Price cuts on processed foods are spreading across the board in South Korea. Following ramyeon and cooking oil, confectionery, bakery products, and ice cream are now joining the price reduction wave as the government's pressure to stabilize inflation extends throughout the food industry.
The Ministry of Agriculture, Food and Rural Affairs announced on the 19th that it held the third meeting of the "Public Livelihood Price Special Management Task Force Distribution Structure Inspection Team," chaired by Vice Minister Kim Jong-gu, to review distribution conditions for major items and the status of processed food price reductions. The meeting was attended by the Ministry of Economy and Finance, Ministry of Trade, Industry and Energy, Ministry of Health and Welfare, Ministry of Gender Equality and Family, and Ministry of Oceans and Fisheries.
Four confectionery, bakery, and ice cream companies agreed to lower prices on a total of 19 products by 100 to 400 won, up to 13.4%, starting with April shipments. Two confectionery companies will reduce prices on seven items (four biscuit types and three candy types) by an average of 2.9% to 5.6%. Two bakery companies will cut prices on four items by an average of 5.4% to 6.0%. Two ice cream companies will lower prices on eight items by 8.2% to 13.4%.
Previously, six cooking oil companies and four ramyeon companies had also decided to reduce prices by 350 to 1,250 won and 40 to 100 won respectively, starting with April shipments. The government explained this is the result of continued communication with the industry to ensure that declines in raw material prices are reflected in consumer prices.
A ministry official said, "Through the inspection process, we are also seeing results such as voluntary price reductions by the industry."
The government is conducting distribution structure inspections alongside price reductions. The ministry is examining price increase factors and unfair practices in distribution stages, focusing on major items such as eggs and pork. For eggs, it is looking into some farms' practices of demanding premium prices. For pork, it is intensively inspecting inventory holdings and whether prices are being artificially raised.
Responses continue across ministries. The Ministry of Trade, Industry and Energy is conducting full-cycle inspections of price increase factors for daily necessities including toilet paper, laundry detergent, dish soap, and disposable diapers. The Ministry of Health and Welfare is strengthening advance sharing of over-the-counter drug price increase plans and monitoring of pharmacy retail prices. The Ministry of Gender Equality and Family is promoting projects to stock sanitary products in public facilities. The Ministry of Oceans and Fisheries is strengthening supply-demand and inventory management inspections for mackerel and seaweed.
The government plans to continue monitoring price trends and distribution structures for items closely related to public livelihood through biweekly inspection meetings. When necessary, it will also collaborate with the Fair Trade Commission to address unfair practices.
Vice Minister Kim said, "Please make every effort to inspect distribution conditions for core items such as eggs and pork to stabilize public livelihood prices." He added, "Please thoroughly examine whether there are any aspects that have been considered customary but could be seen as unreasonable from the public's perspective."