"Only Kimbap Every Day?... Lunch Feels Burdensome" [Chosun Price Records]

①Soaring Prices... 'Value-for-Money' Chain Stores Are a Thing of the Past
Pork Cutlet and Budae Jjigae Over 10,000 Won
Chicken Prices Including Delivery Fee Reach 30,000 Won

#. Jinyeong Lee (27), an office worker in Jongno-gu, Seoul, feels burdened by lunch expenses every day. Lee said, "I used to worry happily about what to eat for lunch, but these days I look for affordable places rather than tasty ones," adding, "In Jongno, you basically have to budget 12,000 to 13,000 won for a meal. Does that even make sense?"

The photo is not related to the specific content of the article.

The "10,000 won lunch" has become the new normal for office workers. In the past, chain restaurants popular among young people for their "value for money" (performance relative to price) have raised their prices to over 10,000 won per meal, and other ordinary restaurants have followed suit with similar price menus. For K-office workers, who want to eat cheaply and heartily, the soul food gukbap (rice soup) now starts at 10,000 won.

The basic sundae gukbap (blood sausage soup) price at representative franchises like Shinui-juchapsal Sundae and Keunmam Halmae Sundaeguk is 10,000 won. Popular pork cutlet set meals among office workers are priced in the mid-10,000 won range. The signature dish of the pork cutlet franchise Hongik Donkatsu is 13,000 won, and Baek Sojeong’s representative set menu costs 14,900 won.

The situation is similar for budaejjigae (army stew), a favorite among office workers. The budae jeongol (hot pot) at the budaejjigae chain Itaeri Budaejjigae is 11,000 won. Another budaejjigae brand, Chef’s Budaejjigae, offers its main budaejjigae menu at a minimum of 20,000 won for two servings.

The photo is not related to the specific content of the article. Photo by Yonhap News.

The price of gimbap, a typical "commoner's food," has also risen significantly. The basic gimbap at the chain Kim Ga Ne starts at 4,500 won, and Gobongmin Gimbap starts at 3,800 won. Hamburger and sandwich chain sets, frequently chosen by office workers, are also priced around 10,000 won. The Subway Club (15 cm) sandwich at Subway, popular among young office workers, costs 9,700 won. Burger King's signature Quattro Cheese Whopper set is 11,300 won. Other prices include McDonald's Big Mac large set at 8,900 won, Lotteria’s signature Hot Crispy Burger set at 7,800 won, and Bulgogi Burger set at 6,900 won.

As food prices rise, increasing the burden of dining out, a citizen is passing by a gimbap specialty store in Jung-gu, Seoul, where the prices of gimbap are displayed. Photo by Yonhap News

Han Ji-yeon, a 20-something office worker in Seoul, said, "These days, it’s burdensome to make lunch plans," adding, "It’s not even a fancy restaurant, but even ordinary chain restaurants are unaffordable with just 10,000 won." She added, "There are quite a few places where you think, ‘Oh? It seems like the price went up here,’ and my coworkers only talk about the rising cost of living when we get together."

According to 'Siksin e-Sikgwon,' a mobile meal voucher service for office workers, the average lunch payment amount in Seoul in Q4 2022 was 12,285 won, a 33.8% increase from 9,180 won in the same period the previous year. The national average was 9,633 won, up about 16% from 8,302 won the previous year. The Statistics Korea survey on dining establishments revealed that 39.2% of Korean cuisine menus at general restaurants had a per-person spending of between 10,000 and 20,000 won. For Japanese and Western cuisine, the share of per-person spending between 10,000 and 20,000 won exceeds 50%. Considering that the dining price inflation rate was 6% in 2023, it is estimated that last year’s average lunch payment amount in Seoul and per-person spending at restaurants rose to similar levels.

The dining price inflation rate released by the Statistics Korea National Statistical Portal last year was 6.0%. This is 1.7 times the overall consumer price inflation rate of 3.6% for the year. This contrasts with the fact that the disposable income of all households increased by only about 1%. The inflation trend, which began more than two years ago due to skyrocketing raw material prices caused by the Ukraine-Russia war in 2022, continues. Consumer prices have risen more than 3% for two consecutive years, thinning consumers’ wallets considerably.

War against inflation: Will it end this year? Government outlook

As voices groaning under inflation grow louder, the government has declared a "war against inflation." The government aims to reduce the consumer price inflation rate to the 2% range in the first half of this year compared to the previous year. To achieve this, it plans to invest about 11 trillion won in budget.

Choi Sang-mok, Deputy Prime Minister for Economic Affairs and Minister of Economy and Finance, is announcing the 2024 Economic Policy Direction on the afternoon of the 4th at the Government Seoul Office in Jongno-gu, Seoul. Photo by Yonhap News

At an economic policy briefing earlier this month, Choi Sang-mok, Deputy Prime Minister and Minister of Economy and Finance, stated, "The government has set the 2024 economic policy direction goal as a vibrant livelihood economy and will focus on four directions: livelihood economy recovery, potential risk management, dynamic economy realization, and accompanying future generations, operating economic policies accordingly this year." Bank of Korea Governor Lee Chang-yong also emphasized in his New Year's address, "This year, the Bank of Korea will prioritize price stability while finding the optimal policy mix necessary for economic recovery and financial stability."

However, it seems that some time will be needed to calm inflation. Governor Lee said, "The last mile, or the final stretch before normalcy, like the last segment of a marathon, is the most difficult," adding, "Due to uncertainties in raw material price trends and accumulated cost pressures, the pace of inflation slowdown may be slower than expected."