The purpose of this study is to analyze the current status of the agricultural industry and food marketing in Gang-Won area, and to present the necessity and basic plan for the Construction of the Composite Distribution Center of Agricultural Products in Gang-Won Area.
Gang-Won area has relatively more mountains and high lands, which are suitable to produce various vegetables. For instance, farmers in Gang-Won area produces 99% of summer potato in Korea. Generally, producers in Gang-Won area have experienced the shortage of marketing facilities, even though they have shown excellent performance of marketing. Especially, the business of unified logistics, which has been operated by the local branch of NACF (National Agricultural Cooperative Federation) in Gang-Won province, has serious problem in extending.
After field studies and analyses, this research concludes that Gang-Won area should construct the Composite Distribution Center of Agricultural Products. This center will offer the function of wholesale and logistics as well as retailing. The center will also process agricultural products in Gang-Won area, including potato. For these functions, the center need to have the facilities for wholesale and logistics (5,243㎡) and the facilities for retailing and others (5,124㎡). The total size of budget may be 40.7 billion won.
The evaluation of economic validity presents that the construction of the center has enough economic value to perform. The value of Benefit-Cost ratio is 1.92. In conclusion, this research strongly suggests that the Composite Distribution Center of Agricultural Products need to be constructed in Gang-Won area.