Beneath the neon glow of Seoul's towering cafes and amid the sizzle of its bustling street food stalls, South Korea's F&B sector is a dynamic powerhouse, serving up a $152.3 billion market brimming with innovation where health-conscious trends meet global K-food exports.
Key Takeaways
- In 2023, the South Korean food and beverage market was valued at USD 152.3 billion, reflecting a CAGR of 4.2% from 2019-2023 due to increased e-commerce penetration.
- The F&B sector contributed 2.8% to South Korea's GDP in 2022, employing over 2.1 million people across manufacturing and retail.
- Foodservice sales in South Korea reached KRW 45.6 trillion in 2023, up 5.1% YoY, driven by post-pandemic recovery and tourism rebound.
- Soju sales volume in South Korea was 85.6 million cases in 2023, down 1.2% YoY but premium brands grew 8%.
- Beer market share in South Korea was led by HiteJinro at 42% volume in 2023, with craft beer segment expanding to 5%.
- Bottled water consumption per capita in South Korea reached 68 liters in 2023, up 6.5% from 2022 due to health trends.
- Instant noodle production hit 8.92 billion packs in 2023, with exports reaching 2.1 billion packs.
- Kimchi production volume was 1.18 million tons in 2023, down 3% due to smaller household sizes.
- Processed meat sales grew to KRW 5.6 trillion in 2023, with ready-to-eat products up 9.2% YoY.
- 68% of South Koreans aged 20-39 consumed delivery food weekly in 2023, up from 52% in 2020.
- Health food supplement market grew to KRW 6.5 trillion in 2023, vitamins leading at 35% share.
- Convenience store F&B sales accounted for 45% of total revenue in 2023, reaching KRW 22 trillion.
- F&B exports from South Korea totaled USD 10.2 billion in 2023, up 8.7% YoY led by instant noodles.
- Ramen exports reached USD 850 million in 2023, China absorbing 45% of volume.
- Agricultural product imports to South Korea were USD 28.5 billion in 2023, grains at 32% share.
The South Korean food and beverage market is large and growing steadily with robust e-commerce and health-focused consumer trends.
Beverage Industry
- Soju sales volume in South Korea was 85.6 million cases in 2023, down 1.2% YoY but premium brands grew 8%.
- Beer market share in South Korea was led by HiteJinro at 42% volume in 2023, with craft beer segment expanding to 5%.
- Bottled water consumption per capita in South Korea reached 68 liters in 2023, up 6.5% from 2022 due to health trends.
- Carbonated soft drinks sales declined 2.1% in volume to 1.2 billion liters in 2023, shifting to zero-sugar variants.
- Ready-to-drink tea market grew to USD 2.1 billion in 2023, with green tea variants holding 55% share.
- Coffee consumption per capita in South Korea was 192 cups annually in 2023, highest in Asia, boosting cafe chain expansions.
- Functional beverage sales surged 12% to KRW 1.8 trillion in 2023, led by energy drinks at 40% segment share.
- Milk and dairy beverage production totaled 2.45 million tons in 2023, with plant-based alternatives up 22% YoY.
- Alcoholic beverage exports from South Korea hit USD 450 million in 2023, soju comprising 65% of volume.
- Juice market value reached USD 1.9 billion in 2023, with 100% fruit juices growing 7% amid premiumization.
- Craft beer production volume hit 25,000 kiloliters in 2023, up 28% YoY.
- Energy drink market value was USD 650 million in 2023, Monster holding 30% share.
- Yogurt sales volume increased to 450,000 tons in 2023, probiotic variants at 40%.
- Imported wine consumption reached 120 million liters in 2023, France at 35% origin share.
- Sports drink sales surged 18% post-Olympics to KRW 900 billion in 2023.
- Traditional liquor (Yakju) production was 15,000 kiloliters in 2023, niche growth 10%.
- Bottled green tea exports totaled USD 50 million in 2023, Vietnam key market.
- Pet food market, adjacent to F&B, grew to USD 1.4 billion but humanized treats up 20%.
- Canned coffee sales volume was 350 million units in 2023, convenience-driven.
Beverage Industry Interpretation
While South Koreans are drinking slightly less overall soju and soda, they are increasingly choosing to sip premium brands, craft beers, and health-conscious options like bottled water and zero-sugar variants, proving that their palates are becoming more discerning even as their coffee consumption and cafe culture lead Asia.
Consumer and Retail
- 68% of South Koreans aged 20-39 consumed delivery food weekly in 2023, up from 52% in 2020.
