[Announcement+] Wingip Food Expands Factory to Increase Production Capacity

[Asia Economy Reporter Eunmo Koo] Wingip Food announced on the 24th that it has decided to reconstruct Plant 1 to expand production capacity and optimize products. The expansion cost amounts to 16.4 billion KRW, which corresponds to 16.9% of the individual equity capital of Guangdong Sales Food Co., Ltd. as of last year. With this construction, the total floor area of Plant 1 is planned to expand to 15,000 square meters (m²), and the construction completion date is set for July 23 of next year.

The expansion will be carried out in two parts: extension and remodeling. A Wingip Food official explained, “During the construction period of extending and remodeling Plant 1, Plant 2 will be fully operated to ensure no disruption in production, and afterward, all facilities of Plant 2 will be transferred to Plant 1 for operation.”

The company stated that the purpose of the plant expansion and reconstruction is to consolidate the production facilities, which were previously divided between Plant 1 and Plant 2, into a single location to achieve overall cost reduction and improved management capabilities. A company representative said, “We expect cost savings on fixed expenses from Plant 2, which is currently leased, and production management efficiency will improve due to reduced process time caused by the distance between Plant 1 and Plant 2. In particular, the bottleneck section for production capacity expansion, the drying line, will increase to 75-80 units through this expansion, doubling the overall production capacity compared to before.”