Efficient Organizational Restructuring... Accelerating Work Innovation
Securing Future Growth Engines and Focusing on High Value-Added Industries
Park Sungho, Commissioner of the Busan-Jinhae Free Economic Zone Authority, marks his 100th day in office on the 10th.
Since taking office on January 1, Commissioner Park has been actively seeking solutions to pressing issues and working tirelessly to identify core strategic industries.
Commissioner Park is dedicating his full efforts to developing the Busan-Jinhae Free Economic Zone into the "top destination for global companies." He is also steadily preparing the "BJFEZ Long-term Development Plan" to equip the zone with a "powerful mega engine" that will drive innovative economic growth not only in Busan and Gyeongnam but across South Korea.
To this end, Commissioner Park has implemented various innovative policies, including organizational restructuring for targeted investment attraction and enhanced promotion, fostering the coffee industry as a high value-added sector, diversifying overseas investment channels, prioritizing communication with resident companies, normalizing the Ungdong 1 District development project, and expanding cooperation with global and domestic enterprises.
▲ Accelerating Work Innovation through Organizational Restructuring
On March 1, Commissioner Park carried out an organizational restructuring to accelerate work innovation. The newly established "Strategic Industry Investment Division" and "PR & Media Division" are now dedicated to specialized investment attraction and promotion.
Given that the current development rate of the Busan-Jinhae Free Economic Zone stands at 98.7%, a "targeted investment attraction" strategy is now essential to secure future growth engines. The PR & Media Division is strengthening its expertise to effectively promote the zone's strengths and excellence both domestically and internationally.
▲ "Coffee" as a High Value-Added Industry
Busan Port serves as a crucial gateway, handling 94% of Korea's coffee imports. Commissioner Park plans to fully leverage this advantage to develop coffee into a high value-added industry. In March, he launched the "BJFEZ Coffee Industry Revitalization Strategy Task Force," comprised of industry experts, to explore development strategies.
The task force aims to improve regulations related to the coffee industry, simplify procedures for importing and distributing green coffee beans, and support the establishment of coffee manufacturing and processing companies to strengthen logistics and distribution infrastructure. Additional initiatives include consulting for market entry, overseas marketing, and support for developing new sales channels.
He stated, "We plan to establish development strategies so that the coffee industry can mark a new turning point in the Busan-Jinhae Free Economic Zone," adding, "By expanding from simple storage-focused logistics to include processing, we will develop it into a high value-added industry, create new jobs, and revitalize the hinterland complex."
▲ Putting the Intractable "Ungdong 1 District" on the Operating Table
Commissioner Park has also begun normalization efforts for the long-stalled "Ungdong 1 District development project." On March 17, during a briefing at the Gyeongnam Provincial Government Press Center, he announced, "We will designate Gyeongnam Development Corporation as the sole project implementer and proceed with a public development approach."
To resolve the livelihood site issue for displaced fishermen, the project area will be divided, granting them project implementer status so they can undertake their own development projects. Commissioner Park plans to meticulously manage follow-up procedures, such as development plan changes, to ensure full-scale construction begins in the second half of 2029.
▲ "No More Land"... Expansion of the Free Economic Zone Is Essential
Commissioner Park believes that expanding the Busan-Jinhae Free Economic Zone is essential to realize the "new growth engine for South Korea" and "balanced regional development" for the next century. The zone faces saturation of industrial facilities (98.7% development rate) and ongoing demand for additional land due to the development of Gadeok New Airport (scheduled for 2029) and Jinhae New Port (scheduled for 2040).
Amid these challenges, some welcome news arrived. On February 25, at a Cabinet meeting of the Ministry of Land, Infrastructure and Transport, Busan's "Triport Global Integrated Logistics District" (Gangseo-gu, Songjeong-Hwajeon-Noksan-dong, 2.79 km²) and Gyeongnam's "Jinhae New Port Hinterland Complex" (Changwon, Jinhae-gu, Namyang, Seongnae, Wonpo, 6.98 km²) were designated as regional strategic projects.
It is expected that these two districts will soon be expanded and designated as part of the Busan-Jinhae Free Economic Zone. In addition, Commissioner Park is hopeful for further expansion into neighboring cities such as Gimhae and Geoje.
▲ Targeting "Oil Money" for Overseas Investment Attraction
Commissioner Park is diversifying overseas investment attraction channels to secure future growth engines for the free economic zone. In addition to existing strategies focused on the US, Europe, and Asia (including Japan), efforts are also being made to attract Middle Eastern capital from countries like Saudi Arabia and the UAE, which have abundant "oil money."
DP World, a global port operator based in the Busan-Jinhae Free Economic Zone, serves as a key intermediary for strengthening economic networks with the Middle East. This is expected to not only vitalize the port industry but also greatly assist in attracting new investments from the Middle East.
▲ Expanding Cooperation with Domestic and Global Companies
Since Commissioner Park's inauguration, cooperation with global companies has expanded and visible achievements have been made in investment attraction. This year, he secured an additional 26 billion KRW investment from Nagaikai Busan Logistics Center and 48.2 billion KRW from Mitsui-Soko Korea, as well as signed an MOU for a 14 billion KRW investment with Kokusai Express.
Building on these partnerships, Commissioner Park plans to further strengthen networks with global companies in four core strategic sectors: integrated logistics and transportation, smart mobility, advanced materials and components, and bio-healthcare, continuing his investment attraction efforts.
Commissioner Park is also enhancing on-site communication with resident companies in the free economic zone. On February 27, he visited the Korean headquarters of German investor Wilo Pump, held a meeting with CEO Jeon Ilseung, and promised administrative support and expanded networking opportunities to ensure the successful operation of global companies.
On March 12, when US trade regulations on the steel industry became a hot topic, he visited Taewoong Steel, a leading steel company in BJFEZ, listened to the concerns of Chairman Heo Yongdo, and discussed countermeasures regarding US tariffs. On April 1, he visited Halla IMS, a marine equipment specialist, to congratulate them on surpassing 100 billion KRW in annual sales, directly hear voices from the marine industry, and discuss various support policies for export expansion, workforce recruitment, and government policy linkage.
Commissioner Park Seongho visited the mid-sized company Taewoong Steel Plant on March 12. Provided by Busanjin-Hae Economic Free Zone Authority.
On April 3, he met with Ko Sangseok, CEO of Prestige Biopharma Innovative Drug Research Institute (IDC) in Myeongji International New City, Busan, toured the research facilities, and discussed cooperation for the development of the bio industry and entry into the global market.
Commissioner Park stated, "With the triport infrastructure encompassing port, airport, and rail, the Busan-Jinhae Free Economic Zone must be equipped with a 'powerful mega engine' to drive the Korean economy beyond Busan and Gyeongnam," adding, "Although we have performed well so far despite relatively limited personnel and budget compared to other free economic zones, expanding the organization, including additional staffing, is essential to prepare for the 'next 20 years.'"
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