The Ministry of Agriculture, Food and Rural Affairs (Minister Kim Hyeon-soo, MAFRA) and the Korea Agro-Fisheries & Food Trade Corp. published the 2021 report for processed food and its market segments (ready-to-cook food *).

* Ready-to-cook food is cooked and processed by adding food or food additives to animal and vegetable raw materials and can be eaten through heating or other cooking process. This report includes easy-to-cook meal kits.

MFRA has conducted a survey on status of market segments on processed food every year since 2010 with the aim to strengthen competitiveness and promote sustainable development in the food industry by providing valuable market information to food businesses.

This report describes production, shipment, export, distribution, sales of ready-to-cook food, domestic and foreign market trends and forecasts, and consumption trends.

Shipments of ready-to-eat items, known as home meal replacement (HMR) products in South Korea, came to 2.118 trillion won in 2020, 18.7% from 2020 and 145.3% from 2016. The ready-to-cook food market continues to grow because of the increasing number of convenience stores, improved quality, more demand for home-cooked meals due to COVID-19, and higher penetration of air fryers at home.

According to an online survey* to appreciate consumption trends and market outlook of ready-to-cook food, most respondents purchased instant rice (82.8%), curry/Jajang/toppings for steamed rice (77.4%), and soup/broth/stew (75.6%). Easy-to-cook meal kits, which are growing rapidly in recent years, also have been purchased by 63.6% of respondents.

Instant cooked foods, which showed an increase in purchase compared to before COVID-19, are ready-to-eat meal kits (66.0%), soups/broth/stew (54.2%), and ready-to-eat rice (42.5%). Recently, home-meal replacement market is growing for several reasons, such as rising demand for home-cooked meals, an increase in dual-income and single-person households, and a tendency to prepare meals in a more convenient way.

Among ready-to-eat foods, consumers preferred products that can replace a meal (24.8%) the most, followed by good taste and high-quality products (22.8%), and packaged products from famous restaurants across the country (20.2%). Consumers perceive ready-to-cook food as a meal replacement and are willing to enjoy delicious food even for just one meal.

Exports of home meal replacement items spiked 323.1 percent to $34.93 million from 2016The 2020 figure was up 35.1 percent from a year earlier. Exports amounted to 13,563 tons, up 20.0% from the previous year and 390.7% from 2016. Importantly, the export growth of instant cooked rice (up 53.3% compared to the previous year) and Tteokbokki, or simmered rice cake, (up 56.7%), iconic instant-cooked foods*, was remarkable*.

* Source: Press release from Korea Customs Service (27 May 2021, the highest record in Korean food exports despite COVID-19)

Recently, Korean food culture has been promoted through online video content in overseas markets. As videos showing a host eating it are gaining popularity in social media, an increasing number of people try to eat it. Importantly, Tteokbokki has been introduced by a globally popular K-pop band and continued to increase exports.

For more information on production, distribution, sales and consumption of ready-to-cook meals, please refer to the 2021 report for processed food and its market segments (ready-to-cook food), published at website of Food Information Statistics System (http://www.aTFIS.or.kr).