National Data Office says July inflation eases as farm goods, fuel fall

The National Data Office said that South Korea's consumer prices rose 2.8 percent in July from a year earlier, slowing from June after farm and fisheries products and petroleum prices both declined on the month.

The consumer price index fell 0.2 percent from June as electricity, gas and water charges, industrial goods, and agricultural, livestock and fishery products pulled it lower despite higher service prices. Petroleum products fell 5.5 percent and agricultural, livestock and fishery products fell 0.8 percent from June.

"Record-high discount support under the June 26 cost-of-living price stabilization measures and cuts to the highest prices helped lower farm, livestock and fisheries products and petroleum prices from the prior month," Lee Hyeong-il, vice minister of finance and economy, said.

Inflation excluding food and energy rose 2.6 percent from a year earlier, 0.1 percentage point faster than in June. The index excluding agricultural products and petroleum rose 2.5 percent. Services rose 2.6 percent and goods 3.0 percent from a year earlier, with industrial products up 3.7 percent. Agricultural products fell 2.2 percent from a year earlier, with fresh vegetables down 4.3 percent and fresh fruit down 4.7 percent, while petroleum products were 15.5 percent more expensive than a year earlier.

The office plans to revise representative items and weights, reflecting 2025 consumption patterns, and publish the changes in December. It said figures published on the current 2020 base could change after the revision.