Over two-thirds of Korean consumers want to try Irish beef as it launches into market

Bord Bia recently commissioned research to better understand the preferences and purchasing habits of Korean beef consumers, and presented the findings in Seoul as part of a Government-led trade mission to Asia this week.

The survey was conducted online with a sample of 1,000 people.

Health benefits

Respondents were surveyed across a range of topics including their perception of grass-fed versus grain-fed beef and the key factors considered when purchasing beef such as price, taste, nutrition, and origin.

The report found that Korean consumers strongly associate beef consumption with health benefits due to its high protein content, with grass-fed beef considered to be healthier.

Consuming protein-rich food has become associated with boosting immunity among Koreans with 59% of those surveyed increasing their beef consumption for perceived health and nutrition benefits, according to the report.

85% are aware of grass-fed beef and over half have tried it. 49% claim a preference for grass-fed beef.

Grass-fed is considered ‘more natural’, ‘more environmentally friendly’, with associations of stronger animal welfare.

Ireland is strongly associated with nature, safety, cleanliness, and high-quality food production for Koreans.

Irish beef is considered more premium than US beef and on par with Australian beef.

Claim market share

Commenting on these findings, Bord Bia chief executive Jim O’Toole said that the report shows “potential for Irish beef to claim market share on the basis of its grass-fed credentials and associations with health and ‘naturalness’”.

“Although Irish beef had not yet reached the market when the survey was conducted, 67% said they would like to try Irish beef,” Mr O’Toole added.

ABP Food Group has become the first Irish beef processor to launch in the South Korean market by securing an export agreement with K Meat, a premium meat importer with advanced sales channels across South Korea.

This long-term supply agreement has seen ABP deliver three shipments to date from its locations in counties Monaghan, Tipperary, and Wexford.

Opportunity

General manager of ABP international sales Martin McMahon said that South Korea is an “extremely important market and there is a great opportunity for quality Irish beef in the food service and retail spaces”.

Minister of State Martin Heydon told the Irish Examiner that Ireland exports many different products to 180 countries around the world and gaining access to various markets is "really important”.

“The job of us in the Department of Agriculture is to make sure that we gain the maximum amount of access to the maximum amount of markets for product opportunities for Irish food companies who are using the food that Irish farmers are producing, produced sustainably, safe and nutritious, and trusted worldwide,” he said.

Opening markets “gives opportunity to Irish companies to then go and fill the market where they get the best possible return”.

“It's not that you fill every market that you open access to, but what you continuously do is try and open access to those markets,” Mr Heydon said.

Korean beef consumption

The Republic of Korea is the fourth-largest economy in Asia, and is the tenth-largest in the world.

According to information from Amos Kim, founder of AMS Food International, who provides services to Korean import customers as well as Bord Bia as an independent consultant and market analyst, Korea’s per capita meat consumption exceeded 60kg for the first time in 2023.

Beef was the third most consumed meat after pork and chicken in Korea last year.

Korea is only around 40% self-sufficient in beef.

The country’s annual beef imports have exceeded 400,000t since 2018, with the US and Australia representing two major import beef suppliers to Korea with market share of over 50% and 41% respectively.

Irish beef suppliers will face challenges in increasing their exports of beef to Korea in the next decade or so, due to lower birth rate, a fast-aging population, and slower economic growth in the country.

Mr Kim said that due to the "continuing beef consumption lacklustre” in Korea as well as limited Irish beef availabilities, it will take some time for Irish beef suppliers to gain visible share in Korea for the remainder of 2024 and into 2025.

“However, as months and years go by, the gradual recovery of the customers’ confidence will lead to better commercial opportunities for Irish beef suppliers in Korea," he said.

“Despite growing preference for higher marbled grain-fed beef in Korea, the steady demand for grass-fed beef in Korea will support Irish beef suppliers’ sales efforts in Korea.

“It is also recommended that Irish beef suppliers develop and use more resources to highlight credence attributes such as Ireland’s positive country image, animal welfare, traceability, and sustainability to win premium over frozen grass-fed beef of other origins.”