Matters necessary for the establishment and execution of plans under provisions of paragraph 1 shall be determined by the Presidential Decree.
Article 26(Fostering Agricultural Venture Businesses and the like) The State and local governments may support and foster agricultural venture businesses in order to encourage the development and supply of advanced agricultural science and technology as well as farming and managerial know-hows, and increase the added value of the agricultural industry by  systematically networking the agricultural sector with related businesses.
Article 27(Protection of Intellectual Property Rights)
  ⑴ The Government shall establish and execute policies for the protection of tangible and intangible intellectual property rights in sectors related to agriculture such as genetically manipulated agricultural goods, farming skills, and trademarks.
  ⑵ The Government shall establish and execute policies for the protection of agricultural products and processed goods which bear the traditional features of a region in order to foster region-specific industries and protect consumers.
Article 28(Informatization of  Agriculture and Rural Communities)
  ⑴ The State and local governments shall establish and execute policies necessary for accelerating the informatization of agriculture and rural communities.
  ⑵ The Minister of Agriculture and Forestry may support persons such as those providing information relating to agriculture and rural communities in order to effectively execute policies provided in paragraph 1 

Article 29( Projects for Development of Agricultural Technology) ⑴ The Government may have agriculture-related research institutes and organizations which conduct research for the development of agricultural technology in order to assist swift development and supply of agriculture-related skills such as practical farming skills and agricultural production skills.
  ②The Government may extend financial support to research institutes or organizations related to agriculture that are conducting research under provisions of paragraph 1.



Ⅳ. STABILIZATION OF SUPPLY AND DEMAND OF AGRICULTURAL GOODS AND MARKETING
     IMPROVEMENT


Article 30 (Stabilization of Supply, Demand and Price of Agricultural Goods)
  ⑴ The Government may establish and execute policies necessary for effective supply and stable price of agricultural products through such matters as agricultural observation, production coordination, buffer stock and financing of funds for producers' organizations.
  ⑵ The Government may provide necessary support for persons working in the agricultural sector, producers' organizations, or distributors of agricultural products or the likes in order to efficiently execute policies under provisions of paragraph 1.
Article 31(Improved Marketing of Agricultural Goods)
  ⑴ The State and local governments shall establish  and execute policies necessary for vitalization of distribution in the production areas led by producers' organization, securing diverse distribution facilities such as wholesale markets, joint markets, and distribution centers in areas of both production and consumption regions, and to improve  the operation of such facilities.
  ⑵ The State and local governments shall establish and execute policies necessary for packaging and standardizing agricultural products, for facilitating the standardization of distribution, and the collection and provision of diverse information on distribution as well as for providing  education on distribution.
Article 32(Quality Control of Agricultural Products)
 ⑴ The Government shall establish and execute policies to improve the quality of agricultural products and to protect consumers through marking of places of origion on agricultural goods.
  ⑵ The Government shall establish and execute policies for protection of public health  and agricultural environment through measures such as quarantine and sanitation inspection on imported agricultural products as well as animals and plants.
 Article 33(Fostering Agricultural Goods Processing Industry) The State and local governments shall establish and execute policies necessary for parallel development of agricultural industry and food industry and increased  added value of agricultural products through research and development of agricultural processed goods and traditional foodstuffs as well as support for processing facilities.



Ⅴ. TRADE OF AGRICULTURAL PRODUCTS AND INTERNATIONAL COOPERATION

Article 34(International Trade and Cooperation)
  ⑴ The Government shall establish and execute comprehensive policies for agricultural trade that will protect the rights and interests of Korea.
  ⑵ The Government shall make concerted effort for the advancement of international cooperation in the agricultural sector by collecting information regarding agricultural policies, securing agricultural manpower, exchanging know-hows, and participating in the activities of international agricultural organizations and so on.
  ⑶ The Government may, in order to secure a stable supply of agricultural products, the imports of which Korea relies heavily on, support efforts such as investigation of  investment conditions abroad.
 Article 35(Promotion of Agricultural Goods Export)
  ⑴ The State and local governments shall establish and execute policies necessary for the promotion of exports of agricultural products and the dissemination of Korean food culture and so on though making inroads to overseas markets and collection and provision of trade information.
  ⑵ The State and local governments may extend support to agricultural management entities, producers' organizations, and exporters of agricultural products within the scope in consistence with  international norms.
 Article 36 (Import Control)
  The Government shall pursue appropriate measures within the scope permissible in international norm, in case the impact of increased import is deemed sizable.



