South Korea ranks second in global food prices, just slightly higher than Switzerland.

Korean media: South Korea's food prices are too high, second only to Switzerland!

On August 7, Korean media outlet JoongAng Ilbo published an article stating that, according to purchasing power parity (PPP) standards reflecting actual purchasing power, South Korea’s food price level has ranked among the highest in OECD countries for three consecutive years. This means that despite South Korea’s overall consumer prices being below the OECD average, its food prices remain at the global peak.

According to price level statistics based on purchasing power parity released by the OECD, South Korea’s food and non-alcoholic beverage price index stood at 146 in 2024—46% higher than the OECD average of 100.

The purchasing power parity-based price level indicator compares relative price levels across countries by reflecting each nation’s purchasing power. Among the OECD’s 38 member countries, South Korea ranks second in food price level, just behind Switzerland (147).

Even when compared with major developed nations, South Korea’s food prices remain relatively high. Japan’s food price index is 121, the United States is 107, France is 100 (equal to the OECD average), while Germany (95.2) and the UK (91.4) both have food price indices below average—over 50 points lower than South Korea’s.

For the past three years, South Korea has consistently maintained the highest food price level among OECD members. In 2022, the index reached 152, tying with Switzerland for second place, behind Israel (155); in 2023, it dropped to 150 but surpassed Switzerland to rank first in the OECD. Last year, the index slightly declined to 146, ranking second—just behind Switzerland.

The price index for clothing and footwear is 115, above the OECD average; education costs are 108, also above average.

On the other hand, the household final consumption price index covering all consumer categories stands at 78, below the OECD average, placing South Korea 23rd out of 38 member countries.

This is mainly because, although certain goods are expensive, prices in other consumption categories—such as housing (54.7), transportation (75.3), leisure and culture (80.7), and food and accommodation (93.6)—are all below the OECD average.

Original source: toutiao.com/article/1872830218205187/

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