Frozen Fruits, Vegetables and Sandwiches Take Center Stage on Korean Tables

Once Shunned Over Freshness Concerns, Frozen Products Now Armed With Improved Technology and Price Competitiveness Small Packaging and Long-Term Storage Drive Demand Growth Centered on One- and Two-Person Households

Finance|
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By Kim Yeon-ha
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Frozen products are on sale at Emart's Yongsan branch. Photo courtesy of Emart - Seoul Economic Daily Finance News from South Korea
Frozen products are on sale at Emart's Yongsan branch. Photo courtesy of Emart

Frozen fruits and vegetables, once shunned for their perceived inferior freshness and taste, are now taking center stage on the dinner table. As rapid-freezing technology has advanced, improving quality while offering price competitiveness, frozen fruits and vegetables—along with bakery items and frozen noodles—are gaining popularity. With one- and two-person households on the rise, the advantages of small packaging and easy long-term storage have also drawn attention, driving a sharp increase in demand.

According to market research firm Market Report World, the global frozen vegetable market, valued at $41.5 billion (about 62 trillion won) last year, is projected to grow at an average annual rate of 7.4% to reach $79.1 billion by 2034. Business Fortune Insights forecast that the frozen fruit market will also grow 6.0% annually over the same period, from $5.9 billion to $10 billion.

Frozen foods are showing steep growth in Korea as well. From January to June this year, E-Mart's (139480.KS) frozen fruit sales rose 19.1% from a year earlier, while frozen vegetable sales increased 13%. At Lotte Mart, frozen fruit and frozen vegetable sales grew 11% and 10%, respectively, over the same period.

"As fruit prices have risen sharply due to high inflation and high exchange rates, demand for relatively inexpensive frozen fruit has increased," an E-Mart official said. "Vegetables often wilt or go unused during storage, so dual-income households and one- and two-person households are increasingly preferring frozen products." The official added, "In particular, as the uses for frozen fruit have diversified—into smoothies, yogurt bowls and home-cafe beverages—it is spreading beyond a simple fruit substitute to a convenient fruit that people regularly stock at home. As a result, we are also broadening our selection by adding unusual frozen fruits such as 'seedless frozen durian' and 'Kingsberry frozen strawberries' on top of existing popular products like frozen blueberries and frozen mango." A Lotte Mart official also said, "We maintain about 54 frozen fruit items annually, changing products each year to match customer demand. The number of customers seeking frozen fruits and vegetables—which offer reasonable prices as well as convenient storage and use—is steadily increasing."

The frozen bakery market is also growing rapidly. Shinsegae Food's frozen sandwich sales more than doubled from 630,000 units in 2023 to 1.5 million units in 2024, and last year more than tripled to over 5 million units, recording sales of about 50 billion won. Its flagship product, the "basil cheese ciabatta sandwich," sold an average of more than 40,000 units per month at the warehouse-style store Traders alone, ranking No. 1 in sales. According to the company, its excellent value—allowing customers to buy three or four for around 10,000 won—along with the application of "Fully Freezing" technology that sufficiently maintains taste and quality even during long-term frozen storage, drove consumer choice.

"Demand for frozen sandwiches has grown significantly as the wider adoption of convenient cooking appliances such as air fryers and ovens, advances in freezing and thawing technology, and rising dining-out prices have converged," a Shinsegae Food official said. "This year, we are targeting sales of 70 billion won." The official added, "We currently supply frozen sandwich products to large cafe franchises, and as cafe demand for food items grows, the number of cafe channels seeking frozen bakery products is steadily increasing. Considering satiety and nutrition, we plan to expand our lineup of meal-replacement products with meat toppings, as well as our frozen burger product lineup, so that consumers can enjoy them more heartily."

The growth of frozen noodles is also notable. According to noodle specialist Myeonsarang, sales of its flagship frozen noodle, "Sanuki Udon Noodles (5-pack)," rose 131% from January to May this year compared with the same period last year. The company attributed the growth to the widespread adoption of technology that rapidly freezes noodles immediately after boiling to preserve texture, making it possible to reproduce specialty-restaurant-level taste. It also said the growing demand to conveniently prepare a meal at home amid rising dining-out costs was a major factor.

The distribution and food industries expect the popularity of frozen foods to continue. In the past, frozen foods were largely seen as substitutes for fresh foods, but analysts say that with recent advances in rapid-freezing technology greatly improving quality, along with added convenience, they have established themselves as a consumption trend. On top of this, preference for frozen products that can be portioned and stored long-term is growing amid the increase in one- and two-person households, while the continued rise in dining-out prices is also acting as a factor pushing up demand for frozen foods, the explanation goes. "As frozen foods gain competitiveness not only in price but also in quality, the consumer base is broadening further," an industry official said. "Just as the range of items has diversified from meat to fruits, vegetables, bakery and noodles, we expect the market to continue expanding."

"Kim Yeon-ha's Killing Issue" delivers in-depth coverage of major issues and trends in the food, fashion and beauty industries, as well as corporate strategies and market changes. It provides useful insights for industry insiders and interested readers alike. Subscribe to receive the latest news quickly.

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Original reporting by Kim Yeon-ha for Seoul Economic Daily.

AI-translated from Korean. Quotes from foreign sources are based on Korean-language reports and may not reflect exact original wording.

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