Korea’s producer prices rose 0.2 percent in March from a month earlier, accelerating for the fourth straight month driven by soaring prices of agricultural products and industrial goods.
Lotte Wellfood, Korea's largest chocolate manufacturer, will hike the prices of 17 chocolate snacks and ice creams by an average of 12 percent from May as cocoa prices jump due to recent weather conditions in West Africa.
The prices of food and essential goods are rising following the general elections due to increased production and delivery costs. Major convenience stores such as CU and GS25 have already implemented price hikes.
Vice Minister of Oceans, Song Myeong-dal, inspects price of marine products in a traditional market in Chungju, North Chungcheong, on Tuesday.
Policymakers cannot do anything about external factors like oil prices and exchange rate, but they must delicately navigate so that election results do not stoke expectations of an inflationary run.
Korea's inflation climbed 3.1 percent on year, with President Yoon Suk Yeol promising the stabilize prices no matter the cost with the general election fast approaching.
The government must find a reasonable solution by balancing the interest of farmers and consumers.
An additional move of cutting the tax ahead of the April 10 parliamentary elections can certainly worsen the health of the country’s public finance and the size of its tax revenue.
The Korean government will add cherry, kiwi, and mangosteen to the list of products with little or no import tariffs, continuing to focus on restraining rising prices of domestically produced apples and pears.
Korea JoongAng Daily Sitemap