White Milk Price Increase Begins... Seoul Milk to Raise Prices by an Average of 6% Starting from the 17th

Seoul Milk Raises All Milk Products by 6%
Maeil Dairies Also Increases White Milk by 9.6%
Milk and Dairy Product Prices Expected to Rise Continuously

[Asia Economy Reporter Song Seung-yoon] The price of white milk has started to rise one after another following the increase in raw milk prices.

Seoul Milk Cooperative announced on the 10th that it will raise the price of its 1000㎖ white milk product by 6.6%. The overall milk products will see an average increase of 6%. Accordingly, the price of 1000㎖ milk, which was 2,710 won at large supermarkets, is expected to reach the high 2,800 won range. The price increase will take effect from the 17th.

A representative from Seoul Milk Cooperative stated, "We inevitably decided to raise prices due to the Dairy Promotion Board's decision to increase the basic raw milk price and the accumulated rise in costs such as raw materials, logistics, and manufacturing expenses caused by global economic issues. Internally, we have tried to offset the cost increase through management and production efficiency improvements and aimed to minimize the price hike considering the difficult economic conditions."

Earlier, Maeil Dairies also announced that from the 17th, the price of its 900㎖ white milk product will increase by 9.6%, from 2,610 won to 2,860 won. Namyang Dairy Products is also planning to raise prices but is expected to set the price of the 900㎖ product below 3,000 won. Dongwon F&B and Binggrae are also reviewing the extent and specific timing of their product price increases.

The Dairy Promotion Board decided to raise the raw milk price from 947 won per liter to 999 won, an increase of 49 won. Considering the delay in the raw milk price increase, an additional 3 won per liter will be paid this year, making the actual increase 52 won per liter. From next year, the 49 won per liter increase will be applied. This raw milk price hike is the first in two years and three months since the Dairy Promotion Board decided on a 21 won increase in August 2020.

As a result, the prices of milk and dairy products are expected to rise simultaneously, with white milk prices starting to increase first. Not only dairy products but also the cost of ingredients for bread and ice cream containing milk will rise, potentially causing a 'milkflation' where product prices across the food industry increase.

Some predicted that white milk prices would exceed 3,000 won due to this raw milk price hike, but this time most prices have been set below 3,000 won. This is seen as a measure reflecting the government's active efforts to control inflation.

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