"I Wanted to Gift My Parents"... Beef Prices Soar Ahead of Chuseok
Retail Beef Prices Rise Ahead of Chuseok
Wholesale Prices Remain High, Short-Term Stabilization Unlikely
Imported Beef Prices Climb Amid Middle East Conflict
Upward Pressure on Restaurant Prices
With Chuseok approaching, high beef prices compared to previous years are putting the holiday gift set market on alert. Even prices of imported beef, which is typically relatively affordable, have remained elevated since the outbreak of the war between the United States and Iran in the Middle East, affecting not only household purchases but also the dining-out sector.
According to the Livestock Distribution Information "Dabom" from the Korea Institute for Animal Products Quality Evaluation on August 31, the nationwide average retail price of 1+ grade domestic beef tenderloin (per 100g) has risen from 14,888 won in January to 16,137 won this month. This is an increase of 13.5% compared to the same period last year, and 9.9% higher than the average for a typical year (which excludes the highest and lowest prices from the past five years). Retail prices for domestic beef sirloin—a popular choice among consumers—averaged 12,660 won this month, up 14.3% year-on-year and 10.1% higher than the typical year average. For domestic short ribs (1+ grade), the average price this month was 7,598 won, marking increases of 7.6% from last year and 4.5% from the typical year average.
There is a high likelihood that domestic beef prices will remain at their current elevated levels for some time. This is because wholesale prices, which usually take about a week to be reflected in retail prices, have not decreased. As of August 28, the wholesale price of Hanwoo (carcass) was 23,384 won per kilogram, representing increases of 20.3% year-on-year and 24% compared to the typical year. In contrast, the wholesale price of domestic pork—which previously contributed to the rise in livestock product prices alongside beef—has dropped by 0.3% year-on-year during the same period, breaking its upward trend.
Industry experts predict that, as the number of Hanwoo cattle being slaughtered has declined compared to previous years, domestic beef wholesale prices for the third quarter of this year—which includes Chuseok—will hit their highest point for the year. According to the Korea Rural Economic Institute, the number of Hanwoo cattle slaughtered in the third quarter of 2026 is projected to be 241,000, down 14.8% from a year prior and 5.9% from the typical year. Accordingly, wholesale prices for related items during this period are expected to average 22,000 won per kilogram, up 7.5% from last year and 6.3% from the typical year. This is higher than the average of 21,943 won in the first quarter and 21,500 won in the second quarter.
In response to rising prices and increased consumer price sensitivity, the distribution industry is expanding its selection of practical and smaller-sized gift sets for Chuseok to help reduce the burden on consumers. For example, department stores are diversifying options by offering small packages containing only the most popular beef cuts, thereby lowering price points. An industry representative explained, “As single- and two-person households increase and people celebrate holidays in a simpler way, compact product packages that lessen the burden on both gift-givers and recipients are gaining popularity.”
Even imported beef, often chosen as a more affordable alternative to domestic beef, is not immune to price instability. For example, the retail price per 100g of U.S. chilled chuck eye roll—a widely-used ingredient for steaks, grills, and in the food service industry—was 3,737 won in January, but spiked to 4,106 won in May as exchange rates surged following the Middle East war; this month, it climbed further to 4,245 won. This is 29.1% higher than the same period last year, and 30.9% above the average for a typical year. Likewise, the retail price of Australian chilled chuck eye roll was 3,540 won this month, up 9.6% year-on-year and 27.2% compared to the typical year.
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This directly leads to higher menu prices for dining establishments that use imported beef as an ingredient. Notably, No Brand Burger recently raised the prices of some individual burgers, combo sets, and side menu items by an average of 2.5%, while major franchises such as McDonald’s, Burger King, Mom’s Touch, and Lotteria have sequentially increased their prices since the beginning of the year. These companies have cited increased costs for raw materials and other associated expenses as the principal reasons for the price hikes.
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