- Health food supplement market grew to KRW 6.5 trillion in 2023, vitamins leading at 35% share.
- Convenience store F&B sales accounted for 45% of total revenue in 2023, reaching KRW 22 trillion.
- Plant-based food adoption rate among urban consumers was 24% in 2023, preferring meat alternatives.
- K-food trend boosted domestic sales of bibimbap kits by 28% in 2023 among millennials.
- Average monthly F&B spending per household was KRW 850,000 in 2023, food at home 60% of total.
- Online grocery penetration reached 22% of F&B retail in 2023, Coupang leading at 40% share.
- Zero-calorie beverage preference among women aged 25-34 was 41% in 2023 surveys.
- Street food consumption frequency was 3.2 times monthly per capita in Seoul 2023.
- Premium ice cream sales volume increased 7.5% to 120,000 tons in 2023, artisanal flavors key.
- 55% of consumers prefer low-sodium products in 2023 Nielsen survey.
- Cafe visits per capita were 150 annually in 2023, Starbucks 35% share.
- Meal kit subscription users grew 40% to 1.2 million in 2023.
- Allergy-free food demand up 22%, gluten-free at 45% of category.
- Night market F&B sales totaled KRW 2.5 trillion in 2023 Seoul area.
- Probiotic supplement intake daily among 30% of adults in 2023.
- Discount store F&B share was 28% of sales in 2023, private label up.
- Fermented food consumption per capita 12kg annually in 2023.
- Gender divide: women 62% prefer healthy snacks vs men 41% in 2023.
Consumer and Retail Interpretation
South Korea's taste buds are staging a generational coup, where the relentless convenience of weekly delivery and convenience store snacks is being frantically offset by a boom in health supplements, low-sodium bibimbap kits, and guilt-free artisanal ice cream.
Food Industry
- Instant noodle production hit 8.92 billion packs in 2023, with exports reaching 2.1 billion packs.
- Kimchi production volume was 1.18 million tons in 2023, down 3% due to smaller household sizes.
- Processed meat sales grew to KRW 5.6 trillion in 2023, with ready-to-eat products up 9.2% YoY.
- Bakery products market valued at USD 6.2 billion in 2023, bread segment at 48% share with health-focused variants rising.
- Frozen food consumption increased 11% to 1.45 million tons in 2023, driven by convenience for single households.
- Snack food market reached USD 4.8 billion in 2023, savory snacks at 52% with seaweed crisps popular.
- Confectionery sales volume was 285,000 tons in 2023, chocolate growing 5% despite sugar tax impacts.
- Ready meals market expanded to USD 3.1 billion in 2023, home meal replacement up 14% YoY.
- Soy sauce production totaled 785,000 kiloliters in 2023, traditional variants holding 62% market share.
- Edible oil consumption was 1.2 million tons in 2023, with olive oil imports rising 18%.
- Tteokbokki sauce production reached 120,000 tons in 2023, exports doubling.
- Poultry meat production totaled 1.65 million tons in 2023, chicken nuggets popular.
- Pasta market value hit USD 450 million in 2023, premium imports rising.
- Infant formula sales were KRW 1.1 trillion in 2023, organic up 12%.
- Seaweed snack exports reached USD 300 million in 2023, USA 50% share.
- Functional cereal production increased 9% to 250,000 tons in 2023.
- Pickled vegetable output was 320,000 tons in 2023, radish dominant.
- Plant-based meat sales volume hit 15,000 tons in 2023, burgers leading.
- Noodle sauce market grew to KRW 800 billion in 2023, spicy variants 55%.
Food Industry Interpretation
South Korea's 2023 food industry tells a tale of two tables: a nation so devoted to instant ramyeon it could circle the globe, while simultaneously trading homemade kimchi for a surge in premium frozen meals and plant-based burgers, proving that convenience and tradition are having a very spicy, and lucrative, stand-off in the modern kitchen.
Overall Market Statistics
- In 2023, the South Korean food and beverage market was valued at USD 152.3 billion, reflecting a CAGR of 4.2% from 2019-2023 due to increased e-commerce penetration.
- The F&B sector contributed 2.8% to South Korea's GDP in 2022, employing over 2.1 million people across manufacturing and retail.
- Foodservice sales in South Korea reached KRW 45.6 trillion in 2023, up 5.1% YoY, driven by post-pandemic recovery and tourism rebound.
- The packaged food market in South Korea grew to USD 38.7 billion in 2023, with a projected CAGR of 3.8% through 2028.
- Beverage market revenue in South Korea hit USD 28.4 billion in 2022, accounting for 19% of total F&B sales amid health-conscious shifts.
