CJ Cheiljedang has built up an advanced food production center in Vietnam to make inroads into Asia-Pacific and Europe as part of efforts to expand its global K-food business turf.
CJ Cheiljedang said on Feb. 27 the company held a ceremony to dedicate the Kizuna Plant in Longan Province, near Hoh Chi Minh in Vietnam.
The Kizuna Plant has two structures each one with four floors in an area covering 34,800 sq. meters. Currently, 30 billion won has been invested, and a combined 100 billion won will be poured in to build additional facilities by 2025.
The Kizuna Plant is the company’s first overseas production center, employing a global production to global export model. CJ Cheiljedang has so far focused on domestic production and export, as well as overseas production and local sale.
The dedication of the Kizuna Plant will enable production of mainstay products in Vietnam, and will allow them to be supplied to neighboring countries.
The Kizuna Plant, utilizing Vietnam’s geological advantage, is seeking to boost exports to China, Japan, Southeast Asia, EU and Australia. CJ Cheiljedang plans to boost export volumes more than a three-fold by 2025.
In his commemorative speech, CJ Cheiljedang President Choi Eun-seok said, “This year is a watershed moment for the expansion of the Vietnamese food business, such as global expansion and fostering new businesses.”
The Kizuna plant will be CJ Cheiljedang’s global core export center based on international food safety and Halal certifications, he added.
CJ Cau Tre, a rice spring roll, touted as a hit product in Vietnam. (Photos: CJ Cheiljedang)
The Kizuna plant is outfitted with optimal conditions to produce four out of six global strategy products (GSPs): mandu, processed rice, kimchi and K-sauces.
First of all, the Kizuna plant can procure raw materials with a higher competitive edge from areas such as Southeast Asia, Australia and EU, and it also has a synergetic export effect through customs benefits, such as ASEAN and the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP).
The Kizuna plant has obtained certifications such as the global food safety management system FSSC22000 and Hazard Analysis Critical Control Point (HACCP), allowing its products to be placed onto major distribution channels in EU and Australia.
The Kizuna plant has a facility with Halal application from the stage of design, and it will become a center to make an inroad into the Halal market by obtaining Indonesian MUI and Malaysian JAKIM certifications.
The Kizuna plant is outfitted with advanced production facilities. It is outfitted with spring roll forming automation facilities, developed by CJ Cheiljedang on its own.
CJ Cheiljedang plans to raise the plant’s automation rate from 70 percent this year to 100 percent by 2024.
Meanwhile, CJ Cheiljedang has formed an Eco-hub regime in Da Lot City in Central Vietnam in which the company supports agricultural tools and fertilizers and purchases agricultural produce from local households, contributing to improving shared growth and a virtuous cycle with the local community.
A CJ Cheiljedang official said the dedication of Kizuna plant means that CJ Cheljedang has laid a strong foundation to make an inroad into Asia-Pacific and European markets, and the company will do its utmost to push for expanding K-food abroad and achieve a vision of becoming a global integrated food maker.
CJ Cheiljedang Strikes MOU on Cultivated Meat Industry with KCell Biosciences
CJ CheilJedang has teamed up with KCell Biosciences, a startup focused on cell culture media, to enter the cultivated meat industry.
The companies signed an MOU on cell culture media production and media materials on March 23.
They will construct a cell culture media facility in Busan later this year. When completed, the plant will have the largest capacity for cell culture medium production in Korea and the second largest in the whole Asia-Pacific region.
CJ CheilJedang will work to develop and supply media materials specifically for cultivated meat manufacturing, while KCell will focus on media production.
Both sides strive to work together to create a competitive cell culture medium that can be scaled quickly and made cost-effective.
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