Deploying a VEGGiTY Proof of Concept Model (VPM Model) to Enhance Chili Supply amid Worsening Climate Change in Malaysia for Nestlé (HONG KONG, 11 June 2024) -Unity Group Holdings International Limited ("Unity Group" or the "Group", stock code: 1539.HK), a leading comprehensive energy-saving and GreenTech solution provider with headquarters in Hong Kong, has signed a Memorandum of Understanding ("MOU") with Nestlé Products Sdn. Bhd. ("Nestlé"), the Malaysian operating arm of Nestlé S. A., the world's largest fast-moving consumer goods company, and GoBiz Asia Sdn. Bhd. ("GoBiz"), the authorized representative for Unity Group in Malaysia. Under the MOU, Unity Group and its wholly-owned agricultural technologies ("AgriTech") arm, VEGGiTY will join hands with Nestlé to establish the VEGGiTY Proof of Concept Model ("VPM Model"). Unity Group and GoBiz will be responsible for the delivery, installation, operation, cultivation and management of the VPM Model in Malaysia and ensure the products meet Nestle's standards, expecting to achieve a stable chili supply by December 2024 or another mutually agreed upon date. Smart AgriTech combines intelligent control and Internet of Things ("IoT") technologies Mr. Mansfield Wong, Chairman of Unity Group,said, "Due to adverse effects caused by global warming, such as more frequent and prolonged heat waves, the environment for the food and agricultural industry has become more challenging in Malaysia and many other regions with similar climates, such as the Middle East. This hampers crop yields and efficiencies, exacerbating food shortage issues. With innovative agricultural technologies and methods offered by VEGGiTY, we aim to develop an indoor smart AgriTech solution with Nestlé to minimize energy costs and water usage while sustainably increasing yielding and efficiencies in a fully controlled indoor environment with intelligent control system and IoT technology. This solution seeks to satisfy consumers' new demands. In Malaysia, while the Johor state is a major producer of fruits and vegetables, contributing to 34.5% of the nation's production in last year's market, only about 30% of chilies are currently locally produced in Johor. The Johor state aims to reduce dependence on imported chilies, marking a local government push towards innovative agricultural techniques to improve local food production for more robust food security. This effort is a part of Johor's execution of their National Food Security Policy Action Plan 2021-2025 and National Agri-Food Policy 2021-2030. Unity Group's partnership with Nestlé Malaysia thus aligns with the local government mission of enhancing local food security, with the first step being increasing local chili production to reduce import dependency. We will leverage our combined strengths and resources with Nestlé to address food scarcity problems stemming from climate conditions. "Nestlé currently purchases 400-500 tons of chili per annum, while their global requirements are up to 5,000 tons per annum. This project is designed to leverage local labors and low-carbon farming strategies to ensure a consistent supply and quality of chili and achieve regenerative farming practices." Nestlé will offtake the chili from Unity Group based on its monthly demand Under the MOU, Unity Group will provide a 40' container unit for the VPM Model, a fully functional self-contained unit called "Portable All-in-One Digital Vertical Indoor Farming (DVIF) system" and deliver it to Malaysia. The DVIF system features solar panels that power devices with constant temperature and humidity control and automated plant lights for optimal growth. The system can reduce energy costs and water usage while sustainably yielding 200 times more than traditional farms and 10 times more than indoor farms. According to the MOU, Nestlé will provide the chili seeds during the trial, after which Nestlé reserves the right to offtake the chili from GoBiz and Unity Group based on its monthly demand. This strategic partnership aims to establish a controlled, climate-resilient growing environment and build a sustainable, resilient food supply chain, reflecting Unity Group's resolute commitment to implementing green strategies and practices in the face of climate change. The project's success is expected to be replicated in other nations addressing similar agricultural and environmental challenges. - Ends - About Unity Group Holdings International Limited Founded in 2008, Unity Group became the first energy service company to be listed on the Hong Kong Stock Exchange. At the core of its operations is the Energy Management Contract (EMC) business model, which implements customized solutions designed to achieve optimal energy efficiency and maximize returns for clients. Unity Group employs industry-leading, effective, and practical research methodologies. These methodologies span innovative green technologies, data analysis, and machine learning. The outcomes of its research and development efforts manifest in its uniquely versatile, appropriate, and actionable green technology solutions. Currently, Unity Group operates in Mainland China, Malaysia, and the Middle East. For more information, please visit: https://www.unitygroup.eco/index.php This press release is distributed by LBS Communications Consulting Limited. For media inquiries, please contact:
11/06/2024 Dissemination of a Financial Press Release, transmitted by EQS News. |
