October Inflation Slows to 2.8% for Second Straight Month... Processed Food and Fuel Prices Remain High (Comprehensive)

Ministry of Data and Statistics Consumer Price Trends
Vegetable Prices Fall 11.2%... Fuel Prices Rise 14.9%
Government: "64 Billion Won for Kimjang Measures"

Consumer price inflation slowed for a second consecutive month, reaching 2.8% in October. The decline in overall agricultural product prices, driven by increased shipments of vegetables amid favorable weather, was a key factor. However, the burden of grocery and energy costs remains substantial, as processed food prices rose at their fastest pace in 11 months and petroleum product prices continued to climb by more than 14%.

According to the October Consumer Price Trends released by the Ministry of Data and Statistics on November 3, the Consumer Price Index stood at 120.73 (2020=100) last month, up 2.8% from a year earlier. Inflation rose to 3.1% in May and 3.2% in June, before easing to 2.8% in July and rebounding to 3.1% in August. It then slowed for two consecutive months, to 2.9% in September and 2.8% in October.

Customers shop at Hanaro Mart Yangjae in Seocho-gu, Seoul, on the 10th, as prices of some agricultural products, including spinach and cucumbers, surge amid a prolonged heat wave. According to the Korea Agro-Fisheries & Food Trade Corporation, the retail price of spinach rose 152.3% to 1,978 won per 100 grams from 784 won a month earlier, while the price of cucumbers increased 54.8% to 8,313 won per 10, up from 5,369 won. Aug. 10, 2026. Photo by Kang Jinhyung

Vegetable Prices Fall 11.2%... Some Relief Ahead of Kimjang Season

As shipments of agricultural products increased, prices of agricultural, livestock, and fisheries products fell 1.7% from a year earlier. The decline widened considerably from September, when prices were down just 0.3%. The main factors were a 7.5% drop in agricultural product prices and an 11.2% fall in vegetable prices. Ahead of the kimjang season, cabbage prices fell 11.8% from a year earlier. Lettuce and cucumbers were down 44.3% and 39.5%, respectively. However, not all vegetable prices declined. Radish prices rose 6.3% from the previous month, with price trends varying by item. "Favorable weather improved crop conditions and increased shipments," said Lee Duwon, director general for economic trends and statistics at the Ministry of Data and Statistics. "We plan to continue monitoring supply and demand conditions and price fluctuations for key items, including cabbage and radish, ahead of the kimjang season."

Fruit prices fell 7.3% over the same period, but the decline was smaller than September's 9.7% drop. Lower vegetable and fruit prices brought down prices for agricultural, livestock, and fisheries products, but livestock product prices (4.8%) and fisheries product prices (5.4%) continued to rise. Domestic beef prices rose 9.1%, mackerel prices 9.3%, and hairtail prices 11.9%.

Processed Food Prices Rise 2.9%... Diesel Up 19.7% and Gasoline 11.6%

Vegetable prices fell, but the burden of food costs has barely eased, with processed food prices rising 2.9% last month from a year earlier. Bread prices rose 5.9%, prepared food prices climbed 12.4%, and prices for snacks, frozen desserts, and sugar products increased 3.0%. Even as agricultural product prices fell, rising prices for processed foods purchased regularly, such as convenience meals, limited the relief consumers felt from lower food prices. Overall, prices for food and nonalcoholic beverages rose 0.5%.

Fuel prices also impeded the decline in inflation. Petroleum product prices rose 14.9% from a year earlier, adding 0.56 percentage points to the overall inflation rate. Diesel prices increased 19.7%, gasoline prices rose 11.6%, and prices of liquefied petroleum gas (LPG) for vehicles climbed 4.1% from the previous month. This meant energy costs pushed inflation back up after lower agricultural product prices had brought it down.

Kwon Daeyeong, Vice Minister of Finance and Economy, presides over the 73rd Vice Ministerial Meeting on Prices at the Government Complex Seoul on the 3rd. Yonhap News Agency

Mobile Phone Prices Rise 10.8%, Highest in 25 Years and Five Months

Prices of industrial products also added to the cost-of-living burden, rising 4.4% from a year earlier. The increase followed rises of 4.2% in May and 4.4% in June. Among industrial products, prices rose not only for processed foods and petroleum products but also for information technology (IT) products. Mobile phone prices, in particular, jumped 10.8%, their biggest increase in 25 years and five months since a 16.5% rise in May 2001. The increase was attributed to the launch of new products and higher handset prices. Computer prices also surged 26.2%. Service prices rose 2.7% from a year earlier. Personal service prices increased 3.3%, while dining-out prices rose 2.9%. Insurance service fees climbed 13.4%, reflecting periodic increases in indemnity health insurance premiums. Overseas group travel prices rose 11.5%, and international airfares increased 20.7%. Higher international oil prices and increased travel demand were cited as contributing factors.

The government plans to spend a record 64 billion won to expand discounts on key kimjang ingredients and increase supplies of agricultural, livestock, and fisheries products, easing the burden on shoppers during the kimjang season. "We will closely monitor supply and demand conditions until price stability is felt in people's daily lives," said Kwon Daeyoung, First Vice Minister of Finance and Economy.

This content was produced with the assistance of AI translation services.