An early intense heatwave is influencing agricultural prices in South Korea, raising concerns over "heatflation", a blend of heat and inflation driven by weather-related spikes in food costs. This July's rising temperatures have boosted demand while reducing supply, impacting popular summer fruits and vegetables such as watermelons, melons, peaches, napa cabbage, and radishes.
The Korea Agro-Fisheries & Food Trade Corporation (aT) reports that the average retail price of watermelons reached $22.60 on July 11, marking a 36.5% increase from the previous year and 38.5% above the five-year average. Prices surged 22.5% in just one week. This spike is attributed to limited sunlight during June's monsoon season and increased demand following the onset of heat. Last year, watermelon prices peaked at approximately $24.05 in mid-August.
Napa cabbage, sensitive to high temperatures, sold for $3.35 per head on July 11, down 10.8% year-on-year but up 27.4% from a week earlier. Radishes climbed 15.8% over the week to $1.80 each, as extreme heat limited harvesting. Melons were priced at $7.80 each, up 21.7% from last year, while white peaches reached $18.00 per 10-pack, reflecting a 10.3% increase.
In Seoul's markets, vendors and consumers voiced concerns. At Mangwon Market, fruit seller Choi Mo observed, "The prices of watermelon and melons are so high that it seems people aren't buying as much as last year. Seven out of ten people only ask about prices without buying." Even with discounted watermelons at $17–$19.40, scorching weather is discouraging purchases.
Shoppers are feeling the strain. Kim Won-hee (57) opted for a 5 kg box of tomatoes and several melons instead of a $23.30 watermelon. At Homeplus in Mapo, a 7 kg watermelon priced at $23.90 was still considered expensive, even with a discount. In Seocho, Park Mo (57) noted, "The price of watermelon is so high that I can't even eat it once this summer."
Vendors face similar challenges. At Gyeongdong Market, Park In-hong reported 8 kg of watermelons selling for $24–$28. Extreme heat has led to "melted watermelon," where the flesh deteriorates, reducing the number of quality fruits available. In Jeju City's Aewol-eup, farmers have started wrapping watermelons in paper to prevent sun damage.
Market forecasts suggest prices could rise further. A portion of the South Korean government's $24.6 billion supplementary budget—dedicated to livelihood recovery—could stimulate consumer demand, potentially inflating prices. "We are preparing supply measures to respond to the unstable supply of agricultural products impacted by abnormal weather like heatwaves," said an industry source.
Ajou University's Lee Jong-woo highlighted the imbalance between supply and demand. "While weather is clearly a factor, it's time for the government to consider long-term price management and supply strategy reforms."
Source 1: ChosunBiz
Source 2: The Chosun Daily
