"Burden of Charyesang... Better to Buy Ready Meals" Preference for Convenience Foods Amid Chuseok Price Concerns

Cost of Items for Ancestral Rites Table Rises at Both Marts and Markets
"Saving Money and Using Fewer Items" Leads to Demand for Agencies and Ready Meals

As the cost of purchasing Chuseok ceremonial table items has increased compared to last year, some consumers are considering using proxy service providers or meal kits.
[Image source=Yonhap News]

[Asia Economy Reporter Kim Jung-wan] #. A couple living in Seoul, Mr. Kim (37) and Ms. Shin (36), decided to have their upcoming Chuseok ancestral rite table prepared by a service agency. This decision comes amid rising overall living costs due to inflation in the first half of the year and forecasts that the cost of the ancestral rite table will increase this year. Mr. Kim said, "Food expenses have risen a lot recently, so we are trying to cut back on anything we can at home," adding, "Since the ancestral rite table requires everything from fruits to meat and vegetables, it’s actually better to leave it to a service agency." Ms. Shin said, "It doesn’t save a huge amount of money, but preparing it ourselves doesn’t really save costs and takes a lot of effort," and added, "We plan to try the service this year and gradually change our approach."

The Chuseok price situation has turned red. Due to the prolonged rainy season and record-breaking heavy rains, the costs of ancestral rite items such as fruits and vegetables have surged significantly. As the purchase costs of ancestral rite items at traditional markets and large supermarkets have risen, some consumers are turning to service agencies or meal kits to reduce both the cost and the hassle of preparing the ancestral rite table.

On the 24th, according to a survey by the price research agency Korea Price Information conducted three weeks before Chuseok on the purchase costs of ancestral rite items (for a family of four) at traditional markets and large supermarkets, it was found that 301,000 KRW was needed at traditional markets, an increase of 26,500 KRW (9.7%) compared to last Chuseok. When purchasing at large supermarkets, the cost was 408,420 KRW, which is 24,600 KRW (6.4%) higher than last year.

Fruit prices are rising ahead of the upcoming Chuseok holiday. On the 23rd, citizens were selecting fruits at a large supermarket fruit stand in Seoul. [Image source=Yonhap News]

By item, prices rose for most items except chestnuts and rice. Due to the prolonged rainy season and lack of sunlight this year, the quality of fruits declined, such as lower sugar content, leading to reduced supply and higher prices. Vegetable prices soared sharply due to repeated record-breaking heavy rains. For example, zucchini, which was 1,000 KRW each last year, rose to 3,000 KRW, and napa cabbage increased from 7,000 KRW per head to 10,000 KRW.

Among consumers who have been experiencing continuous inflationary pressure recently, there are complaints that even preparing the Chuseok ancestral rite table is burdensome. Since October last year, the consumer price inflation rate, which had been rising steeply, surged to 6.3% last month (compared to the same month last year), increasing the burden on consumers.

According to Statistics Korea’s "July Consumer Price Trends," the consumer price index last month was 108.74 (2020=100), up 6.3% from the same month last year, marking the highest level since November 1998 (6.8%). The consumer price inflation rate entered the 3% range in October last year and continued a steep rise, reaching the 4% range in March (4.1%) and April (4.8%), the 5% range in May (5.4%), and 6% in June (6.0%).

Among those tightening their belts on living expenses such as food costs, many express that even Chuseok is a burden. Mr. Yoon (40), living in Seoul, said, "My spouse and I have been bringing lunch boxes for two months to save on food expenses," adding, "Vegetable prices, cooking oil, and flour have all gone up. I’m worried that buying various things will only increase the burden."

Due to the burden of rising prices, some people are turning to agencies that supply food for ancestral rites or opting for meal kits and other convenient meals. The photo is not related to the specific content of the article.

Due to this situation, some are turning to service agencies that supply ancestral rite foods. According to the service industry, the average price of ancestral rite food service agencies ranges from 230,000 to 300,000 KRW, which is more than 100,000 KRW cheaper than purchasing ancestral rite items at large supermarkets. When prepared simply, the cost is also cheaper than buying at traditional markets. A representative from one company said, "Especially for families that are not large, it is much cheaper to entrust the preparation to a service agency, so many people use it."

Some are also looking for convenient meal kits. They prefer ready-made products in the necessary quantities rather than preparing the ancestral rite table themselves using expensive ingredients. Mr. Park (28), an office worker living in Gwangmyeong, Gyeonggi Province, said, "I suggested using convenient meals because my parents always struggle when preparing the ancestral rite table," adding, "My parents liked the idea, so I plan to compare meal kit prices and use them this Chuseok." He added, "It’s much better than preparing it ourselves, which is both exhausting and costly."

Meanwhile, according to the revised economic outlook announced by the Bank of Korea on the 25th, the consumer price inflation forecast for this year is 5.2%. This is 0.7 percentage points higher than the previous forecast (4.5%) announced in May and represents the highest annual consumer price inflation forecast in 24 years since 1998 (9.0%). Earlier, right after the consumer price inflation statistics were released on the 2nd of this month, the Bank of Korea stated, "With rising inflation expectations, sustained high oil prices, and increased demand-side price pressures, consumer prices are expected to continue rising above 6% for the time being."