October 12, 2011
South Korea's Seoul Milk prices up 10%
From October 16, South Korea's Seoul Milk is increasing its milk prices by an average of 10%.
According to the media, Seoul Milk on Tuesday (Oct 11) announced a price increase of around 10% supplied to big retail marts and supermarkets from October 16.
When the price increase is applied, a carton of one litre milk at a retail store will be sold at KRW2,450 (US$2.10) from its previous price of KRW2,200 (US$1.88).
At large retail marts, the price will shift from KRW2,150-2,370 (US$1.84-2.02).
The raise is due to the rise in the supply price of raw milk since August 16, a KRW138 (US$0.12) increase per litre.
Seoul Milk has been holding its initial plan to raise the prices of milk for almost two months with the government's call for maintaining the existing price level. The government's request came from mounting worries over the possible influence of increased milk price on inflation in consumer prices.
With Seoul Milk taking the lead, other dairies such as Namyang and Maeil are highly likely to join the price rise.