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From abnormal climate, livestock epidemic to corona… Growing agflation fear


[이데일리 이윤화 기자] Ahead of the Lunar New Year, prices for agricultural, livestock and fisheries are on the rise. International grain prices such as wheat, corn and soybeans are also on the rise due to the effects of Corona 19 and abnormal climate, raising concerns about’Agflation’, which raises prices of agricultural products.

According to the National Statistical Office on the 2nd, the’January Consumer Price Index’ was 105.79, up 0.6% from the same period last year. The consumer price index reached 0% for the fourth month, but the perceived price is a zenith. Fresh foods showed a double-digit increase for 4 consecutive months from September (21.5%) to December, and grain and livestock prices are also on the rise.

Last month, agricultural and fishery products rose 10.0%, recording a 10% increase in two months since last November (11.1%). Agricultural products, including vegetables, rose by 11.2% and livestock products by 11.5%. Green onions (76.9%), onions (60.3%), apples (45.5%), and red pepper powder (34.4%), which were sluggish in production due to the long rainy season last year, became gold. Pork and domestic beef rose by 18.0% and 10.0%, respectively, and egg prices rose by 15.2% in the aftermath of the spread of avian influenza (AI).

As the prices of agricultural products and grains, which are used as raw materials, rise, the prices of food and drink and non-alcoholic beverages that are eaten and drink rose 6.5%, showing an increase of more than 6% in the sixth month. The price of processed foods is also increasing due to the rise in international grain prices, labor and distribution costs.

The expected inflation rate, which predicts the inflation rate for a year with the expectation of an economic recovery following the end of Corona 19 due to the supply of vaccines, is also maintained at a high level of 1.8% from October last year to January last year.

Therefore, it is pointed out that the government should not be deceived by the ‘0% level’ index price, and that the government should prepare active supply measures, such as expanding the stockpile.

Dankook University economics professor Kim Tae-gi said, “There is no choice but to take urgent income measures. In the distribution process, it is also necessary to check problems such as taking profits. It is the same principle as the price plunged as intermediate distributors released supplies, as it was said to be imported last year due to a shortage of masks. In the long term, it is the priority to secure insufficient quantities in preparation for the rise in international grain prices.”

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