In the summer of 2022, many countries around the world are shrouded in fear of soaring prices.
In a previous article, we mentioned that the inflation rate in the United States reached 8.6% in May, a 40-year high. The rising prices are unacceptable to the working class.
However, this phenomenon is not unique to the United States. Our neighboring country, South Korea, has witnessed incredible skyrocketing prices in the past two months. Takeaway is more expensive, ramen is more expensive, fruits are more expensive, even rice is more expensive.
Korean netizens complained that they could no longer afford "soul food", fried chicken and grilled pork belly.
Korean media said that they used to say that "except for wages, everything will increase." This time they have realized it.
According to Korean media reports, South Korea’s inflation rate reached 6% in June, the most serious in 23 years since the foreign exchange crisis in 1998. What is even more worrying is that the upward trend and speed do not seem to have stopped yet.
Prices in South Korea increased by 5% in May this year, to 6% in June, and are expected to reach 7% in July. In August... who knows.
In addition to the increase in daily living expenses, electricity and gas bills have also increased starting this month, bringing greater pressure to ordinary families.
Although the new President Yin Xiyue promised to personally deal with people's livelihood issues, in fact, the South Korean government can do very little to deal with this soaring price.
The first point is similar to the cause of inflation in the United States, both related to the instability of the international supply chain caused by the Russia-Ukraine war.
The second point is that the price of raw materials has increased due to the aftermath of the epidemic, and there is a shortage of labor in the logistics and manufacturing industries. Manufacturers have to increase employment costs, making these two links more expensive than before.
Russia and Ukraine are major exporters of many food raw materials. Ukraine is also known as the "European granary" because of its large amount of wheat exports. For this reason, the war caused the two countries to tighten the export of strategic materials, and South Korea, which relied on wheat imports, suffered a loss.
htmlIn 16 months, the price of processed food increased by 7.9%, which was the most affected among all categories. Maybe you don't have any idea yet. For example, Koreans talk about it and eat ramen (instant noodles) almost every week.
html Well-known companies Nongshim and Samyang , which have not had any price changes in 15 years, have raised their prices for the first time. The reason is that due to the food crisis, Ukraine and India have suspended wheat exports, and Indonesia, which exports palm oil necessary for fried instant noodles, has recently begun to control exports. The prices of two major raw materials have soared, causing major manufacturers to choose to increase prices.
Other common Korean products that have increased in price
Subway The Korean division also announced that it had to raise the prices of various sandwiches because the company could not afford the large-scale increase in costs.
At the same time, food prices in supermarkets and convenience stores are also rising. All kinds of sandwiches have increased by 300 to 500 won, and the price of milk has also reached a record high in 10 years, but this is still pale in comparison to takeaways and dine-in restaurants.
Last month, the cost of dining out increased by 4.2% compared with December last year. The prices of Korean fried noodles that Koreans often eat have increased by 6.3%, and fried rice cakes prices have increased by 6%. Some stores even increase their prices every month, and they haven't seen the end yet.
People who went shopping and had dinner on weekends complained a lot. In an interview with Korean TV station , two girls from Seoul ordered a pizza and paid 37,000 won (190 yuan) . They said it was not so expensive last year.
Another interviewee and his girlfriend had a plate of pasta from a non-high-end restaurant, which cost 30,000 won (154 yuan), which was also more expensive than before.
Chinese netizens in South Korea also discovered the problem of rising prices:
Some netizens found that many colleagues who used to go to restaurants to eat began to eat instant noodles for lunch, because the price of instant noodles is still a little less than that in restaurants.
In order to make the price increase more intuitive, a netizen compared the price tags of "cream scones" at different times together.
The first price of the label was 2,500 won in April 2021, which increased to 2,700 won, 3,200 won, and in July 2022 it was already 3,400 won.
The Korea Livestock Products Quality Evaluation Institute announced on June 23 that the price of pork belly per kilogram is about 30,000 won (about 154 yuan), which is an increase of 14.7% compared with the price of 25,000 won last month.
The price of pork belly for one person in a Seoul barbecue restaurant has also reached 17,000 won (about 88 yuan).
A netizen said that he has not dared to eat pork belly for a while and had to bear it for a long time before eating meat:
"Pork belly has become crazy in recent days, and one piece costs 20,000 won. (102 yuan) , but my mother makes it The pork belly is really delicious."
"The price of the pork belly bento that I eat most has been rising. It's so sad. "
The prices of fried noodles and ramen have also increased, and rice soup has also been affected. Some netizens complained that for many years the price of rice soup and a bowl of rice has been 1,000 won (about 5 yuan) , but recently the price of rice has exceeded a thousand yuan.
