Yakult plans to enhance its US production capabilities to capitalize on the growing food and beverage industry trends. The Japan-based company has selected the state of Georgia for its second manufacturing site in the country, amidst the increasing food manufacturing trends and advancements in food processing technology.
Yakult achieved significant growth in the US market in 2022, with the sales of its probiotic beverages doubling on a unit basis, highlighting the strong food and drink industry innovation.
The company aims to construct the new facility in Barcow County, approximately 45 minutes north-west of Atlanta, with an estimated investment of $305m. Scheduled to commence operations in 2026, the facility is expected to cater to the eastern and central US markets, supporting the evolving food distribution trends.
Since 1999, Yakult has been catering to the US market, with its first production facility established in California. However, the new site in Georgia will be larger and serve as the main supplier, demonstrating the company’s commitment to food and drink sustainability.
“We are pleased to announce this new location, as it will provide more opportunities for our customers in the US,” stated Yutaka Misumi, President and CEO of Yakult’s US subsidiary, emphasizing the company’s focus on food and drink regulations and ensuring customer satisfaction.
In 2022, Yakult sold an average of 632,000 bottles of its drinks in the US, up from 565,000 in the previous year, and a significant increase from 378,000 bottles in 2019, illustrating the rising food and drink consumer trends.
Yakult has reported double-digit growth in unit sales in the US for the financial year ending in March 2023, as highlighted by President and Representative Director Hiroshi Narita
Beyond its operations in the US, Yakult maintains an extensive presence in the food and beverage industry in Japan, with seven plants. Additionally, the company operates seven production sites in China, reflecting its global footprint in food and drink manufacturing.
The annual net sales for Yakult increased by 29.7% to 483bn yen ($3.39bn) in the year ending March 31, and operating profit grew by 5.3% to 66bn yen. Net profit also experienced a positive growth of 4.3% to 50.6bn yen, showcasing the company’s strong performance in the food and drink market.
With its strategic vision for 2030, Yakult aims to transform into a comprehensive “healthcare company,” catering to various needs within the industry, such as health and beauty, medical care and nutrition, and wellness and life support, in line with emerging food and drink marketing trends.
