The impact of climate change on Korea's agricultural sector under the national selfsufficiency policy

Abstract

Evolving environmental conditions due to climate change have brought about changes in agriculture, which is required for human life as both a source of food and income. International trade can act as a buffer against potential negative impacts of climate change on crop yields, but recent years have seen breakdowns in global trade, including export bans to improve domestic food security. For countries that rely heavily on imported food, governments may institute policies to protect their agricultural industry from changes in climate-induced crop yield changes and other countries' potential trade restrictions. This study assesses the individual and combined effects of climate impacts and food self-sufficiency policies in Korea, which is highly dependent on imports. We use the Global Change Analysis Model (GCAM), a global integrated assessment model, to explore (1) the direct impact of climate change on Korea's agricultural yields, (2) the full impacts of global climate change on agricultural production, including trade-induced changes due to yield changes in other regions, (3) the impacts of food self-sufficiency policy, and (4) the interactive impact of climate change and self-sufficiency policies. We find that, in Korea, the direct impact of climate change on agricultural yields would be overshadowed by the impact of global climate change due to changing trade patterns. Second, global climate change leads to a rise (rice and wheat) or a decline (soybeans) in Korean producer revenues, while simultaneously raising consumer expenditures on both staples and non-staples. Third, implementing self-sufficiency policies for wheat and soybeans in Korea boosts the nation's producer revenues, in conjunction with the effects of climate change, at the cost of additional increases in consumer expenditures for both staples and non-staples.