From Entrance Fees for Diet Cola to Panic Buying: "Buy in Advance" Frenzy Spreads Worldwide

Race to Secure Essentials Amid Prolonged War Concerns
Governments Worldwide Begin Measures to Stabilize Supplies

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As concerns over global supply chain disruptions grow due to the ongoing war, a 'panic buying frenzy' is spreading across the world, from syringes to canned cola.

According to the Financial Times (FT) on May 14, there is a global trend of stockpiling essential goods such as fuel and medical supplies in advance.

In Korea, consumers have been rushing to purchase plastic garbage bags in bundles of four or five. In Australia, demand for fuel containers has surged, particularly among drivers and farmers.

In India, a restricted supply of canned beverages has led to a shortage of diet cola. This is because, unlike regular cola, diet cola in India is only distributed in cans. In some Indian restaurants, events have been held where patrons receive diet cola in exchange for paying an entrance fee.

In China, posts expressing concern about a condom shortage have quickly spread via social media (SNS).

Companies are also scrambling to secure inventory, prompting government intervention in some cases. The Korean government has conducted special inspections of the competition to secure syringes, as medical supply distribution became limited due to a shortage of naphtha.

Different from the COVID-19 Era... 'Proactive Stockpiling' Rather Than Panic

However, some analysts point out that this situation is different in nature from the panic buying of toilet paper at the onset of COVID-19. At that time, temporary chaos was driven largely by fear, whereas now, the potential shortage of crude oil and essential raw materials has become a reality, leading households, companies, and governments alike to engage in proactive stockpiling.

Experts view stockpiling behavior among consumers as a natural market response. Mauro Pisu, Senior Economist at the Organisation for Economic Co-operation and Development (OECD), said, "If governments try to appease consumers in the short term by keeping prices low, the situation will worsen," adding, "Rather than imposing price controls to prevent panic buying, governments should allow the mechanism of rising prices to reduce demand."

Meanwhile, some countries are taking steps to stabilize supplies. Last week, Australia announced a 10 billion dollar package to expand domestic fuel reserves. The Japanese Prime Minister stated that petrochemical companies would be able to secure sufficient naphtha-based products by the end of the year.

However, some point out that market mechanisms alone may not be sufficient when supply shortages become a reality. If actual shortages occur, sharp price increases could exclude vulnerable groups from the market.

The Australian government is also implementing behavioral policies to curb consumption. Through a 20 million dollar advertising campaign, Australia is encouraging drivers to empty their car trunks, adjust tire pressure, and remove roof racks to reduce fuel consumption.

Additionally, there is analysis that maximizing the use of strategic reserves through international cooperation is a primary role of governments.

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