CJ CheilJedang Signs MOU with Thailand's Largest Distributor... "Secures 2,700 Local Distribution Channels"

Accelerating Expansion of the K-Food Business
Considering Broader Collaboration in Malaysia, the Philippines, and Beyond

On December 2, CJ CheilJedang announced that it will expand its local K-food business in partnership with CP Extra, a subsidiary of Thailand's leading conglomerate CP Group and the country's largest distributor.

The two companies have signed a Memorandum of Understanding (MOU) for the distribution of K-food products and the expansion of their presence in the local market. Through this agreement, the companies plan to combine their respective strengths-CJ CheilJedang's lineup of K-food products proven in global markets and CP Extra's powerful local distribution network and consumer insights-to further scale up the K-food market in Thailand.

Gregory Yep, CEO of CJ CheilJedang Food Division (left), and Tanit Chearavanont, CEO of CP Extra, pose for a commemorative photo at the Memorandum of Understanding (MOU) signing ceremony held on the 1st at the CJ CheilJedang headquarters in Jung-gu, Seoul. CJ CheilJedang

CJ CheilJedang has secured a vast sales network in Thailand, laying the foundation for business expansion. CP Extra operates the major local warehouse discount store chain "Makro" and the supermarket chain "Lotus's." Together, these two chains have more than 2,700 stores in Thailand, which is expected to significantly boost sales of Bibigo products.

Through this collaboration, CJ CheilJedang plans to expand the presence of its flagship products in Thailand, such as "Bibigo Stir-fried Noodles" and "Kimchi," as well as a wide range of other products including "Bibigo Dumplings," "K-Street Food," and "K-Sauces" in mainstream distribution channels. In addition, the company will actively nurture large-volume and B2B product lines in partnership with Makro, which has a high proportion of B2B customers such as restaurants and cafes, and will continue to collaborate in various areas including joint marketing and promotions.

CP Extra plans to leverage Bibigo's product quality and global brand power to significantly strengthen the K-food category within Makro and Lotus's. The two companies are also considering expanding their partnership to neighboring Southeast Asian countries such as Malaysia and the Philippines, where the CP Group has a presence.

A CJ CheilJedang representative stated, "This partnership with Thailand's number one company has provided a groundbreaking foundation for local business growth," adding, "As a global pioneer of K-food, we will continue to expand into new territories through various forms of collaboration."

Meanwhile, CJ CheilJedang's overseas food business sales grew by 77% over five years, from 3.154 trillion won in 2019 to 5.5814 trillion won last year. As of the cumulative total for the third quarter of this year, overseas sales reached 4.3123 trillion won, accounting for more than half of the company's total food sales.

This content was produced with the assistance of AI translation services.