Beer was first introduced to Korea in the early 20th century. Seoul's first beer brewery opened in 1908.[1] Two current major breweries date back to the 1920s. The third brewery established in Korea, Jinro Coors Brewery, was founded in the 1990s, but was later acquired by Oriental Breweries (OB). Hite Breweries`s former name was Chosun Breweries and The Chosun Breweries established in 1933. The company changed their name to Hite Breweries in 1998.[2] OB Breweries established as Showa Kirin Breweries in 1933. The company changed their name to OB Breweries in 1995.[3]
The South Korean beer market is currently dominated by two major manufacturers, Hite-Jinro and OB, with several brands being sold in the local market. Most restaurants and bars in Korea only have one of these beer brands on tap (Hite or OB's Cass), as they are largely regarded to be similar in taste and price (they are mostly brewed from rice). Imported beers are largely available in Korea but are generally expensive - usually costing at least ₩8,000 and as much as ₩15,000 for a pint of Guinness in bars in downtown Seoul, while local brands usually cost around ₩3,000. Recently, microbreweries have started sprouting up throughout the country, and this area of the market is showing increasing signs of sophistication. Of Korea's mass-produced beers, only two are brewed from 100% barley malt, which are Max (Hite) and OB Golden Lager.
The lack of microbreweries in the South Korean market has been due to the onerous government regulations that have constrained small-size brewers from supplying beer to locations under their ownership. These laws were eventually relaxed in June 2011, allowing several small players a toehold in the local beer market.[4]
A growing trend in South Korea is home brewing. While ingredients and supplies are still limited, there are many households brewing their own beer. Various brewing clubs are also available to help guide newcomers through the processes of home brewing in South Korea, one such club being Homebrew Korea.[5]
HiteJinro is made by merger between two alcohol company. One is Hite Brewery and another is Jinro. Hite Brewery was established in 1933 as Liquor company. And Jinro was established in 1924 as the first Korean beer company. In 2006, Jinro was acquired by Hite, a popular beverage company which beer company. HiteJinro is the world's leading producer of soju, HiteJinro manufactures many type of alcoholic beverages.[6][7]
Oriental Brewery (OB) : OB Golden Lager, Cass brands (Cass, Cass Light, Cass Red, Cass Lemon, Cass 2X), Cafri, Alestone. Oriental Brewery(OB) is established in 1933. OB Golden Lager is launched in 2011.
- Hite : Hite is pale lager beer and Hite is launched in 1993. Hite is produced by Extra cold way. Hite is 4.3% alcohol degree.[9]
- Max : Max beer is launched as first Korean all malt in 2006 . And HiteJinro is launching special edition Max beer annually.[10]
- Dry Finish d : Dry finish d is launched by HiteJinro as dry type beer in 2010. HiteJinro launched the Dry finish d by technology cooperation with Danish beer lab.(DANBREW ALECTIA). Dry finish is made using a select dry yeast.. Dry finish d is 4.8% alcohol degree.[11]
- S : S is the beer for diet and well-being. S is produced by Super Attenuated brewing to reduce the calorie. S contains 0.5g of fiber per 100ml. S is 3.8% alcohol degree.[12]
- Stout: Stout is launched by Hite Brewery as the black beer in 1991. Stout is lager type black beer. Stout is made by german black malt. Stout is 5% alcohol degree.[13]
- Queen's Ale: Queens’s ale is premium pale ale beer which made by top fermentation way and triple hopping process. It is vinified between 18 ℃ and 25 ℃ Queens’s ale is 5.3% alcohol degree.[14]
- Cass brands (Cass, Cass Light, Cass Red, Cass Lemon, Cass 2X): There are many edition of Cass beer. First is Cass. Cass is produced by Non-pasteurization way. Second is Cass Light. Cass Light is produced by Freezing temperature aging way so its flavor is fresh. Third is Cass Red. Cass Red is most strong beer in Cass beer edition. Cass Red is Alcohol degree is 6.9%. Last is Cass Lemon. Cass Lemon is added lemon flavor to Cass.[15]
- Cafri : Cafri is launched as premier beer by Oriental Brewery(OB) In 1995.
