Agrios Global Holdings Ltd. Subsidiary Receives Three Permits Including Industrial Hemp Cultivation Permits

Published: May 8, 2019

Agrios Global Holdings Ltd. Subsidiary Receives Three Permits Including Industrial Hemp Cultivation Permits

Agrios Global Holdings Ltd. announced that Yunnan Hua Ma Biological Development Co. Ltd., a subsidiary of Agrios Asia Holdings Limited has recently obtained an Industrial Hemp Cultivation Permit in Yunnan Province, the People’s Republic of China. The Permit, grants HMB rights to cultivate industrial hemp in the region and to transport industrial hemp seeds, hemp raw materials, hemp stalk and their processed products. Yunnan was the first province in China to allow hemp cultivation in 2010 and has since issued licences for hemp cultivation on more than 220,000 mu (36,300+ acres).

HMB intends to grow 200mu (1mu = 667m2) of Industrial hemp in the 2019 season. A smaller first crop is adequate to continue HMB’s development of hemp cultivation and to supply raw materials for current biotechnology research which is focused on utilizing hemp fibers as a bio-degradable alternative for the manufacture of single use disposable utensils.

Both Federal and Provincial authorities from Yunnan’s capital, Kunming, have also granted HMB an Import & Export Permit allowing for the direct import and export of goods, internationally as allowable by China customs. In addition, a Food Trading Permit, allows HMB to buy and sell pre-packaged and non-packaged food products, including speciality foods, health foods and nutraceuticals, through both retail and wholesale market channels.

Hemp food and feed products are important markets in China as well as in western countries. Hemp seeds with an essential fatty acid content over 80 percent, boast a higher ratio of these “good fats” than soy alternatives, while offering lower levels of harmful saturated fats. This wholesome consistency makes hemp food products a promising source of healthy, sustainable plant proteins for people and animals alike. From a nutritional-physiological perspective, hemp food products are immensely valuable.

HMB’s acquisition of the three new permits for cultivation, import/export and food trading provides an exciting opportunity for Agrios’ subsidiaries to join in the rapidly expanding trade of hemp products in and out of China. China’s exports of industrial hemp products are projected to grow to US $1.5 billion by 2020, according to New Frontier Data, an independent, technology-driven analytics company specializing in the cannabis industry.

Stephanie Wong, Managing Director of Agrios Asia stated, “acquiring a hemp cultivation Permit is an important milestone for Agrios Asia, as the Company intends to become one of the key players in the development of the hemp industry in China. We are now well positioned to diversify and expand our market reach.”