Red ginseng is an item that shows outstanding growth among Korean agricultural products for export. This is owing to the worldwide growing interest in health-functional food due to COVID-19. The popularity of red ginseng continues this year. Particularly, it is showing a steep rise mainly in China, and demand for red ginseng is increasing significantly in Southeast Asia as well.

#Korean Red Ginseng in the World
According to the Korea Customs Service, about USD 158.25 million worth of Korean red ginseng were sold last year. The figure has increased by 4% compared to 2019. Particularly, cumulative exports in the first six months of this year surged 36.4% compared to the same period last year. Korean red ginseng is gaining popularity around the world as the demand for health-functional products has increased due to interest in health. It has been analyzed that saponin contained in red ginseng and the luxurious design are parts of the reason why overseas consumers chose Korean products.  
In addition, the growth of offline markets, as well as online distribution, is another factor that has caused the popularity of red ginseng overseas. As a range of options for formulations and products has widened, and the price range has become varied accordingly, red ginseng products are being chosen by overseas consumers.

#Popular as a Health Trend, China
Korean red ginseng products are especially very popular in China. As consumers’idea of consumption has recently become “eat well and live well”, health functional products are the common interest for consumers in China. The health food market is growing significantly, and more and more consumers are looking for various health food products to meet their individual health needs.
In fact, according to the ‘2020 China Health and Nutrition Survey’, 95 out of 100 respondents replied that they would buy health food. In detail, 27.1% responded they would buy health food for themselves, 21.7% for their parents or elders. Only 5.6% of respondents said they did not have any intention to buy health food. The figure is down 31.5% compared to the response in 2019 that ‘I have no intention of buying health food’.
In line with this trend of food consumption, Korean red ginseng products are approaching consumers in China with more familiarity. According to Korea Customs Service, the actual exports of red ginseng to China have grown every year, reaching about USD 58.925 million in 2020. The exports jumped 31% compared to 2018. Cumulative exports until June this year surged 40.6% over the same period last year, which demonstrates the popularity of red ginseng.

Red ginseng is sold in various forms such as thin slices, concentrate, sticks, and beverage. The forms of red ginseng that had been consumed the most were thin slices, and the most preferred were stick types that you can carry around and eat. 

#Gift & Consumption Increase, Southeast Asia 
Exports of red ginseng to Southeast Asia surged, mainly to Vietnam and Singapore. Cumulative exports to all of Southeast Asia until June of this year rose sharply to 109% over the same period last year. The secret to the popularity of Korean red ginseng in Vietnam, which led the growth, is that it is good to give as a gift.
In fact, exports of Korean red ginseng during the period ahead of Vietnam’s biggest holiday, Tet, showed a good performance compared to a regular month. It’s the same case on Shopee as well. It’s not much different in Singapore, which has a high income level. Korean ginseng products have been chosen by many consumers in Singapore with the expansion of a range of options such as stick-type, beverage and candy products. The increased consumption of high-end food products as consumption was restricted due to social distancing, and the fact that Korean red ginseng products were made only with red ginseng extract were considered as factors that influenced purchases.
Park Min-chul, Head of the ASEAN Regio-nal Headquarters Overseas Branch of the Korea Agro-Fisheries & Food Trade Corporation (aT), said, “Red ginseng products are going viral in Southeast Asia through social media. It’s also worth noting that the consumer base has expanded as products with price competitiveness, such as red ginseng candy, have diversified for popular consumption.”