Red Ginseng Industry Faces Looming Decline: โฉ500 Billion Loss in Five Years
Seoul,south Korea – November 26,2025 – South Korea’s historically lucrative red ginseng industry is bracing for a significant downturn,with an estimated โฉ500 billion (approximately $385 million USD) in market value lost over the past five years. Declining domestic consumption, driven by perceptions of high cost and outdated branding, threatens to render the conventional health supplement increasingly irrelevant by 2030, according to a report by Asia Economy.
The shift reflects changing consumer preferences, particularly among younger generations, who are prioritizing preventative healthcare and seeking alternatives perceived as more modern and accessible. While once a staple gift and health tonic, red ginseng is losing ground to vitamins, functional foods, and personalized health solutions. This decline poses a ample risk to ginseng farmers and related businesses, potentially reshaping the landscape of Korea’s agricultural sector.
Reporter Lim Hye-seon of Asia Economy detailed the industry’s struggles, noting the need for innovation to recapture market share. “We report on areas closely related to people’s daily lives,” Lim stated, “and the story of red ginseng’s decline is a clear example of how tradition must adapt to evolving consumer needs.”
The industry’s challenges extend beyond price. Consumers increasingly question the scientific backing of traditional ginseng benefits,while concurrently seeking products with clearer,evidence-based claims. Editor Gong Su-min, also of Asia Economy, highlighted the urgency of the situation, emphasizing the need for the industry to modernize its marketing and product progress strategies.
The report underscores a broader trend of declining demand for traditional Korean medicines, prompting calls for government support and industry-led initiatives to revitalize the sector. Without significant changes, the future of red ginseng in South Korea appears increasingly uncertain.
ยฉEconomic content platform for investors, Asia Economy (www.asiae.co.kr) Reproduction prohibited.