Ⅵ. RURAL COMMUNITIES DEVELOPMENT AND INCOME SUPPORT

Article 37 (Establishment of Rural Communities` Development Measures)
  ⑴ The State and local governments shall, for the purpose of improving quality of rural residents` life and developing national territory, establish comprehensive rural communities` development measures considering regional features.
  ⑵ The State and local governments shall, in establishment of  development measures under the provisions of paragraph ⑴, take the harmony between development and preservation of national territory.
Article 38 (Promotion and Development of Industries of Rural Communities)
(1) The State and local governments shall, for the purpose of increasing farmers' income and vitalizing agricultural economy, establish and implement policies necessary for creating industrial complexes, and fostering production complexes for local special goods and agriculture-related industries such as agricultural products processing industry in the rural communities.  
(2) The State and local governments shall, for the purpose of inspiring sound spirit of urban residents, expanding interrelation between urban and rural communities and increasing the income of rural residents, establish and implement policies necessary for developing greenfield tours accentuated by regional characteristics and exploiting potential resorts.     
(3) The State and local governments may, for the purpose of attaining the objectives as prescribed by Article 2, give support necessary for establishing and operating facilities for regional culture and holding cultural events and so on.
Article 39 (Support to Farmers for Income Stabilization)
  The Government shall, if deemed necessary for stabilizing the income and farming management of farmers, give them supports falling under the following subparagraphs:
1. Support to small-scaled farmers, etc.;
2. Support for envionmental preservation such as soil; 
3. Support for agricultural disasters;
4. Support for agricultural restructuring such as optimization of operational scale of farming  ;
5. Support for less-favored areas ; and
6. Other support for income-earning activities which are not directly related to agricultural production.
Article 40 (Policies against Agricultural Disasters)
 The Government shall, for the purpose of promoting farming stabilization and securing agricultural production, devise policies necessary for the prevention and recovery from natural disasters such as drought, flood and damages due to wind or cold weather and emergent countermeasures and insurance against agricultural damages caused by natural disasters, mutual aid system and so on.
Article 41 (Charges for Farmland Conversion)
(1) The Minister of Agriculture and Forestry shall, for the purpose of financing the investment fund for projects for improving the structure of the rural communities and so on, levy charges for farmland conversion on persons obliged to pay expenses for farmland consolidation under Article 40 (1) of the Farmland Act.
(2) The amount of charges for farmland conversion under paragraph (1) above shall be calculated by applying levying standards which are prescribed by the Presidential Decree within the limits of the individually assessed official price of the relevant farmland under the Act on Public Notice of Values and Land Appraisal (in case individually assessed official price of that land is not fixed, the amount is calculated on the basis of the officially assessed land price which serves as such a standard of calculation as prescribed by Article 10 of the same Act; hereinafter the same shall apply). In this case, it shall be possible to levy different charges on respective persons as prescribed by paragraph (1) above, considering individually assessed official price of the relevant lands, benefits accruing from the conversion and so on.  
(3) The Minister of Agriculture and Forestry may revoke the permission, agreement, consent or approval on the conversion of  farmland for any other use, if any person obliged to pay the charges under paragraph (1) fails to do so within the period of payment. In this case, the Minister of Agriculture and Forestry shall hold a hearing, if he intends to revoke the permission on the conversion of any farmland into land for any other use.
(4) If a person who is required to obtain the permission on conversion of land under Article 42 (1) of the Farmland Act intends use the land that has been converted into a site of a facility for which the conversion charges are exempted or reduced, as the land used for the site of any other facility for which the said charges are not exempted or are less reduced, he shall pay the difference between the two conversion charges in accordance with the relevant provisions of the Presidential Decree.
(5) The amount calculated by deducting the fees under paragraph (6) from the conversion charges collected under paragraphs (1) and (4) shall be charged to the Special Account for Structural Improvement of Rural and Fishing Villages under the Act on the Special Account for Structural Improvement of Rural and Fishing Villages.
(6) In case the Minister of Agriculture and Forestry  determines that the persons, to whom the authorities under Article 53 of the Farmland Act or Article 35 of the Act on the Corporation for Agricultural Infrastructure and the Farmlands Management Fund are delegated or entrusted, are in charge of the functions related to the levy and collection of the conversion charges, he may pay them the fees as prescribed by the Presidential Decree.
(7) Other necessary matters for the levy and collection of conversion charges under paragraphs (1) and (4) and the methods of refunding overpaid or erroneously paid amount of the conversion charges shall be determined by the Presidential Decree.
(8) In case any person obliged to pay the conversion charges under paragraphs (1) and (4) fails to do so within the period of payment, it shall be possible to collect the said conversion charges from him by reference to the practices of the disposition of national tax in default or local tax in default.
Article 42 (Development Plans for  Agriculture and Rural Communities)
(1) The Minister of Agriculture and Forestry shall establish basic plans for developing agriculture and agricultural areas (hereinafter referred to as the "basic plans") in order to secure the agricultural development and the balanced development of rural areas.



