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2 clusters · 8 sources · 20 days · First seen · Last updated

South Korean food industry cost pressures

Overview

Rising food and labor costs are significantly impacting the South Korean food industry. In the first half of 2026, the cost of preparing pork belly (samgyeopsal) at home rose by 11.8% compared to the previous year, driven by price hikes in pork, ssamjang, and garlic. This increase narrowed the price gap between home dining and eating at restaurants.

Broadening the scope to the general restaurant sector, the combined cost of ingredients and labor reached 71.6% of total sales in 2024, the highest level recorded since 2015. While sales have grown, ingredient and labor costs have outpaced that growth, causing operating profit margins to drop from 25.4% in 2015 to 8.7% in 2024. Experts note that when these primary costs exceed 70%, business owners often struggle to cover fixed expenses like rent and utilities.

Entities

Korea Consumer Agency · Korea Rural Economic Institute · Ministry of Agriculture, Food and Rural Affairs · Korea Foodservice Industry Association

Timeline

  1. 7 days ago

    [BUSINESS] 4 sources
    South Korean restaurant costs hit record 71.6% of sales

    South Korean restaurant operating profit margins have dropped to 8.7% as ingredient and labor costs hit a record 71.6% of total sales in 2024.

  2. 27 days ago

    [BUSINESS] 7 sources
    South Korea samgyeopsal ingredient costs rise 11.8%

    The cost of preparing samgyeopsal at home in South Korea rose 11.8% in the first half of the year, narrowing the price gap between home-cooked meals and dining out.

Sources

biz.heraldcorp.com · blockchainseoul.kr · imaeil.com · jnilbo.com · kyeonggi.com · namdonews.com · sateconomy.co.kr · seoul.co.kr