March 16, 2021
South Korean egg prices expected to surge 68% between March to May
The state-run Korea Rural Economic Institute (KREI) has projected egg prices in South Korea to surge 68% between March to May this year, as the country faces a supply shortage caused by bird flu outbreaks in the country, Yonhap News Agency reported.
The KREI estimated it will cost an estimated KRW 1,600 (~US$1.41; KRW 1,000 = US$0.88) to KRW 1,800 (~US$1.59) for a large-size 10-egg carton. This is much higher than the KRW 1,069 to KRW 1,158 (~US$0.94 to US$1.02) per carton last year.
The consumer price for a 30-egg bundle averaged KRW 7,633 (~US$6.75) as of March 12. This was 24% lower compared to last month but 44.7% higher than last year.
The KREI said the surge in egg prices was due to a drop in production caused by the spread of bird flu in the country.
The report from the KREI projected a 8.7% decrease on-year for average number of chickens on farms to 66.1 million between March to May. This is estimated to cut egg production daily to 37.6 million eggs, or by 17.1% on-year.
The KREI said egg production is expected to normalise in June and September and stabilise egg prices, only if bird flu subsides in the country.
South Korea temporarily suspended tariffs on imported egg products on January 28 to ease the supply shortage. Local companies are permitted to ship in 50,000 tonnes of fresh eggs and seven other types of egg products with no imposed tariffs until June 30.
- Yonhap News Agency