SEOUL, March 29 (Korea Bizwire) — Local bakeries and noodle restaurants are struggling with a spike in the price of flour and other ingredients since last year.
For many small owner-operated businesses, buying and storing flour in advance is not an option, which has exposed them to the risk of direct impact from price fluctuations.
“The ingredients we use are mostly from overseas. Their prices have gone up, and we’re struggling,” said a 52-year-old bakery owner surnamed Park.
Large conglomerates purchase flour in bulk before the price goes up, minimizing the impact caused by price fluctuations.
“It’s not just flour we’re talking about. The rising price of other ingredients and wage problems are forcing us to raise the price of all of our products by 1,000 won,” said Bae Deok-jung, the 44-year-old owner of a Chinese restaurant in Seoul.
“We can’t buy ingredients and store them in advance, we don’t have the space.”
The Korea Consumer Agency reported a 4.6 percent rise in the price of kalguksu or hand-rolled noodles in Seoul going from 7,615 won (US$6.24) in December last year to 7,962 won in February. From February of last year, the price has gone up by 8.9 percent.
Image Credit: Yonhap / photonews@koreabizwire.com
