I originally didn't plan to buy this much. I was only going to buy watermelon and chamoe, but I ended up adding tomatoes, cabbage, and carrots to my cart.
At 11:30 a.m. on the 29th, in a Homeplus store in Mapo District, Seoul, Choi Eun-soon (67) noted, "As the temperature rises, I was planning to make samgyetang for my husband’s health. I quickly bought glutinous rice since it was on sale. The price was so cheap that I uncontrollably ended up buying various items." Half of Choi's shopping cart was filled with seasonal fruits and vegetables grown locally, including watermelon and chamoe.
In front of the produce section in the store, a sign announcing the 'stabilization of food prices' discount event was set up. On the display racks for seasonal fruits and vegetables, price tags showing discounted amounts were hung in red letters. A Homeplus employee surnamed Lim (46) said, "Recently, the number of customers buying domestic fruits and vegetables has increased. It feels like a 20–30% increase."
This discount event has been ongoing since the 22nd, organized by the Ministry of Agriculture, Food and Rural Affairs and the Korea Agro-Fisheries & Food Trade Corporation (aT). A portion of the government’s supplementary budget of 120 billion won for 'discount support for agricultural and livestock products' has been allocated. The government supports discounts on domestic agricultural products sold by online and offline retailers with this budget. If retailers sell products at a 20% discount, the government provides 20% of the consumer purchase price to the retailers in an effort to alleviate the burden of rising prices and revive the frozen consumer sentiment. This event will run until the 4th of next month, the day after the 21st presidential election (3rd).
On the same day at 1 p.m., the watermelon section of a Lotte Mart store in Yeongdeungpo District, Seoul, also drew a crowd. With a 20% discount for the food price stabilization event combined with credit card partnership discounts, a watermelon worth 25,000 won could be purchased for 13,720 won. Graduate student Kim Hyun-ji (30) said, "Normally, I wouldn't have bought a watermelon considering my budget, but with the almost half price, I went ahead and bought it."
On the same day, posters announcing the food price stabilization discount event were posted throughout an Emart store in Yeongdeungpo District, Seoul. An Emart employee surnamed Park (45) said, "Sales are doing well, especially for seasonal fruits like watermelon and chamoe, thanks to the discounts."
This event has been identified as melting the frozen consumer sentiment during the prolonged recession. According to Homeplus, between the 22nd and 28th when the discount event took place, sales of Seongju chamoe increased by 72% compared to the previous week, while sales of Namwon peaches and cherry tomatoes rose by 315% and 54%, respectively. Sales of black beans also increased by 210% compared to the previous week. Lotte Mart also saw a more than 5% increase in sales for seasonal fruits and vegetables like watermelon and chamoe compared to before the event.
A retailer industry representative noted, "The atmosphere is that customers visiting stores are buying a lot of domestic seasonal fruits or vegetables," and added, "In a situation where everyone is trying to cut down on spending due to the tough economy, the discount support through government budgets seems to be having a positive effect."
Recently, the retail industry is hoping for improvement in consumer sentiment following the presidential election. According to the 'Consumer Trend Survey' released by the Bank of Korea on the 27th, the Consumer Confidence Index (CCSI) for May stands at 101.8, rising by 8.0 points compared to the previous month. A CCSI above 100 indicates an optimistic sentiment compared to the long-term average (2003-2024), while a CCSI below 100 indicates pessimism.
Excluding May of last year, the Consumer Confidence Index remained above 100 from January to November but plummeted to 88.4 following the state of emergency in December. It remained in the 90s until last month.
A retailer industry representative said, "I hope the new government will actively focus on stabilizing people’s livelihoods and revitalizing the economy following the election," and added, "I hope the atmosphere of this discount event will continue after the election."