The Born Korea to raise prices at 11 brands as restaurant industry faces domino effect

The Born Korea will raise prices on select menu items at 11 of its restaurant brands by an average of about 11 percent starting June 9. The affected items account for roughly 20 percent of the total menu.

According to industry sources, the 11 brands subject to the increase are Yeokjeon Udon, Mijeong Guksu, Inseong Seolleongtang, Jesun Sikdang, Hanshin Pocha, Dolbaegijip, Baek's Beer, Mak-i-oreum, Rolling Pasta, Ppaekboy Pizza and Saemaul Sikdang. That represents about 44 percent of the 25 restaurant brands The Born Korea currently operates. Ppaekdabang, the company's largest brand by store count, was excluded from the increases.

Rolling Pasta will raise prices on four salad and side items by 20.4 percent, along with 17 pasta dishes by 10.2 percent and five pizza items by 10.0 percent. Ppaekboy Pizza will increase prices on 12 pizza items by 20.2 percent and seven spaghetti and side dishes by 15.3 percent. Saemaul Sikdang will raise prices on three grilled meat items by 6.3 percent, while Hanshin Pocha will increase 15 bar-food items by 11.2 percent. Yeokjeon Udon will raise prices on eight noodle dishes by 7.6 percent, and Baek's Beer will increase two dried seafood items by 11.3 percent.

"External cost burdens have risen sharply since last year, reaching a level that can no longer be absorbed internally," a The Born Korea official said. "To protect franchisee profits, we consulted with each brand's council and adjusted prices on the minimum number of items where increases were unavoidable."

A broader domino effect of price increases across the restaurant industry appears set to continue, driven by the high exchange rate and rising raw material costs stemming from the prolonged conflict in the Middle East. The affected categories span everyday staples — from coffee franchises to burgers and fried chicken.

Mega MGC Coffee will raise prices on three products — Hal Mega Coffee, Wang Hal Mega Coffee and Hal Mega Misut Coffee — by 200 won each starting June 19. Coffee Bean raised prices on its vanilla latte stick coffee product by up to 8.1 percent starting June 1. Ediya Coffee will also raise prices on some stick coffee products by up to 15.2 percent starting May 6. The Venti raised prices on select products by 100 to 500 won on May 29. Banapresso and Bruda Coffee each raised prices on some menu items in March, by up to 700 won and 300 won respectively.

Lotte GRS raised Lotteria menu prices by an average of 2.9 percent starting May 28. Goobne Chicken, meanwhile, opted for shrinkflation rather than an outright price increase starting June 1, reducing the pre-cooked weight of its boneless chicken leg menu from 800 grams to 700 grams. The company cited unstable poultry supply as the reason.