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South Korea Launches Antitrust Probe Into Egg Producers Over Price Hike Allegations

 |  June 16, 2025

South Korea’s antitrust authority has initiated an official investigation into the Korea Egg Producers Association (KEPA), examining whether the organization played a central role in influencing domestic egg prices through potentially illegal price coordination efforts.

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    According to a statement released by the Fair Trade Commission (KFTC), investigators were dispatched to KEPA’s offices to probe allegations that the group pressured member companies to follow recommended pricing guidelines. These recommendations, issued publicly by the association, are suspected of having directly impacted market prices.

    Per the KFTC’s statement, the farm gate price of eggs — the cost at which eggs are sold by producers — has surged roughly 30 percent, rising from 146 won per egg in March to around 190 won in recent weeks. This increase places the current price about 6 percent higher than the same period in the previous year and 4.2 percent above the typical seasonal average.

    Read more: DOJ Investigates Potential Egg Price Fixing Amid Soaring Costs

    Authorities are focusing on whether KEPA’s pricing directives amounted to coercive coordination, potentially violating South Korea’s fair trade laws. These laws specifically ban collective actions by industry associations that result in price manipulation or unfair market practices.

    If the investigation confirms that KEPA enforced compliance with its pricing recommendations among its members, it could lead to serious legal consequences for the association under the nation’s competition laws.

    The KFTC emphasized that the ongoing inquiry seeks to ensure market transparency and to protect consumer interests in essential goods such as eggs, which have experienced sustained price volatility in recent years.

    Source: YNA