In the latest news, Japan's convenience store top spot 7-11 will set up a large plant to provide vegetables for salads and sandwiches sold in Tokyo and Kanagawa stores.

The 7-11 special plant factory invested about 6 billion yen (equivalent to about 367 million yuan), and was built in the factory by Prime Delica, a subsidiary of Primaham, which produces 7-11 bento products. It is expected to be put into production in January 2019. In the future, we will discuss the production of spinach, etc., and consider setting up a plant factory in a partner factory in Japan.

The plant uses light-emitting diodes (LEDs) to produce lettuce equivalent to 70,000 salads a day, reducing the risk of fluctuations in purchase prices and quality due to climate. Large-scale procurement by large-scale distribution companies is expected to contribute to the stability of plant operations and promote further expansion.

Food factories that supply 7-11 are currently purchasing vegetables from contracted farmers, but sometimes the price of vegetables doubles due to the bad weather. The production cost of plant factories is higher than the normal purchase price, but it is not affected by the climate, and the price and quality are stable. The occurrence of discarded vegetables will also decrease, and on average, the production cost of the product is expected to decrease.

In Japan, if you build a plant factory on agricultural land in November, you can enjoy the tax system. However, when the factory is converted to other uses, the fixed asset tax on the land will still be high. 7-11 will realize the “one-stop” service from vegetable production to commodity sales, ensuring the advantages of scale effect and price stability.