Food Safety Shocks and Panic Buying in the Sea Salt Market

This study examines how food-safety concerns surrounding the 2023 Fukushima treated-water release affected the Korean salt market. Using monthly point-of-sale data across five retail channels and 16 regions in 2022–2025, we ask whether the purchase surge consistent with panic buying extended to refined salt and whether relative prices declined where government stockpile releases were concentrated. During the shock period, sales volumes increased by 80.9% for sea salt and 222.5% for refined salt, though from a much smaller base. A short-lived spike followed by a rapid return to normal levels, consistent with panic buying, was more pronounced for sea salt, whereas refined salt remained elevated longer. Prices also diverged: sea salt prices declined while refined salt prices increased. In a triple-difference model, the relative unit price of sea salt in hypermarkets during the intensive release period was 39.9% lower than in the comparison channels. This decline partly reflects both larger package sizes and lower unit prices within size categories, and it remains significant when package size is controlled for. The findings suggest that food-safety concerns can spill over to related products and that policy-related market responses should be assessed through quantities, prices, and channels where intervention is concentrated.