Daehan Flour Mills, which is under suspicion of colluding on flour prices, said on the 28th that it will cut prices on some flour products by an average of 4.6% starting on the 1st of next month.
The items covered are mainly 20-kilogram bulk products supplied to businesses—Gompyo premium noodles (Australian wheat), Gom (first-grade medium flour), and Elephant (first-grade strong flour)—as well as 3-kilogram, 2.5-kilogram, and 1-kilogram products supplied to retailers.
A Daehan Flour Mills official said, "Although external variables such as the recent tariff negotiations with the United States are uncertain, the won-dollar exchange rate is gradually stabilizing. In line with the government's policy of stabilizing prices and in active response to consumer demand, we decided to lower prices," adding, "We hope this will provide tangible help in stabilizing grocery prices."
Meanwhile, the Fair Trade Investigation Department of the Seoul Central District Prosecutors' Office (Director General Na Hee-seok) has expanded its flour price-fixing probe from five milling corporations, including Daehan Flour Mills, Sajo Dongaone, and CJ CheilJedang, to all seven corporations that are members of the Korea Flour Mills Industry Association. Prosecutors estimate the scale of the collusion at about 4 trillion won.