As Korea’s transformation continues, it is set to be a leader in the digital era.

Economy

Since the Korean War ended in 1953, The Republic of Korea has had a remarkable transformation, becoming an economic and political powerhouse.

This transformation has been referred to as the ‘Miracle on the Han River’.

Korea is currently the fourth largest economy in Asia and 11th largest in the world.

Korea is leading the world in research and development intensity, digital displays and semiconductors, and is home to iconic brands including Samsung, LG and POSCO.

The ‘Korean Wave’ of popular culture (including K-pop, K-drama and K-beauty) is now a global phenomenon.

This trajectory looks set to continue, with many forecasters expecting Korea to be amongst the most affluent countries in the world (by GDP per capita) by 2050.

Trade

Korea is Queensland’s third largest trading partner. In the year ending June 2016, Queensland’s total merchandise trade with Korea increased 26% to A$9.2 billion and Queensland’s exports to Korea increased 30% to A$6.1 billion.

Both Korea and Queensland benefit from the Korea-Australia Free Trade Agreement (KAFTA).

Bongeunsa Temple in the Gangnam District of Seoul, Korea.

Korea opportunities

CurrentFuture

Current

  • Funds management
  • Premium processed food and beverages
  • Superfoods and functional foods
  • Horticulture
  • Nutraceuticals
  • School study tours and vocational education and training (VET)
  • Civil infrastructure
  • Renewable energy
  • Joint research and development

Future

  • Funds management and co-investment
  • Premium processed food and beverages
  • Superfoods, functional foods and food tech
  • Biotechnology, biopharmaceuticals and nutraceuticals
  • Medical devices and medical technology
  • School study tours and specialist VET
  • Infrastructure (civil, social and digital)
  • Intelligent transport systems (ITS)
  • Renewable energy and energy storage
  • Joint research and development, and commercialisation

Sector opportunities in Korea

Ageing population in Korea

Ageing population

Ongoing changes in health needs associated with a rapidly ageing population is driving demand for a broad range of bio-health related products and services.

Pension funds are swelling, with contributions outweighing outlays three to one, and are under intense pressure to boost returns. Asset allocations to alternative investments such as commercial property, infrastructure and private equity are increasing.

Food self-sufficiency rations are falling below 50%

Food and agribusiness

Approximately 70% of food products in Korea are imported, and Koreans’ loyalty for selected domestic products is declining; for example, their consumption of local fruits declined from 37% in 2009 to 29% in 2014.

Korean tastes are constantly evolving and becoming more sophisticated, and as a result, Korea’s imports of processed food, functional food and food ingredients continue to increase, growing 6% a year to A$16 billion in 2015.

Number one in the world for R&D intensity

Innovation

Korea is committed to investing in education and human capital.

In 2014, Korea’s investment in research and development was A$71 billion or 4.3% of GDP. Korea consistently ranks in the top three countries globally on Bloomberg’s Global Innovation Index and broadly for patent productivity and science infrastructure.

Relevant library resources Complete library

Korea Market Overview

Korea Market Overview

September 30, 2016

Export market overview and commissioner profile for Korea

View this resource

Commissioner’s intel: How to take your business to Korea

View the videos below, and hear from TIQ’s Trade and Investment Commissioner as he speaks of the opportunities in Korea.

Daniel Kim: Business trends in Korea: Emerging opportunities in the market

Daniel Kim: Practical tips: Hands on advice for doing business in Korea

Daniel Kim: How to take your business to Korea: Advance Queensland

Daniel Kim: How to take your business to Korea: The Weis Frozen Foods success story

Daniel Kim: How to take your business to Korea: The Populous success story

Daniel Kim: How to take your business to Korea: The Manbulloo success story

Daniel Kim: How to make Free Trade Agreements work for your business