[Report] "Shopping is Scary" Soaring Prices... Common People Sigh

October Consumer Prices Rise 3.2% Year-on-Year, Highest Increase in 9 Years and 9 Months
Consumers Say "Once Prices Rise, They Don't Fall," "Shopping Time Increased Searching for Cheaper Items"
Experts Warn "Concerns Over Reduced Consumption, Government's Active Role Needed to Shorten Prolonged Inflation"

On the 5th, a citizen shopping at a mart in Mapo-gu is selecting fruits. Photo by So-Young Kim sozero815@

[Asia Economy Reporter Kim Soyoung] "Prices have really gone up too much." , "I just sigh."

The soaring prices are deepening the sighs of ordinary people. Recently, citizens shopping around the Mapo-gu area in Seoul collectively expressed, "It seems like nothing hasn't gone up." Many held a negative outlook on the possibility of price stabilization, saying, "Once prices go up, they don't come down."

According to the 'October Consumer Price Trends' announced by Statistics Korea on the 2nd, the consumer price index last month was 108.97 (2015=100), up 3.2% compared to a year ago. This is the largest increase in 9 years and 9 months since January 2012 (3.3%). This appears to be influenced by rising oil prices and a base effect from last October's telecommunications fee support. The government explained, "Excluding the temporary base effect from last year's telecommunications fee support, the October inflation rate is similar to September's 2.5%."

However, the 'living cost' index, which reflects perceived inflation, also rose by 4.6%, suggesting that consumers feel an even greater burden from the increased prices. This is the largest increase in 10 years and 2 months since August 2011 (5.2%).

At a large supermarket in Mapo-gu visited on the 5th, shoppers were seen standing for a long time in front of store shelves, contemplating their purchases. Mr. Jung (67, 4-person household) said, "Going to the market worries me more every day. Last year, it wasn't this bad, but this year is really tough. I wonder how much it will be today," adding, "So when prices go up, I check carefully. I think I spend more time shopping these days, comparing what's cheaper."

He sighed, "We mostly eat at home, so we feel the price increases a lot. Items that ordinary people eat like ramen, vegetables such as bean sprouts and tofu have gone up a lot. Chili peppers, garlic, and salted shrimp have also risen significantly, and things like green onions used to be 5,000 won but now are 11,000 won."

Mr. Jung (64, 3-person household), who was browsing the dairy section for a while, also said, "We pack lunch boxes and eat at home a lot more. Fruits are especially expensive. There’s nothing cheap among vegetables either. Once prices go up, they don’t seem to come down."

On the 5th, Jeongmo (64) is shopping at a large supermarket in Mapo-gu. Photo by So-Young Kim sozero815@

According to Statistics Korea, agricultural products such as napa cabbage (-44.6%), apples (-15.5%), and green onions (-36.6%) fell by 6.3% compared to the same period last year as of last month, but livestock products such as eggs (33.4%), pork (12.2%), domestic beef (9.0%), and imported beef (17.7%) showed an average increase of 13.3%.

There are also voices of concern about the upcoming kimchi-making season. Mr. Jung, whom we met earlier, said, "Once prices go up, like during the egg crisis, they don’t come down easily. We used to eat five cartons of eggs, but now we even save one carton," and added, "We make kimchi every year, but I’m worried. We have to reduce the amount a bit. We usually make about 20kg with five boxes, but now I’m thinking of making about three boxes."

Among the younger generation who tend to shop online more, concerns about rising prices were also expressed. Mr. Kim (27, 2-person household) said, "Actually, online shopping often offers cheaper prices and discounts, so I usually buy that way, and it’s been a while since I came to the supermarket," adding, "I usually buy about the same amount, but when I look at the final amount these days, I feel it has increased a lot compared to before."

On the 5th, at a market in Mapo-gu, Mr. Bae (46) runs a vegetable store. Napa cabbages are piled up. Photo by So-Young Kim sozero815@

Upon entering a market in Mapo-gu, a customer who asked the price of a head of napa cabbage was told "3,000 won" and immediately turned away. Mr. Bae (46), who runs a vegetable store, said, "These days? Customers are very sensitive about prices. They don’t just look at the goods; they ask about the price first."

Mr. Bae also expressed low expectations for the so-called 'kimchi-making boom,' saying that the number of households making kimchi has decreased. He said, "These days, that doesn’t happen. People don’t make large amounts of kimchi; they make about 10 heads or so."

However, some see this as an inevitable process due to market fluctuations. Mr. Lim (60), who runs a supermarket, explained, "It’s very difficult from a management perspective. Sales have decreased, and while many people want to see and buy fresh vegetables, fruits, and fresh foods in person, young people all shop online, and those who come to shop are mostly elderly."

He added, "Actually, the farmers are the most unfortunate. Manufactured goods have gone up this much, so I think it’s right for vegetables and fruits to go up too," and said, "I believe everything rises in proportion to how the world is going. Since everything is going up, vegetables and fruits can’t not go up."

The government expects prices to soon stabilize. Eo Unseon, Economic Trend Statistics Officer at Statistics Korea, said at the government Sejong complex in Sejong City on the 2nd, "Prices of agricultural, livestock, and fishery products have stabilized, but petroleum products, processed foods, and personal services continued to rise," explaining, "The base effect from last October’s telecommunications fee support greatly expanded the rise in public service prices." He added, "From November, the base effect of telecommunications fee support will decrease, and various government price stabilization measures such as fuel tax cuts will also affect prices."

Experts emphasize the need for the government’s active role in stabilizing prices amid concerns about reduced consumption. Professor Lee Eunhee of Inha University’s Department of Consumer Studies said, "The consumer price index includes public services, so the actual perceived inflation must be high," diagnosing, "The economy is not good now, but prices are rising, so the lower-income class is very restricted and inevitably shrinks consumption."

She continued, "Especially, supply-side management such as imports seems not to have been properly handled. This inflationary trend will continue for a considerable period," and emphasized, "Nevertheless, to shorten that period, the government’s active role is necessary. Also, measures to reduce liquidity must be implemented."

This content was produced with the assistance of AI translation services.