Price Increase Implemented Domestically from the 1st
Orion Explains "Due to Rising Raw Material Costs"
Consumer Groups Demand Price Reduction for Flour-Based Products
Orion has decided to raise the prices of products including Choco Song-i by an average of 10.6%.
On the 1st, Orion announced that it will increase the prices of 13 products, mainly snacks containing chocolate. The prices of Choco Song-i and Bicho B will rise by 20%. Based on convenience store prices, Choco Song-i will increase from 1,000 won to 1,200 won, and Bicho B from 3,000 won to 3,600 won. Chokchokhan Choco Chip will increase by 16.7%, Digest Choco by 12%, and Market O Brownie and Hot Break by 10%. For the chocolate product To You, a 30% price increase is unavoidable, so product supply will be suspended for the time being.
This is the first domestic price increase by Orion in two years since 2022. Orion stated that this price hike is due to rising raw material costs. Due to global climate anomalies, the international price of cocoa, the main ingredient of chocolate, has more than quadrupled over the past two years, and the price of nuts has nearly doubled in six years.
This price increase has been implemented only in South Korea. Orion determines product prices by each corporation considering the distribution structure and market conditions of each country. Orion explained that the Vietnam corporation raised the price of Choco Pie last month, and the corporations in China and Russia are closely monitoring market conditions.
Consumer groups expressed concerns about Orion's price increase. The Korea Consumer Organization Council's Price Monitoring Center stated, "Orion's business performance is stable," and added, "When Orion raised prices in 2022, they said that if costs stabilize, they would increase product quantity or lower prices. Since the prices of oils and flour have fallen compared to 2022, it is appropriate to reduce prices for products containing oils and flour."
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