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A spring napa cabbage cultivation facility. / Korea Agro-Fisheries & Food Trade Corporation (aT)

Consumer prices for agricultural and livestock products rose 0.8% year-on-year in April, with processed foods, meats, and dining-out costs all climbing despite a drop in fresh produce prices.

According to Statistics Korea's “April Consumer Price Trends” report released on May 2, overall consumer prices rose 2.1% from the same month last year, marking a fourth consecutive month of inflation.

The Ministry of Agriculture, Food and Rural Affairs said that agricultural prices fell 1.5% from a year earlier, and 4.3% from the previous month, thanks to stable prices in fruits and greenhouse-grown vegetables.

Despite recent wildfires in the Yeongnam region affecting key apple-growing areas, prices for apples declined 5.7% year-on-year due to stable supply. Vegetable prices are also expected to remain stable thanks to expanded spring cultivation areas. However, radish and napa cabbage prices remain elevated due to lower winter crop output.

According to the Korea Agro-Fisheries & Food Trade Corporation (aT), the average retail price of a head of napa cabbage was up 18.3% from a year ago and 6.77% above the seasonal average as of April 30. The price of a single radish stood at 2,922 won, 37.2% higher than last year and 60.4% above the average.

Livestock prices rose 4.8% year-on-year and 1.6% month-on-month, led by pork. The agriculture ministry attributed the increase in domestic pork prices to rising demand as imported pork used in processed foods became more expensive.

Processed food prices were up 4.1% from the previous year and 0.6% from March, reflecting higher costs in raw materials, labor, and exchange rates. In response, the government expanded tariff quotas on food materials like coffee and cocoa from 13 to 19 items and is now applying additional quotas on pork and processed egg products starting this month.

The government is also supporting the food industry through VAT exemptions on imported coffee and cocoa and 450 billion won in interest subsidies for raw material purchases like wheat, oilseeds, and cocoa.

Dining-out prices rose 3.2% year-on-year and 0.6% from the previous month, driven by higher costs in ingredients, labor, rent, and delivery app fees. To ease restaurant business burdens, the government plans to loosen restrictions on hiring foreign workers and promote the use of public delivery platforms.

A ministry official said, “We will continue monitoring crop conditions and livestock supply to maintain price stability, and take preemptive measures like stockpiling to cushion sudden disruptions from weather or other factors.”

Meanwhile, the National Assembly passed the agriculture ministry’s first supplementary budget of 2025 on May 1, totaling 212.9 billion won. Notably, funding for agricultural product discount programs was increased from 50 billion won to 120 billion won.