ORION will invest 830 billion won to expand global production. This figure includes the investment in the production, packaging, and logistics integrated center being built in Jincheon, North Chungcheong Province, along with the costs for the construction of factories in Russia and Vietnam.
On the 15th, ORION held a board meeting and passed a motion to invest 460 billion won in establishing a production, packaging, and logistics integrated center in the Technopolis Industrial Complex in Jincheon, North Chungcheong Province. This is the largest domestic investment amount made by a food company in the past five years.
The Jincheon integrated center will be built on a site of 188,000 square meters, equivalent to 26 soccer fields, with a total area of 149,000 square meters. It will serve as a one-stop production base connecting production, packaging, and logistics. The construction is set to begin by mid this year with completion targeted for 2027.
It will supply both domestic and export volumes. Once the Jincheon production facility is completed, ORION's domestic production capacity will expand to approximately 2.3 trillion won.
The establishment of the Jincheon integrated center will use dividends received from corporations in China and Vietnam. ORION has been distributing dividends from its overseas subsidiaries since 2023. This year, it expects to receive over 290 billion won.
In Russia, where the factory utilization rate exceeds 120%, a new factory building will be constructed due to a shortage of chocolate supply. The total investment amount is expected to be around 240 billion won. Sixteen production lines, including those for pies, biscuits, snacks, and jelly, will be added. Consequently, the annual total production volume is projected to double to approximately 750 billion won.
In Vietnam, which exceeded 500 billion won in sales last year, a total of 130 billion won will be invested. A new factory building will be completed at the Hanoi Yen Phong plant in the second half of the year to expand facilities for rice snacks and aggressively enter the market. The company will sequentially expand additional production lines for both new products such as candy and existing products like pies and jellies, with plans to eventually increase production capacity to around 900 billion won.
An ORION official noted, "Since the first overseas expansion in 1993, the company has grown into a bona fide global corporation with over 65% of its sales coming from abroad," adding, "We plan to expand our production capacity to further solidify our medium- to long-term growth foundation."