In a previous feature published this April, we explored South Korea’s youth agriculture policies designed to address the aging workforce and to encourage younger generations to settle in rural areas. However, beyond initial settlement assistance, what young farmers truly need to sustain their work and lives in agriculture is a comprehensive system of support that spans all aspects of farm management. This article takes a closer look at Korea’s farm management support programs, which aim to mitigate business risks and stabilize farm income.

 Agriculture is inherently vulnerable to a wide range of external variables—natural disasters, market volatility, and supply-demand imbalances, to name a few. In this context, government intervention is not optional but essential. Given agriculture’s role as a public good and its importance for national food security, support systems that help stabilize farm management form the backbone of sustainable agriculture. In Korea, the main types of farm management support programs currently in place include fallowing schemes, production control policies, price support mechanisms, and direct payment systems. Each is designed to address different types of risks faced by farmers and carries its own set of benefits and limitations.

- Fallowing
 Fallowing programs provide financial support to farmers who agree to temporarily stop cultivating certain plots of land. These programs are typically implemented to curb overproduction and to allow the soil to recover. Environmentally, they help reduce soil fatigue, and economically, they can ease supply pressure and prevent price collapses. However, extended fallowing can dampen farmers’ motivation to produce and has limited long-term impact on income stability if not paired with structural reforms.

- Production Control
 Production control policies work by limiting the area under cultivation or by managing output levels of specific crops. The goal is to balance supply and demand, thereby avoiding price crashes due to overproduction. These policies can also help reduce overdependence on specific crops. Still, they may restrict producers' autonomy and could lead to temporary income reductions, making it essential to design such policies carefully to minimize disruption.

- Price Support
 Price support policies intervene directly when market prices fall below a certain threshold, guaranteeing a minimum price for agricultural products. Examples include minimum price guarantee schemes and public procurement programs. These policies help stabilize farm income and maintain farmers’ motivation to produce, but if not carefully managed, they can distort market signals and lead to oversupply. Therefore, the timing and scope of government intervention must be precisely calibrated.

- Direct Payment
 Direct payment systems provide farmers with a set level of income regardless of market conditions. Often recognized under WTO regulations as non-trade-distorting “green box” policies, Korea currently operates programs such as the variable rice direct payment and the public-interest direct payment schemes. Because these systems have less influence on production decisions and emphasize agriculture’s public goods functions—such as environmental conservation and rural sustainability—they are receiving growing attention. However, concerns remain regarding fiscal sustainability and the need for fair and transparent criteria in determining eligibility.

 Farm management support programs not only offer short-term income stability but also play a crucial role in long-term agricultural restructuring and sustainability. In today’s complex environment, shaped by climate change, inflation, and heightened concerns over food security, a layered and resilient farm policy framework is more necessary than ever. In our next article, we will examine how leading nations such as the European Union and the United States approach farm management support, offering insights for how Korea can improve its own policy design. Through such comparisons, we hope to contribute to the discussion on how Korean agriculture can evolve into a globally competitive and sustainable industry.