The livestock products market is stirring again. Korean beef prices, which fell last year due to oversupply, have been recovering this year and are exceeding average levels by cut. Pork is also continuing to rise on the back of fewer slaughters and reduced imports.
According to distribution data from the Korea Institute for Animal Products Quality Evaluation on Oct. 19, the average retail price of grade-1 Korean beef sirloin was 10,187 won per 100 g as of Oct. 18, up 3.9% from last year (9,806 won). Grade-1 tenderloin was 14,261 won, up 10.7% from the previous year (12,886 won). Both are 7.5% higher than the average year.
Brisket, which is widely used for stews, was 6,126 won per 100 g, up 6.5% from last year (5,751 won) and 3.4% from the average year. Although Korean beef remains in an oversupply phase, prices appear to have turned upward as shipments decreased from last year.
The Agricultural Outlook Center at the Korea Rural Economic Institute (KREI) projected this year's Korean beef slaughter at 929,000 head, down 6.1% from last year's record 990,000 head.
Pork prices show a similar trend. As of Oct. 18, the average retail price of pork belly was 2,872 won per 100 g, 6.9% higher than last year (2,687 won) and 7.8% higher than the average year. Neck was 2,686 won, up 5.1% from a year earlier; ribs were 1,627 won, up 12.8%; and front leg was 1,626 won, up 13.4%.
This is analyzed as the combined result of fewer slaughters, lower inventories of domestic products, and reduced imports due to higher international prices.
Consumers have also found it more burdensome than before to buy imported beef and pork, which are cheaper than domestic products.
According to the Korea Institute for Animal Products Quality Evaluation, U.S. frozen ribs averaged 4,498 won per 100 g at retail, up 2.8% from last year and as much as 22.4% from the average year.
U.S. chilled short plate was 4,878 won per 100 g, up 10% from last year and 21.5% higher than the average year. Australian frozen ribs were 4,389 won per 100 g, 3.2% lower than last year but 19.7% higher than the average year. The unit import price of beef was $8.1 per kg in January–August, up 1.6% from last year. For imported pork, the average retail price of pork belly was 1,529 won per 100 g, 4% and 6.1% higher than last year and the average year, respectively.
Chicken and egg prices are relatively stable. The average retail price of broilers was 5,685 won per kg, similar to last year (5,768 won) and the average year (5,556 won). A tray of eggs (30 extra-large) averaged 6,968 won, little changed from last year (6,937 won).
Minister Song Mi-ryung of the Ministry of Agriculture, Food and Rural Affairs said on Oct. 14, "While the supply and demand of agricultural products are generally stable, the prices of livestock products, processed foods, and dining out are higher than a year ago," adding, "We will ease consumers' inflation burden through discount events and public delivery apps."