ID :
197238
Tue, 07/26/2011 - 11:04
Auther :
Shortlink :
https://oananews.org//node/197238
The shortlink copeid
S. Korea to look into structural problems in distribution network: minister
(ATTN: ADDS detailed measures in last 2 paras)
SEOUL, July 26 (Yonhap) -- South Korea will closely look into the nation's distribution network for any structural shortcomings fueling price hikes amid ongoing government efforts to bring inflation under control, the top economic policymaker said Tuesday.
"In order to address structural problems in our industries and the distribution network, we are going to launch a task force," Finance Minister Bahk Jae-wan told other policymakers during a price stabilization meeting.
The move is the latest in a string of government measures aimed at easing a buildup in inflationary pressure mainly driven by high oil and food prices.
Bahk said that the nation is currently facing an "inflation crisis," and stressed that the government, corporate sector and consumers all needed to work together to overcome the challenge.
With regard to concerns that hikes in public service charges could drive up consumer prices, Bahk said that the government will do its best to ease its impact on the livelihoods of ordinary citizens.
South Korea is planning to raise major public service rates during the second half after a prolonged delay. Earlier in the day, the government announced that it will hike electricity prices by an average 4.9 percent starting next month.
The minister noted that the government will minimize price hikes even in the areas where rate increases are necessary, while spreading out their timetables in order to assuage suffering among low and mid-income people.
Calling inflation a "global issue," Bahk said that he will convene such minister-level price stabilization meetings every week. He added that Seoul will step up communication with the private sector to come up with "market friendly" measures intended to ease inflationary pressure.
In a related move, the finance ministry said in a press release that it will ease punishment against companies for price rigging in return for their voluntary action to rectify the situation by discontinuing the anti-competitive practice and lowering their product prices before the investigation is completed.
The government also plans to disclose every month from August lists comparing the costs of 10 major daily products and services across the country's provinces and cities, a move intended to boost market competition and induce price reductions, the ministry added.
SEOUL, July 26 (Yonhap) -- South Korea will closely look into the nation's distribution network for any structural shortcomings fueling price hikes amid ongoing government efforts to bring inflation under control, the top economic policymaker said Tuesday.
"In order to address structural problems in our industries and the distribution network, we are going to launch a task force," Finance Minister Bahk Jae-wan told other policymakers during a price stabilization meeting.
The move is the latest in a string of government measures aimed at easing a buildup in inflationary pressure mainly driven by high oil and food prices.
Bahk said that the nation is currently facing an "inflation crisis," and stressed that the government, corporate sector and consumers all needed to work together to overcome the challenge.
With regard to concerns that hikes in public service charges could drive up consumer prices, Bahk said that the government will do its best to ease its impact on the livelihoods of ordinary citizens.
South Korea is planning to raise major public service rates during the second half after a prolonged delay. Earlier in the day, the government announced that it will hike electricity prices by an average 4.9 percent starting next month.
The minister noted that the government will minimize price hikes even in the areas where rate increases are necessary, while spreading out their timetables in order to assuage suffering among low and mid-income people.
Calling inflation a "global issue," Bahk said that he will convene such minister-level price stabilization meetings every week. He added that Seoul will step up communication with the private sector to come up with "market friendly" measures intended to ease inflationary pressure.
In a related move, the finance ministry said in a press release that it will ease punishment against companies for price rigging in return for their voluntary action to rectify the situation by discontinuing the anti-competitive practice and lowering their product prices before the investigation is completed.
The government also plans to disclose every month from August lists comparing the costs of 10 major daily products and services across the country's provinces and cities, a move intended to boost market competition and induce price reductions, the ministry added.
