KICOX Builds Up Joint Logistics
Centers at Industrial Complexes

Dedicates a center for SMEs at the Sihwa Industrial Complex

The Ministry of Commerce, Industry and Energy (MOCIE) and the Korea Industrial Complex Corporation (KICOX) has accelerated their joint efforts to expand joint SME logistic networks for industrial complexes across the nation.
KICOX held a ceremony marking the dedication of the joint logistics center at the Sihwa Industrial Complex in Jeongwang-dong, Siheung City, Gyeonggi Province, with about 200 dignitaries and representatives of occupant firms participating. Among the participants were KICOX President Kim Chil-doo, Na Do-seong, director general for trade policy at MOCIE, Rep. Cho Jung-shik, Siheung Mayor Chung Jong-heun and Cho Si-young, chairman of Siheung Chamber of Commerce and Industry.
Construction of the four-floor joint logistics center with a floor space of 5,158 pyeong on a lot of 7,240 pyeong began in November 2004 and was completed in 16 months.
The joint logistics center will provide a wide range of services for SMEs dealing with small amounts of goods ranging from joint transportation and shipment, storage to import and export logistics services.
The facility is furnished with a bonded area, room temperature water, low temperature water containers, pallet cars and other latest logistics equipment.
It also has room temperature warehouses for storing electronics products like PCBs and ICs. Occupant firms of the Sihwa Industrial Complex ranging from pharmaceutical, electronics, dyes to harmful chemicals are expected to benefit from the joint logistics center.
KICOX plans to build joint logistics centers in Namdong (Gyeonggi-Incheon region), Gumi (central region) and Gwangju (Jeolla Provinces) national industrial complexes.
About 7,000 SMEs are clustered at the Banweol and Sihwa industrial complexes around the Sihwa joint logistics center, which is likely not only to contribute to reducing logistics costs for SMEs but also to expand logistics infrastructure of industrial complexes.
KICOX plans to update joint logistics and information support services for SMEs through the now-active on-line comprehensive logistics information network (www.klogis.or.kr) that has been already activated. Logistics service company, Pan Korea Express is responsible for offering optimum logistics services for SMES.
KICOX President Kim said, "The just-dedicated Sihwa Joint Logistics Center has laid a foundation for innovating logistic infrastructure of national industrial complexes, thus raising a competitive edge of both occupant firms and industrial complexes." "From now on, KICOX will make it ensure that diverse logistics services will be provided to overhaul logistics environment of occupant firms,"he added.
Earlier, KICOX dedicated another joint logistics center at the Changwon National Industrial Complex designed to curtail logistics costs for SMES on February 13.
For instance, take a look at a beneficiary of the newly opened joint logistic center of the Changwon National Industrial Complex. A Changwon-based company, which supplies motors for washing machines produced by LG Electronics was trying to turn to outsourcing due to such soaring fixed costs as hefty warehouse rent charges and other logistics equipment maintenance costs. The company is now depending on the joint logistics centers, which has reduced its annual logistics costs by 16 percent from 1.2 million won to 1 million won.
KICOX launched projects for supporting joint logistics services for SMEs as part of its efforts to overhaul logistics infrastructure of national industrial complexes in June 2001. KICOX set aside 48 billion won for building the joint logistics centers.
KICOX is a government-commissioned agency specializing in management of national industrial complexes. It oversees38
s management of 30 national industrial complexes in such cities as Banweol, Gumi, Changwon, and Yeosu, including the Seoul Digital Industrial Complex, formerly named as the Guro Industrial Complex.KICOX's major functions include establishment of a master plan for managing each industrial complex in an efficient manner, sales and leasing of industrial sites, and duties related to after-sale management for supporting production activities. The corporation operates 10 Factory Establishment Support Centers across the nation and carries out support projects, including one designed to develop common logistics services. KICOX implements such new projects as establishment of innovative networks and industrial clusters as well as industrial complex advancement projects, including e-cluster for pursuing informatization of industrial complexes in a bid to beef up collaboration among industry, research institute and academic sectors. nw

(Center photo) Dignitaries cut the tape to open the joint logistics center at the Sihwa Industrial Complex in Jeongwang-dong, Siheung City, Gyeonggi Province. (right) KICOX President Kim Chil-doo