Nongshim(004370) will raise the shipment prices of 43 brand products, including cup noodles, snacks, and beverages, by an average of 5.8%.
According to the food industry on the 24th, Nongshim said it will raise the shipment prices of major cup noodle products by an average of 6.0% starting on Aug. 1. Prices of snack and beverage products will also increase by an average of 5.5% and 7.7%, respectively.
The price adjustment covers 18 cup noodle brands, including Yukgaejang Sabalmyeon and Shin Ramyun Cup, and 23 snack brands, including Shrimp Cracker and Honey Kkwa-Bae-gi. Two beverage brands, including Capri-Sun and Welch's, are also included.
For the flagship product Yukgaejang Sabalmyeon, the retail price is expected to rise from 1,100 won to 1,200 won. The 90-gram Shrimp Cracker product is expected to be adjusted from 1,500 won to 1,600 won.
This is the first time Nongshim has raised ramen prices in 1 year and 5 months since Mar. last year.
Shrimp Cracker will see a price increase for the first time in effectively 3 years and 11 months since the price hike in Sep. 2022. Nongshim lowered the price of Shrimp Cracker once in 2023 and then adjusted it back to the pre-cut level last year.
However, considering the impact on consumer burdens and prices, Nongshim excluded all bagged ramen products, which account for 63% of total ramen sales, from this round of price increases.
In distribution channels such as large discount stores, convenience stores, and e-commerce companies nationwide, consumer promotions such as discounts and giveaways will also be expanded.
Nongshim said, "Amid international circumstances, the prolonged effects of a high exchange rate and high oil prices have sharply driven up the prices of materials such as packaging, intensifying cost burdens," and added, "While we have endured by pursuing internal cost reductions and management efficiency, we have inevitably decided to adjust prices recently due to worsening domestic profitability and higher supply prices from partner companies."