Market Information > Food News Clipping
Food News Clipping
March 6 - 11, 2022
FAS/Seoul Monitoring of Media Reporting on Agricultural Issues
Today's Date: Friday, March 11, 2022
For Coverage: March 6 ~ March 11, 2022
Salmon Dishes are Out of Stock for the Time Being Due to Supply Disruptions
Summary: Domestic seafood prices are fluctuating due to supply shortages amid the Ukraine conflict. As air routes for Norwegian salmon entering via Russia have been suspended, an increasing number of shipments of salmon to East Asia are being canceled or reduced in volume. Norwegian salmon accounts for 95% of imported salmon in South Korea. Some restaurants decided to stop selling menus using salmon. Japanese restaurant owners said that they are suffering since salmon dishes account for more than half of their total sales. Hypermarkets are taking measures such as diversifying salmon production areas. The food industry said that if the war between Russia and Ukraine continues for a long time, it will eventually lead to a rise in consumer prices.
Food and Beverage Industry Expects the Yoon Seok-yeol Administration to Ease Regulations
Summary: The food and beverage industry is paying attention to whether President-elect Yoon suk-yeol will revise the regulations on the food and beverage industry promoted by the Moon Jae-in administration. The industry claims that easing regulations on food labeling and advertisements, taking into account material prices when implementing quota tariffs, and revising food storage and distribution regulations should be included in the first batch of to-do lists by the Yoon Seok-yeol administration. The industry believes that the eco-friendly policies (such as reducing packages and prohibiting disposable plastic use) promoted by the Ministry of Environment lack an understanding of the real market situation, and therefore put too much pressure on the industry. They argue that food packaging regulations which require mid-to-long term strategies should be carefully discussed with the food industry. The alcoholic beverage industry is paying attention on whether online sales of alcoholic beverages will be allowed. While traditional alcoholic beverages can be easily purchased online, beer, soju, and whisky are not allowed to be sold online.
The Ministry of Food and Drug Safety will Discuss Labeling Rules for Meat Alternatives, Consider Complaints from the Livestock Industry
Summary: With the unexpected growth in the domestic plant-based meat market, the livestock industry has demanded a name change, claiming that meat alternatives should not be called ‘meat’. Also, they doubt the positive effect that the plant-based meat business has on reducing carbon emissions. The Korean Meat Board claimed on March 8 that meat substitutes made using plant materials are similar in taste and texture to animal meat, but can’t replace it since they differ in nutritional content. Also, it noted that safety issues have been raised in other countries since additives such as leghemoglobin and methyl cellulose are added to plant-based meat to make it look and taste like animal meat. Accordingly, the Ministry of Food and Drug Safety has announced that it will discuss establishing labeling rules for plant-based meat. The reason that the livestock industry has raised these issues is because plant-based meat is gaining traction globally. The domestic plant-based meat market is still in the beginning stage, but as healthy food trend is continuing attention to meat substitutes is expected to grow. The Korean government is also supporting the development of plant-based meat, viewing it as sustainable food.
Paris Baguette is Rising as a Wine Specialty Store
Summary: More wine lovers are purchasing wines at Paris Baguette. Paris Baguette has seen 40% growth in its wine sales last year compared to the year before. The food industry explained that the drink-at-home trend due to Covid 19 has led the sales increase. An official of SPC, operator of Paris Baguette, explained that the biggest strength of Paris Baguette stores is its accessibility which is comparable to convenience stores. Wines sold at Paris Baguette are priced between 20,000 won and 40,000 won, higher than the low-priced wines (around 10,000 won) sold at convenience stores, but they are popular among wine lovers who focus on a balance between taste and price. SPC group is introducing French wine, Italian wine and Spanish wine through a wine importer Tiger International. The bestselling item is ‘Domaine Lafage’, which is affordably priced, and is recognized for its high quality among wine experts.
The FAO Food Price Index Rose 3.9% in February 2022
Summary: According to the Food and Agriculture Organization of the United Nations (FAO), the food price index for February 2022 stood at 140.7, up 3.9% from 135.4 points in January. The price index of all commodities except sugar rose, and the biggest rise was in the price index for oil and dairy products. The grain price index in February was 144.8 points, up 3.0% from January (140.6), and up 14.8% from the same month in 2021. Wheat prices also went up as wheat exports from Russia and Ukraine, two major exporters in the Black Sea region, are expected to struggle for a while. Corn prices went up due to reduced harvest prospects in Brazil and Argentina, higher wheat prices, and uncertain exports from Ukraine. The oil price index reached 201.7 points in February, up 36.7% from the same month last year (up 8.5% from January 2022). The price of palm oil went up due to reduced export expectations from Indonesia, which is the biggest palm oil exporter. The price index for dairy products went up 24.8% in February from the same month last year (up 6.4% from January 2022).
Shinsegae Food Launches ‘No Brand Pizza’ Following the Success of ‘No Brand Burger’
Summary: Shinsegae Food decided to launch No Brand Pizza, which offers pizzas at a reasonable price to ease price pressure on consumers and gain trust in the domestic pizza market. Pizza at No Brand Pizza is priced between 14,900 won and 23,900 won, 20 percent cheaper on average compared to global pizza brands. No Brand Pizza’s ‘Too Much Pepperoni’ has 30 percent more pepperoni on it than global brands’ pepperoni pizzas. Also, Shinsegae Food has introduced a smart pizza kitchen system in its stores to reduce customers’ waiting time and enable store owners to sell more pizzas in the same amount of time. Shinsegae Food will open a No Brand Pizza test store in Daechi-dong, Seoul on March 10.
Mr. Pizza Signed a Business Deal with Yang Yoo to Co-develop a Vegan Pizza
Summary: Mr. Pizza announced on March 7 that it signed a memorandum of understanding (MOU) with Yang Yoo. Yang Yoo is a food tech company dedicated to producing vegan cheese with its own technology, fermenting plant protein milk. Mr. Pizza plans to develop vegan pizza menus using Yang Yoo’s vegan cheese which has a similar taste to animal cheese. Lee Jong Yeong, CEO of MP Daesan which operates Mr. Pizza, said they will continuously introduce new vegan menus including desserts since vegan food is receiving more attention from consumers.
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