Seoul Milk prices to increase some 6 percent next week

A customer purchases a bottle of milk at a discount mart in Seoul on Nov. 4. [YONHAP]

Prices of Seoul Milk products will increase 6 percent on average starting Nov. 17 due to the hiked prices of raw milk, according to Seoul Dairy Cooperative Thursday.

Seoul Dairy Cooperative is the largest milk producer in Korea and seller of Seoul Milk.

The price of a 1 liter (0.26 gallon) milk product from Seoul Milk will increase 6.6 percent, rising to over 2,800 won ($2.04) from the current 2,710 won as sold in discount marts.

"The decision was made due to the rise in prices including raw milk, raw and subsidiary materials and logistics fees," said a spokesperson for Seoul Milk.

"We tried to minimize the growing gap by improving the efficiency of business and production and also considering the economic difficulties."

The Korea Dairy Committee decided to increase the price of raw milk by 49 won per liter to 996 won starting next year.

Considering the raise was decided late due to the extended discussion this year, raw milk prices will be raised by 52 won until the end of the year.

Other dairy companies will also be increasing their prices. Maeil Dairies will up the price of its 900-milliliter (3.04 fluid ounce) milk product by 9.6 percent to 2,860 won starting Nov. 17.

Namyang Dairy Products will raise the price of its same-sized milk product but ensured the new price will be lower than 3,000 won.

Dongwon F&B also announced it will raise the price of its milk products by an average 5 percent.

BY CHO JUNG-WOO [cho.jungwoo1@joongang.co.kr]