The South Korean government is acting to stabilize the soaring prices of agricultural products, and fruits in particular, with measures such as crackdowns on excessive price hikes aimed at profit in the distribution process and providing discount support. This decision comes as there are still no signs of price stabilization for these items even after the traditional peak during the annual Lunar New Year holiday.

During a livelihood economy inspection meeting held on Monday in Seoul, President Yoon Suk Yeol underscored the government’s commitment to “take immediate action to lower the prices of household staples,” with a focus on agricultural products. Yoon pledged government support to stabilize prices, particularly for alternative fruits, amid the skyrocketing prices of apples and pears, including expanded discounts at traditional markets and online shopping malls, as well as tariff quota increases on imported fruits, agricultural products, and processed foods.



The government plans to add five more items, including cherries and kiwis, to the current list of 24 types of fruit subject to reduced tariffs, while considering an increase, if necessary, of the 150-billion-won ($112.4 million) emergency fund to stabilize agricultural prices. Yoon also emphasized the government‘s commitment to closely monitoring the effects of these policies, pledging that “the government will respond firmly to excessive price increases or any market disruptive and unfair practices,” and urging the private sector to adjust prices in line with decreases in raw material costs.

But critics argue that the government’s expansion of discount support may not be a sustainable long-term solution, warning that these measures may stimulate demand and subsequently lead to a reverse increase in wholesale prices. Kim Jung-sik, a professor of economics at Yonsei University, suggested alternative approaches such as simplifying quarantine procedures or providing support for facility investment to cope with the reduction in fruit supply caused by global warming, rather than restricting apple and pear imports to protect farmers. Kwon Nam-hoon, a professor of economics at Konkuk University, called for the flexible operation of the quarantine system in response to price hikes of certain items.

By Kim Jung-hwan, Woo Je-yoon and Chang Iou-chung

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