Certifications to reduce logistics costs

The Korean Agency for Technology and Standards under MOCIE (Ministry of Commerce, Industry and Energy) announced November 29 that it granted a note of authentication to 8 logistic companies for the first time after it introduced a 'certification system for logistics standard installations' to decrease logistic cost through the foundation of a 'Unit load system'

The Korean Agency for Technology and Standards offers funding, investment tax deductions, and national capital supporting through logistic standards programs for agricultural products and grades for 'Certification for general logistics businesses' for certified companies.

Korean companies paid 82 trillion won in logistic costs last year, or 12.7% of the GDP. By sales per company, domestic companies paid 9.9% in logistics costs while Japanese companies paid 5%, U.S. companies paid 7.5%.

An insider at the agency said, "We expect that logistics standards installations will expand standard installations so that construction of one-way transportation systems comes earlier,"and, "we will expand items for certification through discussion with the government."