<Anchor> This
is a friendly economic time.
Today (16th), I will be with reporter Han Ji-yeon.
These days, we seem to be getting a lot of news that we're going up, but now the price of flour is going up again?
<Reporter>
Yes, this is because India banned wheat exports last weekend, and domestic food prices are also expected to suffer.
Of course, most of Korea's imports are from the US, Australia, and Canada, and other countries, including India, account for only 0.05% of imports.
The immediate damage will not be great, but if India, the world's second-largest wheat producer, stops exporting, it is certain that the international wheat price will rise.
Previously, the price of flour had already skyrocketed due to the war between Russia and Ukraine, which accounts for 25% of the world's wheat exports.
In March, wheat futures were up 74% from a year earlier.
In addition, it is predicted that this year, global wheat production will decrease by 4.4% compared to last year due to adverse weather conditions.
If India's export ban is added, the price of food and food will inevitably go up as we depend on imports for most of our grains.
<Anchor>
Then why did India suddenly announce that it would stop exporting wheat?
<Reporter>
Yes, last month India's wheat exports were five times higher than a year ago.
Also, until the 11th, they said, "There will be no restrictions on wheat exports," but they changed their position two days later. The Indian government said that it was because of food security.
First of all, production decreased due to an untimely heat wave in March and April.
Also, there is no sign that international wheat prices will subside due to the Ukraine crisis.
When the price of wheat rises worldwide, it is advantageous for wheat producers and distributors to sell it outside.
In addition, last month, India's inflation rate stood at 8%, the highest level in eight years.
<Anchor>
So, there's no need to use India anymore, that's the logic.
In this way, the national priority centered on resources is the atmosphere that is spreading all over the world right now?
<Reporter>
Yes, raw materials and raw material prices are rising all over the world.
Countries with resources are either suspending exports or expanding stockpiles, which have already started in Indonesia before India.
Indonesia, the world's No. 1 coal exporter, banned coal exports for a month in January, because when the price of coal in the international market rose to $150 per ton, all coal producers exported and the operation of power plants in the country almost stopped.
Also, at the end of last month, you stopped exporting palm oil until the price of cooking oil in your country stabilized.
There were external criticisms of raising the price of international cooking oil, but the Indonesian president did not budge, saying, "It is ironic that there is a shortage of cooking oil in the world's largest producer of palm oil."
Egypt also halted exports of key grains such as wheat and soybeans for three months.
Turkey, Argentina and Serbia have already banned or are considering exports.
<Anchor>
If this atmosphere continues, it seems to have a very bad effect on overall prices.
However, in the case of flour, which we mainly talked about today, it has already risen once, but there is a possibility that it will rise further in the future.
Is it like this?
But now, it's already gone up so much that it's the gas price that makes you gasp.
In particular, you said that the government is thinking about a way to provide this kind of support when the cost of living has risen too much?
<Reporter>
Yes, most of the transport companies are subsistence carriers that operate trucks or couriers. After researching these people, there was a reason that the government would provide more subsidies.
Let's listen.
[Truck driver: It costs about 1 million won more now than it used to cost per month for oil.
We are currently receiving subsidies at an insignificant level, so we have not felt anything practically.] The economic price is
still rising.
Last Friday, in the friendly economy, the price was about 1,953 won, but in a few days, it went up close to 13 won.
Compared to a year ago, it has risen by more than 600 won, and the fuel price subsidy linked to the fuel tax has also decreased due to the additional fuel tax cut this month.
The 'oil price-linked subsidy' created to compensate for this, that is, if the economic price rises above the standard, 50% of the increase is additionally supported.
That's why the government is trying to fix this oil price-linked subsidy and give it more.
It is expected to be announced later this week at the earliest.