중앙데일리

Logistics companies ask for help

Apr 19,2007
Business leaders in the Korean logistics industry asked the government yesterday to scrap unnecessary restrictions and expand investment in social overhead capital in a meeting with Minister of Transportation and Construction Lee Yong-sup.
A logistics innovation special committee under the Federation of Korean Industries asserted that for Korea to improve the competitiveness of its overall industry, government support is necessary.
Cho Yang-ho, head of the committee and chair of Korean Air, Korea’s largest airline carrier, said the account surpluses of transportation services, including marine and aviation sectors, are showing signs of weakening. The committee will continue stepping up ties with government-controlled logistics companies to reduce fees for logistics infrastructure such as ports and airports, he pledged.
Those attending the meeting asked Lee to lift rules that ban logistics firms from moving into central or local government-run industrial complexes and onto land specially designated for agriculture. Other demands include charging domestic and foreign firms the same rent for the land in the free trade zone around the Incheon International Airport.
In response, Lee said the recent progress of Korea’s logistics industry has contributed to shrinking the proportion of national logistics costs to gross domestic product and also the proportion of logistics fees spent by private companies to their sales revenue.
However, while logistics firms churn out sales revenues at a mere 16 percent of the level of manufacturers as a whole, they have higher fees for electricity and pay higher taxes than average manufacturers, Lee said.


By Seo Ji-eun Staff Writer [spring@joongang.co.kr]



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