Health and Wellness Series – Organic packaged food trends in South Korea

Note: This report includes forecasting data that is based on baseline historical data.

Executive summary

South Korea's population at around 51.6 million in 2023, has historically increased by a compound annual growth rate (CAGR) of 0.2% over the last decade (2013 to 2023) and is expected to decline by a compound annual growth rate (CAGR) of −0.1% over the forecast period (2023 to 2033) - down to 51.0 million by 2033. This decline has been driven by the country's extremely low fertility rates, with the average family size having either no children (74.6%) or one child (20.2%) per household in 2023.

In 2023, South Korea's urban population accounted for 81.5% with the remainder 18.5% of the total population residing in rural regions. The country's top 10 largest urban cities accounted for almost half of the total population at 47.1% (24.3 million) in 2023. Over the last year, Seoul is the biggest city in South Korea at 9.3 million people, followed by Busan (3.3 million), Incheon (2.9 million).

South Korea was Canada's 6th largest export market for organic products, exporting a total of Can$19.1 million (market share: 2.8%) in 2023, which has been increasing by a CAGR of 33.9% (2019 and 2023). In 2023, the top five exported organic commodities to South Korea were organic soya beans, oat, Durum wheat, maple syrup and organic yellow peas.

In 2022, retail sales of organic packaged food in South Korea totaled US$417.9 million. Top organic food categories with the highest sales included organic rice, pasta and noodles (US$109.3 million); organic dairy & alternatives - particularly, drinking milk products, including plant-based (US$100.2 million) and organic baby food (US$64.1 million); and organic savoury snacks (US$27.0 million). Within the cooking ingredients & meals category with larger sales were organic sauces, dips and condiments (US$19.1 million) in 2022. Most common claims used on packaging, to help gain trust in organic food products included ethical - sustainable habitat/resources, environmental friendly product, convenient packaging, and environmentally friendly package.

The Canada - South Korea Organic Equivalency Arrangement (CSKOEA) went into force on November 1, 2023. This agreement helps provide an overview on the terms regarding each country's import, labelling and certification requirements; and helps to improve the efficient trade between both countries by recognizing the national organic systems of each as being equivalent for its processed organic products.

 

Consumer profile

In 2023, South Korea's population reached 51.6 million and has grew at a slow rate by a CAGR of 0.2% over the last decade (2013-2023) and is expected to decrease by a CAGR of 0.1% down to 51.0 million by 2033 (2023-2033). The median age of population was 45.6 in South Korea in 2023. This population consisted of approximately 5.7 million of children under the age of 14, 19.6 million of young and middle youth adults (aged 15-44), 16.7 million of mid-lifers (aged 45-64), and 9.5 million of later lifers and seniors (aged 65+) in 2023.

South Korea has a very mountaneous landscape, of which its urban (central) population accounted for 81.5% with the remainder 18.5% of the total population residing in rural regions over last year. The top ten urban cities in South Korea represented 47.1% (24.3 million) of the total population in 2023, which is expected to decrease by a CAGR of 0.4% (2023-2033). Seoul has the largest urban population at 9.3 million people, accounting for 18.0% of the total population throughout South Korea, followed by Busan (6.3%), Incheon (5.6%), Daegu (4.5%), and Daejeon (2.8%) in 2023. All of the ten most populated urban regions in South Korea have been declining in habitants (CAGR: −0.4% ≤ −1.1%) at the exception of Incheon and Suwon, both that grew by a CAGR of 0.4% between 2013 and 2023.

South Korea's population by main urban cities, 2023 to2033
Rank Cities Population ('000) in 2023 Population ('000) in 2024 Population ('000) in 2033 CAGR* % 2023-2033
Total - urban population 42,001.9 41,976.5 42,097.6 0.02
Total - rural population 9,556.2 9,523.6 8,921.0 −0.7
1 Seoul 9,298.6 9,229.8 8,864.1 −0.5
2 Busan 3,261.6 3,239.5 3,120.8 −0.4
3 Incheon 2,872.8 2,871.3 2,857.3 −0.1
4 Daegu 2,309.1 2,291.7 2,201.3 −0.5
5 Daejeon 1,422.9 1,413.4 1,361.5 −0.4
6 Gwangju 1,380.6 1,374.4 1,342.1 −0.3
7 Suwon 1,194.7 1,189.6 1,157.0 −0.3
8 Ulsan 1,004.0 994.9 947.9 −0.6
9 Seongnam 895.8 890.5 854.0 −0.5
10 Changwon 655.7 651.9 636.3 −0.3
Subtotal - urban population (top 10) 24,295.8 24,147.0 23,342.3 −0.4
Total - South Korean population 51,558.0 51,500.0 51,018.6 −0.1

Source: Euromonitor International, 2024

*CAGR: Compound Annual Growth Rate

In 2023, out of approximately 22.2 million households, South Korea's average household size was 2.3 persons with the average family size having no children (74.6%) or one child (20.2%) per household. Over the year, single-person households represented the largest demographic by 34.4%, followed by couple with children households (27.4%), couple without children (17.4%), other blended families (11.7%), and single-parent family households (9.0%). Renters living in apartments accounted for 65% of the population and 34% being house owners, with 1% living in another type of household dwelling in 2023.

In South Korea, the average gross income (aged 15+) was US$29,061.5 with an annual median disposable income per household of US$36,033 in 2023. The total average gross income in South Korea was fairly distributed amongst all population age groups other than its lowest salary ranges between US$15,321.9 (aged 15-19) and US$24,561.5 (aged 20-24), which on average peaked at as high as US$32,016.3 (aged 45-49); decreasing back down to approximately an average salary of US$28,205 (aged 65+). In South Korea, middle class households consisted of 33.3% of the total population. More over, out of a workforce of 89% (45.9 million people) of the total population in 2023: approximately 38.6% (Social Class D) of the South Korean workforce brought in a salary between (50-100%) of the average gross income, while 26.8% (Social Class C) made a salary between (100-150%) of the average gross income (up to US$43,592.3), and 17.9% (Social Class E) made less than 50% of the average salary per year (<US$14,530.8). On the upper end, 10.8% (Social Class B) of the population made a salary between (150-200% of avg. income) and 5.9% of the population (Social Class A) made over 200% of the average salary per year (>US$58,123).

Average gross income of the South Korean workforce population by age group, US$ dollars, fixed 2023 exchange rates, 2019 to 2023
Category 2019 2021 2023 US$ value difference (2023-2019) CAGR* % 2019-2023
Total - Average gross income (aged 15+) $23,875.7 $26,171.4 $29,061.5 $5,185.8 5.0
Population aged 15-19 12,430.3 13,719.8 15,321.9 2,891.6 5.4
Population aged 20-24 20,034.7 22,044.2 24,561.5 4,526.8 5.2
Population aged 25-29 23,136.8 25,342.4 28,168.9 5,032.1 5.0
Population aged 30-34 25,052.5 27,388.9 30,369.2 5,316.7 4.9
Population aged 35-39 25,817.4 28,099.1 31,095.5 5,278.1 4.8
Population aged 40-44 26,547.9 28,875.7 31,920.5 5,372.6 4.7
Population aged 45-49 26,635.8 28,965.4 32,016.3 5,380.5 4.7
Population aged 50-54 26,164.1 28,482.9 31,510.4 5,346.3 4.8
Population aged 55-59 25,363.3 27,685.0 30,681.5 5,318.2 4.9
Population aged 60-64 24,587.3 26,931.8 29,918.2 5,330.9 5.0
Population aged 65+ 23,012.9 25,321.4 28,205.0 5,192.1 5.2