- South Korea's F&B e-commerce sales surged to KRW 18.2 trillion in 2023, representing 12.5% of total retail F&B sales.
- Inflation in South Korea's F&B sector averaged 3.9% in 2023, higher than the national CPI due to global commodity price hikes.
- The number of F&B manufacturing firms in South Korea stood at 12,450 in 2022, with SMEs comprising 92% of the total.
- Per capita F&B expenditure in South Korea was USD 2,950 in 2023, with food at home spending rising 4.2% YoY.
- Organic food sales in South Korea reached KRW 1.2 trillion in 2023, growing at 15% annually since 2020.
- In 2023, South Korea's F&B wholesale market turnover was KRW 320 trillion, with logistics costs at 8% of total.
- Vegan product launches in South Korea increased 35% in 2023, reaching 250 new SKUs.
- The HMR (Home Meal Replacement) segment grew 16.2% to KRW 4.1 trillion in 2023.
- F&B R&D investment by major firms totaled KRW 1.2 trillion in 2023, 2.5% of sales.
- Sustainability packaging adoption in F&B reached 65% of new products in 2023.
Overall Market Statistics Interpretation
Amid soaring inflation and a relentless shift online, South Korea's food and beverage sector is a high-stakes kitchen where everyone is now cooking, from the 92% of small-scale manufacturers to the health-conscious consumers whose hungry clicks are fueling a $152 billion market.
Trade and International
- F&B exports from South Korea totaled USD 10.2 billion in 2023, up 8.7% YoY led by instant noodles.
- Ramen exports reached USD 850 million in 2023, China absorbing 45% of volume.
- Agricultural product imports to South Korea were USD 28.5 billion in 2023, grains at 32% share.
- Soju exports grew 15% to 120 million liters in 2023, USA market up 25%.
- Seafood exports hit USD 2.3 billion in 2023, processed items like squid rings leading.
- Kimchi exports volume was 45,000 tons in 2023, Japan taking 60% share.
- Beef imports totaled 350,000 tons in 2023, Australia supplying 48%.
- Rice imports reached 400,000 tons in 2023 under WTO minimum access commitments.
- Processed food exports to USA were USD 1.8 billion in 2023, snacks up 12%.
- F&B imports from USA were USD 5.6 billion in 2023, beef top item.
- Instant coffee exports USD 200 million in 2023, Asia 70% destination.
- Dairy imports totaled USD 2.8 billion in 2023, cheese up 15%.
- Processed fruit exports reached USD 150 million in 2023, jams key.
- EU-FTA boosted wine imports by 10% to USD 400 million in 2023.
- Frozen seafood exports USD 1.2 billion in 2023, Vietnam processing hub.
- Corn imports for feed 12.5 million tons in 2023, USA 75%.
- Cosmetics-food crossover like collagen drinks exported USD 100m 2023.
Trade and International Interpretation
While instant noodles are conquering the world one package at a time, South Korea’s own pantry reveals a deliciously complex trade deficit, thriving as a global snack powerhouse that still can’t resist imported beef and grains.
Sources & References
- Reference 1STATISTAstatista.comVisit source
- Reference 2ENGLISHenglish.mafra.go.krVisit source
- Reference 3ATat.or.krVisit source
- Reference 4EUROMONITOReuromonitor.comVisit source
- Reference 5KOSTATkostat.go.krVisit source
- Reference 6OECDoecd.orgVisit source
- Reference 7INDEXindex.go.krVisit source
- Reference 8MAFRAmafra.go.krVisit source
- Reference 9HITEJINROhitejinro.comVisit source
- Reference 10MORDORINTELLIGENCEmordorintelligence.comVisit source
- Reference 11KFCAkfca.or.krVisit source
- Reference 12KATIkati.netVisit source
- Reference 13WINAwina.orgVisit source
- Reference 14KHIDIkhidi.or.krVisit source
- Reference 15CSPDAILYNEWScspdailynews.comVisit source
- Reference 16KNTOknto.or.krVisit source
- Reference 17ENGLISHenglish.customs.go.krVisit source
- Reference 18FASfas.usda.govVisit source
- Reference 19ERSers.usda.govVisit source
- Reference 20INNOVAMARKETINSIGHTSinnovamarketinsights.comVisit source
- Reference 21MSITmsit.go.krVisit source
- Reference 22KOREAPACKkoreapack.or.krVisit source
- Reference 23KBAkba.or.krVisit source
- Reference 24WINEAwinea.or.krVisit source
- Reference 25NTCntc.or.krVisit source