Sangsang Bio, Jeonnam Herbal Medicine Agricultural Cooperative, and Others Collaborate
The Herbal Medicine Distribution Support Center in Hwasun County, South Jeolla Province, has established a stable operational system and has become a central hub for the local herbal medicine industry.
According to the center on November 5, it is currently operated as a Build-Transfer-Lease (BTL) type private investment project, which was initiated in 2005 as a government-sponsored project. Sangsang Bio Co., Ltd. is participating as the lead company, forming a cooperative system with Jeonnam Herbal Medicine Agricultural Cooperative (responsible for purchasing and storing herbal medicine) and Elegant World Co., Ltd. (in charge of distribution and marketing).
They have introduced a management system that covers all stages from processing and storage to distribution, thereby enhancing efficiency and reliability in quality.
With this systematic operation, the distribution volume of herbal medicine has shown steady annual growth. In 2023, it reached 432.7 tons, 475.2 tons in 2024, and the total purchase volume for 2025 is expected to be 480 tons.
Additionally, with a local herbal medicine purchase ratio of 96.5% and a facility utilization rate of 100%, the center ranks among the top of the five local governments operating such centers. Based on a stable raw material supply system within the center, health functional foods and dietary supplements using locally produced herbal medicine as the main ingredient are being produced, providing practical support for expanding sales channels and increasing income for local farmers.
Meanwhile, Sangsang Bio Co., Ltd., the lead company, relocated its headquarters from Dangjin, South Chungcheong Province, to Hwasun in 2023, solidifying its commitment to the region. At the time of relocation, the workforce numbered around 30, but it has since grown to 85, with a hiring policy focused on Hwasun residents, thereby contributing to local employment revitalization.
With the normal operation of the second plant (external decoction center) and an additional facility investment of about 5 billion won underway, the number of employees is expected to exceed 100 next year as production facilities expand.
Thanks to this growth, Sangsang Bio Co., Ltd. achieved a significant milestone in September by being selected for the 'Baby Unicorn Fostering Project - Revenue Growth Track' by the Ministry of SMEs and Startups. The achievement is notable as the company was recognized for its corporate value based solely on its own sales growth without external investment, and it was the only company selected in the health functional food manufacturing sector among the 20 chosen firms, highlighting its growth potential.
A representative from Sangsang Bio Co., Ltd. stated, "Recently, global interest in 'K-health functional foods' is rising, following the popularity of K-content and K-beauty. We have established a flexible production system that can quickly supply various products in line with the growth of the global e-commerce market," adding, "With our selection as a baby unicorn, we will further prove the technological prowess and quality competitiveness of Korean health functional foods in the global market."
An Jinwhan, Head of the Rural Vitality Division, commented, "The stable operation of the Distribution Support Center, combined with the growth of Sangsang Bio Co., Ltd., is invigorating the entire local herbal medicine industry. We will continue to strengthen the excellent herbal medicine industry ecosystem through close public-private cooperation and drive ongoing revitalization of the local economy."
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