Published : Dec. 1, 2016 - 09:21
South Korea's consumer prices gained more than 1 percent for the third month in a row in November on high prices of fresh groceries, government data showed Thursday.
The country's consumer price index rose 1.3 percent last month from a year earlier, unchanging from the previous month's 1.3 percent gain, according to the data compiled by Statistics Korea.
Flower vending machine (Photo courtesy of the Korea Agro-Fisheries and Food Trade Corporation)
The inflation has stayed over the 1 percent level since September, when it snapped the less than 1 percent growth between May and August
From a month earlier, the index edged down 0.1 percent in November.
Core inflation, which excludes volatile oil and food prices, increased 1.8 percent compared with last year but remained unchanged from a month earlier.
The statistics office said high-flying prices of agricultural products lent support to the rise in the consumer prices as sizzling heat and a typhoon in the summer dragged down the output of fresh vegetables and fruits.
Prices of farm products jumped 9.6 percent last month, and those of meat rose 6.1 percent.
In particular, people saw prices of fresh vegetables soar 36.8 percent last month, with those of Chinese cabbage, the main vegetable for the Korean traditional side dish kimchi, shooting up 82.1 percent on-year.
The price index for service bills like rent and health care fees also advanced 1.8 percent on-year in November, while prices of gasoline and electricity fell 6.4 percent from a year ago amid low oil prices.
"The bad weather affected the prices of agricultural products, which pushed up the entire index to a large extent," said Woo Young-jae, director of the price statistics division at the statistical bureau. "As it is now entering the winter season, the prices of groceries will probably fluctuate more widely in the coming months."
He said an upturn in international crude oil prices will help the South Korean price index steadily post a 1 percent on-year gain.
"We expect that oil prices will be higher than those tallied a year ago, as Dubai crude hit US$25 per barrel in January, but now it hovers around $45," the official said. "But a scheduled electricity price cut will offset the increase in gasoline at the pump."
The government earlier announced a plan to lower household electricity bills by 11 percent starting in December as part of its efforts to reform the decades-old progressive billing system. (Yonhap)