Lotte Chilsung Beverage to Create Win-Win Cooperation Model with Craft Beer Companies

Partnership Between Craft Beer Company and Production Operations

[Asia Economy Reporter Lim Hye-sun] Lotte Chilsung Beverage announced on the 1st that it will create a win-win cooperation model with craft beer companies.

With the increase in consumers enjoying home drinking due to the impact of COVID-19, a craft beer craze is spreading mainly in the home market such as convenience stores. However, small-scale craft beer companies have faced limitations in producing canned products, the main sales product in the home market, due to difficulties in raw material procurement and facility investment.

Lotte Chilsung explained, "With the revision of the Liquor Tax Act, contract manufacturing (OEM) of craft beer has been possible since 2021. Accordingly, we proactively reviewed ways to share part of the factory facilities and support the production of craft beer companies."

The so-called ‘Craft Beer Cluster Formation’ project prepared by Lotte Chilsung Beverage aims to enable craft beer companies to produce canned products without separate facility investments. This allows craft beer companies to focus more on developing diverse recipes and improving quality, while Lotte Chilsung Beverage plans to present a win-win model that supports stable production based on its accumulated production know-how.

To realize this project, Lotte Chilsung Beverage has reviewed and supplemented the basic facilities of the Chungju Beer Plant 1 and is investing in equipment to enable small-scale production tailored to the characteristics of craft beer.

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