Source: Euromonitor International, 2024

*CAGR: Compound Annual Growth Rate

South Korea (after Japan) is set to be the 2nd most rapidly-ageing nations in the world - out of the top five Asia Pacific regions (along with Singapore, Greece, Italy) to reach the highest share of 65+ ageing population by 2040. The share of the 65+ population in South Korea will jump from 18.4% of the total population in 2023 to reach 34% in 2040. This has been driven by the country's extremely low fertility rates in the world with an average fertility rate of 0.7 born per woman - well below the average rate of 2.1 that is required to maintain a stable population. In South Korea, there is an increasingly cemented cultural norm for parents to have only one child (if any) - registering a birth rate of 4.6 per thousand population in 2023. This birth rate is lower than South Korean's death rate of 6.7 per thousand population in 2023, with a life expectancy at birth of 84 years of age. As the country's ageing population hastens, South Korea's population may decline earlier than expected, causing significant economic consequences in terms of productivity and growth.Footnote 1

South Korea shows as a robust economy, with strong employment rates, and emphasis on education and hard work, resulting in well-paying job opportunities for its citizens compared regionally. The country ranked 4th out of 22 Asia Pacific countries in terms of average gross annual income (reaching US$29,061.5). South Korea is also a country which features relatively long working hours and high disposable incomes. Consequently, South Korean parents have higher disposable incomes (expected +8.7% in real terms per capita from 2022 to 2027) to spend on few children and are willing to pay a premium for high quality products.Footnote 2 There is a stronger demand for explicitly organic foods that is increasing as Koreans gain trust in well-known brands, especially if they feel confident in its quality and its safety, while being motivated by eco-friendly environmental claims, convenient use claims and next day delivery incentives.Footnote 3

Meanwhile, in South Korea, the health and wellness industry continues to grow in importance post-pandemic as consumers become more aware of the negative health impact of processed foods. South Korean consumers are seeking healthier foods and beverages from a range of claims such as natural, organic, good source of vitamins/minerals, no sugar/no added sugar (particularly in beverages), low fat and high protein/fibre etc. With sugar tax laws introduced around the world, along with growing diet fads like plant-based diets or the prevalence of gluten/lactose free alternatives, companies are increasingly reformulating their products to meet consumer demands, while focusing on claims such as natural, free-from, fortified/functional and more sustainable ingredients/packaging - benefiting both body and mind.Footnote 4

Canadian exports to South Korea – fresh organic products

Canada exported a total of Can$684.6 million in fresh or unprocessed organic products to the world in 2023, growing at a CAGR of 10.4% from Can$461.0 in 2019. Leading export markets for these certified organic commodities from Canada were the United States (52.7%), Germany (5.8%), Japan (5.2%), China (3.9%) and France (3.4%). The top five exported certified organic commodities were organic maple syrup (HS: 17022021), organic soya beans, excluding seed for sowing (HS:12019020), organic roasted coffee, not decaffeinated (HS: 09012110), organic dried and shelled green lentils, including French (HS: 07134021), and fresh/chilled organic greenhouse tomatoes (HS: 07020011) in 2023.

South Korea was Canada's 6th largest export market for organic products, exporting a total of Can$19.1 million (market share: 2.8%) in 2023. Canadian exports for these products to South Korea have been increasing by a CAGR of 33.9% between 2019 and 2023. The top five exported organic commodities to South Korea in 2023, were organic soya beans (excluding seed for sowing) at Can$5.4 million (market share: 28.4%), organic oat (excluding seed for sowing) at Can$4.1 million (21.6%), organic Durum wheat (excluding seed for sowing) at Can$3.2 million (16.7%), organic maple syrup at Can$3.2 million (16.6%), and organic yellow peas, dried/shelled (excluding seed for sowing) at Can$1.6 million (8.4%) in 2023.

Canada's exports to South Korea - organic products[1], Can$ millions, 2019 to 2023
HS Code Commodity description 2019 2020 2021 2022 2023 CAGR* % 2019-2023
Total - certified organic products 5.9 8.3 4.0 6.9 19.1 33.9
12019020 Soya beans, w/n broken, excluding seed for sowing 0.021 0.092 0.114 2.2 5.4 299.3
10049010 Oat, excluding seed for sowing 2.1 3.1 0.412 0.576 4.1 18.5
10011910 Durum wheat, excluding seed for sowing 0.0 0.644 0.993 1.1 3.2 70.4
17022021 Maple syrup, no added flavouring/colouring 0.387 2.3 1.1 1.2 3.2 69.2
07131021 Yellow peas, dried, shelled, skinned/split, excluding seeds for sowing 0.0 0.0 0.0 0.027 1.6 5,840.3
10019921 Red spring wheat, excluding seed for sowing 3.4 2.0 1.2 1.3 1.5 −18.5
09012110 Coffee, roasted, not decaffeinated 0.030 0.016 0.014 0.031 0.047 12.6
12040030 Linseed, whether/not broken, excluding for sowing 0.0 0.0 0.0 0.0 0.023  
10019929 Wheat and meslin, excluding red spring/durum wheat and seed for sowing 0.0 0.0 0.0 0.195 0.013 −93.2
07134022 Red lentils, dried, shelled, whether/not skinned/split, nowhere else specified 0.0 0.055 0.176 0.228 0.0 −100.0
0810413 Blueberries, cultivated, fresh 0.0 0.0 0.0 0.137 0.0 −100.0

Source: Euromonitor International, 2024

1: Organic products (reported HS codes) - 07020011, 07020019, 07131021, 07131029, 07134013, 07134021, 07134022, 07134029, 08104013, 09012110, 10011910, 10019921, 10019929, 10039010, 10039030, 10049010, 10059010, 12019020, 12040030, 17022021

*CAGR: Compound Annual Growth Rate

Retail sales - organic packaged food

In 2022, retail sales of organic packaged food products in South Korea totalled US$417.9 million. Top organic categories with the highest sales included staple foods - organic rice, pasta and noodles (US$109.3 million); organic dairy and alternatives - particularly, drinking milk products, including plant-based (US$100.2 million) and organic baby food (US$64.1 million); organic savoury snacks (US$27.0 million), and within the cooking ingredients and meals category were organic sauces, dips and condiments (US$19.1 million). Albeit, categories that registered the highest 4-year CAGRs (2019-2022) were organic processed fruit and vegetables (20.0%), organic butter and spreads (15.3%), and organic edible oils (14.3%). Over the same period, processed organic categories that declined were savoury snacks, sweet biscuits, snack bars and fruit snacks, cheese, yogurt, sauces, dips and condiments, confectionery, breakfast cereals, and baby food.

Overall, the organic category in South Korea is expected to decline by a CAGR of 1.6% between 2022 and 2027. All organic categories over this period are expected to experience a decline or only maintain small changes at the exception of organic baked goods (CAGR: from 3.1% to 10.4%) and baby food (CAGR: from −0.5% to 4.3%) between 2022 and 2027. With the largest forecast declines being from within the organic yogurt (−36.9%), organic process fruit and vegetables (−36.3%), and meals and soups category (−35.6%).

