Kiwa Bio-Tech Products Group Corp (fka KWBT)

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Kiwa Bio (KWBT): a Bio-Tech Leader in the World's Largest Agricultural Market
Monday, 05 December 2016 13:19 (EST)

The innovative Kiwa Bio-Tech Products Group (KWBT) is sixteen-year old company that has become an industry leader in the bio-agricultural field. KWBT develops, manufactures, distributes and markets environmentally-friendly bio-tech products for agriculture and conservation. Recent microbe reports tested on beer and wine have shown a number of these products to be contaminated with weed killing chemicals. Phosphates and other chemical products we use to grow crops are impacting the industry’s productivity, but, most importantly, our very own health. Kiwa works hand-in-hand with the brilliant minds from two high-end agricultural research institutions: China Agricultural University and the Chinese Academy of Agricultural Sciences (CAAS). Chief scientists of CAAS and national scientific research organizations design green and ecological agriculture industrial chain platforms for Kiwa and gradually introduce Kiwa microbial fertilizers to over 200 agriculture demonstration parks in China. This academic braintrust and the rest of Kiwa’s research and development team are establishing a core of products that are responsible and eco-friendly.

Kiwa is managed by CEO Yvonne Wang. Wang has been developed and groomed in-house as she stated in out Q&A with her back in September. “I have been with Kiwa for more than 15 years. Starting at an entry-level position in the company to now being CEO. I know our historical operations and our development goals better than anyone else.” Wang and the rest of the accomplished team are aiming to rid billions of acres of cultivated land from pesticides and toxic chemicals. Kiwa’s microbial fertilizers are the key to this long-term goal. The company's products are designed to enhance the quality of human life by increasing the value, quality and productivity of crops and decreasing the negative environmental impact of chemicals and other wastes.
Kiwa’s sales network covers Xinjiang, Hainan, Shandong, Hebei, Heilongjiang, Beijing and most major agricultural provinces. The company’s fertilizer quality and service has received praise and recognized for its focus on food safety. This type of bio-technology will be needed in China because the government passed a national policy that is changing agriculture. “Soil Pollution Prevention and Control Action Plan” (or “Soil Ten Plan) calls for a transition from chemical based fertilizer to bio-based fertilizer for 30% of the fertilizer market, this represents a 210 billion RMB (approximately $31 billion USD) market opportunity being created over the next 10 years.

To further strategize for this important change, Kiwa acquired a majority interest in one of its suppliers, called Deruifeng. CEO Wang added this in our interview about the acquisition: “…Deruifeng adds significant resources and experience in the development and marketing of fertilizers in China. Over the past few years, Deruifeng has been one of the principal OEM manufacturers for Kiwa’s products. This acquisition plays a strategic role in Kiwa’s development in the rapidly growing fertilizer market in China. By acquisition of a majority interest in Deruifeng, Kiwa is able to integrate and streamline its supply chain and increase its production capacity. This should result in the upgrading of product quality, while achieving significant cost reduction and broadening the range of Kiwa’s products. The acquisition increases the manufacturing capacity of Kiwa by 350,000 metric tons annually – which at full capacity represents over $100,000,000 in revenue. Kiwa is now poised to participate in the transition plan instituted by the Chinese Government to support bio-based fertilizers as opposed to traditional chemical based fertilizers.” This supplier has been one of the principal OEM manufacturers for Kiwa’s products. This acquisition plays a strategic role in Kiwa’s development in the rapidly growing fertilizer market. With a majority interest in Deruifeng, Kiwa is able to integrate and streamline its supply chain and increase its production capacity. This should result in the upgrading of product quality, while achieving significant cost reduction and broadening the range of Kiwa’s products. KWBT also works directly with China's largest fertilizer state enterprises - Supply and Marketing Cooperatives and China National Agricultural Means of Production Group Corporation (Sino-agri); this keeps selling costs reasonable while giving the company access to many markets.

With some of China’s best agricultural minds behind them, Kiwa is poised to move into a position of strength in the bio-fertilizer market within the world’s largest agricultural country.

https://www.equities.com/news/kiwa-bio-kwbt-a-bio-tech-leader-in-the-world-s-largest-agricultural-market