[Report] "Can't Even Cover Labor Costs" -- Fuel Price Fears Shake Livelihoods in Gwangju and Jeonnam

Fishermen Struggle as Tax-Free Fuel Prices Soar
Diesel in Gwangju Surpasses 1,800 Won per Liter
Independent Gas Stations Consider Temporary Closures

On the morning of the 10th, fuel prices including gasoline were displayed at a gas station in Buk-gu, Gwangju. Photo by Min Hyunki

"I'm afraid to even take the helm of the boat because of soaring fuel prices. Once you deduct the fuel cost, there's not even enough left over to pay for labor, so isn't it a loss to go out fishing at all?"

On the morning of March 10, at Bukhang Port in Mokpo, Jeonnam, fishing vessels that would usually be busy preparing for departure with hopes of a full catch were instead tightly moored at the harbor. The faces of the fishermen, some of whom were repairing their nets, were marked by deep concern. This is because, recently, international oil prices have surged due to instability in the Middle East, leading even the price of tax-free fuel for fishing vessels to spike sharply.

Mr. Kim, a fisherman with 30 years of experience whom we met that day (64), let out a heavy sigh as he looked at his empty tax-free diesel tank. Kim said, "As recently as last month, the tax-free diesel was around 160,000 won per drum, but now it's already over 180,000 won. Jigging boats, which use hundreds of thousands of won worth of fuel in a single operation, have already hit their limits. There are even rumors that international crude oil prices could reach 200 dollars per barrel, and if that happens, the only option will be to keep the boats tied up."

This month, the tax-free diesel price for fishing vessels stands at 880 won per liter, up 70 won from last month. The price of tax-free fuel for fishing boats is adjusted on the first day of each month, reflecting the previous month's average international diesel product price.

The nearby restaurant district and seafood market were just as quiet. With fewer boats going out, the volume of fish being auctioned has dropped, and as the high fuel prices deter both fishermen and citizens from venturing out, the number of customers has plunged. A merchant near Bukhang Port said, "It seems that people are reluctant to drive here because of fuel costs, so even on weekends, the number of customers has dropped by more than half. The burden of fishing operations has triggered a vicious cycle of rising seafood prices and shrinking consumption."

Furthermore, according to a fisheries cooperative official, as international product prices have surged, tax-free fuel prices are expected to rise significantly next month.

On the morning of the 10th, fishing boats are lined up docked at Bukhang Port in Mokpo, Jeollanam-do. Photo by Min Hyunki

Rural Areas and Logistics Also Hit by 'Fuel Price Shock'... Breadwinners Say "Livelihoods Threatened"

The fear of rising fuel prices has spread beyond the sea, reaching rural areas and city logistics sites. Ahead of the full-fledged farming season, the greenhouse complex in Hampyeong, Jeonnam is on high alert. The price of kerosene, used to run agricultural machinery and maintain greenhouse temperatures, has risen sharply, deepening the worries of farmers.

Mr. Park (57), who grows cherry tomatoes in Hampyeong, said, "Even though the National Agricultural Cooperative Federation has rolled out a 30 billion won support plan to stabilize fuel prices, every time there is a war or oil shock, farms are hit directly. Tax-free fuel does not benefit from lower fuel taxes, making it even more vulnerable to oil price fluctuations. With monthly heating costs alone running into several million won, it is questionable whether there will be any profit left after a year's farming."

The situation is even more desperate for delivery drivers on the front lines of distribution. Mr. Lee, a man in his 40s who delivers parcels in Gwangju in a 1-ton box truck, dreads checking the gas station price board each morning.

Lee said, "My heart sinks when I see that diesel is more expensive than gasoline. I pay an extra 500,000 won per month just for fuel, which is money taken directly from my children's tuition or our grocery budget. My body is getting more worn out, but the money I actually bring home keeps shrinking, so as a breadwinner, I can't help but feel a sense of despair," he said, bowing his head.

Gas Station Owners Also "Lose Money on Every Sale"... Local Economy 'Shaken'

Gas station operators, who sell fuel, are in no position to laugh either. Mr. Choi, who runs a gas station in Buk-gu, Gwangju, is struggling with both customer complaints and management difficulties.

Choi said, "The supply price from oil refiners rises by tens of won overnight. Our existing inventory ran out a long time ago, and now we have to sell fuel we've bought at a higher price, but customers get angry, asking, 'Why is it so expensive?' After deducting card fees and all sorts of operating expenses, there are times when we actually lose money on sales. Some independent gas stations are now considering shutting down after barely hanging on."

According to Opinet, the oil price information system of Korea National Oil Corporation, on March 10, the average gasoline price in Gwangju was 1,877 won per liter, while diesel was 1,889 won. In Jeonnam as well, gasoline stood at 1,871 won, and diesel at 1,881 won, continuing their steep climb.

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