What is a food factory?
A food factory is a facility where food products are manufactured, processed, packaged, and distributed. These factories are equipped with specialized equipment and machinery to handle food production on a large scale. It is zone under URA B2 Food Factory.
How is a food factory different from a food shop/establishment?
A food factory is able to grant you the license from Singapore Food Agency (SFA) to manufacture, produce and cater everything related to food. In summary, you can do a B2B or B2C. A food shop only allows you to produce and cater for end consumers only, or B2C. You are not allowed to sell to other business to resell.
What are the key considerations to look out in a food factory?
Other than price, the key factors to look out for is the technical specifications such as electrical supply, floor loading, grease trap, exhaust provisions, water supply, changing rooms, vehicle access and type of property (ramp up, flatted or landed factories).
Is it necessary to get a Food Factory for Food storage?
Depends on what you are dealing with. For dry goods storage or even cold storage that is pre-packed with no processing. generally B1 or light industrial factories are able to serve your needs subjected to Singapore Food Agency approval and assessment.
Where are the food factories in Singapore?
Food factories are mainly found in the West, North and the Eastern parts of Singapore. You hardly get any food factories in the central or Southern parts of Singapore.
Singapore’s growing food manufacturing and processing industry is spurring a vibrant food factory market.
Data from the Singapore Food Agency show that the number of licensed food manufacturing and processing establishments (including central kitchens) rose 11.3% - from 1,659 as of 2019 to 1,847 by the end of 2021. Notably, the surge in demand for food delivery services and adoption of technology at the height of COVID-19 in 2020 and 2021 fuelled the rise of central and cloud kitchens and, in turn, demand for food factory space.
For example, shared kitchen provider Smart City Kitchens has since opened nine facilities island-wide, attracting major F&B players such as Jollibee and Poke Theory to set up their cloud kitchens within its facilities. Food delivery platforms like GrabFood have also ventured into the cloud kitchen space. Meanwhile, the Food Services Industry Transformation Map (ITM), launched in 2016, also played a significant role in supporting enterprises with multiple outlets.
It helped them establish central kitchens to automate their operations for economies of scale and reduce manpower reliance.
Major players who have since established purpose-built facilities for greater operational efficiency and automation include Koufu, which consolidated its food production and logistics activities at its new headquarters in Woodlands in 2022. The Neo Group will also consolidate its central kitchens, research and development centre, corporate office and warehousing facilities, targeting full automation, at its new Jurong headquarters and catering hub completed in 3Q22. source for the from JLL
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