In addition to ramen and sausages, consumers now also find mini gold bars on the shelves of South Korean mini markets
In addition to ramen and sausages, South Korean mini markets have added a new product to their items for sale, gold bars.
The country’s largest convenience store chain, CU, has partnered with Korea Minting and Security Printing Corporation (KOMSCO) and now has mini gold bars for sale, which are selling like… hot cakes.
Since early April, CU has been offering gold bars weighing between 0.1 and 1.87 grams for sale. Prices range from 225,000 won ($165.76) for the 1.87 gram bars and 77,000 won for the 0.5 gram bars.
Priced at 113,000 won, the 1 gram gold bars sold out in just two days, according to local news outlets cited by CNBC. The plaques are accompanied by congratulatory messages, birthday wishes or even personalized ones.
Consumers over 30 seem to particularly favor gold bars, accounting for more than 41% of total sales, according to CU’s Pocket CU app. 40-year-olds made up 35.2% of total sales, with 50-year-olds following at 15.6%. 20-year-olds do not show such strong interest as they made up only 6.8% of sales.
Demand for gold bars and gold coins in South Korea rose 27% year-on-year to 5 tonnes in the first quarter of the year amid rising prices for the yellow metal, the World Gold Council said in a recent analysis. It also notes that it is the sharpest quarterly increase in the gold market in South Korea in two years.
And other chains
The CU chain isn’t the only one with gold for sale. The GS25 chain has done the same where its customers can buy gold skins from vending machines.
“Typically during times of economic uncertainty when the local currency depreciates, demand for gold jewelery increases as investors look for safe haven investments,” said Heng Koon How, head of market strategy at UOB.
According to the Korea Gold Exchange, gold prices have risen to record levels of 456,000 won ($335.3) per 3.75 grams. In contrast, the Korean won has lost more than 5% of its value against the dollar and is trading at 1,358.7 against the US currency.
Source: Skai
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