Requirements for a Direct Production Confirmation Certificate — Holding Production Facilities and Verifying Regular Employees

Procedure

1. 1. Check the standards for the item

   In the direct production confirmation standards for the detailed item name you want to supply, check the essential production facilities, the essential processes and the number of regular employees. For example, design-type fences require cutting, forming, drilling, welding and inspection equipment and at least 3 regular production employees excluding the representative; mesh-type fences and YL-type fences require at least 4 production employees; and for fence items, leased production facilities are not recognized.

2. 2. Prove that you hold production facilities

   Leased production facilities are also recognized unless the detailed standards for the item exclude leasing. Owned facilities are verified by proof of purchase, and leased facilities by the lease contract and proof of rent payments. Writing the relevant item code at the time of factory registration makes it easier to move on to the confirmation procedure.

3. 3. Prepare documents and apply

   First register the company information (general information, production factory information and product information) on the SME Products Public Procurement Information Network, then upload the work process chart, the confirmation certificate for the list of production facilities held, the list of persons enrolled in the 4 major social insurance schemes, and, where the detailed standards require them, raw material purchase records for the most recent 1 year and monthly electricity usage records, and apply for each production factory.

4. 4. On-site inspection

   After the application, the place of business, the production personnel and whether the equipment is in operation are checked on site. If the equipment or personnel on site differ from the documents, it is difficult to obtain the certificate.

5. 5. Manage the validity period

   The certificate is valid for 2 years from the date of issue, and there is no separate renewal procedure, so you apply again. If you apply again within 30 days before the expiry date, the new certificate's validity period continues for 2 years from the day after the expiry date; once the expiry date has passed, you apply in the same way as a new application. If the factory is moved, you must return the existing certificate and apply again within 30 days from the date the cause arose.

Required documents

• Application for direct production confirmation
• Certificate of business registration and factory registration certificate (issued within the most recent 3 months as of the inspection date, stating the Korean Standard Industrial Classification sub-class code set in the detailed standards)
• Proof of purchase of production facilities (if leased: lease contract, tax invoices for the lease and proof of rent payments) and the confirmation certificate for the list of production facilities held
• List of persons enrolled in the 4 major social insurance schemes (to verify production personnel)
• Work process chart
• Raw material purchase records for the most recent 1 year and monthly electricity usage records
• Lease contract for the place of business (if the premises are leased)

Fees

The direct production confirmation fee is paid on the SME Products Public Procurement Information Network after you are notified that you are subject to the on-site inspection. The basic fee is 200,000 won for medium enterprises and 180,000 won for micro enterprises, small enterprises and enterprises deemed SMEs, plus 50,000 won for each product beyond the 1st; for micro enterprises, small enterprises and enterprises deemed SMEs applying for the first time after founding, the fee is waived regardless of the number of products. For products exempt from the on-site inspection, the fee is 50,000 won per product, and value-added tax is exempt. Our office fee starts from the amount shown above and may vary depending on the number of items and whether the factory registration needs to be brought up to date; we will give you an exact quote after reviewing your documents.

See fees and official charges for this service →

Legal basis and review date

• Act on Facilitation of Purchase of Small and Medium Enterprise-Manufactured Products and Support for Development of Their Markets, Article 9
• Act on Facilitation of Purchase of Small and Medium Enterprise-Manufactured Products and Support for Development of Their Markets, Article 11
• Enforcement Rule of the Act on Facilitation of Purchase of Small and Medium Enterprise-Manufactured Products and Support for Development of Their Markets, Article 5
• Enforcement Rule of the Act on Facilitation of Purchase of Small and Medium Enterprise-Manufactured Products and Support for Development of Their Markets, Article 7
• Standards for Confirmation of Direct Production of Competing Products among Small and Medium Enterprises, Article 10
• Standards for Confirmation of Direct Production of Competing Products among Small and Medium Enterprises, Article 12
• Act on Facilitation of Purchase of Small and Medium Enterprise-Manufactured Products and Support for Development of Their Markets, Article 10
• Enforcement Decree of the Act on Facilitation of Purchase of Small and Medium Enterprise-Manufactured Products and Support for Development of Their Markets, Articles 10 and 27
• Enforcement Rule of the Act on Facilitation of Purchase of Small and Medium Enterprise-Manufactured Products and Support for Development of Their Markets, Article 5(2) and (5)
• Standards for Confirmation of Direct Production of Competing Products among Small and Medium Enterprises (Ministry of SMEs and Startups Notice No. 2025-116), Articles 4, 5 and 14, attached Table 2
• Guidelines for Operating the Public Procurement System for SME Products (Ministry of SMEs and Startups Notice No. 2024-11), Articles 29, 29-2, 32 and 32-2
• SME Products Public Procurement Information Network, Guide to the Direct Production Confirmation System

Checked against the statutes on 2026-10-30

Statutes and public notices change, so each case needs to be checked individually. Statute titles are given in English for reference. The Korean statutes are the authoritative text.

Check these first

• If you do not return the certificate and re-apply within 30 days after moving a factory, you may face sanctions such as cancellation of the confirmation or a restriction on applications.
• You must apply again within 30 days before the validity period's expiry date for the new certificate to continue from the day after the expiry date. Confirmation can take 14 days from the application date (excluding Saturdays and public holidays), so apply early within this 30-day period.

Frequently asked questions