Retail sales in South Korea - organic packaged food products, historical and forecast US$ millions- fixed 2022 exchange rates
Category 2019 2022 CAGR* % 2019-2022 2023 2027 CAGR* % 2022-2027
Total - organic packaged food 431.4 417.9 −1.1 412.1 384.9 −1.6
Organic - cooking ingredients and meals 39.6 41.2 1.3 40.5 41.0 −0.1
Edible oils 6.7 10.0 14.3 10.5 11.1 2.1
Meals and soups 3.9 4.5 4.9 2.2 0.5 −35.6
Sauces, dips and condiments 22.0 19.1 −4.6 20.2 22.8 3.6
Sweet spreads 7.0 7.6 2.8 7.6 6.6 −2.8
Organic - dairy products and alternatives 169.4 186.3 3.2 190.2 199.7 1.4
Baby food 65.0 64.1 −0.5 68.5 79.1 4.3
Butter and spreads 1.5 2.3 15.3 2.4 2.7 3.3
Cheese 7.0 5.7 −6.6 5.6 3.9 −7.3
Drinking milk products (including plant-based) 79.6 100.2 8.0 104.7 112.7 2.4
Yoghurt 16.2 14.0 −4.7 9.0 1.4 −36.9
Organic - snacks 74.6 37.7 −20.3 32.4 14.7 −17.2
Confectionery 4.6 4.1 −3.8 3.1 1.0 −24.6
Savoury snacks 58.7 27.0 −22.8 24.1 11.3 −16.0
Sweet biscuits, snack bars and fruit snacks 11.3 6.6 −16.4 5.3 2.4 −18.3
Organic - staple foods 147.8 152.7 1.1 149.0 129.5 −3.2
Baked goods 20.6 22.6 3.1 23.6 37.1 10.4
Breakfast cereals 11.9 10.6 −3.8 11.2 8.9 −3.4
Processed fruit and vegetables 1.1 1.9 20.0 1.4 0.2 −36.3
Processed meat, seafood and alternatives 7.0 8.4 6.3 8.8 9.2 1.8
Rice, pasta and noodles 107.2 109.3 0.6 104.1 74.1 −7.5

Source: Euromonitor International, 2024

*CAGR: Compound Annual Growth Rate

Organic rice, pasta and noodles

Retail sales

In 2023, rice, pasta and noodles was the largest organic packaged food segment in South Korea registering a total retail sales value of US$109.3 million, growing historically by a CAGR of 0.6% between 2019 and 2022. This total mainly consisted of organic rice that reached sales of US$99.4 million (90.9%), followed by organic noodles at US$8.9 million (8.2%), and organic pasta at US$0.9 million (0.9%) in 2022.

Sales in the organic rice, pasta and noodles category is forecast to decrease by a total CAGR of 7.5% (2022-2027) down to US$74.1 million in 2027. Organic noodles are expected to become more in demand, however, growing by a CAGR of 16.4%; while, organic rice is expected to decline by a CAGR of 11.5% over the forecast period.

South Korea - Retail sales of organic rice, pasta and noodles by category, historic US$ millions - fixed 2022 exchange rates
Category 2019 2020 2021 2022
Total - organic rice, pasta and noodles 107.2 138.0 121.6 109.3
Noodles 11.9 11.3 9.2 8.9
Pasta 0.7 0.9 0.9 0.9
Rice 94.5 125.8 111.4 99.4
Source: Euromonitor International, 2024
South Korea - Retail sales growth (%) of organic rice, pasta and noodles by category, historic
Category Annual growth % 2022/2021 CAGR* % 2019-2022 Total growth % 2019-2022
Total - organic rice, pasta and noodles −10.1 0.6 2.0
Noodles −3.3 −9.2 −25.2
Pasta 0.0 8.7 28.6
Rice −10.8 1.7 5.2

Source: Euromonitor International, 2024

*CAGR: Compound Annual Growth Rate

South Korea - Retail sales of organic rice, pasta and noodles by category, forecast US$ millions - fixed 2022 exchange rates
Category 2022 2023 2024 2025 2026 2027
Total - organic rice, pasta and noodles 109.3 104.1 99.5 90.4 81.3 74.1
Noodles 8.9 11.8 13.7 15.3 17.1 19.0
Pasta 0.9 1.0 1.0 1.1 1.1 1.1
Rice 99.4 91.3 84.8 74.0 63.2 53.9
Source: Euromonitor International, 2024
South Korea - Retail sales growth (%) of organic rice, pasta and noodles by category, forecast
Category Annual growth % 2023/2022 CAGR* % 2022-2027 Total growth % 2022-2027
Total - organic rice, pasta and noodles −4.8 −7.5 −32.2
Noodles 32.6 16.4 113.5
Pasta 11.1 4.1 22.2
Rice −8.1 −11.5 −45.8

Source: Euromonitor International, 2024

*CAGR: Compound Annual Growth Rate

Competitive landscape - organic rice, pasta and noodles

In 2022, leading retail companies (brand) in the organic rice, pasta and noodles category in South Korea included National Agricultural Cooperative Federation (Noghyup) at sales of US$26.6 million (24.3%), Lin de Yuan Inc. (Golden Queen) at US$9.8 million (9.0%), and CJ Corporation (CJ) at US$5.3 million (4.9%).

South Korea - Companies (brands) of organic rice, pasta and noodles, 2022 - fixed 2022 exchange rates
Company Top brand(s) Retail sales (US$ million) Market share % in 2022
National Agricultural Cooperative Federation Noghyup 26.6 24.3
Lin de Yuan Inc. Golden Queen 9.8 9.0
CJ Corporation CJ 5.3 4.9
Lundberg Family Farms Lundberg 2.9 2.7
Nongshim Company Ltd. Shin Ramyun 2.8 2.5
Paldo Company Ltd. Paldo 2.8 2.5
Ebro Foods SA Minute Rice 1.7 1.5
Kraft Heinz Company HP 1.3 1.2
Daesang Corporation Chungjungone 0.6 0.5
Kroger Company Simple Truth 0.4 0.3
CJ Freshway Corporation Itswell 0.2 0.2
Byodo Naturkost Gmbh Byodo 0.1 0.1
Others Others 54.8 50.2
Total - organic rice, pasta and noodles 109.3 100.0
Source: Euromonitor International, 2024

Retail distribution channels - staple foods

In 2023, store-based retailing distribution of staple foods like organic rice, pasta and noodles products totalled a market share of 81.7% mainly consisting of grocery retailers such as super/hypermarkets (49.7%), food/drink tobacco specialists (11.0%), convenience and forecourt retailer stores (10.7%), and small local grocers (5.1%). Non-store e-commerce retailing for staple food products held a 18.3% market share, which has increased by a CAGR of 14.7% from online sales of US$1.4 billion in 2019 to US$2.4 billion in 2023.

Retail distribution channels of staple foods in South Korea, by outlet type retail value sales (US$ millions) - fixed 2023 exchange rates
Outlet type 2019 2023 CAGR* % 2019-2023
Actual Share % Actual Share %
Total - staple foods retail channels 10,914.9 100.0 12,885.3 100.0 4.2
Store-based retail - offline 9,553.7 87.5 10,526.9 81.7 2.5
Grocery retailers 9,251.0 84.8 10,138.4 78.7 2.3
Convenience retailer stores (including forecourts) 1,016.8 9.3 1,381.9 10.7 8.0
Supermarkets 1,931.9 17.7 2,120.0 16.5 2.3
Hypermarkets 4,127.2 37.8 4,282.2 33.2 0.9
Discounters 24.9 0.2 34.2 0.3 8.3
Warehouse clubs 199.2 1.8 251.6 2.0 6.0
Food/drink tobacco specialists 1,341.9 12.3 1,415.0 11.0 1.3
Small local grocers 609.2 5.6 653.5 5.1 1.8
Non-grocery specialists 302.7 2.8 388.4 3.0 6.4
General merchandise stores 302.3 2.8 388.1 3.0 6.4
Other non-grocery retailers 0.3 0.0 0.3 0.0 0.0
Non-store retail - e-commerce 1,361.2 12.5 2,358.4 18.3 14.7

Source: Euromonitor International, 2024

*CAGR: Compound Annual Growth Rate

Organic drinking milk products and baby food

Retail sales

In 2022, organic drinking milk products was the 2nd largest category in the organic segment in South Korea that totalled US$100.2 million, growing by a CAGR of 8.0% between 2019 and 2022. Organic milk was the largest subsector within the drinking milk product category at sales of US$70.3 million (market share: 70.2%), followed by organic flavoured milk drinks at US$21.6 million (21.6%), and organic plant-based milk products decreasing to US$8.3 million (8.3%) in 2022.

