BGF Retail Signs MOU with Korea International Trade Association for Overseas Expansion

[Asia Economy Reporter Seungjin Lee] BGF Retail is knocking on the door of the global market in partnership with the Korea International Trade Association (KITA).

On the 19th, BGF Retail and KITA signed a Memorandum of Understanding (MOU) for “Supporting Small and Medium-sized Enterprises (SMEs) and Mid-sized Companies’ Entry into New Southern Markets” at the Trade Tower in Samseong-dong.

The signing ceremony was attended by BGF Retail CEO Geonjun Lee, Executive Director Yuseung Seo, Head of Overseas Business Hyunggeun Lim, KITA Vice Chairman Jinhyun Han, Executive Directors Hakhee Cho and Hyuncheol Kim, and other officials.

This MOU aims to combine the resources and know-how of BGF Retail, which operates the convenience store chain CU, and KITA, which has a global network, to support SMEs struggling with exports due to the COVID-19 pandemic.

Following KITA’s connection between BGF Retail and Malaysia’s Mynews Holdings, which led to CU’s entry into the Malaysian market last month, KITA developed a new support model that helps excellent domestic companies expand overseas and boosts SME product exports based on this foundation.

Based on this MOU, BGF Retail will review new overseas business opportunities focusing on New Southern countries (the 10 ASEAN countries and India) by utilizing KITA’s global infrastructure.

Additionally, both parties agreed to regularly exchange insights and information on political, social, and economic issues to minimize risks in overseas business caused by rapidly changing international trade policies.

CU stores rooted in overseas markets will transform into export platforms for domestic SMEs. By stocking products from small manufacturers in overseas CU stores, overseas consumers will have the opportunity to directly purchase and experience Korea’s excellent products.

Currently, about 100 CU stores operate in Mongolia, with approximately 20% of all products being Korean. Around 30 domestic SMEs have indirectly entered the Mongolian market through CU. Besides Mongolia, various SME products are exported to more than 10 countries including the United States, China, and Australia through BGF Retail.

BGF Retail CEO Geonjun Lee said, “With this partnership with KITA, which has a deep understanding of overseas markets, we feel reassured to have a strong ally to pioneer the global market together in these uncertain times. We will create a breakthrough so that the Korean brand CU and excellent domestic SME products can expand worldwide without being defeated by COVID-19.”

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