Gyeongbuk Province Opens 'Cosmetic Center' in Gyeongsan... Customized Support for Cosmetic Companies

The exterior view of the 'Global Cosmetic Center' located in Gyeongsan City.

[Asia Economy Yeongnam Reporting Headquarters, Reporter Park Dong-wook] Gyeongsangbuk-do announced on the 3rd that it has opened the 'Global Cosmetic Business Center' in the Yeocheon-dong cosmetics specialized complex in Gyeongsan City to provide customized support to related companies, and has begun full-scale operations.

The center was built at a total cost of 22.8 billion KRW, including 10 billion KRW of national funding, on a site with one basement floor and three above-ground floors. It is equipped with 248 types of research equipment with the latest specifications and CGMP (Cosmetic Good Manufacturing Practice) production facilities.

Accordingly, Gyeongsangbuk-do explained that local companies, which had previously produced cosmetics through contract manufacturing in Gyeonggi-do and Chungbuk due to the lack of a shared CGMP facility in the region, can now directly produce and sell products within Gyeongsangbuk-do.

The operation of the Global Cosmetic Business Center is managed by a consortium led by Gyeongbuk Cosmetics Industry Promotion Agency Co., Ltd., involving three institutions: Daegu Haany University, the Korea Cosmetics Small and Medium Enterprises Export Association, and the Gyeongbuk IT Convergence Industry Technology Institute. Local cosmetics-related companies are expected to receive one-stop support through the center for various needs, including R&D of bio-material functional cosmetics, production of cosmetics from basic to color makeup, market development, and the integration of ICT with the beauty industry.

Since 2016, Gyeongsangbuk-do has fostered the cosmetics industry by developing the joint cosmetics brand 'Clue&Co' and achieved sales of 133.8 billion KRW in 2019 through domestic and international marketing activities involving 65 member companies. Moreover, about 50 cosmetics companies are seeking to move into the cosmetics specialized complex being developed in Yeocheon-dong, Gyeongsan City, covering an area of 149,173㎡ by 2022. Therefore, the Global Cosmetic Business Center is expected to play a significant role as a driving force for the development of the local cosmetics industry.

At the opening ceremony, Governor Lee Cheol-woo said, "The Global Cosmetic Business Center will serve as a timely relief for small and medium-sized cosmetics companies in Gyeongsangbuk-do struggling due to COVID-19," and added, "We will actively foster the local beauty industry together with Gyeongsan City so that the regional cosmetics industry can make even greater strides."