- Kloud: Kloud is launched by Lotte Chilsung in 2014 and produced as premier lager by Original Gravity way. Kloud is made with 100% malted barley, and two kind of hop. One is German and another is Czech. The way to produce Kloud is bottom fermenting.[16]
History of beer and beer market in South Koreaedit
Beer was first introduced to Korea in the early 20th century. Seoul's first beer brewery opened in 1908.[17] Two current major breweries date back to the 1920s. The third brewery established in Korea, Jinro Coors Brewery, was founded in the 1990s, but was later acquired by Oriental Breweries (OB).[18]
Until comparatively lately, Korean people shows more preference into larger than ales or wheat beer. In their view, beer is soft liquor than soju. So most people want to enjoy beer like soft drink which provide a feeling of refreshment. Also, the flavor of ales or wheat beer is unfamiliar for Korean. So the beer market in South Korea is based on larger and also this is week point of Korean beer.[19]
But recently, Korean people who enjoy the savor of beer is rapidly increasing. And with the FTA(Free Trade Agreement), the amount of imports about foreign beer has tripled in 2015 compared with previous year.[20] The wheat beer brand Paulaner ranked 1 sales in the first half of 2015. Also, other wheat beer brand Hoegaarden ranked 2 and 3 was guinness which is the black beer brand.[21] Now, the interest in beer flavor is still increasing in Korea and it is continued for a while with the movement of 'Honsul' which means 'drinking solo'. Recently, young peoples in Korea preferred to drink alcohol alone in their home and it has been developed like kind of syndrome.[22] Also, in these movement, beer brands show rising tendency because it is suitable for drinking alone then other Korean alcoholic beverages like soju and makgeolli.[23] Even there is TV series which is made about this topic(drinking solo).[24]
In the way of market share, since 2014, South Korean beer market is been mostly occupied OB and HiteJinro. But Lotte Liquor entered beer market with 'Kloud', so now they are turning into a three-way battle. [25] A remarkable change is greater variety. Korean consumers are very sensitive about trend change. It is the same in beer market. So recently, Korean alcohol beverage companies are competing by febrile releasing the brand new liquor. On the other hand, with the consumers show more attempt about various product, there are spring up like many new beverage company. Now is, so to speak, as the volatile era of Korean beer industry.
Various foreign beer brands are already settled in Korean market. And Korean people's interest about them is rapidly increasing. World major brand like Hoegaarden, Heineken, Budweiser are on the top rank of the Korean beer market.[26] For a long time, even now, Korean beers are not preferred by sophisticated beer drinkers. because it has awareness that has not good flavor. It is stemmed from difference of crafting style. All of Korean beer makers use corn, rice, tapioca for manufacture instead of malt because of cost saving.[27] Korean beer's malt rate is about 7%(German beer's malt rate is 100% and Japanese is 66.%).[28] There is a movement that Korean consumers are getting to picky about flavor. So it is one of the main point that the Korean beer makers could maker better taste for consumers. Even the FTA between Europe and Korea was signed at 2014, importing beers market share has rapidly jumped up.[29]
The Economist magazine published an article criticizing South Korean beers to be as boring or worse than North Korea's Taedonggang Beer, which is manufactured with technology imported from Britain. The magazine claimed "some South Korean beers skimp on barley malt, using the likes of rice in its place or others are full of corn." The article further described the problem as a result of the national market being a cramped duopoly, Hite-Jinro and Oriental Brewery (OB), that prevented micro breweries from entering the market.[35] South Korean beer companies denied the allegations, saying that "most (South) Korean beers contain more than 70 percent malt, and some including Hite Max of Hite and OB Golden Lager of OB contain 100 percent malt. Rice and corn are not cheaper than malt, and these grains are used in the mixture to generate a mild taste." Despite the negative reactions from the South Korean breweries, many local beer drinkers are still dissatisfied with the taste of local beer brands.[36]
