Hoarding of Masks, Voluntary Reports Accepted... "No Tolerance and Full Response After the 14th"

On the 10th, citizens are lining up to purchase public masks at a pharmacy in Myeongdong, Jung-gu, Seoul. Photo by Mun Ho-nam munonam@

[Asia Economy Reporter Choi Dae-yeol] The government has decided to accept voluntary reports for five days until the 14th from manufacturers and distributors hoarding masks. It warned that it will respond with full force if hoarding is detected after the voluntary reporting period ends.

On the 10th, Yang Jin-young, Deputy Director of the Ministry of Food and Drug Safety, said at a briefing, "We are operating a special voluntary reporting period for hoarding," adding, "Voluntary reports can be made through the MFDS Hoarding Voluntary Reporting Center." Anonymity will be guaranteed for those who voluntarily report, and penalties will be deferred. It was also stated that the information will not be provided to the National Tax Service for tax audits or other purposes. The reported quantities will be purchased by the Public Procurement Service at appropriate prices and supplied to the market through public sales channels.

Due to the rapid increase in demand for masks amid the spread of the novel coronavirus disease (COVID-19), there is a shortage in the market. The government has raised the supply volume through public sales channels to 80% of the total domestic production and implemented a 5-day rotation purchase system based on birth year starting the previous day for limited purchasing, which is the background for these measures.

Nevertheless, the government believes that hoarded masks are still being sold at prices higher than cost to make a profit. The government’s position is to first accept voluntary reports and then respond more strictly going forward. Deputy Director Yang said, "After the special voluntary reporting period, we will strengthen crackdowns through a government joint inspection team composed of the MFDS, National Tax Service, and Police Agency, with a principle of zero tolerance and full-scale response."

Meanwhile, according to the MFDS, the quantity supplied through public sales channels on this day was counted at 7,402,000 units. Of these, 442,000 units were specially supplied to Daegu and Gyeongbuk, and 1,000,000 units were supplied to medical institutions. The remaining 5,630,000 units were distributed to pharmacies, with some also shipped to Hanaro Mart (190,000 units) and post offices (140,000 units). On this day, people whose birth year ends with 2 or 7 can purchase two masks per person. At post offices or Hanaro Mart, where there is no personal purchase history verification system yet, only one mask per person is allowed.