VII. PURSUIT  OF DEVELOPMENT PLANS FOR AGRICULTURE AND RURAL COMMUNITIES

Article 42 (Development Plans for Agriculture and Rural Communities)
(1) The  Minister  of  Agriculture  and  Forestry shall work out a basic agricultural  industry and  community development plan (hereinafter referred to as the "basic plan") for the improvement of agriculture and the balanced development of rural areas.
(2) A Metropolitan City Mayor or Do governor (hereinafter referred to as the "Mayor/Do governor") shall work out and implement a Metropolitan City or Do agriculture   and rural   communities     development plan (hereinafter referred to as the "City/Do plan") taking into account the basic plan under paragraph (1) and the specific character of the areas under his jurisdiction.
(3) The head of Shi/Kun/autonomous Ku shall work out and implement a Shi/Kun/Ku agriculture and community development plan (hereinafter referred to as the "Shi/Kun/Ku plan") taking into account the City/Do plan under paragraph (2) and the specific character of the areas under his jurisdiction.
(4) Matters necessary for the working out and implementation of the development plan under paragraphs (1) through (3) shall be prescribed by the Presidential Decree.
Article 43 (Agricultural Administration Council)
(1) In  order to deliberate upon the basic plan on the development of agriculture and rural communities, the City/Do plan, the Shi/Kun/Ku plan, and such other matters as may be deemed necessary to develop agricultural industry and community, a central agricultural administration council shall be formed at the Ministry of Agriculture and Forestry; a City/Do agricultural administration council, at the City/Do; and a Shi/Kun/Ku agricultural administration council, at the Shi/Kun/autonomous Ku.
(2) Matters necessary for the composition and operation of each agricultural administration council shall be prescribed by the Presidential Decree.
Article 44 (Efficient Pursuit of  Development Plans for Agriculture and Rural    Communities))
(1) The Ministry of Agriculture and Forestry shall, in order to efficiently pursue the basic plan, make efforts annually so that the working expenses included in the basic plan may be preferentially reflected in the budget.
(2) The Minister of Agriculture and Forestry may discriminately assist the  development  plans for agriculture and rural communities of each local government   with the budget of the Ministry  according to the results appraised based on its relevancy to the basic plan and propulsive results.
Article 45 (Annual Report on Agricultural Administration)
(1) The Government shall annually prepare a report on the trend of agricultural industry and community and the policy of agricultural administration and submit it to the National Assembly after deliberation by the central agricultural administration council.
(2) The Mayor/Do governor and head of Shi/Kun/autonomous Ku, respectively, shall annually prepare a report on the trend of agriculture and rural communities and the policy of agricultural administration in the jurisdictional areas and submit it to the local council concerned after deliberation by the relevant agricultural administration council.
(3) The report under paragraphs (1) and (2) shall include the appraisal of every kind of agricultural policy.



VIII. SUPPLEMENTARY PROVISIONS

Article 46 (Assistance to Quasi-Agricultural Areas)
  Agricultural promotion areas designated   under the Farmland Act and limited development districts under the Urban Planning Act other than agricultural areas under subparagraph 5 of Article 3 may be deemed to be agricultural areas to receive necessary support under the conditions prescribed by the Presidential Decree.
Article 47 (Reduction of and Exemption from Taxes)
  The State or local governments may, in order to efficiently propel a project for the development of rural  communities, conduct tax reduction or exemption under the conditions prescribed by the Regulation of Tax Reduction and Exemption Act and the Local Tax Act.
Article 48 (Delegation of Authority)
(1) Part of the authority of the Minister of Agriculture and Forestry under this Act may be delegated to the Mayor/Do governor or head of Shi/Kun/autonomous Ku under the conditions prescribed by the Presidential Decree.
(2) The Minister of Agriculture and Forestry may, under the conditions prescribed by the Presidential Decree, have a trustee of the duties of the operation and management of the farmland management fund under Article 35 of the Agricultural Base Corporation and Farmland Management Fund Act vicariously perform the duties of the collection of conversion charges under Article 41 (1) and (4).