Living in Korea will be more costly in the latter half of this year as public utility charges and dairy prices are likely to climb.
Consumers will have to pay more for dairy starting within a week. Raw milk producers and processors reached an agreement to raise milk prices by 20 percent, the Ministry of Food, Agriculture, Forestry and Fisheries said yesterday. Processors will have to pay 120 won ($0.12) for one liter of milk ? 20.5 percent more than the current price. The price of raw milk has not seen a rise since 2004, when it was raised to 584 won per liter.
The price of other dairy products, including cheese and baby formula, will increase by a similar margin.
The subcommittee of the Korea Dairy and Beef Farmers Association agreed to the 20.5 percent rise last Friday during a 14th round of negotiations. This agreement now awaits the approval of the association’s board of directors. Although the association represents 27 percent of the country’s milk producers, their milk prices are reflected in the country’s top milk companies including Seoul Milk, Maeil Dairies and Namyang Dairy Products.