The South Korean government launched a new creative economy innovation center in Yeosu, South Jeolla Province, Tuesday, in a bid to nurture new businesses in the nation’s agricultural sector, drive up growth in the biomass chemicals industry and expand tourism.

The Ministry of Science, ICT and Future Planning joined hands with GS Group to open the 2,978-square-meter Jeonnam Creative Economy Innovation Center in the southern coastal city. GS Caltex, the group’s energy business arm, remodeled its training facilities to launch the new center.

The 12th of its kind in the country, the center is the latest in the Korean government’s continued push to establish more new small- and medium-sized ventures across industries, by collaborating with big businesses.

“The Jeonnam Creative Economy Innovation Center will combine the region’s rich resources with innovative ideas and technologies to become a leader in creative economy development,” said President Park Geun-hye during her congratulatory speech at its opening ceremony in Yeosu. 

A key area of focus is nurturing promising small firms in the agricultural and fisheries sector. It will provide business support ― such as connecting the venture firms with 13 related support organizations in the industry and offering educational programs, including those related to ICT.

For the first time for a creative economy innovation center, the Jeonnam incubator will also offer housing to the prospective venture firms as well, to help them concentrate their efforts on product development and testing.

Moreover, the center is dedicated to expanding Korea’s biomass chemicals sector, which uses biomass ― or plant materials and animal waste ― as base materials to create various chemical products.

GS Group will lead the way in forming a vibrant biomass chemicals industry in Yeosu. It has invested roughly 50 billion won ($45 million) in building a new chemical plant ― set to open by the end of this year ― to turn excess biomass produced in the region into high-value chemicals such as biobutanol and biopolymers. The company is looking to nurture new venture firms which can take part in this industry.

“The Yeosu plant constructed by GS Group will foster new business growth among small- and medium-sized suppliers of biomass materials. Moreover, smaller firms which create greener products with the bio-friendly chemicals produced from the plant will also see expanded business opportunities,” President Park said.

On the tourist front, the center is seeking to help venture firms develop innovative travel packages and programs to attract more visitors to South Jeolla Province. Joining hands with regional bodies and GS Shopping, the center will run programs to nurture and support new businesses in the region’s tourism industry.

Meanwhile, the Korean government and GS Group have put forward a total of 139 billion won in funding to support the center’s various initiatives ― such as investment capital financing and loan provisions.

By Sohn Ji-young (jys@heraldcorp.com)