Analysis of cabbage acquisition by kimchi processor

Cabbage, which is one of the main materials of kimchi, normally has an unstable supply due to cultivation and climate conditions. This unstable supply negatively affects the profitability of kimchi processors in Korea. Thus, kimchi processors found a better method for acquiring a consistent cabbage supply with long-term storage of over 3 months. However, a consensus regarding the best method for the stable and economical acquisition of cabbage remains controversial. This study aimed to analyze the current issue concerning cabbage acquisition by kimchi processors and evaluate the economic feasibility of kimchi storage. Findings obtained through survey and economic analyses using theoretical methodology were as follows: First, A survey conducted on kimchi processors in Korea revealed that even though they recognize the importance of kimchi storage, they struggle to store adequate amounts of cabbage. This is particularly evident with summer cabbage, which experiences the highest supply volatility and thus requires greater attention from kimchi processors in terms of storage. Second, the price analyses using the coefficient of variation show that cabbage in Korea has a high level of price instability, which suggests more storage of cabbage. Third, the evaluation of the economic feasibility of cabbage storage indicated that kimchi processors should consider storing a greater amount of cabbage, particularly during the summer season. This approach can help reduce the overall cost associated with kimchi processing.