Rules by country / Asia Pacific / South Korea shrinkflation law
South Korea shrinkflation law: when a smaller pack must be disclosed
Since 3 August 2024, makers of 119 everyday products, from instant noodles and milk to snacks and wet wipes, must disclose a pack cut of more than 5% for three months, unless the price falls with it. Fines reach ₩10 million. We work out which pack and price changes still pay.
A guide, not legal advice. The rule covers 119 everyday items that need a unit price or are in government price surveys.
A price and pack plan for South Korea
Which pack sizes and prices make the most profit now that a pack cut must be disclosed, product by product and channel by channel.
- What each pack change would do to volume and profit, once shoppers can see it
- When a price rise beats a smaller pack, and when it doesn't
- Which pack sizes and price points to lead with
- A price and pack plan for each retailer, and an Excel model
How your results look
| Product | The change | Our advice |
|---|---|---|
| Instant noodles, 120g to 110g, same price | 8% smaller: notice | Raise the price instead |
| Snack, 60g to 58g, same price | 3% smaller: no notice | Hold, and watch sales |
| Milk, 1 litre to 900ml, 10% cheaper | Same unit price: no notice | Keep both sizes |
Fictional products. Every real result comes with the expected sales and profit, and a likely range.
Your options
Every option has a fixed price, agreed before we start.
Price and pack plan
- Which pack and price changes pay, product by product
- Price plan for each retailer
- Scenario model and a walk-through
Pricing review with pack sizes
- Everything in the price and pack plan
- Prices and promotions for the whole range
- How your products take sales from each other
Portfolio review
- Everything in the pricing review
- More retailers and data sources
- A plan for each channel
After the project: a refresh before each pricing round, from £2,000 (about ₩3.5 million). Prices are fixed in pounds sterling; amounts in won are a guide at October 2026 exchange rates. We're based in the UK and work remotely, in English, under NDA.
How it works
From the first call to your plan in about three weeks.
A free 15-minute call
Tell us about your range. We say whether a review would pay for itself, and quote a fixed price.
Your data
Sales by product and retailer, recipes and costs. We sign an NDA before anything moves.
Your plan
Which pack and price changes pay, and where a notice is needed, walked through with your team.
South Korea shrinkflation law: the detail
Open only what you need.
- Since
- 3 August 2024, under the Fair Trade Commission's amended notice on unfair consumer transactions
- Who
- Makers of 119 everyday items that need a unit price or are in government price surveys, such as instant noodles, ice cream, milk, cooking oil, snacks, sugar and wet wipes
- When
- A cut in quantity or size without a matching price cut
- Exceptions
- No notice if the price falls in proportion, so the unit price is unchanged, or if the change is 5% or less
- How
- The details before and after, on the pack, on the maker's website or where the product is sold, for at least three months
- Fines
- ₩5 million for a first breach and ₩10 million for a second, under the Framework Act on Consumers
Raise the price instead
A visible price rise can cost less volume than a visible cut in the pack.
Add a size
A new pack beside the old one gives shoppers a choice, rather than a cut they discover.
Keep the pack, raise the price
Products whose sales hold up don't need a smaller pack to protect the margin.
What is South Korea's shrinkflation law?
Since 3 August 2024, makers of 119 everyday items must disclose a cut in pack size for three months, unless the price falls with it or the cut is 5% or less.
What is the fine for shrinkflation in Korea?
₩5 million for a first breach and ₩10 million for a second.
Which products does Korea's shrinkflation rule cover?
119 everyday items, such as instant noodles, ice cream, milk, cooking oil, snacks, sugar and wet wipes.
Where must a pack size cut be shown in Korea?
On the pack, on the maker's website or where the product is sold, for at least three months.
How much does a price and pack plan cost?
A review of up to 10 products has a fixed price from £7,500 (about ₩13 million) and takes about three weeks. For 11 to 50 products, a full pricing review costs around £17,500 (about ₩31 million). It starts with a free 15-minute call.
Do you work with brands in South Korea?
Yes. We're based in the UK and work remotely and in English, under NDA. Prices are fixed in pounds sterling before we start, and the first step is a free 15-minute call.
- Kyunghyang Shinmun, makers must tell consumers when they cut pack sizes (30 June 2024, in Korean)
- Korea Times, the FTC's plan to fine shrinkflation (3 May 2024)
Checked on 25 October 2026. Rules and rates change, so check the official source before making decisions. This page is not tax advice.