Convenience Store Industry Reflects Price Reduction in Chamisul and Jinro Wholesale Prices... Retail Prices 'Not Yet' Adjusted

HiteJinro Lowers Soju Wholesale Price Starting Today
Cost Prices Applied at CU, GS25, 7-Eleven, Emart24, etc.
"Consumer Retail Price Reduction Under Review"

On the 22nd, the convenience store industry reflected the price reductions from soju manufacturers such as Hite Jinro and Muhak. As the tax base adjustment led to a decrease in the wholesale prices from liquor companies, the reductions were proactively applied to ease the burden on franchise owners.

From that day, CU applied the lowered wholesale prices of major soju products like Chamisul and Jinro to their cost of sales. GS25, 7-Eleven, and Emart24 also reflected the wholesale price reductions on the same day.

[Image source=Yonhap News]

Earlier, Hite Jinro lowered the wholesale price of its major Chamisul Fresh (360ml) from 1,134 won by 121 won (10.6%), and Jinro reduced its price from 1,089 won by 116 won (10.6%). Muhak also cut the price of White (640ml, PET) from 2,127 won by 226 won (10.6%).

Hite Jinro had initially announced that, following the government's introduction of the standard sales ratio, the wholesale prices of soju products would be reduced starting from shipments on January 1 next year. However, to join the government's year-end efforts to stabilize prices and to lessen the burden on self-employed business owners and consumers during the peak season, the company decided to proactively lower the wholesale prices from shipments on this day, before the law takes effect.

In the case of Lotte Chilsung, from January 1 next year, the wholesale prices of soju products such as Cheoeumcheoreom and Saero will be reduced by 4.5% and 2.7%, respectively, compared to previous prices.

A convenience store industry official stated, "To reduce the burden on franchise owners, we immediately reflected the cost reductions as requested by the manufacturers. However, the changes will be reflected in consumer retail prices soon."

Meanwhile, large marts such as Emart and Homeplus are also reviewing the reflection of soju wholesale price reductions. An industry official said, "Whether to change the retail prices will be decided after further discussions."