Orion Overseas Subsidiary Develops Rice Snack 'Daebak'... Line Expansion and Export to Korea

Vietnam Corporation Promotes Export of Rice Crackers to Korea with Production Line Expansion
Yangsan Bread Sebong Also Popular... Dedicated Production Line Construction Due to Increased Demand

[Asia Economy Reporter Lee Seon-ae] Orion's rice snack 'An (An, 安)', born in Vietnam and becoming the most popular snack in Vietnam, will be exported to Korea. Orion Vietnam Corporation plans to produce and export it to Korea, and to this end, they also plan to increase the production lines.

According to Orion Group on the 10th, Orion Vietnam Corporation plans to add additional rice snack production lines within the first quarter. Currently, six lines are in operation, and they plan to increase by at least one line. Based on the expanded production volume, Orion plans to promote exports to Korea within the first half of the year.

Currently, all 'An' produced by the Vietnam corporation is sold in Vietnam. Launched in April last year, 'An' recorded cumulative sales of 10.6 billion KRW (2.1 trillion VND, 15.8 million packs) within eight months, gaining popularity locally. This accounts for about 13% of the Vietnamese rice snack market share. It achieved great success by quickly rising to second place in the rice snack market immediately after its launch.

The fierce market research and continuous product R&D by Orion Vietnam Corporation led to this success. The Vietnam corporation designated entry into the rice snack market as a new growth engine and devoted two years to development. Additionally, much effort was put into selecting the rice, the main ingredient, to produce a differentiated product. While Southeast Asia mainly consumes Jasmine rice varieties, 'An' carefully selects Japonica rice varieties with a soft texture rather than a hard one. Fresh rice harvested within six months and milled within one month is used. In the manufacturing process, a unique method of direct fire roasting was introduced to maximize the crispy texture and savory rice aroma.

After promoting the export of 'An' to Korea, the Vietnam corporation plans to export to other Southeast Asian countries such as China. Russia is also being considered as a target market. Internally, it is reported that about 30% of total production volume is planned to be exported to Guangdong Province, China. An Orion official said, "We will increase market share in Vietnam and later export to nearby Southeast Asian countries including Korea to develop it as a brand that continuously grows in the global market," adding, "Specific plans for export regions other than Korea have not yet been made."

The mass-produced bread 'Sebong', developed by the Vietnam corporation, is also popular. Launched in April last year, it recorded annual sales of about 4 billion KRW (783 billion VND). Orion plans to build a dedicated production line and accelerate market penetration by adding various flavors (extension products). An Orion official explained, "There is no dedicated production line yet, but demand is rapidly increasing, so we plan to build a production line for Sebong within the first half of the year."

Meanwhile, thanks to the popularity of 'An' and 'Sebong', the Vietnam corporation achieved its highest performance last year with sales and operating profit growing by 7.9% and 16.5%, respectively. Besides 'An' and 'Sebong', as part of the 'Good Packaging Project', 'Ostar' (Poca Chip) and 'Swing' (Swing Chip), which increased volume by 20% without price changes, each grew sales by about 34% and 19% compared to the previous year, leading the Vietnamese snack market. Along with this, active expansion of new distribution channels such as large supermarkets and convenience stores supported the performance. This year, Orion plans to aggressively launch new flavors such as 'Ostar' to enhance the brand power of fresh potato snacks. They also plan to expand market share in the successfully entered rice snack and mass-produced bread markets and strengthen their dominance in the Vietnamese confectionery market by expanding product categories such as jelly and cookies.

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