A McDonald's shop in Seoul is seen in this file photo. Yonhap

McDonald's Korea, the local unit of fast food giant McDonald's, said Friday it will increase the prices of 20 menu items by an average of 2.3 percent next week, citing higher food costs and exchange rate fluctuations.

Under the new pricing, the signature Big Mac meal will cost 7,400 won ($5.09) beginning Thursday, up by 200 won from the current 7,200 won, according to the company.

The bulgogi burger, cheeseburger and six other meal sets are also subject to the price hike.

This marks the second price increase in less than a year. McDonald's Korea had raised the prices of 16 menu items by around 3 percent last May, citing increased costs in food, logistics and labor.

The upcoming price increase is in line with the nationwide trend of rising food prices as many major food companies have announced price hikes in response to growing costs partly caused by recent political uncertainties.

Nongshim, Korea's leading instant noodle maker, will raise the prices of its 17 products next week.

CJ CheilJedang has already increased the prices of its Bibigo dumplings and other processed foods this month, while Dongwon F&B has also adjusted its product prices.

The bakery and cafe sectors are also seeing similar trends. SPC Group, which operates bakery and donut brands Paris Baguette and Dunkin Donuts, has raised prices of bread and donuts. Lotte Wellfood and Binggrae have increased prices of snacks and ice cream.

Coffee brands have also joined the move, with Starbucks Korea, Hollys and Paul Bassett raising their coffee prices in January.

According to government data, Korea's processed food price index increased 2.9 percent from a year earlier in February, marking the highest on-year gain in 13 months. (Yonhap)