Rising Beer and Soju Prices Spark Concerns for Year-End Celebrations

Beer and Soju Prices Skyrocket, Causing Concerns for Year-End Gatherings

A surge in beer and soju prices is causing significant concern as the end of the year approaches. Major breweries attribute the price hikes to increased costs of raw materials and logistics.

Beer Prices Reach 9-Month High

Last month, beer prices recorded a 5.1% increase, reaching their highest point in 9 months. After months of stable prices around 1%, the sudden jump to the 5% range has caught consumers off guard.

Similar Trend for Soju Prices

Soju prices have followed a similar pattern, experiencing a 4.7% increase last month, the largest in 9 months. This sharp rise in prices is causing growing concerns among citizens.

Citizens Express Worries

As alcohol prices continue to rise, citizens are expressing their worries. One resident in Seoul mentioned that soju prices have increased from around 3,000 won to 5,000 won, leading to economic concerns.

Impact on Consumer Behavior

The rising alcohol prices have influenced consumer behavior, with individuals prioritizing affordability when choosing their drinks. Many opt for cheaper options, especially when it comes to accompanying side dishes.

Manufacturers Respond with Price Increases

Major beer companies have responded to the rise in costs by increasing their wholesale prices. OB Beer raised their prices by an average of nearly 7% two months ago, and Hite Jinro followed suit with a similar percentage increase last month.

Impact on Year-End Gatherings

The price increases at the manufacturing level are expected to be reflected in large supermarkets, convenience stores, and small supermarkets. This, in turn, is likely to increase the burden on individuals during year-end gatherings, where alcohol consumption is more frequent.

Growing Concerns Among Citizens

Overall, the rising prices of beer and soju are causing growing concerns among citizens. As the end of the year approaches, individuals are feeling the economic burden, leading them to choose more affordable options when it comes to their alcohol selection.

Source: JTBC