Government Announces Strong Measures Against Syringe Hoarding... "Zero Tolerance for Stockpiling, Including Confiscation and Collection"

Lee Orders "Confiscate Hoarded Goods"

Government to Pursue Confiscation or Collection of Related Supplies

The government has announced a hardline response, declaring that it will confiscate and collect profits from essential medical products such as syringes if they are subject to hoarding and price gouging amid inflation concerns triggered by the Middle East conflict.

On May 7, the Ministry of Health and Welfare, during the 8th Public Livelihood Price Task Force (TF) meeting presided over by Deputy Prime Minister and Minister of Economy and Finance Koo Yoon-cheol, unveiled the “Status and Measures for Medical Product Supply and Price Trends in Response to the Middle East Conflict” in cooperation with related ministries. The government emphasized its commitment to eradicate market-disruptive practices through the highest level of measures permitted under current law.

Government Adopts Zero Tolerance Policy Toward Hoarding Amid Price Instability... "Judicial Action Including Confiscation and Collection of Goods"

Last month, employees from Buk-gu Health Center checked syringe inventory at a syringe sales shop in Gwangju. Photo by Yonhap News.

The government’s stance is based on the fact that the Price Stabilization Act provides legal grounds not only for fines and imprisonment for hoarding, but also for the confiscation or collection of related goods. A government official explained, "Violations of the Price Stabilization Act may result in imprisonment of up to three years or a fine of up to 100 million won. In addition, the judiciary may directly confiscate hoarded goods, or, if confiscation is not possible, collect their monetary value." The previous day, at a cabinet meeting regarding the hoarding of syringes, President Lee Jaemyung emphasized, "The goods must be confiscated," ordering strict enforcement of the law.

According to the government, there was some instability in the supply of medical products such as syringes and medicine pouches at clinics and pharmacies in early to mid-April. However, since the end of April, the situation has been gradually stabilizing. Syringe production among the top 10 manufacturers increased by 19.7% year-on-year, and more than 45 million syringes are currently in stock. Nevertheless, due to rising plastic raw material prices and exchange rates, the prices of five major items, including syringes and medicine packaging, have increased by approximately 10 to 30%.

The government, led by the Ministry of Food and Drug Safety, has already conducted the first and second rounds of special inspections on key medical products, uncovering 32 companies in violation—such as those holding excessive inventory—and has completed prosecution and corrective orders. In addition, from May 4 to May 7, the government conducted on-site inspections and provided administrative guidance to 24 medical institutions suspected of purchasing excessive quantities of syringes.

Medical Waste Disposal Cycle Temporarily Extended to 30 Days... Expanded Emergency Management Stabilization Fund Support

Practical support to resolve supply instability will also be strengthened. Plastic raw materials will be given top priority allocation in May, and ongoing management thereafter, to manufacturers of products at risk of short-term supply disruption such as IV solution packaging, syringes, and medicine packaging. In particular, for essential medical institutions such as those providing hemodialysis, a “syringe supply chain hotline” has been launched, allowing priority distribution of 970,000 syringes through online malls and other channels. A customized delivery service using telemedicine platforms has also been launched for rare disease patients and others requiring home care.

Institutional improvements and campaigns to suppress unnecessary speculative demand are being implemented in parallel. To prevent resource waste, the medical waste disposal cycle for clinics and public health centers will be temporarily extended from the existing 15 days to 30 days. In addition, to reflect the recent rise in exchange rates, the health insurance reimbursement rate for treatment materials will be increased by an average of 2%, alleviating cost pressures on manufacturers. The scope of emergency management stabilization fund support for manufacturers of plastic-based medical consumables will be expanded from the current 250 billion won to 500 billion won, in order to ease operational difficulties.

A Ministry of Health and Welfare official stated, "We will make production, shipment, and inventory figures for key medical products such as syringes transparently public to dispel vague market fears," adding, "We will further strengthen our monitoring system to ensure there are no disruptions in essential medical services."

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