Japanese candy-making firm Fujiya to build biscuit plant in China
TOKYO, NNA – A subsidiary of Japanese confectionery maker Fujiya Co. is building a biscuit factory in China to expand output capacity, which is approaching its limit.
Fujiya will spend about 2.9 billion yen ($27 million) to build the plant in Hangzhou, in eastern China, the company says.
Construction of the plant, the second for the company’s local subsidiary Fujiya (Hangzhou) Food Co., began last month. Operations are expected to start in July 2023., the Tokyo-based firm said in a statement released last Wednesday.
After being expanded, the factory will occupy a building area of approximately 24,500 square meters and floor space of some 60,000 square meters. Capacity is due to reach 10 billion yen worth of products a year, a company spokesman told NNA Monday.
The confectionery maker will later explore the possibility of installing chocolate production lines at its Hangzhou factory on its track toward making the subsidiary more comprehensive, the statement says.
Fujiya (Hangzhou) Food mainly produces lollipops as well as a small volume of biscuits at its current factory, the spokesman said. Fujiya had seen capacity maxing out but hopes to capitalize on potential growth in demand among Chinese consumers, the statement said.
Fujiya (Hangzhou) Food was established in February 2004 as a local subsidiary of Fujiya with 622 employees as of the end of June this year. Chinese consumers know the company for its cartoon mascot characters, “Peko” and “Poko”. The firm mostly produces lollipops for the local market.