Demai Invests NT$1.6 Billion in New Factory and Office, Tops Out Today with 4x New Capacity Targeting Q2 2028 Operations

Demai Foods (1264-TW), a publicly listed bakery ingredient manufacturer, has initiated its largest single investment expansion since its founding. Demai is investing NT$1.6 billion to construct a new factory and logistics center, with full operations scheduled to commence in the second quarter of 2028. The new facility will introduce dairy processing and bakery semi-finished product production lines, enhancing supply chain efficiency and production capacity to drive future growth.

This NT$1.6 billion large-scale investment project held its 'Factory and Office New Construction Topping-Out Ceremony' today (11th), presided over by Chairman Lin Hsueh-Chiao and General Manager Wu Wen-Chin, marking a significant milestone in the construction process. Demai stated that upon commissioning, the new factory's warehouse capacity will increase from the current 1,000 pallet storage positions to 4,000, expanding the scale fourfold, effectively supporting future operational growth demands.

Demai noted that with rising domestic and international demand in the bakery and foodservice supply chain, the high-value-added dairy products market is also growing steadily. To meet increasing customer orders and industry transformation needs, Demai Foods has decided to invest in building a new factory and logistics center. By integrating comprehensive logistics planning and warehouse configuration, the company aims to effectively shorten raw material handling and inventory in/out operations, significantly reduce transportation and warehouse management costs, further enhance supply chain resilience, and provide global and local customers with more stable, faster, and higher-quality supply services.

Demai Chairman Lin Hsueh-Chiao stated that the construction of this new factory and logistics center is not only the company's largest investment since its founding but also a crucial strategic move toward sustainable operations, corporate upgrading, and medium-to-long-term development.

At the same time, in response to global supply chain restructuring and severe labor shortages in Taiwan's foodservice and bakery industries, the new factory will enhance overall operational efficiency and service capabilities through improved logistics efficiency, expanded production capacity, and integrated supply chains, supporting future business growth. The new factory is not merely about adding space; it is a critical infrastructure for the company's long-term development. The company aims to create a safer and more efficient working environment for employees through modern facility construction, while generating long-term corporate value for shareholders and partners.

Demai Foods emphasized that this NT$1.6 billion investment is not simply a factory expansion but a strategic layout designed for the next 5 to 10 years of operations. The new factory is expected to officially commence operations in Q2 2028 and will become a key pillar for the company's future growth, continuously enhancing overall competitiveness through the development of high-value-added products.

After the new factory begins operations, it will focus on dairy processing for the Taiwan market and expand the production of high-value-added products such as in-house manufactured bakery semi-finished goods. The original headquarters factory will add production lines for bakery ingredients such as custard fillings. Additionally, in response to demographic changes and severe labor shortages in the industry, Demai Foods will actively expand R&D and mass production of bakery semi-finished products to help downstream customers reduce on-site labor costs and technical barriers, establishing long-term competitive advantages for the industry.