Food Factories in Singapore: Discovering Where Your Next Meal Could Come From

Food factories in Singapore have evolved well beyond their origins as large-scale production facilities. Today, they are dynamic, multi-format operations at the intersection of urban planning, food security, and commercial real estate — and they represent a compelling investment opportunity for F&B operators and property investors alike.

Singapore's F&B Landscape: Scale and Resilience

The number of F&B establishments in Singapore has grown significantly. The sector saw 3,047 F&B business closures in 2024 — the highest since 2005 — primarily reflecting consolidation rather than decline. Singapore's projected long-term population growth is expected to sustain and grow F&B demand.

The 30 by 30 Food Resilience Goal

Singapore aims to produce 30% of its nutritional needs locally by 2030 — a direct response to COVID-19 supply disruptions. This national food resilience strategy is a structural driver of demand for food factories, which serve as the core infrastructure for local food production.

The Rise of Central Kitchens

As F&B companies consolidate operations, demand for central kitchen facilities within food factories has grown. Rather than maintaining multiple dispersed prep kitchens, businesses are centralising to improve quality control, reduce labour costs, and scale efficiently.

Investment Considerations

Food factories in Singapore are typically B1 or B2 industrial properties — not subject to ABSD. They offer stable rental income from food operators with long operational tenancies, proximity to Singapore's food supply chain, and national policy tailwinds from the 30 by 30 goal.

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Source: ERA Realty Network. Original article published on era.com.sg (9 May 2025). Data references: Singstat, ACRA, ERA Research and Market Intelligence.