[Asia Economy Reporter Moon Hyewon] Amid soaring raw material prices, the era of 20,000 won chicken has arrived, and Genesis BBQ Chairman Yoon Hong-geun attracted attention by insisting that the price should be around 30,000 won.
On the 24th, Chairman Yoon appeared on YTN Radio's "Wise Radio Life" and detailed the process and cost structure from raw chicken to home delivery, arguing that "chicken should be priced not at 20,000 won but around 30,000 won."
Chairman Yoon said, "When a live chicken weighing 1.6kg is slaughtered at the farm, it yields a 1kg chicken. The current market price for live chicken is 2,600 won per kg, so calculating for 1.6kg, it amounts to about 4,160 won," adding, "If you add 1,000 won for slaughtering costs, it becomes 5,120 won, and after logistics, the current price for a 1kg chicken at large supermarkets is about 8,000 to 9,000 won." He explained that since only about 65% remains after removing the innards and blood from the raw chicken, 1.6kg of raw chicken is needed to sell 1kg of chicken.
He said, "Additionally, powder seasoning costs about 2,000 won per chicken, and for oil, we use extra virgin olive oil, so frying one chicken adds about 3,000 to 4,000 won," and “Even if prices of rice or cabbage rise by 200% or 300%, no one talks about it.”
He continued, "At these prices, the headquarters is not the one making a profit," and lamented, "In reality, labor costs, rent, and utility expenses are very high, but franchise owners cannot freely raise prices due to customer perceptions and are operating at levels below minimum wage."
In response, a BBQ representative explained, "BBQ is not saying it will raise chicken prices, but rather that franchisees put in a lot of effort to make chicken, so charging 30,000 won would not be expensive."
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