National Assembly audit of the National Agricultural Cooperative Federation by the Agriculture, Food, Rural Affairs, Oceans and Fisheries Committee on the 16th
Parties divided over proposed Agricultural Cooperatives Act amendment, including direct elec

On the 16th, the ruling and opposition parties clashed over amendments to the Agricultural Cooperatives Act, which include the direct election of the National Agricultural Cooperative Federation (NACF) chairman by cooperative members and the establishment of an independent audit body, during the National Assembly Agriculture, Food, Rural Affairs, Oceans and Fisheries Committee's audit of the NACF.


The People Power Party criticized government-led reform as an attempt to “take over the NACF” that would undermine the autonomy of cooperatives. The Democratic Party of Korea countered that reform was unavoidable to address the NACF's budgetary and personnel management problems.


Kang Ho-dong, chairman of the National Agricultural Cooperative Federation, answers questions during a parliamentary audit by the National Assembly's Agriculture, Food, Rural Affairs, Oceans and Fisheries Committee on the 16th.

Kang Ho-dong, chairman of the National Agricultural Cooperative Federation, answers questions during a parliamentary audit by the National Assembly's Agriculture, Food, Rural Affairs, Oceans and Fisheries Committee on the 16th.

View original image

During the audit of the NACF and the Korea Racing Authority, among other organizations, Rep. Kang Seunggyu of the People Power Party said, “The NACF is not a public institution but a cooperative. We must first consider who owns the cooperative and how its members' wishes should be reflected.”


Rep. Kim Yongtae of the People Power Party also criticized the proposal, saying, “The current Agricultural Cooperatives Act already gives the minister strong supervisory authority. It makes no sense to change the system when the existing authority is not even being properly exercised.” He added, “The focus of reform should be on how to make use of the NACF for farmers, not on government control.”


Rep. Lee Sanghwi of the People Power Party argued that the amendments to the Agricultural Cooperatives Act “appear on the surface to improve governance and strengthen transparency, but conceal an intention to ultimately take over and dismantle the NACF to suit the government's wishes.”


In response, Rep. Lim Miae of the Democratic Party of Korea said, “The starting point for NACF reform was the NACF itself, not the government. Direct election of the chairman and an independent audit body have been under discussion for years, so calling them hasty is an exaggeration.”


Rep. Lim said, “The proposal is to return authority to cooperative members by letting them directly elect the NACF chairman, who was previously elected by cooperative heads. The claim that this is a system designed for a government takeover does not add up.” She added, however, “There are also concerns that direct election could give the NACF chairman even more power.”



Kang Hodong, chairman of the NACF, reiterated, “If there is an issue with my personal legal risks, I will take responsibility. NACF reform was not discussed for political purposes.” He added, “We will develop a reform plan that meets the public's expectations and regain their trust.”


This content was produced with the assistance of AI translation services.

© The Asia Business Daily. All rights reserved. Unauthorized AI training and use prohibited.

Today’s Briefing