Soaring oil prices and grain prices in South Korea

Published 2021년 2월 15일

Tridge summary

The global commodity market is experiencing a surge in prices due to the anticipated economic recovery and reduced production by Middle Eastern oil-producing countries. This is leading to an increase in inflation pressure due to the liquidity effect from the Corona 19 pandemic. The food and beverage industry is responding by raising product prices, with some companies in South Korea already making price adjustments. Factors contributing to the price hikes include rising raw material costs, labor expenses, and the impact of the Corona 19 crisis and abnormal climate on food supplies. As a result, consumers are facing significant price increases in essential items like oil, food, and beverages.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

Expectations for economic recovery and impacts after this period International raw material prices have been linked to high altitudes every day, and electricity prices are inevitable to rise. Food and beverage industry also successively raises product prices. As such, the international commodity market is heating up. It is observed that the inflation pressure can quickly increase due to the liquidity effect released on the market due to Corona 19. The domestic processed food industry started relaying price hikes from the beginning of the year due to rising costs. West Texas crude oil (WTI) for March delivery on the New York Commercial Exchange on the 12th (local time) closed at $59.47 per barrel, up 2.1% from the previous day. It has risen 16.2% from a year ago, and compared to April last year, when oil prices plunged to $10 per barrel due to the Corona 19 shock, it surged six times. As the U.S. Joe Biden administration pushed for an additional $1.9 trillion worth of economic ...

Source: Khan