Korea inks $14m export contract with Central Asia

Korea has secured 16 export contracts worth a combined $14 million with the five Central Asian countries of Kazakhstan, Kyrgyzstan, Tajikistan, Turkmenistan and Uzbekistan, as the two sides agreed to upgrade their ties in trade, critical minerals and infrastructure.

According to the Korea Chamber of Commerce and Industry and the Ministry of Trade, Industry and Resources on Wednesday, Korea and five Central Asian states stepped up efforts to expand economic cooperation as the presidents from six countries gathered in Seoul for the first Korea-Central Asia Business Summit.

Some 170 Korean business leaders and government officials attended the event, including SK Group Chairman Chey Tae-won, Posco Group Chairman Chang In-hwa, LS Group Chairman Koo Ja-eun, Daewoo E&C Chairman Jung Won-ju and Shinhan Financial Group Chairman Jin Ok-dong.

From Central Asia, about 350 government officials and executives from major Central Asian companies and sovereign wealth funds attended the event.

Under the theme “Future Korea-Central Asia Cooperation for Growth and Innovation,” the summit focused on three areas: expanding trade and investment; strengthening cooperation on critical minerals, energy and supply chains; and boosting collaboration in plants, infrastructure and logistics.

"The important thing is that today’s joint declaration does not remain just a declaration," said Chey, who doubles as the head of the KCCI, referring to the Seoul Declaration that was adopted earlier during the summit between the leaders of the six countries.

"The business community will play an active role in turning the commitment to cooperation outlined in the declaration into tangible investments and business projects while helping more Korean and Central Asian companies find new opportunities in each other’s markets."

Nineteen business memorandums of understanding were signed before the summit, covering critical minerals and energy, plants and infrastructure and trade and investment, according to officials.

Taking place on the sidelines of the summit, the Korea-Central Asia Business Partnership organized by the Korea Trade-Investment Promotion Agency resulted in some 90 Korean companies holding about 200 export consultations with 33 buyers, project owners and suppliers from Central Asia in areas ranging from infrastructure and energy to consumer goods and distribution. It eventually led to the $14 million in export agreements.