South Korea will reduce the number of products on its flexible tariff list in 2015 to reflect a general drop in commodities prices and local consumer price targets, the government said Tuesday.

Flexible tariffs, which cover both tariff quotas and adjustment duties, are used by the government to temporarily raise and lowers basic tariff rates on particular products to stabilize prices, protect local producers and ensure steady supply.

The finance ministry said the number of products put under tariff quota rules next year will fall to 37 from 52 in 2014. This, it said, is the lowest number since 39 in 2007.

The ministry said the move reflects the drop in global product and raw material prices and low domestic inflation numbers. Local consumer prices rose 1.0 percent in November, down from 1.1 the previous month, while a barrel of Dubai crude fell to US$56 from $104 per barrel in January.

The government is aiming for a inflation rate of around 2 percent in 2015, after several years of slumping consumer prices that have fueled deflation worries.

"Those benefiting from a lower duties scheme will be centered on farming and fisheries-related goods whose high prices could hurt local producers, and petroleum and dye products used by small and medium enterprises," the ministry said.

Various animal feeds like barley and oats, fishery products like baby eels, and basic commodities such as sugar can be imported at lower than standard rates next year. In addition, H-Acid, a dye intermediate, naphtha, polyethylene and liquefied petroleum gas (LPG) and liquefied natural gas (LNG), will benefit from the lower rates. LPG and LNG are used for heating and as taxi fuel.

The ministry said that while all flexible tariff rates last one year, those applied to LPG, LNG and H-Acid will be maintained for the first half, and then be extended depending on developments.

Regarding adjustment duties, which mark up tariffs rates, the ministry said 15 goods have been placed on the list, down one from 2014.

"The differences between imports and locally made products and market share of foreign-made and local goods have been considered in the selection process," the ministry said.

It said higher import duties will be slapped on steamed processed rice, shiitake mushrooms, glass noodles and plywood in the New Year, while rates for frozen croaker, pollack an eel will be marked down compared to this year.

The ministry said all tariff changes will go into effect as of Jan. 1. (Yonhap)