Naza Plantation Signs MoU with Taiwan-based YesHealth to Set Up Vertical Farming
KUALA LUMPUR, 22nd November 2018 – Naza Plantation Services Sdn Bhd, the agricultural business unit of the Naza Corporation Holdings Sdn Bhd, today signed an MoU with YesHealth Agri-Technology Co Ltd. to signify a new joint venture to establish a leading vertical farming company in Malaysia and South East Asia. The MoU signing took place at MAEPS, Serdang in conjunction with the Malaysia Agriculture, Horticulture & Agrotourism Show (MAHA 2018).
This joint venture agreement will be the first between Naza Plantation Services and the Taiwan-based company. The establishment of this joint venture agreement will see an investment of RM35 million for the development of a technologically-advanced vertical farming business in the country.
“We are proud to partner with YesHealth Agri-Technology Co Ltd., a renowned fully-integrated vertical farming company on this new joint venture that will contribute significantly to national food security. This collaboration is yet another milestone of Naza Agro’s business plans to expand and evolve its agro business in Malaysia and for its export markets to other Asian countries,” said SM Nasarudin SM Nasimuddin, Group Executive Chairman & CEO, Naza Corporation Holdings Sdn Bhd.
“Vertical farming is the way forward to ensure global food supply is met with current demands. Latest agricultural technologies from YesHealth have enabled the production of vegetables in an environmentally friendly way at a more cost-effective and space-saving solution. This revolutionary method of farming ensures the produce is healthier, chemical-free with no use of pesticides and guarantees crop yields all year long,” added SM Nasarudin.
Currently the world’s largest hydroponic vertical farming company by production volume, YesHealth will contribute significantly to the joint venture through its proprietary technologies and expertise in environmentally responsible agricultural practices in vertical farming that creates higher yields compared to traditional field farms. The produce from the indoor vertical farms are completely free from pesticide and heavy metal with very low nitrate level and bacteria load. As a result, consumers of the this day and age would be able to enjoy a much greater selection of fresh, safe and highly nutritious vegetables.
The Taiwanese company will be responsible for the structural design of the vertical farms, and operational support, providing its related know-how and training of local operators. Meanwhile, Naza Plantation will construct the facilities and run the management, sales and distribution aspects for the products.
Naza Agro, a Biotechnology Transformation Programme (BTP) status company, was established in 1995 as the agro business arm of the Naza Group, is involved in the production of tropical fruits and vegetables using high technology agro systems with cutting-edge biotechnology, green house fertigation system, vertical farming, biofertilisers and commercial farming methods. Naza Agro now owns and manages 3,118 acres of sprawling plantations located in Pahang, Perak, Perlis, Pulau Pinang and Negeri Sembilan, producing premium MD2 pineapples under their trademark Tropicale brand for local distribution and export. Naza Agro also manages a tropical fruits distribution and certified export centre in Serdang, Selangor and processing factory in Pekan Nanas, Johor.
Naza Agro’s long-term vision is to establish a strong presence in the China market and continue to explore other export markets such as Japan, Korea and the Middle East. Plans are also in the pipeline to expand their tropical fruits plantation land bank by another 2,000 acres which includes planting of pineapple, melon and durian for export market within five years’ time.
With this new joint venture with YesHealth Agri-Technology Co Ltd., Naza Agro hopes to supply fresh vegetables for the domestic market and in the near future supply to export markets in Asia.