In 2022, organic baby food products was the 3rd largest category in the organic segment in South Korea that totalled US$64.1 million, which has declined by a CAGR of −0.5% (2019-2022); yet is forecast to increase by a CAGR of 4.3% (2022-2027). The organic baby food subsector consisted of organic prepared baby food decreasing to registered sales of US$22.6 million (market share: 35.3%), organic baby milk formula decreasing to US$5.9 million (9.2%), and other organic baby food decreasing to US$35.6 million (55.5%) in 2022.

South Korea - Retail sales of organic drinking milk products and baby food by category, historic US$ millions - fixed 2022 exchange rates
Category 2019 2020 2021 2022
Total - Organic drinking milk products 79.6 79.4 91.4 100.2
Flavoured milk drinks 18.6 14.8 21.2 21.6
Milk 47.2 54.1 60.4 70.3
Plant-based milk 13.7 10.4 9.8 8.3
Total - Organic baby food 65.0 76.9 80.9 64.1
Prepared baby food 16.4 27.3 33.1 22.6
Baby milk formula 6.5 7.4 8.5 5.9
Other baby food 42.1 42.2 39.4 35.6
Source: Euromonitor International, 2024
South Korea - Retail sales growth (%) of organic drinking milk products and baby food by category, historic
Category Annual growth % 2022/2021 CAGR* % 2019-2022 Total growth % 2019-2022
Total - Organic drinking milk products 9.6 8.0 25.9
Flavoured milk drinks 1.9 5.1 16.1
Milk 16.4 14.2 48.9
Plant-based milk −15.3 −15.4 −39.4
Total - Organic baby food −20.8 −0.5 −1.4
Prepared baby food −31.7 11.3 37.8
Baby milk formula −30.6 −3.2 −9.2
Other baby food −9.6 −5.4 −15.4

Source: Euromonitor International, 2024

*CAGR: Compound Annual Growth Rate

South Korea - Retail sales of organic drinking milk products and baby food by category, forecast US$ millions - fixed 2022 exchange rates
Category 2022 2023 2024 2025 2026 2027
Total - Organic drinking milk products 100.2 104.7 107.2 109.2 111.0 112.7
Flavoured milk drinks 21.6 21.7 21.4 21.2 21.0 20.8
Milk 70.3 73.8 75.8 77.1 77.9 78.7
Plant-based milk 8.3 9.1 9.9 11.0 12.0 13.1
Total - Organic baby food 64.1 68.5 72.8 74.9 76.9 79.1
Prepared baby food 22.6 24.8 27.4 29.5 31.1 33.0
Baby milk formula 5.9 6.3 6.5 6.8 7.1 7.5
Other baby food 35.6 37.4 38.9 38.6 38.7 38.6
Source: Euromonitor International, 2024
South Korea - Retail sales growth (%) of organic drinking milk products and baby food by category, forecast
Category Annual growth % 2023/2022 CAGR* % 2022-2027 Total growth % 2022-2027
Total - Organic drinking milk products 4.5 2.4 12.5
Flavoured milk drinks 0.5 −0.8 −3.7
Milk 5.0 2.3 11.9
Plant-based milk 9.6 9.6 57.8
Total - Organic baby food 6.9 4.3 23.4
Prepared baby food 9.7 7.9 46.0
Baby milk formula 6.8 4.9 27.1
Other baby food 5.1 1.6 8.4

Source: Euromonitor International, 2024

*CAGR: Compound Annual Growth Rate

Competitive landscape - organic drinking milk products and baby food

In 2022, leading retail companies (brands) in the organic drinking milk products category in South Korea included Maeil Dairies Co Ltd. (Maeil, Sangha, Calcium Soy Milk) at sales of US$69.6 million (69.5%), Seoul Dairy Cooperative (Seoul) at US$14.7 million (14.6%), and the Lotte Group (Pasteur) at US$2.5 million (2.5%). Private labels in the organic drinking milk products category registered total sales of US$0.6 million (0.6%) in 2022.

In 2022, leading retail companies (brands) in the organic baby food category in South Korea included Hipp GmbH and Co Vertrieb KG (Hipp) at sales of US$29.8 million (46.4%), Namyang Dairy Products Co Ltd. (Organic Goat Milk Powder, Imperial Dream XO, Namyang, Aikkoya) at US$9.7 million (15.1%), and Maeil Dairies Co Ltd. (Maeil) at US$8.3 million (13%). Private labels in the organic baby food products category registered total sales of US$0.5 million (0.8%) in 2022.

South Korea - Top 10 companies (brands) of organic drinking milk products and baby food, 2022 - fixed 2022 exchange rates
Category Company Top brand(s) Retail sales (US$ million) Market share % in 2022
Organic - drinking milk products Maeil Dairies Co Ltd. Maeil, Sangha, Calcium Soy Milk 69.6 69.5
Seoul Dairy Cooperative Seoul 14.7 14.6
Lotte Group Pasteur 2.5 2.5
Costco Wholesale Corp Kirkland 1.6 1.6
Kuai Kuai Co Ltd. Peacock 1.4 1.4
Abafoods Srl Isola 0.8 0.8
Pulmuone Co Ltd. Orga 0.7 0.7
Kroger Co Simple Truth 0.6 0.6
Yonsei Milk Yonsei Soy Milk 0.5 0.5
Ecotone Allos 0.5 0.5
Private label Private label 0.6 0.6
Others Others 5.0 5.0
Total - organic drinking milk products 100.2 100.0
Organic - baby food Hipp GmbH & Co Vertrieb KG Hipp 29.8 46.4
Namyang Dairy Products Co Ltd. Organic Goat Milk Powder, Imperial Dream XO, Namyang, Aikkoya 9.7 15.1
Maeil Dairies Co Ltd. Maeil 8.3 13.0
Holle Baby Food GmbH Holle 4.6 7.1
Nestlé SA Gerber, Nestlé 2.9 4.5
NZ Nutritional Goat Co Ivenet 1.9 2.9
BeBecook Corp Bebecook 0.3 0.4
Danone, Groupe Aptamil 0.2 0.4
Dongwon Group Dongwon 0.2 0.3
Lotte Group Pasteur, HappyBaby 0.1 0.2
Private label Private label 0.5 0.8
Others Others 5.6 8.7
Total - organic baby food 64.1 100.0
Source: Euromonitor International, 2024

Retail distribution channels - dairy products and alternatives

In 2023, store-based retailing distribution of dairy products and alternatives in South Korea totalled a market share of 78.0% mainly consisting of grocery retailers such as super/hypermarkets (37.8%), convenience and forecourt retailer stores (15.4%), small local grocers (10.7%), and warehouse clubs (5.2%). Warehouse club outlets have been growing the highest by a CAGR of 13.7% between 2019 and 2023. Non-store

e-commerce retailing for dairy products and alternatives held a 22% market share, which has increased by a CAGR of 14.2% from online sales of US$650.7 million in 2019 to US$1.1 billion in 2023. Direct selling, also, was a popular choice of distribution by a market share of 7.1% in 2023.

