View all newsletters
Receive our newsletter - data, insights and analysis delivered to you
  1. News
January 13, 2021

Schwan’s Co. owner CJ CheilJedang to build Asian food facility in US

South Korea's CJ CheilJedang, which owns Schwan's Co. and CJ Foods, is planning to increase the size of its US manufacturing footprint.

By Leonie Barrie

South Korea’s CJ CheilJedang is planning to build a large Asian food production facility in the US for its American subsidiaries CJ Foods and Schwan’s Co.

Free Report
img

What’s the forecast for the food and grocery industry?

The food and grocery sector thrived during the pandemic, largely due to the shutdown of the food service industry and the sector’s subsequent necessity, panic-induced bulk purchasing, and spending more time at home. The market has grown as a result of inflation. Consumer unwillingness to go out and socialize, and the reopening of several hospitality facilities, helped maintain the demand for groceries, particularly online, in 2021. As consumer behavior changes, we consume more food and drink at home, and inflation increases basket sizes. GlobalData predicts that the sector will continue to hold a higher share than had been predicted prior to the pandemic. This is true despite the fact that the food and grocery sector's share of overall retail will decline from its peak in 2020. This report will discuss market forecasts and key themes in the global food & grocery industry in 2022 and beyond. It covers:
  • Market drivers and inhibitors
  • Five-year forecasts and the impact of COVID-19
  • The performance of the online channel versus offline
  • Major trends in the market including rapid delivery, ambient retailing, supply chain disruption, and inflation
Assess developments within this sector to help your business thrive in 2022 and beyond.
by GlobalData
Enter your details here to receive your free Report.

The facility in Sioux Falls, South Dakota, is likely to cost US$500m to build and will be one of the largest plants of its kind in the country.

A 700,000 sq ft facility will be built on a 140-acre site at Foundation Park in north-west Sioux Falls and will create more than 600 jobs by 2025. A ground-breaking ceremony will take place this spring.

The plant will include a warehouse and distribution centre, shipping and receiving docks and office space. All foods made at the production facility – to include Asian-style meals, sides, snacks and appetisers in the shelf-stable and frozen categories – will be sold and distributed by CJ Foods and Schwan’s Co.

Dimitrios Smyrnios, CEO of Schwan’s and executive chairman of CJ CheilJedang’s food business in the Americas, said: “Adding this world-class Asian food plant in South Dakota will help us lead the fast-growing Asian food category in North America and achieve our long-term growth plans. Ultimately, this plant will meet the increasing needs of our retail and foodservice customers by creating significant production capacity, fuelling Asian food category growth, and enabling future innovation.”

CJ CheilJedang acquired a majority share in Minnesota-based Schwan’s – a frozen-food business which manufactures the Tony’s and Red Baron pizza brands as well as desserts and Asian-style food – in 2019. CJ Foods specialises in Korean and other Oriental food products with brands including Annie Chun’s, Bibigo, Kahiki, Minh and Pagoda.

Related Companies

Free Report
img

What’s the forecast for the food and grocery industry?

The food and grocery sector thrived during the pandemic, largely due to the shutdown of the food service industry and the sector’s subsequent necessity, panic-induced bulk purchasing, and spending more time at home. The market has grown as a result of inflation. Consumer unwillingness to go out and socialize, and the reopening of several hospitality facilities, helped maintain the demand for groceries, particularly online, in 2021. As consumer behavior changes, we consume more food and drink at home, and inflation increases basket sizes. GlobalData predicts that the sector will continue to hold a higher share than had been predicted prior to the pandemic. This is true despite the fact that the food and grocery sector's share of overall retail will decline from its peak in 2020. This report will discuss market forecasts and key themes in the global food & grocery industry in 2022 and beyond. It covers:
  • Market drivers and inhibitors
  • Five-year forecasts and the impact of COVID-19
  • The performance of the online channel versus offline
  • Major trends in the market including rapid delivery, ambient retailing, supply chain disruption, and inflation
Assess developments within this sector to help your business thrive in 2022 and beyond.
by GlobalData
Enter your details here to receive your free Report.

Topics in this article:
NEWSLETTER Sign up Tick the boxes of the newsletters you would like to receive. A weekly roundup of the latest news and analysis, sent every Friday. The industry's most comprehensive news and information delivered every other month.
I consent to GlobalData UK Limited collecting my details provided via this form in accordance with the Privacy Policy
SUBSCRIBED

THANK YOU

Thank you for subscribing to Just Food