Korea's producer prices hit levels not seen in 3 years, in January, with vegetable prices marking the biggest increases.
Unfortunately for the foreseeable future this upward trend seems set to continue.
Park Hee-jun has this report.
Korea's producer prices have reached their highest level in over 3 years.
According to the Bank of Korea, January's producer price index stood at 103.5-- up 0.4 percent compared to the previous month and 1.2 percent on-year.
The index is at its highest since November 2014 and has increased at its fastest pace in four months.
The producer price increases have largely been attributed to the recent freezing temperatures and heavy snowfall,... which led to a drastic rise in vegetable prices.
Agricultural product prices climbed 8.7 percent, the largest jump since August last year, when they spiked 14-point-two percent.
Bell pepper prices rose 151 percent, green chillis 89 percent, and cucumbers 41 percent compared to December last year.
"The spike in prices is making customers think twice before putting vegetables into their shopping carts. Here at one of the largest supermarkets in Seoul,... price tags are constantly being changed to reflect the rising prices."
"I can see that prices for various products have risen, but it's much more evident in vegetable prices."
"Common people like us can definitely feel the prices rising. But if you think about the farmers who suffer more from the cold weather,... it's something that we have to endure."
The producer price index is considered a barometer of inflation as it shows the wholesale price of goods and services,... which is an indicator of future consumer price rises.
It is expected that the continued increase in prices-- especially of vegetables-- ,... is unlikely to end in the near future.
Park Hee-jun, Arirang News.