Retail distribution channels for dairy products and alternatives in South Korea, by outlet type retail value sales (US$ millions) - fixed 2023 exchange rates
Outlet type 2019 2023 CAGR* % 2019-2023
Actual Share % Actual Share %
Total - dairy and alternatives retail channels 4,663.0 100.0 5,039.9 100.0 2.0
Store-based retail - offline 4,012.3 86.0 3,931.7 78.0 −0.5
Grocery retailers 3,498.9 75.0 3,493.9 69.3 0.0
Convenience retail stores (including forecourts) 733.5 15.7 775.3 15.4 1.4
Supermarkets 954.3 20.5 882.6 17.5 −1.9
Hypermarkets 1,062.4 22.8 1,025.5 20.3 −0.9
Discounters 7.8 0.2 7.3 0.1 −1.6
Warehouse clubs 156.8 3.4 262.3 5.2 13.7
Small local grocers 584.1 12.5 540.8 10.7 −1.9
Non-grocery specialists 57.6 1.2 79.5 1.6 8.4
General merchandise stores 48.2 1.0 61.3 1.2 6.2
Health and beauty specialists 9.4 0.2 18.2 0.4 18.0
Direct selling 455.7 9.8 358.3 7.1 −5.8
Non-store retail - e-commerce 650.7 14.0 1,108.3 22.0 14.2

Source: Euromonitor International, 2024

*CAGR: Compound Annual Growth Rate

Organic savoury snacks

In 2022, organic savoury snack products in South Korea was the largest segment in the overall snack category at a total retail sales value of US$27.0 million, which has been declining historically by a CAGR of −22.8% (2019-2022) and forecast to continue to decline by a negative CAGR of 16.0% (2022-2027) to fall in sales down to US$11.3 million. Organic salty snacks had the highest sales in the organic savoury snack category at a value of US$15.8 million (58.5%), followed by organic nuts, seeds and trail mixes at US$7.4 million (27.4%), organic popcorn at US$1.8 million (6.7%), organic meat, seafood and other savoury snacks at US$1.4 million (5.2%), and organic savoury biscuits at US$0.5 million (1.9%) in 2022.

South Korea - Retail sales of organic savoury snacks by category, historic US$ millions - fixed 2022 exchange rates
Category 2019 2020 2021 2022
Total - organic savoury snacks 58.7 51.4 40.5 27.0
Nuts, seeds and trail mixes 6.6 11.4 11.1 7.4
Popcorn 1.9 2.9 2.8 1.8
Salty snacks 42.4 29.4 20.3 15.8
Savoury biscuits 2.4 3.0 2.8 0.5
Meat, seafood and other savoury snacks 5.4 4.7 3.5 1.4
Source: Euromonitor International, 2024
South Korea - Retail sales growth (%) of savoury organic snacks by category, historic
Category Annual growth % 2022/2021 CAGR* % 2019-2022 Total growth % 2019-2022
Total - organic savoury snacks −33.3 −22.8 −54.0
Nuts, seeds and trail mixes −33.3 3.9 12.1
Popcorn −35.7 −1.8 −5.3
Salty snacks −22.2 −28.0 −62.7
Savoury biscuits −82.1 −40.7 −79.2
Meat, seafood and other savoury snacks −60.0 −36.2 −74.1

Source: Euromonitor International, 2024

*CAGR: Compound Annual Growth Rate

South Korea - Retail sales of organic savoury snacks by category, forecast US$ millions - fixed 2022 exchange rates
Category 2022 2023 2024 2025 2026 2027
Total - organic savoury snacks 27.0 24.1 20.7 17.2 14.0 11.3
Nuts, seeds and trail mixes 7.4 7.6 7.8 7.8 7.9 8.0
Popcorn 1.8 2.3 2.3 1.9 1.7 1.5
Salty snacks 15.8 12.7 9.6 6.6 3.7 1.1
Savoury biscuits 0.5 0.3 0.2 0.1 0.1 0.1
Meat, seafood and other savoury snacks 1.4 1.2 0.9 0.7 0.7 0.7
Source: Euromonitor International, 2024
South Korea - Retail sales growth (%) of organic savoury snacks by category, forecast
Category Annual growth % 2023/2022 CAGR* % 2022-2027 Total growth % 2022-2027
Total - organic savoury snacks −10.7 −16.0 −58.1
Nuts, seeds and trail mixes 2.7 1.6 8.1
Popcorn 27.8 −3.6 −16.7
Salty snacks −19.6 −41.3 −93.0
Savoury biscuits −40.0 −27.5 −80.0
Meat, seafood and other savoury snacks −14.3 −12.9 −50.0

Source: Euromonitor International, 2024

*CAGR: Compound Annual Growth Rate

Competitive landscape - organic snacks

In 2022, leading retail companies (brand) in the organic snack category in South Korea included EcoFinia GmbH (Vivani) at US$2.0 million (5.2%), Shinsegae Co. Ltd. (E-Mart) at US$1.3 million (3.5%), and Pulmuone Co. Ltd. (Orga) at US$1.2 million (3.1%). Private label organic snack brands held a smaller total market value of US$0.1 million (0.4%) in 2022.

In 2022, leading retail companies (brand) within the organic savoury snack category in South Korea included Shinsegae Co. Ltd. (E-Mart) at US$1.3 million (4.9%), Pulmuone Co. Ltd. (Orga) at US$1.0 million (3.9%), Orion Group (Orion) at US$0.6 million (2.4%), McLLOYD's sro (BioSaurus) at US$0.6 million (2.1%), and CJ Corporation (CJ) at US$0.5 million (2.0%).

South Korea - Top 10 companies (brands) of organic snacks, 2022 - fixed 2022 exchange rates
Category Company Top brand Retail sales (US$ million) Market share % in 2022
Organic snacks EcoFinia GmbH Vivani 2.0 5.2
Shinsegae Co Ltd. E-Mart 1.3 3.5
Pulmuone Co Ltd. Orga 1.2 3.1
Orion Group Orion 1.0 2.6
McLLOYD'S sro BioSaurus 0.6 1.5
CJ Corp CJ 0.5 1.4
Ecotone Allos 0.5 1.2
General Mills Inc. Annie's 0.3 0.8
Crown Confectionery Co Ltd. Crown 0.3 0.7
Midsona AB Davert 0.2 0.6
Private label Private label 0.1 0.4
Others Others 28.4 75.4
Total - organic snacks 37.7 100.0
Organic savoury snacks Shinsegae Co Ltd E-Mart 1.3 4.9
Pulmuone Co Ltd Orga 1.0 3.9
Orion Group Orion 0.6 2.4
McLLOYD'S sro BioSaurus 0.6 2.1
CJ Corp CJ 0.5 2.0
Midsona AB Davert 0.2 0.8
General Mills Inc Annie's 0.2 0.6
Costco Wholesale Corp Kirkland 0.0 0.2
A Vogel AG Vogel's 0.0 0.1
Campbell Soup Co Late July 0.0 0.1
Private label Private label 0.1 0.4
Others Others 22.3 82.4
Total - organic savoury snacks 27.0 100.0
Source: Euromonitor International, 2024

Retail distribution channels - Snacks

In 2023, store-based retailing distribution of snack products totalled a market share of 91.2%. While grocery retailers such as super/hypermarkets (46.2%) are slowly declining in sales growth by CAGRs of −1.0% and

-0.4% (2019-2023) respectively in the snack category, outlets such as convenience and forecourt retailers (share: 22.6%, CAGR: 4.2%), food/drink tobacco specialists (share: 5.0%, CAGR: 31.1%), warehouse clubs (share: 2.0%, CAGR: 13.3%), and discounter outlets (share: 0.6%, CAGR: 7.7%) have at the same time steadily gained a higher market share, often over the expense of traditional retailers. Small local grocers with a higher market share of 12.0% in 2023, are also, declining in sales share by a CAGR of −1.8% (2019-2023) - most likely due to increases in prices, where consumers are looking for added savings within discounters that offer products that come in larger volume packages.

