Third Overseas Kimchi Plant
Daesang announced on Nov. 7 that it would establish a joint venture with a Polish company to set up a kimchi plant in Poland and enter the kimchi market in Europe. The Korean food giant plans to make Poland a production base in Europe. It built a kimchi plant in Los Angeles in March this year to penetrate the U.S. market.
Daesang has 10 overseas factories. They are in the United States, China, Indonesia, Vietnam, and the Philippines. The Polish plant will be Daesang’s 11th overseas plant. It is the third overseas kimchi production plant, after those in China and the United States.
The kimchi factory will be set up in Krakow, Poland. Daesang will invest about 15 billion won to build the plant, which is expected to be completed in the second half of 2024.
Daesang plans to produce more than 3,000 tons of kimchi at the Polish factory annually by 2030.
The company signed a contract with ChPN, a Polish company specializing in fresh and fermented vegetables, to establish a joint venture, Daesang ChPN Europe. ChPN products are already on sale in local retail outlets such as LidI, Carrefour and Auchant.
Daesang plans to ramp up its annual sales in the European local food business to 100 billion won by 2025 based on the establishment of the joint venture in Poland and the establishment of the kimchi factory.