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Dongwon F&B to invest $112M for new food manufacturing facilities

Published: 31 Dec. 2024, 16:30 Updated: 31 Dec. 2024, 18:49

KIM JU-YEON
[email protected]

Dongwon F&B's canned tuna products are displayed at a supermarket in Seoul on May 14. The company disclosed on Dec. 30 that it will invest 165 billion won ($112 million) to construct manufacturing facilities for frozen and refrigerated meals and dairy drinks. [NEWS1]

Dongwon F&B will invest 165 billion won ($112 million) to construct manufacturing facilities for frozen and refrigerated meals and dairy drinks, according to the food and beverage firm’s electronic disclosure filed on Monday.

The company, known for its canned goods and ready-made meals, said it would use 110 billion won for its new chilled foods factory by January 2026 and 55 billion won to add production facilities for its dairy beverage business by April the same year.

The new factory for its refrigerated and frozen foods will be constructed near Dongwon F&B’s Jincheon plant in North Chungcheong, where its ham and kimchi products are produced. The location for the drinks facility will be revealed at a later date, the firm said.

Nothing has been determined on what specifically will be produced at the plants, Dongwon F&B said in a statement, adding that the company plans to “strengthen and advance its production capacities across the various categories that Dongwon F&B produces items in.”

Dongwon Group affiliate Dongwon F&B separated from Dongwon Industries in 2000. Its portfolio includes canned tuna and meat products, ready-to-eat soups, side dishes and beverages.

The company sells its products in 35 countries. It has particularly found success in the U.S. market this year with its gim (dried seaweed) products, with sales in the North American country rising 14.5 percent on year in the first quarter.

This boosted its overall global sales. Dongwon F&B recorded 31.3 billion won in overseas sales in the first quarter of this year, up 5.8 percent from the same period in 2023, according to its electronic disclosure. Its third quarter overseas sales accounted for a higher proportion of 2.8 percent of its revenue compared to the same time period in 2023 as well as for the whole year; the company made a total of 116.8 billion won in overseas sales in 2023, which accounted for around 2.7 percent of its revenue for that year.

BY KIM JU-YEON [[email protected]]