Genting Plantations, is planning to venture into the vegetable seeds business by partnering China-based Shouguang Vegetable Science and Technology Sdn Bhd (SVST). The collaboration will involve setting up two joint venture (JV) companies — of which 60% will be held by Genting Plantations' indirect wholly-owned unit, AGCT Vegetable AgVentures Sdn Bhd, with the balance 40% being held by SVST. The JV companies will develop a 70-acre plot of land in Kulai, Johor, into a center for excellence for tropical vegetable crops, and undertake a vegetable seeding program.
The seed breeding program involves the setting up of research and development facilities. There will also be a showcase center for agricultural technology and innovation, greenhouses for food and vegetable production, and a processing plant for the import and export of agricultural products and inputs, according to Genting Plantations' bourse filing on Monday.
Both JV companies will have an initial share capital of RM1,000 each. The planned investment will later be raised to a total of RM525 million.
"This diversification will enhance Genting Plantations' business resilience and seeks to unlock new revenue streams in vegetable crops, beyond oil palm," the filing read. Genting Plantations plans to fund the venture with internal funds and/or bank borrowings. The JV is targeted for completion in the first quarter of 2026.
Read more at The Edge Malaysia
