This study examines the cross-subsidy behavior and factors affecting the size of cross-subsidy in Korean RPCs (Rice Processing Complexes.) The amount of cross-subsidy of the cooperative RPCs is found to be 78,000 Korean won per ton. This can be decomposed by management subsidy by government and National Agricultural Cooperative Federation (12,000 won) and management subsidy by the credit business of member cooperative (66,000 won). The size of cross-subsidy is the same as the total amount of variable capital cost. This implies that RPCs provide maximum subsidy to members as much as variable capital cost since RPCs do not consider these costs in the short-run management decision. Factors affecting the size of cross-subsidy are identified: product differentiation, production volume, cost efficiency and subsidy by government and NACF. The size of cross-subsidy is found to be smaller in the RPCs with higher product differentiation and larger production volume due to higher sale price. However, it is found to be larger in the RPCs with lower cost efficiency and more support from government and NACF.