South Korean confectionery company Orion will build a new plant in Russia. SEOUL, December 7 – Orion Corp., largest confectionery company in South Korea, said Thursday that its Russian subsidiary invests 81.3 million U.S. Dollars in the next three years to build a new factory to meet growing demand for its products in the Eurasian market.
The construction of a new production facility in Tver region will start early next year. And is scheduled for completion by 2020, the report said the company in a regulatory form.
Orion Corp. said that when construction is completed, the plant will be six times bigger than the one that is already working in the area. And will annually produce confectionery to 200 billion won ($ 183 million).
“The new facility will become our Outpost in order to penetrate deeper the Russian market. As well as be the cornerstone for penetration in Eastern Europe and other countries of the European Union,- said the representative of the company.
Orion Corp. first entered Russia in 1993 with the export of its best-selling Choco Pie chocolate pie with marshmallow.
It is the first factory in the Eurasian country was built in the Tver region in 2006 and then in 2008 in the Siberian city of Novosibirsk.
According to the company, sales of its flagship Choco Pie increased on average by 20 percent annually over the past five years.