"Nothing Is Not Rising"... Common People Distressed by Soaring Grocery Prices

Price Increases for Ingredients Like Eggs and Pork
Citizens Say "What Hasn't Gone Up... It's Tough"
Experts Predict "Inflation Will Continue Until First Half of Next Year"

A citizen is selecting vegetables at a large supermarket in Seoul. The photo is unrelated to specific expressions in the article. Photo by Asia Economy DB.

[Asia Economy Reporter Heo Midam] As the year-end and New Year approach, the soaring prices of daily food items are deepening the sighs of ordinary citizens. With the prices of major ingredients such as pork and vegetables rising, and the prices of various processed foods as well as dining-out menus like jajangmyeon and baekban increasing one after another, people's household finances are becoming even tighter.

Given this situation, citizens are lamenting, "It's to the point where even cooking at home is burdensome, let alone dining out." Experts predict that the inflation trend will continue until the first half of next year.

Recently, prices of various food ingredients, including fresh produce, have been rising. According to the Korea Agro-Fisheries & Food Trade Corporation (aT), as of the 23rd, the average consumer price nationwide for eggs (30 special-grade eggs) was 6,392 won, up 13.2% from 5,645 won a year ago. Until last month, prices had remained in the 5,000 won range, but due to the recent spread of avian influenza (AI) and resulting supply shortages, prices jumped into the 6,000 won range.

Prices of pork and beef are also on the rise. As of the 17th, the price of domestic refrigerated samgyeopsal (pork belly, 100g) was 2,785 won, 28.4% higher than a year ago. The price of Korean beef sirloin (100g) also rose 17.4% over the year to 14,019 won.

As prices of major ingredients rise, dining-out prices are also soaring. According to the Korea Consumer Agency's comprehensive price information portal 'Chamgagyeok,' among eight representative dining-out items in Seoul in November this year, prices of seven items increased compared to a year ago. A serving of kimchi jjigae baekban rose 5.1% to 7,077 won, and a bowl of jajangmyeon increased 6.6% to 5,615 won.

A citizen is browsing the meat section at a large supermarket in downtown Seoul. The photo is unrelated to specific expressions in the article. [Image source=Yonhap News]

In this situation, citizens are sighing over their tight household budgets. Kim (26), an office worker living alone in Seoul, said, "There is not much difference in expenses between eating out and eating at home," adding, "This is the first time I have felt such a significant rise in prices. There is no item that hasn't gone up. I am worried that egg prices will rise further due to AI."

On online communities, many posts express dissatisfaction with the soaring food prices. One netizen wrote on a mom caf?, "The prices are so murderous it's scary. Just looking at the rising prices makes me angry," adding, "Prices and housing costs don't seem to be going down. The saying 'everything goes up except salary' is true," they said.

The problem is that the inflation trend is expected to continue into next year, and there is no effective way to curb this rise. The Producer Price Index (PPI) for November, recently announced by the Bank of Korea, was 112.99 (2015=100). This is the highest level since statistics began in January 1965, and the PPI has been setting record highs for eight consecutive months since April.

Rising producer prices directly lead to rising consumer prices. Ultimately, the skyrocketing prices may continue to rise even more steeply in the future.

However, the government holds the view that prices are likely to stabilize next year due to a slowdown in petroleum price increases. Lee Eokwon, First Vice Minister of Strategy and Finance, said at a pre-briefing on the '2022 Economic Policy Direction' held on the 17th, "The supply-side inflation rate is expected to slow down next year," adding, "The production of agricultural, livestock, and fishery products has improved, and global energy prices are expected to follow a pattern of peaking around the end of this year or early next year and then gradually declining."

Meanwhile, experts predict that the inflation trend will continue into the first half of next year. Professor Lee Eunhee of Inha University's Department of Consumer Studies analyzed, "The Producer Price Index continues to rise. The PPI is reflected in the Consumer Price Index after a certain period. Therefore, the inflation trend is likely to continue until the first half of next year."

She added, "When prices rise, the difficulties of ordinary citizens become even greater. Also, when prices rise, single-person households who have to bear the costs of food, clothing, and shelter alone may feel the impact more severely."

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