Texas bakery plant to strengthen production and supply chain for 1,000-store North American target
SPC Group is accelerating the expansion of Paris Baguette in North America, moving beyond store growth to establish a broader business structure encompassing local production, distribution and profitability.
Paris Baguette has surpassed 300 stores in the United States, marking another milestone in SPC’s overseas expansion. The company is also growing its presence in Canada as it works toward its goal of operating 1,000 stores across North America by 2030.
The expansion comes as Paris Baguette’s U.S. business shows stronger financial performance. The U.S. operation recorded roughly 30% sales growth last year and posted a profit, indicating that the market is developing into a more established overseas business for SPC.
The company has expanded largely through a franchise model, opening stores in major metropolitan areas while gradually extending its footprint into additional U.S. markets.
From Store Expansion to Local Production
SPC is now investing in local production infrastructure to support its growing North American store network.
The group is developing a bakery manufacturing facility in Johnson County, Texas, with an investment of approximately 290 billion won ($208 million).
The plant is expected to serve as a production and supply hub for Paris Baguette stores across North America, providing a more stable supply of bakery products and ingredients as the franchise network expands.
For bakery chains, production and logistics become increasingly important as store networks grow across geographically dispersed markets. A local manufacturing base could help SPC improve supply efficiency while maintaining consistent product quality across its North American operations.
The Texas investment therefore represents a shift in Paris Baguette’s U.S. strategy from primarily expanding retail locations to building an integrated local business infrastructure.
R&D Capabilities Support Global Expansion
SPC is also drawing on its bakery research and development capabilities as it expands overseas production.
The group established its Food Biotechnology Research Institute in 2005 and has since conducted research into yeast, lactic acid bacteria and fermentation technologies used in bakery products.
Through joint research with Seoul National University researchers, SPC developed proprietary bakery technologies using microorganisms derived from traditional Korean fermentation sources. The company has subsequently applied its fermentation research to commercial bakery products.
In 2019, SPC developed Sangmidang, a fermentation starter combining indigenous yeast and lactic acid bacteria, and has continued research into areas including whole-grain fermentation and products with lower sugar and higher protein content.
Such technologies can become increasingly important as SPC expands production across different countries, where ingredients, manufacturing conditions and consumer preferences vary.
North America Becomes Key Global Growth Market
Paris Baguette has steadily expanded its international footprint across the United States, Canada, France, the United Kingdom, China, Singapore, Vietnam and other markets.
North America has emerged as one of the key regions in that expansion. The company opened dozens of new stores across the region last year and continues to sign franchise agreements for additional locations.
SPC is also seeking to connect its expanding franchise network with local manufacturing and distribution capabilities. The strategy is designed to create a business structure in which store expansion, production and supply-chain operations develop together.
The group’s planned Texas bakery plant is expected to play a central role in that process as Paris Baguette works toward its 2030 North American target.
With its U.S. store network now exceeding 300 locations and its local operations generating stronger sales and earnings, SPC’s North American business is moving from market entry and franchise expansion toward a more localized operating model.
The combination of a larger store network, improved profitability and new production infrastructure is expected to provide the foundation for the next stage of Paris Baguette’s growth in the North American bakery market.
