Lack of coordination despite state controls

Since its breath-taking economic upsurge, there is no sign of trade fair activity abating in South Korea: Centres are being opened and events launched. What is lacking is agreement among the organisers themselves.

Over the past 40 years, South Korea has emerged as one of the world's strongest industrial nations. In the 1960s, the East Asian country was still one of the poorest countries in the world, and almost purely agricultural. With a GDP of US$ 680 billion in 2004, South Korea's economy ranked number 10 internationally. 35 % of the country's economic performance is based on the industry and the building sector, 50 % on the service industry sector. Compared with last year (+4.6 %) the South Korean economy will experience a slight slow-down with a growth figure of only 4 % according to the forecasts of the private economic institutes in the Republic of Korea.
South Korea sees its real future in the expansion of its technology and service sectors. Core areas are logistics, environmental technology, renewables, bio- and nanotechnology, and medical technology. These are the topics that have drawn the interest of national and international trade fair organisers in recent times. Compared with Europe, the South Korean trade fair industry, like that of its neighbours China and Japan, is still in its infancy and heavily influenced by trade associations and state institutions, such as the ministries or the Korean Trade Investment Promotion Agency, KOTRA. Moreover, expo sites and their operators are in heavy competition with each other when it comes to the organisation of particular trade fair topics. So many specialist fairs have similar nomenclatures or clashing schedules because the exhibition organisers most important partners - the trade associations - don't cooperate with each other.
A recent study published by the international exhibition industry association, UFI, which analysed the Asian trade fair industry, discovered that South Korea staged no fewer than 141 trade fairs in 2004. A total of 509,000 m2 of exhibition space was rented, which amounts to an average of 3610 m2 of space rented per show. These figures placed the East Asian country third in a table of 13 listed countries, after China (excluding Hong Kong) and Japan. With a total hall capacity of 127,206 m2 South Korea ranks sixth.
Until very recently, no comprehensive trade fair calendar was available that gave an overview of the trade fair activities in South Korea. The Ministry of Commerce, Industry and Energy (MOCIE) therefore published a guide in its efforts to provide some guidance through the trade fair labyrinth. In recent years, MOCIE has begun publishing a list of around 40 to 45 exhibitions at the end of each year for the following year, which the ministry considers important for either economic or political reasons. The focus is on mechanical engineering, information and communications technology and electronics. The listed fairs also receive special funding. In 2005, this amounted to EUR 2.55 million. Some of the most significant shows listed are the machine tool fair Simtos, the Busan Marine Week, die Seoul Motor Show, the Envex environment fair, the machinery fair, KOMAF, the autoparts and accessory show, KOAA, und the Korea Electronic Show, KES. Until recently, South Korea's largest and most important exhibition site was the Convention & Exhibition Center (COEX) in Seoul. Providing 36,027 m2 of exhibition space, the site, which opened in 1979, each year plays host to around 25 fairs, all of which are staged by the centre's own organiser. The venue also hosts many guest events. In April 2005 COEX was forced to surrender its leading position, at least in terms of exhibition space. The recently opened Korea International Exhibition Center (Kintex) provides Goyang, located north-east of the capital, with an ultramodern site with 53,541 m2 of exhibition space. Simtos and the Seoul Motor Show are amongst the first fairs to have moved from COEX to Kintex. The company behind the new exhibition site is Kintex International Exhibition Ltd. which is owned almost exclusively by state-owned institutions, such as the Province of Gyeonggi and the city of Goyang.
The third-largest trade fair venue is located in the port of Busan. The Busan Exhibition & Convention Center (BEXCO) was opened in 2001 and boasts a covered exhibition area of 26,400 m2. Daegu Exhibition & Convention Center (DEXCO), 11,617 m2 in size, is the venue where largely textile industry tradeshows are staged, including the country's most prestigious textile machine fair, Kotrex. A few weeks ago the Kimdaejung Convention Center in Gwangju with 9,072 m2 of exhibition space and the Changwon Exhibition & Convention Center (CECO) with 7,826 m2 of covered exhibiting area opened their doors for the first time.
The establishment of the South Korean Association of Korean Exhibition Industries (AKEI) in 2002 under the auspices of MOCIE has created an institution wholly dedicated to promoting and developing the trade fair industry in the Republic of Korea. Every year, on behalf of MOCIE, the association commissions a specially accredited auditor to check statistical tradeshow data. The international Korean tradeshows are presented in a portal on the exhibition association's website. The AKEI currently has 37 members. Natalja Winges

m+a report Nr.8 / 2005 vom 08.12.2005
m+a report vom 8. Dezember 2005