Non-store e-commerce retailing for snack products held a 8.8% market share in 2023, which has increased by a CAGR of 15.5% from sales of US$295.0 million in 2019 to US$525.0 million in 2023. Direct selling of snacks have also increased over the same period, with market share of 0.1% and a CAGR of 15.5%.

Retail distribution channels for the snacks category inSouth Korea, by outlet type retail value sales (US$ millions) - fixed 2023 exchange rates
Outlet type 2019 2023 CAGR* % 2019-2023
Actual Share % Actual Share %
Total - snacks retail channels 5,357.3 100.0 5,981.5 100.0 2.8
Store-based retail - offline 5,062.3 94.5 5,456.5 91.2 1.9
Grocery retailers 4,961.3 92.6 5,289.1 88.4 1.6
Convenience retail stores (including forecourts) 1,150.2 21.5 1,353.4 22.6 4.2
Supermarkets 1,415.8 26.4 1,362.0 22.8 −1.0
Hypermarkets 1,423.4 26.6 1,402.1 23.4 −0.4
Discounters 28.6 0.5 38.5 0.6 7.7
Warehouse clubs 72.3 1.3 119.0 2.0 13.3
Food/drink tobacco specialists 100.7 1.9 297.6 5.0 31.1
Small local grocers 770.3 14.4 716.6 12.0 −1.8
Non-grocery specialists 92.0 1.7 157.1 2.6 14.3
General merchandise stores 68.9 1.3 94.9 1.6 8.3
Health and beauty specialists 23.1 0.4 62.2 1.0 28.1
Non-store retail 304.1 5.6 535.2 9.0 15.2
Vending 7.3 0.1 7.0 0.1 −1.0
Direct selling 1.8 0.0 3.2 0.1 15.5
E-Commerce 295.0 5.5 525.0 8.8 15.5

Source: Euromonitor International, 2024

*CAGR: Compound Annual Growth Rate

Organic sauces, dips and condiments

In 2022, organic sauces, dips and condiments in South Korea was the largest segment in the overall cooking ingredients and meals category at a total retail sales value of US$19.1 million (share: 46.4%), which has been declining historically by a CAGR of −4.6% (2019-2022) and is forecast to improve and grow by a positive CAGR of 3.6% (2022-2027) to reach sales of US$22.8 million by 2027.

South Korea - Retail sales of organic sauces, dips and condiments by category, historic US$ millions - fixed 2022 exchange rates
Category 2019 2020 2021 2022
Total - Organic cooking ingredients and meals 39.6 56.0 51.2 41.2
Organic sauces, dips and condiments 22.0 33.1 27.5 19.1
Source: Euromonitor International, 2024
South Korea - Retail sales growth (%) of organic sauces, dips and condiments by category, historic
Category Annual growth % 2022/2021 CAGR* % 2019-2022 Total growth % 2019-2022
Total - Organic cooking ingredients and meals −19.5 −1.1 4.0
Organic sauces, dips and condiments −30.5 −4.6 −13.2

Source: Euromonitor International, 2024

*CAGR: Compound Annual Growth Rate

South Korea - Retail sales of organic sauces, dips and condiments by category, forecast US$ millions - fixed 2022 exchange rates
Category 2022 2023 2024 2025 2026 2027
Total - Organic cooking ingredients and meals 41.2 40.5 41.3 41.0 40.9 41.0
Organic sauces, dips and condiments 19.1 20.2 20.8 21.3 22.0 22.8
Source: Euromonitor International, 2024
South Korea - Retail sales growth (%) of organic sauces, dips and condiments by category, forecast
Category Annual growth % 2023/2022 CAGR* % 2022-2027 Total growth % 2022-2027
Total - Organic cooking ingredients and meals −1.7 −0.1 −0.5
Organic sauces, dips and condiments 5.8 3.6 19.4

Source: Euromonitor International, 2024

*CAGR: Compound Annual Growth Rate

Competitive landscape - organic sauces, dips, sweet spreads and condiments

In 2022, leading retail companies (brand) in the organic sauces, dips and condiments category in South Korea included Daesang Corporation (Chungjungone) at sales of US$2.4 million (12.6%), Sempio Foods Co. Ltd. (Sempio) at US$1.3 million (6.8%), and Simply Organic Ltd. (Simply Organic) at US$1.2 million (6.5%). Private label organic sauces, dips and condiments held sales at a total market value of US$0.4 million (1.9%) in 2022.

South Korea - Top 10 companies (brands) of organic sauces, dips and condiments, 2022 - fixed 2022 exchange rates
Company Brand Retail sales (US$ million) Market share % in 2022
Daesang Corporation Chungjungone 2.4 12.6
Sempio Foods Co. Ltd. Sempio 1.3 6.8
Simply Organic Ltd. Simply Organic 1.2 6.5
Kraft Heinz Company Heinz 0.8 4.2
Costco Wholesale Corporation Kirkland 0.6 3.2
Ottogi Foods Co. Ltd. Ottogi 0.5 2.6
McCormick & Co. Inc. McCormic 0.3 1.8
General Mills Inc. Annie's 0.3 1.5
Kroger Company Simple Truth 0.3 1.5
Hanul Co. Ltd. Hanul 0.1 0.7
Private label Private label 0.4 1.9
Others Others 10.7 56.0
Total - Organic sauces, dips and condiments 19.1 100.0
Source: Euromonitor International, 2024

Retail distribution channels - cooking ingredients and meals

In 2023, store-based retailing distribution of cooking ingredients and meals totalled a market share of 81.5% mainly consisting of grocery retailers such as hypermarkets (share: 30.4%), supermarkets (17.5%), convenience and forecourts retail stores (18.2%), and small local grocers (9.0%). Warehouse clubs grocery retailers have been growing the most at a market share of 2.1% in 2023 and growing by a CAGR of 22.1% (2019-2023). Non-store e-commerce retailing for cooking ingredients and meal products held an 18.5% market share, which has increased by a CAGR of 23.9% from sales of US$483.4 million in 2019 to US$1.1 billion in 2023.

