Research Report
Legislative Research for Development of Start-up Complex in Agricultural Sector
Ⅰ. Background and Purpose
▶ Needs for Agricultural Startup Complex Development Project
○ The Korean government has formulated and implemented policies for preventing local extinction and the aging of rural population. In line with it, the Ministry of Agriculture and Forestry has initiated policies for fostering the smart agriculture industry and developing an agricultural start-up complex (reorganization and improvement of idle land, etc.) with the aim of preventing local extinction and promoting sustainable development of agriculture.
▶ The agricultural start-up complex development project is still not concrete, and as the relevant government policy becomes more materialized in the future, the matters requiring improvement in the related State statues and regulations may change accordingly.
○ Therefore, in light of the government policies that have been announced for the agricultural start-up complex development projects to the present, this study aims to propose the amendments to the Agricultural and Fishing Villages Improvement Act and the Rural Community Corporation Act and the Enforcement Decrees thereof, with the aim of supporting the supply of a new type of farmlands and expansion of the farming facilities with focus on the idle lands and State-owned or public lands, as well as facilitating the influx of young farmers into the rural communities.
Ⅱ. Major Content
▶ The policy direction-setting and basic concept for the agricultural start-up complex development project are as follows:
○ First, the agricultural start-up complex development project is to be implemented mainly on idle lands and the State-owned or public lands, yet any private lands (farmland, forest, etc.) within the planned area for the agricultural start-up complex, if any, should be expropriated for the project.
○ Second, the operator of an agricultural start-up complex development project acquires the farmlands, etc. within the agricultural start-up complex and develops it as farmlands, etc. and then lends them to young farmers on a long-term lease, and sells them to the same young farmers after termination of the contract.
○ Third, although the facilities for sale, processing, and rest area may be installed within the agricultural start-up complex, the discussions on the facilities, etc. involved in developing the complex is still ongoing within the Ministry of Agriculture and Forestry. In this regard, this study is going to provide for the basis for the installation of the relevant facilities, but not deal with the licensing of the facilities including houses.
○ Fourth, the agricultural start-up complex development project is aimed at the supply of farmlands and expansion of farming facilities in a similar form of the rural improvement project prescribed in the Agricultural and Fishing Villages Improvement Act, and thus not planning a new project beyond this.
▶ The first proposal is to provide for the legal basis for the agricultural start-up complex development project, with the amendments to the Agricultural and Fishing Villages Improvement Act and Enforcement Decree thereof:
○ To add a new type of improvement project (‘redevelopment project for idle land, etc.’) that is involved in the rural redevelopment project under the Agricultural and Fishing Villages Improvement Act, and detailed legislative matters are prescribed in the Agricultural and Fishing Villages Improvement Act and related regulations.
○ Amendments to the Rural Community Corporation Act and Enforcement Decree thereof mainly prescribe addition of duties of the rural community corporations and utilization of the rural community fund.
▶ The second proposal is to provide for the legal basis for the agricultural start-up complex development projects, with the amendments to the Rural Community Corporation Act and related regulations:
○ To add a new provision that provides for the implementation of improvement projects for idle lands, etc. in the Agricultural and Fishing Villages Improvement Act, based on the provision “a project to create an agro-production complex and to expand agricultural facilities” categorized as an agricultural infrastructure improvement project, which is one of the rural improvement project defined in the aforesaid Act.
○ The amendments to the Rural Community Corporation Act and Enforcement Decree thereof prescribe details of legislation related to the improvement projects for idle lands, etc., addition of duties of the rural community corporations, and utilization of the rural community fund.
▶ The third proposal is to minimize amendments to the Enforcement Decree of the Agricultural and Fishing Villages Improvement Act and the Rural Community Corporations Act and Enforcement Decree thereof, to provide for the legal basis for the agricultural start-up complex development projects:
○ Based on the provision of “project to expand and develop farmland” categorized as an agricultural infrastructure improvement project defined in the Agricultural and Fishing Villages Improvement Act, Enforcement Decree of the same Act provides for the purchase of the State-owned or pubic land at the publicly notified price.
○ Amendments to the Rural Community Corporations Act and Enforcement Decree thereof minimize the provisions for implementing the improvement projects for idle lands, etc., based on the ‘project to expand and develop farmland.’
Ⅲ. Expected Effects
▶ Utilized as basic materials in formulating policies for agricultural start-up complex development projects
○ It provides policy data necessary for formulating and implementing detailed policies for agricultural start-up complex development projects, and other relevant data.
▶ Providing improvement measures for the relevant national statutes and regulations necessary for implementing agricultural start-up complex development projects
○ It provides improvement plans and measures for the national statutes and regulations (Acts and Enforcement decrees) that are necessary for agricultural start-up complex development projects, etc.