Last month, Daegu 4.0%, Gyeongbuk 4.1%↑… Industrial products rise sharply due to rise in petroleum products
Government to extend fuel tax cut until the end of July
According to the ‘Daegu-Gyeongbuk February Consumer Price Trend’ announced by the Northeast Regional Statistical Office on the 4th, the consumer price index of Daegu in last month was 105.59 (2020 = 100), up 4.0% from the same month of the previous year. The picture is of a large supermarket that day. yunhap news
Last month, the Daegu-Gyeongbuk consumer price index rose by 4%. This was reflected in the price of industrial products as international oil prices rose sharply.
According to the ‘Daegu-Gyeongbuk February Consumer Price Trend’ announced by the Northeast Regional Statistical Office on the 4th, the consumer price index of Daegu in last month was 105.59 (2020 = 100), up 4.0% from the same month of the previous year. Gyeongbuk recorded a 4.1% consumer price increase.
The consumer price increase rate in Daegu rose to the 3% range for the first time in 9 years and 5 months in October (3.3%), and then reached the 4% range in November (4.0%), December (3.9%), and January (3.7%). The price trend is maintained. From November last year (4.4%) to last month, Gyeongsangbuk-do showed an increase in consumer prices of more than 4% for three consecutive months.
Looking at the consumer price inflation rate by item type last month, the upward trend of agricultural, livestock and fishery products has calmed down somewhat. However, it seems that prices for industrial products such as petroleum and processed food and for food and beverages rose, driving the inflation.
In Daegu, agricultural, livestock and fishery products rose 1.5 percent from a year ago, while industrial products rose 5.5 percent. Despite the government’s fuel tax cut policy, the price of petroleum products such as gasoline (17.1%) and diesel (21.1%) rose sharply. At the same time, the price of processed foods such as bread (9.5%) also rose, raising the price of industrial products.
Some are concerned that the Russian invasion of Ukraine did not significantly affect prices in February, but it will act as a negative factor in the future.
As inflation continued to rise, the government took measures. On the same day, the government held a price-related ministerial meeting presided over by Hong Nam-ki, Deputy Prime Minister of Economy and Minister of Strategy and Finance. It was the first time in five years and two months since January 2017 that the price-related ministerial meeting was held. This is the first time under the Moon Jae-in government.
At the meeting, it was decided to extend the period of applying the 20% reduction in fuel tax and 0% tariff on liquefied natural gas (LNG) by three months until the end of July. These measures have been in effect since November of last year and were scheduled to end at the end of April.
Deputy Prime Minister Hong said, “This is a measure to minimize the impact on inflation caused by high oil prices.”