PGW to set up showcase in China
PGG Wrightson is developing an agricultural showcase with majority shareholder Agria in a "hi-tech" industrial park in western China.
The agricultural showcase would serve as a strategic platform for the firms to expand agri-tech business and broader collaboration between China and New Zealand, the companies said.
New Zealand's experience in the field of animal husbandry, agricultural co-operative societies and information systems would be applied in the showcase.
PGG Wrightson and Agria said they had signed a memorandum of understanding with a Chinese administrative authority for the Yangling Agricultural High-Tech Industries Demonstration Zone.
"The companies will develop a high-profile agriculture showcase under the name, The China Yangling-New Zealand Agriculture Showcase," they said in a statement through the New York Stock Exchange.
Agria is a New York Stock Exchange-listed, Cayman Islands-registered company with offices in China.
Agria chairman Alan Lai said the company continued to leverage its relationship with PGG Wrightson, in which Agria has built a 50.22 per cent stake.
"This is just the latest development in our efforts to successfully leverage both companies' expertise to our mutual benefit and growth," Lai said.
Agria and PGG Wrightson would establish the centre for the showcasing of innovative products, agricultural technology, advanced plant and animal species and agricultural production models.
They would work together on agricultural science and technology education, practical technical training and research and development opportunities.
Agria and PGG Wrightson would set up a working committee to co-ordinate the establishment of the project, with representatives from all parties.
"The companies expect to benefit from preferential development policies available in Western China and for state-level high-tech zones," they said.
The Yangling Agricultural High-Tech Industries Demonstration Zone is one of 10 Technology Industrial Parks in China open to Apec countries.
Located in Shannxi Province, it is one of the five high-tech zones supported by the Chinese central government as a centre for agricultural and technological research.