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China represents the world’s fast expanding agricultural market. This is due to the sheer size of the country, its population and its economic growth. The market is undergoing rapid changes as it evolves to meet the consumption demands of its domestic market.
This strong domestic market in China will provide us with a strong base for sustainable growth as we seek longer-term opportunities in key international markets.
We have identified our key to the success of the agriculture market in China is our ability to adopt and apply international industry best practices and standards. These efforts are central to establishing an efficient, sustainable market, production base and distribution channel. China is ideally positioned to benefit from R&D advances and commercialization efforts already adopted in more mature global markets, including New Zealand, and Australia.
China’s recent govenmental policy initiatives dating back to 2004 have sought to increase the income of farmers, to improve the comprehensive capacity of agriculture products, to advance the movement of building new rural areas, to develop modern agricultural practices, to enhance the infrastructure in rural areas, to promote stability of agricultural development and to accelerate the development of water resources.
China has historically aspired to become near self sufficient in rice, wheat and corn production. This requires the adoption of industry best practices, usage of superior seeds, genetically modified seeds, fertilizers and pesticides. As the market matures a key focus will be on increasing crop yield, production and protection. There is an extensive opportunity to work with farmers and to educate on the benefits of total agriculture solitions, with fertilizers, soil tests and suitable seeds well adapted for timelyplanting cycles. Such efforts will benefit farmers through greater efficiency and production.
Agria Corp. (NYSE: GRO) is perfectly positioned to help farmers benefit from the yield, production and profitability improvements attainable by adopting international industry best practices, R&D advances and investment know-how.
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