Kyochon F&B announced on the 30th that it will embark on full-scale ESG (Environmental Protection, Social Contribution, Ethical Management) management through its subsidiary ‘K&L PACK’. Established in July last year, K&L PACK is a company engaged in the eco-friendly packaging business and is expected to play a key role in Kyochon’s ESG management going forward.
On the 24th, K&L Pack, a subsidiary of Kyochon F&B, and Chungju City, Chungbuk Province, signed an investment agreement to establish a factory for producing eco-friendly packaging materials. Kwon Won-gang, Chairman of Kyochon Group (second from the right in the photo), and Jo Gil-hyeong, Mayor of Chungju City (third from the right), held the investment agreement ceremony at the Jungangtap Conference Room in Chungju City Hall and took a commemorative photo. [Photo by Kyochon F&B]
On the 24th, Kyochon signed a memorandum of understanding (MOU) with K&L PACK and Chungju City, Chungbuk Province, to build an eco-friendly packaging production plant covering approximately 6,600㎡ within the Chungju Advanced Industrial Complex. Through this plant, Kyochon will intensify its eco-friendly packaging business.
Kyochon plans to initially promote ‘eco-friendly pulp mold packaging,’ a recyclable core product of K&L PACK, to respond to the expanding e-commerce and delivery industries. This is based on the judgment that the eco-friendly packaging market will emerge as a ‘New Market’ due to global environmental policies and changes in customer awareness.
Additionally, by constructing the plant in the Chungju Advanced Industrial Complex, Kyochon aims to secure efficient production infrastructure and logistics systems to differentiate its eco-friendly packaging business. Based on this, the company plans to become a strong small and medium-sized enterprise in eco-friendly packaging within the next five years, practicing ESG management and making it a future growth engine for Kyochon. The K&L PACK Chungju plant is scheduled to be established in the third quarter of next year.
Once the K&L PACK plant is completed, packaging materials for franchise stores will be stably supplied in parallel from two locations. This is explained as Kyochon’s win-win investment to reduce franchise store operating costs and enhance convenience for franchisees amid rising paper box costs.
Kwon Won-gang, Chairman of Kyochon Group, stated, “The eco-friendly packaging business is an ESG management practice that simultaneously satisfies the keywords ‘eco-friendly,’ which contributes to carbon reduction, and ‘win-win,’ which considers the positions of franchisees.” He added, “We will continue to lead the development of various businesses in line with the global trend of carbon reduction.”
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