Gwangju Seo-gu Provides Loan Support for Facility Improvement Costs Including Restaurants

Seo-gu, Gwangju Metropolitan City (District Mayor Kim Ikang) provides a 1% low-interest loan to support facility improvement funds for aging business premises and kitchens of food hygiene establishments.

According to Seo-gu on the 13th, the Food Promotion Fund loan support project is divided into funds for facility improvements to enhance food hygiene levels such as business premises, kitchens, and restrooms, and funds for fostering excellent establishments, model establishments, and hygiene grade designated establishments.

Food Promotion Fund Loan Project Information Poster. [Photo by Seogu]

The facility improvement fund limit per establishment is ▲ 300 million KRW for establishments applying the Hazard Analysis and Critical Control Points (HACCP) certification standards ▲ 70 million KRW for food manufacturing and processing establishments ▲ 50 million KRW for other types of establishments (10 million KRW for restroom and food waste disposal facility improvements).

The fund for fostering model establishments such as hygiene grade designated establishments is 10 million KRW.

The loan period is a 1-year grace period followed by 3 years of equal installment repayment for loans under 50 million KRW, and a 1-year grace period followed by 5 years of equal installment repayment for loans of 50 million KRW or more.

To apply for the loan, business operators must consult with Gwangju Bank or Kookmin Bank for loan counseling, then complete the Food Promotion Fund loan application and other documents and submit them to the Health and Hygiene Division.

Additionally, priority loan support is given to ▲ small businesses with business premises under 100㎡ wishing to improve facilities ▲ excellent and model establishments, restaurants designated or preparing for the hygiene grade system ▲ establishments designated or preparing for HACCP certification ▲ establishments promoting the Gwangju representative food branding project ▲ excellent sellers of children’s preferred foods.

Lee Sangyong, head of the Health and Hygiene Division, said, “We hope that low-interest loans for food hygiene establishments in this era of high interest rates and high prices will alleviate the economic burden on hygiene business owners,” and added, “We encourage active interest and applications from establishments.”

Shin Dongho, Honam Reporting Headquarters, Asia Economy baekok@asiae.co.kr