By Kim Tae-gyu
Staff Reporter
As far as food production and processing are concerned, European companies have long boasted unrivaled competitiveness. An organization here representing European corporations is poised to bring that competitive edge to a southern Korean city.
The European Chamber of Commerce in Korea (EUCCK) signed a memorandum of understanding (MOU) with Iksan to build a food cluster in the North Jeolla Province city.
Under the agreement, both the EUCCK and Iksan will attempt to attract food companies and research institutes from both at home and abroad. In particular, European firms are major targets.
``This is a historic event, since it is the first time that the EUCCK has concluded an MOU with a city administration,'' the chamber said in a statement. ``It is also the first time that the EUCCK has signed an MOU for a food cluster project.''
Iksan came up with the project to build a ``foodopolis'' ― a complex involving practically everything related to the food industry.
To help the initiative, the EUCCK plans to hold forums to help foreign-invested food companies develop strategies to attract investment.
In addition, the EUCCK and Iksan City are mulling over the possibility of participating in the SIAL France 2010 Food Expo, where they would run a food cluster pavilion and visit private food companies.
The EUCCK has a good track record when it comes to attracting food companies to Asia's fourth-largest economy ― the Seoul-based entity drew such food giants as Danone to invest in Muju, near Iksan.
``North Jeolla Province has been renowned for its excellence in the food industry and the EUCCK has shown keen interest in the Iksan food cluster, and this MOU is expected to establish a close cooperative relationship based on mutual respect,'' EUCCK President Jean-Marie Hurtiger said.
``It is the first step in initializing a world-class food cluster in Korea and the EUCCK will do its utmost in support and cooperation to facilitate it,'' he said.
The EUCCK mainly represents European companies that have invested in Korea, and offers them unique access to the Korean government.
The number of member companies in the organization has been increasing at fast pace. The tally came to 710 in 2005 and rose to 775 in 2007, 816 in 2008 and 830 last year. European firms account for the biggest proportion while a number of Korean corporations and regional governments have also secured membership.