- "What's even more shocking is that the price of a bowl of rice is over 1,000 won."
- "How can this be! Isn't a bowl of rice worth 1,000 won more natural than 'Seoul is the capital of South Korea'? ?”
Some netizens reported that due to the increase in raw material prices, purchasing collective lunches provided by the school has become very troublesome. The government has restricted the standards by which schools can purchase food, but budgets have remained virtually unchanged.
Edible oil is more expensive than before. Chili sauce that can be purchased for 50,000 yuan has now increased to 80,000 yuan. The prices of basic seasonings such as sugar and salt have also increased.
Netizens said that not long ago, the average cost of making a meal was 1500-2000 won (8-10 yuan), but now it is 2500-4000 won (13~20.5 yuan).
Of course, none of this can compare to the soaring price of fried chicken that has left the Korean people speechless. According to news reports, several of South Korea's most famous fried chicken chain brands have raised their prices, and since then the price of fried chicken has exceeded the 20,000 won (102 yuan) mark.
What we are talking about here is the most basic original flavor fried chicken. The premium for other flavors will be even more serious.
A Seoul resident said that when ordering fried chicken takeout, not only the price of the chicken has increased to 20,000 won, but the delivery fee has also increased, making it feel very expensive.
Netizens also posted pictures to complain: "A chicken costs 69,300 won (356 yuan) , which is a sky-high price!"
"Although it is delicious, the price is so expensive that it makes people cry."
Some netizens have given up on takeout. Satisfy my cravings by myself: "I made roasted chicken tonight. It tastes more natural than take-out fried chicken. I used to eat it that way. This method saves a lot of money compared to ordering fried chicken. You can eat a chicken for 8,900 won ( About 46 yuan) , 6,000 won was enough before prices soared (30 yuan) ”
In addition, the price of fruits has also increased.One netizen wrote:
"I am a fruit maniac who feels uncomfortable without eating fruit for a day. Today I finally ate my first watermelon of the year! Compared with last year, the price of watermelon has increased a lot. I cried to buy it. .”
According to a June report released by the Agricultural Observation Center of the Korea Rural Economic Research Institute, the wholesale price of watermelon in South Korea increased by 32% in June compared with last year, reaching 2,300 to 2,500 won per kilogram. This is due to the shortage of labor among melon farmers and the poor climate, which causes watermelons to mature slowly. Therefore, shipments have decreased and supply exceeds demand.
The prices of apples, oranges and grapes will also increase. Although the reasons for these price increases are different from those of fried chicken and other foods, they all happened at the same time period, which is quite upsetting to the public.
Although South Korea’s inflation this time is largely an uncontrollable result caused by the epidemic and war, there may also be “man-made” reasons behind it.
For example, the price increase of fried chicken has attracted widespread attention from the Korean media. The Consumer Organization Committee also conducted an investigation into the price increase. They believe that the price increase of fried chicken is unnecessary.
Although labor costs and raw material prices have increased, according to the report, the profit structure of several large fried chicken companies has not changed significantly, and their profits are very stable.
South Korea’s chicken does not rely on large quantities of imports. Although the price of chicken has increased, the price is stable and the impact will not be that big. Therefore, industry insiders suspect that some companies are taking advantage of South Korea's inflation to fish in troubled waters, making more money after raising prices and then blaming inflation.
In fact, this kind of thing has really happened before. Between 2005 and 2017, six South Korean companies colluded to raise the price of chicken required for fried chicken and ginseng chicken soup, killing chickens in large numbers and destroying eggs to control broiler shipments.
In other words, the original shipment volume was sufficient, but these companies deliberately controlled the killing of chickens and then raised prices on the grounds that "supply exceeded demand". Even the Korean Broiler Chicken Association joined this conspiracy. In the end, it is the people who suffer.
In addition to food, due to the impact of the Russo-Ukrainian war, the supply of corn starch and other auxiliary materials for papermaking from Ukraine is difficult. The price of paper products in South Korea has reached a record high, and toilet paper is likely to increase in price by 50%.
The prices of books and periodicals will also increase, and even buying celebrity peripherals will be more expensive.
In addition to South Korea, many countries are fighting against inflation due to wars and epidemics. This is how the globalized economy affects the whole body. This is not a problem for one country, but a test that is difficult for everyone to avoid in difficult times.
I hope we can all get out of this predicament quickly and live a stable life...
