Franchise Chains Used 1.09 Billion Disposable Cups Last Year as Rules Waver

Society|
|
||
Photo provided to aid understanding of the article. Clipart Korea - Seoul Economic Daily Society News from South Korea
Photo provided to aid understanding of the article. Clipart Korea

Franchise coffee shops, bakeries and fast-food chains in South Korea used 1.089 billion disposable cups last year, and the figure is rising again after the government scrapped a planned ban on paper cups citing the burden on small business owners. Enforcement of the remaining ban on plastic cups has been minimal, critics say. Now the government is reaching for regulation once more.

Disposable Cup Use Climbs 31% From Five Years Ago

Data obtained by Rep. Seo Wang-jin of the Rebuilding Korea Party, a member of the National Assembly's Climate, Energy, Environment and Labor Committee, from the Ministry of Climate, Energy and Environment showed that 24 food and beverage franchises that signed voluntary agreements with the government used 1.089 billion disposable cups last year, up 1.6% from 1.072 billion a year earlier.

That is about 31% more than the 830 million cups used by 21 companies in 2019, before the COVID-19 pandemic. Annual figures were 904 million in 2020, 993 million in 2021 and 1.036 billion in 2022. Use fell to 940 million in 2023, but that reflected a drop in participating companies to 17 from 19.

Critics attribute the persistent levels to a series of regulatory rollbacks, which the government justified on grounds of hygiene, consumer convenience and the burden on small business owners. In November 2023, the government withdrew a plan to ban disposable paper cups at cafes and other food service establishments. The move was intended to ease pressure on the industry, but critics said it ultimately sent the wrong signal by lowering vigilance over single-use items.

A ban on disposable plastic cups for in-store use remains in place, but enforcement records are thin. Fines for violations of disposable-item rules, including those covering plastic cups, averaged just 72 cases a year over the past five years. That is why the rules are seen as having limited effect in curbing disposable cup use on the ground.

Rules Imposed, Then Lifted, Leaving Cafes and Consumers Confused

Photo provided to aid understanding of the article. Clipart Korea - Seoul Economic Daily Society News from South Korea
Photo provided to aid understanding of the article. Clipart Korea

Disposable-item policy has cycled through adoption, repeal and postponement. A deposit scheme for disposable cups was introduced in 2002 and scrapped in 2008. A 300-won-per-cup deposit was due to take effect at major franchises nationwide in 2022, but it was delayed over concerns about small business owners and then narrowed to Sejong and Jeju Special Self-Governing Province.

Paper cups were also set to be banned for in-store use from November 2022, but a one-year grace period was granted. In November 2023, just before the grace period expired, they were dropped from the rules altogether.

For cafes, each policy shift means recalculating the staffing and costs needed to wash and manage reusable cups. For consumers, disposable cups are tied directly to convenience.

The government is also pursuing voluntary reductions. In July, 23 food and beverage franchises and about 150 independent cafes agreed to discount drinks for customers who bring their own cups and to provide straws only on request. About 22,000 stores nationwide are taking part. Critics said voluntary agreements alone have limits, however, given the lack of specific reduction targets or compliance checks.

Paper Cups Face Rules Again, While Plastic Gets Recycling Obligations

The government has decided to tighten disposable cup rules once more. The climate ministry is pushing a plan to ban in-store use of disposable paper cups, starting with cafes above a certain size. The threshold would be based on floor area rather than franchise status, bringing large independent cafes into scope as well. Figures of 33 square meters or 100 square meters have been discussed, but nothing has been finalized.

Plastic cups are to be brought under the Extended Producer Responsibility (EPR) system within the year. The scheme imposes recycling quotas on producers and would also assign responsibility to the many franchises that source cups on an original equipment manufacturer basis.

At present, disposable plastic cups are often picked out at sorting facilities and incinerated even when separated for recycling, because recyclers see little profit in them. The government expects that including them under EPR will give recyclers access to subsidies, creating an incentive to actually recycle more.

Seo said the government "must not resort to tricks like indefinite grace periods again," and stressed that it should wrap up talks with the industry promptly and draw up a roadmap for disposable-item rules covering reduction targets, implementation timelines and enforcement plans.

Original reporting by Kim Yeo-jin for Seoul Economic Daily.

AI-translated from Korean. Quotes from foreign sources are based on Korean-language reports and may not reflect exact original wording.

Watch · Seoul Economic Daily

More →
4:39

AI KEY

Preview
Korean Corporate Intelligence HubKOSPI · KOSDAQ · 12 sectors

A live, cap-weighted view of every KOSPI and KOSDAQ sector, with same-day Korean reporting distilled by company — built for foreign investors, correspondents and analysts who need to scan Korea before the next session.

Korea Company Atlas

Preview
Market Ontology · The Feedback LoopKFTC 2025 · 92 groups · 121,954 articles

An English ontology of the Korean market — how companies, the media, the government and the National Assembly move each other in a loop. Korea's named controlling persons and designated business groups are a mechanism, not a risk to be priced blind.

SIGNAL

Now live
English Edition · Capital MarketsM&A · IPO · PE · Fund Flows

SIGNAL English Edition is live — Korea's deal desk reporting in English. M&A, IPOs, private equity and fund flows, covered daily for global institutional investors. Browse free; subscriber-only scoops at the 50% intro rate.