Hite Jinro, the South Korean beverage manufacturer, is to cease operations at its soju production plant in Ma-dong, Iksan, North Jeolla Province, ending 69 years of operation.
The company announced that it will suspend production at the facility starting 16th October, with manufacturing functions being consolidated into its existing plant in Jeonju. Production equipment and personnel will be relocated to the Jeonju facility in stages.
Built in 1957 as the former Bobae Soju factory, the Iksan plant generated sales of approximately 42.1 billion KRW ($31.4 million) last year. This represented 1.68% of Hite Jinro’s total consolidated revenue of 2.4986 trillion KRW ($1.86 billion).
The manufacturer cited aging equipment and operational conditions for the closure, noting that there was limited scope to expand the site due to surrounding residential areas. Hite Jinro stated that it expects the restructuring to streamline operations without impacting product supply.
Source: The Herald Business / E-Daily
