Pork Prices Up 28%: 'Samgyeopsal Becomes Golden Pork Belly'... Livestock Industry Calls It a "Temporary Phenomenon"

Samgyeopsal Up 19.4% Year-on-Year
Producer Price Index for Pork Also Up 28.2%
Livestock Industry: "Surge in Demand Due to Easing of Social Distancing"

[Asia Economy Reporter Song Seung-yoon] Meat prices are soaring due to the rise in international grain prices. In particular, samgyeopsal, a representative affordable dish for the common people, has increased so much that it is being called "golden pork belly," adding to the burden on dining table prices.

According to the related industry on the 21st, the consumer price of samgyeopsal was 28,230 KRW per kilogram as of the 17th, up 19.4% (4,582 KRW) compared to the same period last year. In the Producer Price Index for April announced by the Bank of Korea the day before, pork among detailed items rose by 28.2%.

With Russia's invasion of Ukraine, international grain prices have steadily increased, causing meat prices to rise accordingly. When grain prices rise, the price of feed, which uses grain as the main ingredient, also increases. The domestic feed industry is highly dependent on feed wheat and corn imported from Russia and Ukraine. Wheat produced in Russia and Ukraine accounts for one-third of the world's export volume, and corn accounts for one-fifth.

However, the livestock industry views the recent sharp rise in pork prices as a temporary phenomenon. The Korea Pork Producers Association stated in a report the day before, "The main cause of the recent rise in samgyeopsal prices is the temporary surge in dining-out demand for pork due to the lifting of COVID-19 social distancing measures."

They also explained, "The price of pigs at production sites is determined by supply and demand principles in wholesale markets nationwide," adding, "Farmers cannot set prices, so even if feed costs and labor costs rise sharply, they cannot raise pig prices to sell at higher rates."

The Korea Pork Producers Association added, "The actual price of corn used in pig feed rose from 209 KRW per kilogram in December 2020 to 394 KRW in February this year, and is expected to rise to 510 KRW by September," and "Feed costs will increase significantly in July this year, and pig production costs in the second half of the year are expected to rise by more than 100,000 KRW compared to last year."

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