Retail distribution channels for cooking ingredients and meals in South Korea, by outlet type retail value sales (US$ millions), fixed 2023 exchange rates
Outlet type 2019 2023 CAGR* % 2019-2023
Actual Share % Actual Share %
Total - retail channels 4,192.5 100.0 6,155.8 100.0 10.1
Store-based retail - offline 3,709.1 88.5 5,016.5 81.5 7.8
Grocery retailers 3,577.0 85.3 4,786.8 77.8 7.6
Convenience retail stores (including forecourts) 758.9 18.1 1,120.1 18.2 10.2
Supermarkets 788.1 18.8 1,076.7 17.5 8.1
Hypermarkets 1,510.5 36.0 1,870.2 30.4 5.5
Discounters 22.4 0.5 29.3 0.5 6.9
Warehouse clubs 59.4 1.4 132.1 2.1 22.1
Food/drink tobacco specialists 2.7 0.1 1.9 0.0 −8.4
Small local grocers 434.8 10.4 556.5 9.0 6.4
Non-grocery specialists 119.7 2.9 196.3 3.2 13.2
General merchandise stores 119.7 2.9 196.3 3.2 13.2
Non-store retail 495.9 11.8 1,172.7 19.0 24.0
Direct selling 12.5 0.3 33.4 0.5 27.9
E-commerce 483.4 11.5 1,139.3 18.5 23.9

Source: Euromonitor International, 2024

*CAGR: Compound Annual Growth Rate

Product launch and trend analysis

Mintel indicated that there were 1,196 new organic packaged food products launched (including new variety/range extension, packaging, formulation or relaunched) in South Korea's supermarkets between the period of January 2019 and February 27th, 2024. During this period, these organic food products consisted mainly from within categories such as new snacks (17.6%), sauces and seasonings (17.6%), side dishes (14.0%), dairy (13.3%), fruit and vegetables (7.2%), baby food (5.9%), breakfast cereals (4.6%), bakery (4.3%), sweet spreads (4.0%), and processed fish, meat and egg products (3.4%).

Top locations of manufacture of these organic products (when reported) included Italy (61), United States (40), South Korea (16), Spain (11), France (11), and Greece (11). Canada was the 10th largest import market to have products on the South Korean grocery store shelves. Canadian products in the South Korean market included two organic maple syrup products from companies Ferme Vifranc (brand: Ferme Vifranc Golden Drop) and Costco (Kirkland Signature) launched in August 2023 and February 2024, respectively. Weetabix's (brand: Weetabix Organic) whole grain organic breakfast cereal can also, be found within the South Korean market - launched in March 2021.

Number of organic packaged food product launches by top categories in South Korea, Total = 1,196 (January 2019 to February 27, 2024)
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Packaged products launched 2019 2020 2021 2022 2023 2024 (January to February) Total
Organic packaged food 321 252 194 185 209 35 1,196
Snacks 80 34 24 32 33 8 211
Sauces and seasonings 46 42 41 32 46 4 211
Side dishes 44 34 23 17 41 8 167
Dairy 39 34 38 21 21 6 159
Fruits and vegetables 29 18 9 13 14 3 86
Baby food 22 17 3 14 12 2 70
Breakfast cereals 6 15 10 15 8 1 55
Bakery 12 10 10 11 9 0 52
Sweet spreads 10 18 8 5 6 1 48
Processed fish, meat and eggs 8 7 10 8 7 1 41
Source: Euromonitor International, 2024

Source: Mintel, 2024

Top parent companies launching the most new organic package food products in South Korea over the last year [Q1-2023 to Q1-2024] were Shinsegae (32), Orga Whole Foods (12), Cored International (11), Hansalim (7), Jilmajae Farm (6), and Pulmuone (5). New organic brands launched recently for the first time within the last six months in the South Korean market included Bellwether Farms (A2 organic whole milk plain yogurt), Natural Dream Healing Food (organic germinated glutinous brown rice- claimed to be anti-Cancer product), Daesang Chungjungone (organic dark cane sugar), and Organic Lab (dried mango slices).

In South Korea, the fastest growing flavour in these organic packaged food products were unflavoured/plain (+15%), with both tomato and mushroom - Shiitake flavours declining by −100% [Q1-2022 to Q1-2024]. New ingredients added to these products included Disodium Diphosphate, vegetable extracts, Marjoram, sodium phospates, natural garlic flavour, Bellflower root juice concentrate, Lactobacillus Casei, and Lactobacillus Lactis.

Leading claims used on these organic packaged food products within the last three months were ethical - sustainable habitat/resources (23.4%), environmental friendly product (19.2%), convenient packaging (19.2%), environmentally friendly package (17%), social media (12.8%), wholegrain (10.6%), and ethical - toxins free (8.5%). Amongst these products, top growing claims found alongside these organic packagings included convenient packaging (+166.7%), ethical - sustainable habitat/resources, low/no/reduced sodium, free from added/artificial additives (+100%), and ethical - environmentally friendly package (+60%); while declining claims at −100% included GMO free, all natural product, vegetarian, high/added fibre, premium [Q4-2022 compared to Q4-2023].

In the South Korean market, the highest growing categories for organic products included side dishes (+350%), baby food (+150%), and dairy (+75%); while top declining categories included breakfast cereals (−100%), fruit and vegetables (−83.3%), bakery (−66.7%), sauces and seasonings (−62.5%), snacks (−62.5%), and processed fish, meat and egg products (−50%) [Q1-2023 vs Q1-2024].

New product price group ranges within top 15 sub-categories, 2019 to 2024
Sub-category Number of products Price group range (top 50 prices)
Rice 104 US$2.57 - $7.68
Oils 82 US$5.38 - $11.83
Vegetables 74 US$2.84 - $17.19
Rice snacks 74 US$1.81 - $3.38
Nuts 56 US$3.07 - $17.19
White milk 53 US$2.67 - $4.94
Cold cereals 44 US$5.38 - $5.78
Fruit snacks 42 US$2.67 - $8.05
Seasonings 35 US$3.28 - $5.90
Spoonable yoghurt 31 ~US$3.71
Confiture and fruit spreads 29 US$2.52 - $10.51
Dressings and vinegar 29 US$1.81 - $2.57
Pasta 28 US$2.67 - $5.36
Baby snacks 26 US$1.81 - $4.87
Stuffing, Polenta and other side dishes 24 US$5.38 - $7.41
Total - organic packaged food 1,196 US$0.52 - $24.00
Source: Mintel, 2024
New product launches of organic packaged food products in South Korea January 2019 to February 27, 2024
Product attributes Yearly launch - item count
2019 2020 2021 2022 2023 2024 Total
Yearly product launches 321 252 194 185 209 35 1,196
Top launch types
New product 168 141 96 77 92 10 584
New variety/range extension 88 79 62 68 80 17 394
New packaging 56 26 27 36 36 7 188
Relaunch 9 5 8 4 1 1 28
New formulation 0 1 1 0 0 0 2
Top sub-categories
Rice 30 23 13 15 18 5 104
Oils 16 14 17 15 17 3 82
Vegetables 27 14 8 11 11 3 74
Rice snacks 30 9 12 15 8 0 74
Nuts 17 11 4 8 13 3 56
Top five companies
Emart / E-Mart 13 10 3 12 31 1 70
Cored International 23 13 3 5 7 4 55
Orga Whole Foods 15 6 3 2 10 1 37
Hansalim 11 4 6 3 4 3 31
Chorocmaeul 9 11 2 4 4 0 30
Top five brands
Jayeonjuui 0 0 0 10 31 2 43
Orga 10 6 3 2 10 0 31
Chorocmaeul 10 10 2 4 2 2 30
Hansalim 7 4 6 3 4 3 27
Yougaone 12 2 4 6 0 2 26
Import status (if reported)
Imported 35 26 32 28 39 6 166
Not imported 9 1 2 0 3 0 15
Top five price groups (US dollars)
4.52 - 8.51 95 106 61 60 81 9 412
0.52 - 4.51 122 75 42 66 55 5 365
8.52 - 12.51 51 44 38 26 36 6 201
12.52 - 16.51 33 18 22 22 19 11 125
16.52 - 24.00 17 6 20 10 14 4 71
Top five flavours (including blend)
Unflavoured/plain 172 129 113 97 125 18 654
Strawberry 6 12 4 4 5 2 33
Roasted/toasted 12 6 1 2 2 1 24
Blueberry 5 3 2 3 5 2 20
Chocolate 3 5 2 1 5 0 16
Top claims
Organic 321 252 194 185 209 35 1,196
Ethical - environmentally friendly product 53 41 25 33 36 6 194
Ethical - environmentally friendly package 27 25 31 22 51 7 163
Convenient packaging 37 38 18 31 27 6 157
Low/no/reduced allergen 31 32 21 29 19 2 134
Source: Mintel; Global New Product Database, 2024

