585 Billion Invested for New Building Construction, Target Completion in October 2024
Production Capacity Expansion Following Growth in Processed Poultry Product Market
Chicken and Duck Specialist Company Sajo Won Also Plans 20 Billion Investment for Facility Expansion
[Asia Economy Reporter Eunmo Koo] Sajoo Oyang announced on the 26th that it held a board meeting on the 25th and approved and finalized the plan to expand the poultry processing production line at Sajoo Oyang's Geumsan Plant, located in Geumsan, Chungnam, which specializes in producing crab sticks, processed meat, and various chilled food products.
This expansion of Sajoo Oyang's Geumsan Plant is due to the steady growth of the frozen, refrigerated, and poultry processed food markets. The goal is to expand the production capacity of the Geumsan Plant, which is currently operating at over 100% capacity, to offer a wider variety of higher-quality poultry processed products.
Since beginning production in 2010, the Geumsan Plant has been producing a range of chilled and frozen food products with an annual capacity of 25,000 tons, including crab stick products such as Oyang Crab Stick, Kravia, and Snow Crab King, as well as nuggets, meatballs made from poultry, red meat, and seafood, and dumplings.
Sajoo Oyang is investing 58.5 billion KRW in this expansion, constructing a new state-of-the-art production facility on approximately 4,600 additional pyeong of land, with a total floor area of 16,500 square meters (㎡), consisting of four above-ground floors and one basement floor. Including the existing plant, the total floor area will expand to 36,200㎡, establishing a major production base for refrigerated, frozen, and poultry processed foods.
The completion and start of production are targeted for October 2024. This expansion is expected to create over 100 new jobs, contributing to the development of the local community. Additionally, efforts will be made to enhance production efficiency through the installation of the latest automation equipment and to reduce energy consumption by introducing solar power generators.
Alongside Sajoo Oyang's facility expansion, Sajoo Group's poultry specialist company, Sajoo Won, will also invest in facility expansion. Sajoo Won, which has established a vertically integrated system from breeding to hatching, raising, production, processing, and distribution, plans to invest 20 billion KRW to expand slaughtering and processing facilities at its plant in Gimje, Jeonbuk. This will increase annual production capacity from 70 million to 105 million birds. Through this, Sajoo Won aims to improve productivity and quality competitiveness and actively support investments to expand the poultry processed food market for group affiliates.
A representative from Sajoo Oyang stated, “Through this facility expansion, we will continue to strive to introduce a wider variety of higher-quality products, further expand Sajoo Group's influence in the poultry processed food market, and grow as a market-leading company.”
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