"Ice Cream Prices Also Rising" Following Binggrae, More Increases Await

[Asia Economy Reporter Eunmo Koo] As Binggrae raises ice cream prices, the ice cream industry appears to be joining the price hike trend.

According to the industry on the 22nd, Haitai Ice Cream changed the sales policy for 'Bravo Cone' starting from the 12th, fixing the price at 1,000 won. The previous price was 1,500 won, but since retailers could apply discounts, it was actually sold in the 800 won range.

From this day, the sales price of 'Polarpo' was also raised from 1,000 won to 1,200 won. Haitai Ice Cream is reportedly reviewing price increases for other products due to rising raw material costs.

Lotte Food is also considering raising prices next month for tube-type ice cream products such as 'Ppapiko' and 'Jjujuba' due to increased raw material costs. However, the specific increase rate and date have not yet been decided.

Earlier last month, industry leader Binggrae announced that it would raise ice cream prices starting in March due to increased costs of raw materials such as raw milk and paper pulp, leading to expectations that competitors would follow suit. Binggrae plans to raise the retail price of 'Together' from 5,500 won to 6,000 won, and 'Melona' from 800 won to 1,000 won.

The domestic ice cream market was structured with the 'Big 4'?Lotte Confectionery, Binggrae, Lotte Food, and Haitai Ice Cream?sharing market shares, but in 2020, Binggrae rose to an overwhelming first place by acquiring Haitai Ice Cream. Although Binggrae owns 100% of Haitai Ice Cream's shares, the two companies independently decide their product pricing policies.

Meanwhile, Lotte Confectionery, Lotte Food, Binggrae, Haitai Confectionery & Foods, and Lotte Holdings were found to have colluded on ice cream prices from February 15, 2016, to October 1, 2019, and were ordered to correct their actions by the Fair Trade Commission, which also imposed a total fine of 135.045 billion won.

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