The government is expanding the reserve of cabbage, radishes, and onions to stabilize vegetable prices during the summer. The Ministry of Agriculture, Food and Rural Affairs announced on the 9th that they are implementing proactive supply and demand stabilization measures to prevent production and supply instability caused by weather disasters such as heavy rain and heat waves in summer.
According to the ministry, the production of spring-grown cabbage and radishes has increased, and the supply of onions and garlic is also rising, indicating that vegetable supply will likely remain stable for the time being. However, summer cabbage, shipped from July to October, is highly uncertain as weather conditions like heat waves can cause rapid changes in crop conditions. There is concern that the market supply may decrease in August and September, as the area intended for summer cabbage cultivation by highland farming households has decreased by 9% compared to last year.
In response, the ministry has pre-contracted a purchase agreement with farmers who can ship additional quantities in August and September, securing about 4,000 tons of additional quantity. Additionally, the government plans to stockpile spring cabbage, which has seen increased production, at a record level.
With increased production leading to a drop in onion prices, the government aims to manage market supply by market isolation (30,000 tons), shipment delay (5,000 tons), and export support.
Fruits, such as apples and pears, maintain a stable supply situation through the diversified shipment of the 2024 harvest stock. Although there are significant concerns about reduced production due to wildfire damage in the core apple-producing region of North Gyeongsang, the directly affected apple cultivation area is limited to 473 hectares, accounting for only 1.4% of the national cultivation area. A ministry official noted, 'Damage from weather disasters like cold weather is minimal compared to usual,' adding, 'Considering growth conditions, securing a production level comparable to an average year is expected.' However, there is concern that the rate of top-quality products might decrease slightly due to hail damage.
Livestock prices have increased compared to the same period last year due to the base effect of last year's oversupply and discount support. However, the supply and demand situation remains stable. Last month, the consumer price index for pork and domestic beef decreased by 5.2% and 2.3%, respectively, compared to the same month last year.
A ministry official stated, 'The wholesale price of pork remains somewhat high due to a decrease in imports in the first quarter of this year due to the impact of exchange rate increases. However, prices are expected to stabilize with an increase in domestic supply in the second half of the year.'
The impact of import restrictions on Brazilian chicken is noted, but the domestic supply impact appears to be insignificant. A ministry official mentioned, 'We will promptly process the import approval for chicken from non-highly pathogenic avian influenza regions in Brazil. At the same time, we will actively pursue measures to increase the supply of domestic chicken, such as securing alternative import sources like Thailand, expanding chick stocking, and extending the production cycle of parent stock.'