S. Koreans’ tobacco and alcohol spending rise in Q2

[THE INVESTOR] South Koreans cut back on education spending, but ponied more up for tobacco and alcohol products during the second quarter of the year compared to a year ago, data showed Aug. 19.

According to Statistics Korea data, South Korean households’ education spending declined 0.7 percent on-year, but spending on alcoholic drinks and tobacco products rose 7.1 percent. 

For tobacco alone, spending increased 10.9 percent, as tobacco consumption recovered from a tax hike implemented last year.

With the exception of alcohol and tobacco spending, most categories saw on-year drops.

South Korean household spending on food and non-alcoholic drinks fell 4.2 percent, while housing, water and energy fell 2 percent from a year ago.

Health-related spending, however, increased 3.7 percent, fueled by the large increase seen in spending on dental services, which recorded a 28.5 percent on-year rise.

By Choi He-suk (cheesuk@heraldcorp.com)