[Special Stock] Government Pressure to 'Lower Ramen Prices'... Nongshim and Other Ramen Stocks Weaken

On the 19th, stocks of related companies declined as Deputy Prime Minister and Minister of Economy and Finance Choo Kyung-ho recommended price reductions to the ramen industry.

As of 9:48 a.m. that day, Nongshim was trading at 422,500 KRW, down 3.54% from the previous trading day. Early in the session, the stock fell more than 8% at one point, breaking below the 400,000 KRW mark.

Samyang Foods was also trading sharply down 7% from the previous day at 106,300 KRW.

Deputy Prime Minister Choo appeared on a broadcast program the day before and said, "I hope companies appropriately lower prices in line with the reduction in wheat prices." He added, "The government cannot investigate costs one by one and control prices," and "It would be good if consumer groups exert pressure." This implies that consumer prices should reflect the recent drop to about half of last year's record-high international wheat prices.

However, as Deputy Prime Minister Choo's remarks suggest that ramen companies may consider price adjustments, investors concerned about declining earnings appear to have sold stocks of related companies.

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