Korea-EU FTA cuts European wine prices
Shops selling foreign wine shops have seen increased sales following the free trade pact between the European Union and Korea, which came into effect on July 1.It's been a great few weeks for both vinophiles and winos in Korea, as wine prices have been among the first to be slashed as a result of the EU-Korea Free Trade Agreement.
Korea is the only Asian country to strike such a deal with the European Union, and the historical accord, which was implemented on July 1, saw price cuts in European wine imports by five to 15 percent.
Subsequently, wine sales have been skyrocketing in Seoul, especially at discount stores where customers are particularly susceptible to changes in price (read: are cheaper).
The Korea Herald reported that European wine sales at E-Mart increased by 47 percent during the first week following the FTA implementation compared to the same period last year, while Lotte Mart saw a 36 percent increase and Homeplus sales rose by 43 percent.
Wine importers also said their phones are ringing nonstop with enquires from consumers asking about exact discounts as a result of the FTA deal.
Next up? Whiskey lovers are waiting patiently for their poison of choice to become cheaper also. When the FTA deal was first signed last October, the Korea Times reported that Korea's 20 percent tariff on whiskey would also be removed immediately once the FTA was implemented. Although liquor outlets have yet to feature significant price cuts, industry insiders estimate that whiskies will also become five to seven percent cheaper each year.
