The government is supplying about 100 tons of cabbage to wholesale markets daily and providing 500 tons of radishes to large supermarkets at 70% of the wholesale price. This is a measure to stabilize the rapidly rising prices of cabbage and radishes due to heavy snowfall and cold waves and to regulate supply and demand.
Bom Kim, first vice minister of the Ministry of Strategy and Finance, noted during the 'Economic Relations Deputy Ministers’ Meeting and Price Relations Deputy Ministers’ Meeting and Livelihood Economy Inspection Task Force' held at the Government Seoul Building on the morning of the 7th that measures for stabilizing radish and cabbage prices include ▲ expanding supply volumes ▲ promoting alternative consumption ▲ increasing production volumes.
According to the government, as of late February, the wholesale price of cabbage has risen by 68% compared to the previous year, while the wholesale price of radishes has increased by 97.5%. The retail price of cabbage rose by 48%, and the retail price of radishes increased by more than 80%. This result is due to a production decrease of 10-21% compared to the previous year and the year before. Cabbage and radishes suffered from high temperatures and heavy rains during the sowing and planting period, and then faced poor crops due to heavy snowfall and cold waves in winter. The government expects high prices to persist until around April to May when cabbage and radishes are being cultivated.
The government plans to supply stockpiled volumes to major consumption areas until April of this year. The 2,600 tons of cabbage in reserve will be released to wholesale markets, and 500 tons of radish stockpiles will be supplied to large supermarkets at around 70% of the wholesale price.
The government plans to directly import between 200 and 500 tons of cabbage and radishes weekly for supply to wholesale markets and, if necessary, to directly supply processors or food material marts that have actual demand outside of wholesale markets. Volumes subject to quota tariffs will also be actively introduced.
In addition, the government will promote the consumption of alternative items such as spring greens, napa cabbage, and young radish greens. The discount period for these items will be extended from March to April, offering discounts of up to 40% at supermarkets and online malls.
The government plans to increase contract cultivation volumes of cabbage and radishes by 30-45% to encourage expansion. The spring cabbage contract volume will be 22,400 tons, which is an increase of 7,000 tons compared to the previous year, while the radish contract volume will be 4,500 tons, an increase of 1,000 tons. The government’s purchase volume will also expand to 7,500 tons.