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South Korea                                 ...

Published: Jan 11, 2006

South Korea                                                                               

USMEF Produces Report On Chilean Pork Export Success In South Korea

Although the U.S. pork industry is having a very good year in South Korea, USMEF is watching its competitors closely. Chile has become a major player in the worldwide pork export market in the last few years, and one Chilean company’s share of South Korea’s pork import market soared from 3,745 metric tons (mt) in 2002 to 23,257 mt in 2004.

In response, USMEF put together a Competitive Strategy Analysis to understand Chilean marketing and competitive strategy in Korea. In 2001 the Chilean company recorded no exports to Korea, but by 2004 its market share was 14 percent. This outstanding export performance in a key U.S. market provided an excellent case study for understanding which of a successful competitor’s marketing strategies were particularly effective and could be imitated by U.S. companies.

The USMEF report details the Chilean companies strengths, weaknesses, objectives, strategies and future plans to expand. For a copy of the report, contact Director, Central & South America Ricardo Vernazza-Paganini at

There are several factors behind this increase. Consumers have turned to pork in the wake of the Korean ban on U.S. beef and media coverage of avian influenza. Despite signs that pork demand may have peaked, according to the Foreign Agricultural Service (FAS), pork prices remain high in part because the domestic industry has been plagued by problems with the porcine diseases, post-weaning multi-systemic wasting syndrome, porcine reproductive & respiratory syndrome, and porcine epidemic diarrhea. Stricter environmental regulations have also driven some producers out of the market.

Nevertheless, for those producers who remained in business, 2005 was a lucrative year. The FAS estimates profits of “roughly $95 per head.” High prices, however, affected quality and slaughter weights and Korean processors turned to imports for consistent quality and supply.

Aggressive, targeted marketing by USMEF to restaurants and retail stores has assisted in the rapidly increasing consumption of chilled U.S. pork. With USMEF help, larger retailers such as Wal-Mart and Lotte Mart are now selling U.S. chilled pork belly, and Carrefour and 2001 Outlet launched U.S. pork in their retail stores last year with the aid of USMEF pork samples, recipes and giveaways to encourage consumers to try it. USMEF retail and restaurant promotions are getting the word out that U.S. pork’s taste and texture are comparable to domestic pork while costing 20-25 percent less.

South Korea                                                                               

USMEF Produces Report On Chilean Pork Export Success In South Korea

Although the U.S. pork industry is having a very good year in South Korea, USMEF is watching its competitors closely. Chile has become a major player in the worldwide pork export market in the last few years, and one Chilean company’s share of South Korea’s pork import market soared from 3,745 metric tons (mt) in 2002 to 23,257 mt in 2004.

In response, USMEF put together a Competitive Strategy Analysis to understand Chilean marketing and competitive strategy in Korea. In 2001 the Chilean company recorded no exports to Korea, but by 2004 its market share was 14 percent. This outstanding export performance in a key U.S. market provided an excellent case study for understanding which of a successful competitor’s marketing strategies were particularly effective and could be imitated by U.S. companies.

The USMEF report details the Chilean companies strengths, weaknesses, objectives, strategies and future plans to expand. For a copy of the report, contact Director, Central & South America Ricardo Vernazza-Paganini at

There are several factors behind this increase. Consumers have turned to pork in the wake of the Korean ban on U.S. beef and media coverage of avian influenza. Despite signs that pork demand may have peaked, according to the Foreign Agricultural Service (FAS), pork prices remain high in part because the domestic industry has been plagued by problems with the porcine diseases, post-weaning multi-systemic wasting syndrome, porcine reproductive & respiratory syndrome, and porcine epidemic diarrhea. Stricter environmental regulations have also driven some producers out of the market.

Nevertheless, for those producers who remained in business, 2005 was a lucrative year. The FAS estimates profits of “roughly $95 per head.” High prices, however, affected quality and slaughter weights and Korean processors turned to imports for consistent quality and supply.

Aggressive, targeted marketing by USMEF to restaurants and retail stores has assisted in the rapidly increasing consumption of chilled U.S. pork. With USMEF help, larger retailers such as Wal-Mart and Lotte Mart are now selling U.S. chilled pork belly, and Carrefour and 2001 Outlet launched U.S. pork in their retail stores last year with the aid of USMEF pork samples, recipes and giveaways to encourage consumers to try it. USMEF retail and restaurant promotions are getting the word out that U.S. pork’s taste and texture are comparable to domestic pork while costing 20-25 percent less.