BGF Retail has launched its largest logistics center in the domestic convenience store industry in Busan, aiming to enhance its global logistics competitiveness.
The opening ceremony took place on September 16 at the Busan Logistics Center, located in the Busan International Industrial Logistics City in Gangseo-gu. Key attendees included Hong Seok-jo, Chairman of BGF Group; Hong Jeong-guk, Vice Chairman of BGF Retail; Oh Jeong-hu, Head of the Strategic Innovation Division at BGF Retail; and Park Hyung-jun, Mayor of Busan, along with other local officials.
The Busan Logistics Center spans approximately 14,300 pyeong (about 47,186.8 square meters) with a total floor area of around 38,700 pyeong (about 128,072.65 square meters). The investment of approximately 260 billion won marks the largest single logistics infrastructure investment by BGF Retail to date.
BGF Retail initiated the construction of the Busan Logistics Center to respond to the growing number of CU stores and expand its product offerings while improving logistics efficiency. Following an investment agreement with Busan City in 2021, construction began in 2024 and was completed in July after about two years of work. Currently, a cold storage center is operational, with plans to complete the temperature-controlled center by the end of the year.
The new logistics center will efficiently reorganize the delivery system for Busan and the Yeongnam region, serving as a key hub for supplying products to CU stores nationwide. Its strategic location near Busan New Port will also facilitate export and import logistics to countries such as Mongolia, Malaysia, Kazakhstan, and Hawaii.
The center features automated systems, including a shuttle-based automated storage and retrieval system (AS/RS), auto labelers, and a digital picking system (DPS), enhancing the efficiency of product handling and reducing worker strain. This has earned it a preliminary certification of Grade 1 as a smart logistics center from the Ministry of Land, Infrastructure and Transport.
Additionally, the center is equipped with solar power facilities capable of generating up to 2,700 megawatt-hours (MWh) of electricity annually. BGF Retail anticipates that the operation of the logistics center will contribute to job creation and economic revitalization in the Busan area.
Hong Seok-jo, Chairman of BGF Group, stated, "The Busan Logistics Center will elevate CU's logistics competitiveness and solidify its status as a leading company in the industry. It will strengthen the competitiveness of franchise stores through stable product supply while serving as a growth engine for expanding into global markets."
* This article has been translated by AI.
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