Visual arts to Korea

(Last updated: 10 Sep 2008)

Trends and opportunities

With a population of nearly 50 million and a rapidly growing economy, South Korea provides a fantastic opportunity for Australian exporters. GDP per capita is now in excess of A$27,400 and the country’s economy is growing faster than that of any other developed nation. 

The South Korean visual arts industry is experiencing a healthy expansion, mirroring the wider financial success of the country. The art investment boom, which began in Korea in 2006, has driven the art transaction market to grow to approximately A$500,000.

Some of the key factors leading to the growth in the visual arts market in the last few years include; a rapidly expanding auction market, increased market value of artwork due to prosperity in the international art market arena and a slump in the real estate market in Korea. The perception of art has been transformed. Also, whereas previously, art was used as an object for education and appreciation, art is now used as an object of money making.

Key indicators of the Korean visual arts market in 2006 included:

• 9,185 exhibitions: both domestic and international
• 607 exhibitions of international artists (7.5%)
• 67.1% of exhibitions were located in the capital areas (Seoul and Gyeonggi)
• Most exhibitions were held in November, May, and September
• Of total exhibitions, art paintings accounted for 50.9%, followed by craft works (11.99%), photographs (8.85%) and others (7.63%)

Indigenous art

Korean public awareness of Australian Aboriginal art and culture is still limited but due to recent exhibitions of Aboriginal art held and sponsored by the Australian Embassy and Austrade, appreciation of Australian indigenous art and its cultural significance is increasing

Opportunities

The recent growth in the visual arts market in Korea presents a number of opportunities for Australian exporters particularly in the areas of painting and photography.

The Korean visual arts market is characterised by a number of trends at present demonstrating exporting opportunities: 

• Classes on collecting art and the latest trends in art auctioning have been gaining in popularity. 
• Imports of paintings and other artwork into Korea increased more than threefold in the first nine months of 2007. This reflects a growing demand for artwork as an alternative investment tool. 
• Three out of four pieces of art imported in 2007 were paintings and total imports were valued at US$353 million. The number of paintings imported recorded a 272 per cent increase from 2006. 
• With the growing influence of photography in the art and culture sector; sales of photographic works at exhibitions and auctions have increased.

Competitive environment

The visual arts market in Korea, as with the global art market, can be very competitive. The greatest competition in the market is from local artists and photographers. In terms of imports, the most sought after international visual arts in Korea are from the UK, USA, and China and Japan on the rising trend.

Tariffs, regulations and customs

Artworks exhibited at international exhibitions can be delivered duty free. Artworks sold are also tax-exempt. However, 10 per cent tax is imposed on all photographs.

Marketing your products and services

Market entry

Before entering the Korean market it is important to research the Korean art scene and develop a strategy based upon the local community’s knowledge of Australian art and in particular indigenous art.

Austrade in Korea can help you with market information and can advise you on the best marketing strategy to suit your business or type of visual art.

Most exporters enter the Korean arts market through direct contact with galleries. It is critical to find a reliable gallery to work with to be successful.

Participating at international art fairs can provide opportunities to network with Korean galleries and time to research the market before entering the market.

Exporters may also consider using online marketing. The online artwork distribution market is expected to expand significantly coinciding with the growing participation of artists and art connoisseurs in Internet auctions. 

Individual galleries

There are about 130 galleries registered as members of the Korea Galleries Association, however, nationwide the number of non-member galleries far exceed this number.

If you choose to work directly with a gallery, it is important to find the right gallery in order to have access to a good database and effective promotion.

Trade fairs

There are two major art industry trade fairs in Korea which are attended by international exporters each year:   

• Korea International Art Fair (KIAF)
  This fair takes place every year at COEX, Korea’s largest exhibition and convention centre. It comprises more than 20,000sqm of exhibition space over two halls, providing for over 230 art booths over a five day exhibition. For further information visit www.kiaf.org.
  
   
• Seoul International Print, Photo and Edition Works Art Fair (SIPA)
  ‘Seoul Print Art Fair’ was held for 10 consecutive years until 1995 when it officially changed its name to ‘Seoul International Print, Photo and Edition Works Art Fair’ to strengthen its position as an international art fair. SIPA 2007 displayed works from the overseas galleries of more than twelve countries. For further information visit www.sippa.org.

Links and industry contacts

Government, business and trade resources for Korea

Arts Council Korea – www.arko.or.kr

East Bridge – www.east-bridge.net

Galleries Association of Korea – www.koreagalleries.or.kr

Korea Customs Service – www.customs.go.kr

Korea International Trade Association – www.kita.org

Ministry of Culture, Sports and Tourism – www.mcst.go.kr