Nonghyup Caps Price Rises Amid High Oil Prices

Nonghyup is minimizing price increases at its 717 nationwide gas stations to alleviate consumer burdens stemming from surging international oil prices. In the first week of March, Nonghyup gas stations offered gasoline and diesel at prices 41 won and 62 won per liter cheaper, respectively, compared to the market average. They continued this low-price supply trend into the second week, maintaining prices at 48 won per liter less for gasoline and 60 won per liter less for diesel.

Nonghyup is continuing its price stabilization measures, considering factors such as inventory depletion due to low-price sales and the characteristics of delivery sales in rural areas. From March 1 to 12, fuel sales volume at Nonghyup gas stations increased by 172% compared to the same period last year. Regarding the government's petroleum price cap system, implemented from March 13, inventory supplied at higher prices before its enforcement appears to have influenced the price gap.

The oil price management and monitoring system is also being strengthened. Nonghyup has completed price reduction measures for 20 gas stations whose prices had risen after the implementation of the petroleum price cap system. Furthermore, it plans to enhance constant monitoring and exclude any support for stations caught engaging in prohibited activities such as hoarding or price collusion.

To support oil price stabilization policies, 30 billion won of Nonghyup's own budget was allocated on March 9. Of this allocated budget, 25 billion won was designated as a subsidy for agricultural tax-exempt fuel prices for one month. The remaining 5 billion won is being used to offer a 200 won per liter fuel discount cashback to Nonghyup card customers.