Korea Legislation Research Institute

In order to resolve the problem of intrinsic property and information asymmetry embedded in consumer goods, a certification system is being implemented to strengthen the trust between food companies and food consumers. In Korea, both the sanitation certification system and the quality certification system are in operation. The sanitation certification system is the safety management certification in accordance with the Food Sanitation Act and the safety management certification with the Livestock Sanitation Management Act. Safety certification establishes certification standards based on ‘scientific rationality’ while quality certification establishes certification standards based on consensus based on ‘open transparency’. The administration is involved in the process of establishing hygiene certification standards, but the primary information is provided by the operator. In this respect, the food certification system is a mechanism for strengthening the self-responsibility of the operator in food administration governance. All food products placed on the market must comply with the standards. This is because, in accordance with the Food Sanitation Law, it is prohibited to sell foodstuffs that do not meet the standards. In a complex food market, ‘certification’ is a mechanism that enables consumers to easily identify information about a product. Certification not only serves to strengthen consumer information, but it also contributes to ensuring competition in the food market by providing information that affects consumers’ preferences and choices. In the certification system, the administration should ensure the appropriateness of food certification by double-controlling the certification body’s work and supervising the organisation and management of the certification body. The degree of involvement of the administration should take account of the characteristics of an institution that is supported by the participation of food companies and food consumers so that the food certification system can mature into a system based on cooperative governance.