North Korean food prices have reached unprecedented levels, causing significant hardship across the nation. Daily NK's regular market surveys have revealed that as of November 24, rice prices exceeded 8,000 North Korean won per kilogram in major cities. In Pyongyang, Sinuiju, and Hyesan, rice sold for 8,000, 8,100, and 8,200 won respectively, showing increases of 6.7%, 7.3%, and 6.5% from the November 10 survey. This marks the highest prices since 2009 when Daily NK began tracking.

North Korea's Food Price Crisis - A Deepening Hardship

Rice Price Hike

Since October 27, rice prices had been stable around the 7,000 won range. However, recently, they surged past the 8,000 won mark. This significant increase is not only a concern for the general population but also indicates a shift in the economic landscape. The rise in rice prices is a clear indication of the challenges faced by North Korea in maintaining stable food prices. It shows how external factors such as exchange rate fluctuations and the monopolization of rice purchases by state agencies can have a direct impact on the daily lives of the people. 2: The increase in rice prices is not just a temporary phenomenon. It has persisted over time, with rice prices surging by 63.9% since January. This long-term trend highlights the need for effective measures to address the issue. The government needs to find ways to stabilize the food market and ensure that the basic needs of the people are met.

Corn Price Escalation

In Hyesan's markets, corn reached a record 4,100 won per kilogram on November 24, jumping 17.1% in just two weeks. This is the first time corn prices have exceeded 4,000 won in Hyesan since late June 2021. Similarly, in Sinuiju, corn prices hit 4,000 won per kilogram, representing a 17.6% increase and an unprecedented high for the city. Corn, being the staple food for low-income North Koreans, is particularly affected by these price hikes. 2: The rapid increase in corn prices is a cause for concern as it directly affects the food security of the most vulnerable sections of society. It shows how the economic situation in North Korea is complex and interconnected. Factors such as the devaluation of the North Korean won and the rising exchange rates are contributing to the price surge. These issues need to be addressed to ensure the well-being of the people.

Driving Factors

Multiple factors are driving the spike in food prices. State agencies monopolizing rice purchases after harvest and more people using dollars or yuan to buy staples as exchange rates rise are some of the main reasons. Merchants are increasingly refusing North Korean won due to its falling value and are charging premiums above current exchange rates. Even domestic agricultural products, which were traditionally sold only in local currency, are seeing rapid price increases. 2: The situation is further complicated by money changers trading foreign currency for rice and other goods instead of local currency. This is exacerbating the grain shortages and making it difficult for the government to control the food market. It is essential to address these underlying issues to stabilize food prices and improve the economic situation in North Korea.

Expert's Perspective

Cho Chung-hee, director of Good Farmers' research institute and a North Korean agriculture expert, told Daily NK that people are preferring commodities like rice or corn to local currency as the won's value drops. "Despite increased demand, dwindling supplies continue to drive prices up," he explained. 2: Cho predicts that even if this year's harvest improved agricultural production somewhat, it would do little to stabilize food prices as the market grain price surge is fundamentally linked to the won's devaluation and rising exchange rates. This highlights the need for comprehensive measures to address the economic issues and ensure food security in North Korea.Please send any comments or questions about this article to dailynkenglish@uni-media.net.