South Korea: Responding to price increases by developing premium products for the Japanese dairy industry

Published 2024년 1월 31일

Tridge summary

Japanese food companies are raising the value of their dairy products in response to unavoidable price increases, with yogurt and ice cream prices up by 9.6% and 9.8% respectively from last year. They are introducing new products with enhanced taste, quality, and health benefits to shift the perception of price hikes from negative to positive. This strategy could be relevant for Korea, where the milk consumer price index rose by 9.9% last year, the highest in 14 years. Korean industry officials are advised to focus on creating functional and premium products, new flavors and textures, and leveraging local specialties to enhance product value.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

[Livestock News Reporter Min Byeong-jin] Korea, in a similar situation, needs to make efforts to improve the taste and quality of dairy products Japanese food companies are seeking a breakthrough by increasing value as dairy product price increases become inevitable. According to KATI (Agricultural and Food Export Information), among the year-on-year increase in the consumer price index as of November 2023 announced by the Ministry of Internal Affairs and Communications of Japan, the rate of increase in food prices was higher than other items, of which the price of yogurt was 151.5 yen, up 9.6% compared to the same period last year; Ice cream prices rose 9.8% to 132 yen. Accordingly, looking at recent trends in new products, the perception of price increases is changing from a ‘negative image’ to a ‘positive image’, leading people to want to buy them. In the case of plain yogurt, demand for functional, small-capacity types of about 100 to 120 g is gradually increasing despite ...

Source: Chuksannews