Shrinkflation—the reduction of a product’s portion size—is not a new phenomenon in South Korea. The issue first surfaced four years ago following the Covid-19 pandemic and re-emerged in 2025 across various food service industries.

As 2026 begins, shrinkflation has once again taken center stage in South Korea. The term refers to the practice of reducing the quantity, size, and/or weight of a product without a corresponding decrease in its selling price. Rather than raising prices overtly, businesses choose to shrink the product’s contents, resulting in consumers paying the same price for less value.

While this practice often goes unnoticed in the short term, its impact is felt in the rising cost of daily living. This time, public attention has shifted from shrunken packaged goods in supermarkets to food portions in restaurants—specifically fried chicken chains, which have long been a national culinary icon.

In response to consumer anxiety, the South Korean government has implemented a policy requiring large fried chicken chains to disclose the “precook weight” of the chicken on menus or product information. This policy stems from public concern that the portions received by consumers are getting smaller while prices remain relatively unchanged. For consumers, this is viewed as the food service version of shrinkflation.

However, rather than receiving a positive reception, the policy has sparked a new debate. Industry players argue that listing the precook weight does not accurately reflect the portion consumed, as the weight changes during cooking due to the loss of water and fat, as well as the presence of bones. Nevertheless, the government remains firm, asserting that transparency is necessary so that consumers have a clear benchmark before purchasing.

Not a New Practice

This situation is not a new scandal in the Land of the Morning Calm. According to Poultry Indonesia’s observations, shrinkflation was already being reported as early as 2022. However, at that time, the term was not yet popular in South Korea’s public sphere. The practice of reducing product contents (particularly in milk, coffee, instant noodles, toilet paper, and shampoo) began as global raw material, energy, and logistics costs surged post-Covid-19.

Initially, discussions about this practice appeared mostly within the context of consumer education and global economic reports. Media and economic observers noted that companies in various countries, including Korea, were choosing to downsize products rather than implement direct price hikes. However, at that stage, the issue was not yet considered a national crisis and did not trigger a policy response.

The turning point came at the end of 2023, specifically around November, when national mainstream media began publishing in-depth reports on packaged food products that had decreased in volume while maintaining the same price. At this moment, consumers realized that the rising cost of living was coming not only from price increases but also from the silent shrinkage of product value. Public complaints mounted, and the term “shrinkflation” began to be used widely in news coverage.

During this phase, the South Korean government began responding with a monitoring approach. Consumer reporting mechanisms were opened, and a number of daily necessities were specifically tracked for changes in size and price.

The year 2024 was marked by a policy shift from simple monitoring to the establishment of regulations. The government mandated a “shrinkflation labeling” rule, requiring signs to be posted on product packaging, in stores, or on websites for three months from the date the change in quantity or size occurred.

This policy aims to address the information asymmetry between producers and consumers. With these labels, consumers are expected to be immediately aware of the change in value when making a purchase. The regulation also includes fines for businesses that fail to comply with labeling requirements.

According to the Fair Trade Commission (FTC) in May 2024, violators face a fine of 5 million won (approximately US$3,663) for the first offense and 10 million won for the second. The government provided a three-month transition period before the rule took full effect to allow sellers time to adjust.

This article is an excerpt from the International section of Poultry Indonesia Magazine, February 2026 edition. Read the full story in the February 2026 Edition of Poultry Indonesia Magazine. For subscriptions or further information, contact: https://wa.me/+6287780120754 or sirkulasipoultry@gmail.com.

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