Black Barley, First Domestic Entry into US 'Trader Joe's'

Expanding Store Presence in Global Major Retail Chains Including Walmart

[Asia Economy Reporter Lee Seon-ae] Black Barley, which is leading the ‘world’s first black barley tea’ craze in the domestic beverage market, is now making a full-scale push into the U.S. market, known as the ‘land of cola.’

HiteJinro Beverage announced on the 15th that Black Barley will be launched and sold at the major U.S. retail chain Trader Joe’s. This marks the first time a product from a Korean beverage company has been stocked by a major U.S. retailer.

Trader Joe’s is a leading American organic food specialty retailer that deals in whole foods?foods without chemical additives. It discovers specialty products and processed foods from various countries and supplies them to over 500 stores across the U.S. and global markets.

Previously, on the 30th of last month, HiteJinro Beverage shipped 260,000 bottles of Black Barley, the first export batch to the U.S., and completed customs clearance. The Black Barley that has now landed on the U.S. mainland will be sold under the localized brand name ‘Korean Roasted Barley Tea’ as an exclusive product for Trader Joe’s.

The key factor behind Black Barley’s successful entry into the U.S. market is its positioning as a grain-based beverage without caffeine or sugar, compared to coffee, cola, and other drinks. Currently, not only in the U.S. but also globally, the carbonated and juice beverage markets are stagnating, while the bottled water and water-substitute beverage markets are leading growth. This signals a tectonic shift in the 230-year-old global beverage market worth 700 trillion won.

Black Barley is a barley beverage launched by HiteJinro Beverage in December 2017 as part of its ‘globalization of Korean beverages’ initiative. It is made from black barley, first successfully bred worldwide by the Rural Development Administration of Korea in 2012. The black barley used comes from Jeonbuk Gochang and Jeonnam Haenam, designated UNESCO biosphere reserves. Compared to regular barley, black barley contains 1.5 times more dietary fiber, over four times more anthocyanins known for anti-aging effects, and is rich in beta-glucan, which helps remove vascular waste. Black Barley is produced using an aseptic filling method to maximize the original taste and aroma of the raw ingredients.

HiteJinro Beverage views the landing of its RTD (Ready-To-Drink) barley tea Black Barley on the U.S. mainland?a global gateway?as a foundation to spark a ‘beverage Hallyu’ with barley tea representing Korea. Since products approved by the highly stringent Trader Joe’s screening process are likely to be stocked by other global retail chains, expectations for exports are high starting this year.

Jo Un-ho, CEO of HiteJinro Beverage, said, “Barley tea originates from barley sungnyung, a traditional Korean post-meal drink consumed for over a thousand years, making it a beverage worthy of being a global drinking culture product. Sugar-free and caffeine-free Black Barley meets the health-conscious needs of modern consumers and will lead the global grain tea trend.”

Meanwhile, Black Barley, which surpassed 100 million bottles in cumulative sales just two years after its launch, continues steady growth with sales from January to May this year increasing by 30% compared to the same period last year.