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Plant Openings

Plant Openings

Samyang Corporation Constructs Allulose Plant

Samyang Allulose Facility Celebration

Image courtesy of Samyang Corporation.

September 6, 2024

Samyang Corporation has completed construction of Korea's largest allulose plant and is accelerating its expansion of market share for alternative sweeteners both domestically and internationally.

The company held a groundbreaking ceremony at the specialty plant. The ceremony was attended by Ulsan City Deputy Mayor for Administrative Affairs Seung-dae Ahn, Ulsan City Council Member In-seop Bang, Samyang Corporation Vice Chairman Ryang Kim, Vice Chairman Won Kim, Samyang Packaging Vice Chairman Jeong Kim, and Samyang Corporation CEO Nag-hyun Choi, which proceeded with an opening declaration, a progress report, congratulatory addresses and a commemorative performance.

Located in Nam-gu, Ulsan, the specialty plant consists of two buildings: one for allulose production and the other for prebiotics. This facility, constructed with an investment of approximately KRW 140 billion ($105 million), spans a total floor area of 22,150 sq. mt. and has an annual production capacity of 25,000 tons.

Notably, the allulose plant has an annual production capacity of 13,000 tons, more than four times larger than the previous capacity, making it the largest in the country. The plant is equipped to produce both liquid and crystalline allulose, the latter being particularly advantageous for export.

With the completion of this facility, Samyang has solidified its position as the No. 1 company in the domestic allulose market. Given that there are only two companies in South Korea capable of manufacturing allulose, Samyang aims to strengthen its market dominance through swift market penetration.

Allulose, a rare sugar found in the natural world, is an alternative sweetener that is about 70% as sweet as sugar but contains zero calories. The U.S. Food and Drug Administration (FDA) excluded allulose from the total and added sugars labeling on processed foods in 2019, as it has virtually no calories. It offers a sweetness comparable to fructose and has the added benefit of creating a flavor similar to sugar through a caramelization reaction when heated. As a result, it is considered a next-generation alternative sweetener.

Development of liquid allulose was accomplished with Samyang Corp's proprietary enzyme technology in 2016, followed by the launch of mass production in 2020. In that same year, the company obtained the Generally Recognized as Safe (GRAS) certification from the U.S. Food and Drug Administration (FDA).

Samyang Corporation plans to leverage the specialty plant as a strategic base to propose differentiated solutions by linking allulose and prebiotics, thereby expanding its market reach into North America, Japan, Southeast Asia and beyond. The company is already on the verge of securing Novel Food approval in Australia and New Zealand, signaling a tangible path toward market expansion. Through these efforts, Samyang aims to more than double the revenue share and overseas sales ratio of its specialty business by 2030.

"We have successfully completed the phased construction plan of the comprehensive specialty plant to strengthen our specialty business strategy,” Choi says. “With the establishment of the largest allulose plant in Korea, we are committed to enhancing our competitiveness in the domestic and international alternative sugar markets. This specialty plant will serve as a growth engine for the next 100 years of Samyang Group's food business and will become a core base for providing health and wellness value to our customers both domestically and globally."

Meanwhile, the prebiotics plant produces resistant dextrin and fructo-oligosaccharide powder. Resistant dextrin is a soluble dietary fiber and a health functional food ingredient known for its benefits in promoting normal bowel movements, controlling post-meal blood sugar spikes and improving blood lipid levels. Fructo-oligosaccharide, another type of health functional food ingredient, supports the growth of beneficial intestinal bacteria and aids in bowel regularity.

KEYWORDS: ingredients sweeteners

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