Bread Prices Up 22% in 2 Years... Government Closely Manages Items with High Inflation Perception

Choo Kyung-ho "Price Stability Will Gradually Appear"

The prices of food items such as bread and milk have significantly increased for the second consecutive year.

According to the National Statistical Portal of Statistics Korea on the 12th, the consumer price index for milk last month was 122.03, up 14.3% compared to the same month last year. Compared to two years ago, it rose by 17.4%. Sugar also increased by 17.4% compared to the same month last year.

As the government has decided to monitor the prices of 28 agricultural and food products, including bread and milk, on a daily basis, bread is displayed at a large supermarket in downtown Seoul on the afternoon of the 12th.
[Image source=Yonhap News]

As a result, the prices of processed foods surged. The price of bread rose 5.5% compared to a year ago, and increased by as much as 21.6% compared to two years ago. Ice cream prices went up 15.2% compared to a year ago and 23.8% compared to two years ago.

The situation is similar for dining out. Last month, chicken prices increased by 4.5% compared to a year ago, but were 15.2% higher than two years ago. Hamburger prices rose 6.8% compared to a year ago and increased by 19.6% compared to October 2021.

In response, the government plans to monitor the prices of bread, milk, and other items with high public sensitivity daily, communicate with related product manufacturers and consumer groups, and seek solutions to manage prices.

As the government has decided to monitor the prices of 28 agricultural and food products, including bread and milk, on a daily basis, bread is displayed at a large supermarket in downtown Seoul on the afternoon of the 12th.
[Image source=Yonhap News]

'Bread Officer' Revival?…Minister of Economy and Finance Calls It an "Exaggerated Expression"

Previously, prices of 19 items, including 14 agricultural and livestock products and 5 dining-out menu items, were checked daily. To curb the rising prices, nine processed food items will now be included in the regular price monitoring. The processed foods subject to regular checks this time are bread, milk, snack cookies, coffee, ramen, ice cream, sugar, cooking oil, and flour.

Meanwhile, Deputy Prime Minister and Minister of Economy and Finance Choo Kyung-ho appeared on KBS's 'Sunday Diagnosis Live' on the same day and stated, "Recently, comprehensive efforts to stabilize supply and demand have been made, and with the weather returning somewhat to normal, agricultural product prices have generally started to decline."

Regarding criticism that the government's designation of item-specific managers for focused price management recalls the 'Bread Officer' and 'Milk Secretary' from the Lee Myung-bak administration, he said, "That seems to be a somewhat exaggerated expression," adding, "Prices cannot be stabilized by the government alone; cooperation from all sectors is necessary. This is about seeking cooperation in that regard, not about visiting bread factories to investigate costs one by one or anything like that."