Homeplus crisis causes 55% drop in domestic agricultural sales

The financial crisis at Homeplus is causing significant disruptions in the distribution of domestic agricultural and livestock products in South Korea. According to data obtained by National Assembly member Song Ok-ju, sales of domestic agricultural, fishery, and livestock products at Homeplus fell by over 55% between January and May this year compared to the same period in 2024.

This distribution gap is impacting various sectors. In the fruit and vegetable market, the surplus supply caused by the Homeplus vacancy has contributed to falling prices at the Garak Market. The dairy sector is also heavily affected, with daily milk deliveries to Homeplus dropping from 140 tons before the crisis to an estimated 40 tons in June.

Additionally, there are growing concerns regarding unpaid supply payments. Reports indicate that Homeplus owes approximately 200 billion won in unpaid amounts, with agricultural cooperatives and corporations reporting significant outstanding receivables. Representative Song has called for urgent measures to prevent market monopolies and to support farmers through legislative amendments and the creation of public distribution markets.