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Abstract

Chemical fertilizer has been produced in Korea since 1910. Production had increased every year until 1945 (the year of Korean Independence) except during the period of the World War II. After independence from Japan in 1945, fertilizer production dropped very quickly because most fertilizer production facilities were located in North Korea. To make things worse, during the Korean War the existing facilities were destroyed. From 1945 to 1960, all fertilizers were imported. Sometimes fertilizers were not supplied at the right time for agricultural production and the balance of payments worsened. The objective of this paper is to find out the most efficient transportation route from the production factories and importing harbors to the consumption points to minimize transportation cost in 1972. It will also contribute to reducing the deficit of the fertilizer special fund for supporting the fertilizer production which amounted to almost 20 billion won by 1973 and to decreasing the marketing cost of fertilizer by reducing fertilizer transportation cost.

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