CJ launches Westernized ‘gochujang’ for global market
KOREA HERALD
CJ Cheiljedang Corporation, the nation’s largest processed food maker, is out to build Korea’s age-old red-pepper paste, “gochujang,” into a global household name in the world of hot sauces like Tabasco or chili sauce, the company said yesterday.
It said gochujang, tailored to the taste of American consumers, was launched yesterday under the brand name of CJ’s U.S. affiliate, Annie Chun’s.
All previous U.S. gochujang exports were made in Korea and the packaging done in the United States with the supply targeted at overseas Koreans. But CJ said that Annie Chun gochujang has been localized from the taste to the packaging in aims to target the mainstream market.
“We are not satisfied with being the No. 1 gochujang supplier in Korea, we are now aiming to foster our staple hot-pepper paste into a global hot sauce,” Kim Joo-hyung, vice president of CJ Cheiljedang’s food business division, said in a statement.
“With our latest product launch, we will localize our marketing campaigns and strengthen our sales activities so gochujang can become a globally enjoyed and loved sauce.”
CJ said it plans to invest 3 billion won ($2.5 million) each year throughout a five-year period to research and develop Korean food products with a global appeal. Localization of taste will be a key to success, which would, for instance, call for strengthening and weakening the intensity of the hot and spicy sensation depending on the region, the company underlined.
Exports of the spicy paste to the United States have been hovering around $3 million a year, but CJ said it aims to raise the figure to $5 million next year. By 2013, it is shooting for $50 million by capturing the mainstream market.
Local food companies have been keen on rolling out ideas to seize business opportunities from the government’s agenda of boosting exports of local agriculture and food products to contribute to sustaining economic growth.
Lotte Group on Dec. 8 announced the launch of its premium food brand, “Chefood.” Industry experts said the move would heat up competition with CJ Cheiljedang and Daesang Corp., which have been dominating the Korean market in the area of instant noodles, sauces and cooking oil.
Lotte, which has been focused on manufacturing snack items and beverages through its subsidiaries Lotte Chilsung and Lotte Samkang, said it will launch about 50 Chefood brand products in the home market as of January.
(sohjung@heraldm.com)
By Yoo Soh-jung