Product examples

100% Organic Maple Syrup

Source: Mintel, 2024
Company Ferme Vifranc
Distributor / importer Bobo F&G / Organiczip
Brand Ferme Vifranc Golden Drop
Sub-category Sweet spreads, syrups
Market South Korea, imported from Canada
Claims Kosher, organic
Store name Icoop Natural Dream
Store type Natural / health food store
Store location Seoul 06283
Launch type New product
Date published February 2024
Price in US dollars 7.40
 

This product retails in a 330 gram pack. 100% organic. Canada grade A. Amber rich taste. Logos and certifications: Canada Organic, Kosher, Organic

Dark Pavé Chocolate

Source: Mintel, 2024
Company / distributor Trade Maker
Manufacturer Jungan
Brand Cordialement
Sub-category Chocolate confectionery, non-individually wrapped pieces
Market South Korea
Claims Organic
Store name tohome.thehyundai.com
Store type Internet / mail order
Launch type New product
Date published March 2024
Price in US dollars 13.46
 

This product retails in a 110 gram pack including a fork. Made with chocolate from France and organic milk from Korea. Can enjoy a chewy texture when naturally thawed for five minutes.

Anti-Cancer Organic Germinated Glutinous Brown Rice

Source: Mintel, 2024
Company Icoop Natural Drea
Manufacturer Alkongdalkong
Brand Natural Dream Healling Food
Sub-category Side dishes, rice
Market South Korea
Claims Functional – other, organic
Store name Icoop Natural Dream
Store type Natural / health food store
Store location Seoul 06283
Launch type New variety / range extension
Date published March 2024
Price in US dollars 8.23
 

This product retails in an 800 gram pack. Rich in pytochemicals, which are anti-cancer. Made with select organic anti-cancer glutinous brown rice and germinated for 24 hours. Logos and certifications: Organic. Related products available include anti-cancer organic soybean and organic wheat.

Dried Mango Slices

Source: Mintel, 2024
Company Viet Duc Foods
Distributor / importer Organic Lab
Brand Organic Lab
Sub-category Snacks, fruit snacks
Market South Korea
Claims Organic, ease of use
Store name coupang.com
Store type Internet / mail order
Launch type New product
Date published February 2024
Price in US dollars 14.95
 

This product retails in a 400 gram pack containing five 80 gram units. Chewy (gummy) taste. Serving suggestions available on pack.

Extra Virgin Olive Oil

Source: Mintel, 2024
Company Aceites Echinac
Importer Yugginongsan
Brand Echinac
Sub-category Sauces and seasonings, oils
Market South Korea, imported from Spain
Claims Organic
Store name coupang.com
Store type Internet / mail order
Launch type New product
Date published February 2024
Price in US dollars 9.78
 

This product retails in a 250 millilitre pack. Organic farming. Superior category olive oil obtained directly from olives and solely by mechanical means. Logos and certifications: EU Organic, CAAE, Organic

Shinan Organic Seasoned Seaweed

Source: Mintel, 2024
Company Emart / E-Mart
Manufacturer Shinan 1004 Seaweed
Brand Jayeonjuui
Sub-category Vegetable snacks
Market South Korea
Claims Organic
Store name ssg.com
Store type Internet / mail order
Launch type New product
Date published February 2024
Price in US dollars 5.22
 

This product retails in a 72 gram pack containing 46 4.5 gram units. Domestic seaweed cultivated in the sea in front of Sinan Island. Follows strict quality hygienic control and production management. Coated with organic sunflower oil. Seasoned with sea salt. Logos and certifications: Organic, HACCP

Opportunities for Canada

The popularity of organic packaged food products in South Korea has seen stronger growth over the last 5-year review period and can now be found within several food categories - which, in South Korea was previously almost entirely concentrated primarily within the organic dairy, baby food, and rice food segments. Now more than ever, opportunities exist for Canadian suppliers that seek to take advantage of the growing popularity of organic foods in South Korea. South Koreans relying heavily on food imports, have a higher disposable income than many within the Asian-Pacific region and consumers have a willingness to spend on quality and safe organic products.

Effective on November 1, 2023, Canada and South Korea entered into an arrangement recognizing the national organic systems as being equivalent. The Canada - South Korea Organic Equivalency Arrangement (CSKOEA) helps provide an overview of the terms regarding each country's import, labelling and certification requirements for the trade of organic products that do not use food additives or other ingredients (to the extent that their original forms can still be recognized), whose final processingFootnote 5 and handling (no concerns about sanitary risks) occurs within South Korea or Canada.

Under the CSKOEA, Canadian suppliers of organic processed products can export to South Korea, as long as they are accompanied by a valid organic certificate; and a NAQS Import Certificate of organic processed foods both issued by a Canadian Food Inspection Agency (CFIA) accredited Certification body that attests to compliance with the terms of the arrangement. The benefits of this arrangement helps to eliminate the need for costly dual certification, provides better control and oversight with experts at the point of origin and develops good working relationships between the two competent authorities. For more information on the CFIA organic products and import requirements, please visit the following websites: Organic products - Canadian Food Inspection Agency and Canada's Organic Regime import requirements.

The Canada-Korea Free Trade Agreement (CKFTA) was Canada's first FTA in the Asia-Pacific region, which entered into force in 2015. As of January 1, 2024, 99% of Canada's exports are eligible for duty-free access into Korea. For more information on what the CKFTA will mean for Canada's agriculture and agri-food sector visit the CKFTA for Agri-Food Exporters page. Further information on the state of Canadian market access to South Korea can be found through the Canada Tariff Finder.

South Korea is also in the process of applying to join the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), which Canada has already signed, along with Australia, Brunei, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore, and Vietnam.

For more information

The Canadian Trade Commissioner Service:

International Trade Commissioners can provide Canadian industry with on-the-ground expertise regarding market potential, current conditions and local business contacts, and are an excellent point of contact for export advice.

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More on Canada's agriculture and agri-food sectors:

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Information on the agriculture industry by sector. Data on international markets. Initiatives to support awareness of the industry in Canada. How the department engages with the industry.

For additional information on the SFH – Seoul Food & Hotel 2024 (June 11 to 14) trade show, please contact:

Ben Berry, Deputy Director
Trade Show Strategy and Delivery
Agriculture and agri-food Canada
ben.berry@agr.gc.ca

Resources

  • Euromonitor International | 31 May 2023. Country Report: Income and Expenditure: South Korea
  • Euromonitor International | November 2023. Country Report: Health and Wellness in South Korea
  • Euromonitor International | 16 November 2020. Opinion Analysis: Three Out of The World's Top Five Oldest Populations in Asia Pacific by 2040
  • Global Trade Tracker, 2023
  • Latitude | 29 February 2024. Presentation: Korean Market Overview – Organic Category (Canada)
  • Mintel Global New Products Database, 2023
  • The Canadian Food Inspection Agency – Food labels:

Health and Wellness Series – Organic packaged food trends in South Korea
Global Analysis Report

Prepared by: Erin-Ann Chauvin, Senior Market Analyst

© His Majesty the King in Right of Canada, represented by the Minister of Agriculture and Agri-Food (2024).

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