Abundant Produce Limited (ASX: ABT) is engaged in the development of the agricultural intellectual property, creation of superior seeds and production of skin care products based on natural vegetable extracts. The company is based in Sydney and Cobbitty (at the University of Sydney’s Plant Breeding Institute). In addition, Abundant also breeds superior vegetable seeds for food producers and vegetable plants for their active extracts.
Today, on 31 May 2019, Abundant Produce released its latest Business Update. On the back of its food & agriculture technology business (Abundant Seeds) and its therapeutic dermatological products business (Abundant Natural Health), the Group has evolved to span two of the three life science subsectors.
The Board of the Abundant Produce is planning to drop the word ‘Produce’ to capture the Group’s breadth of operations.
Abundant Seeds Business
As per the company, the global market for fruit and vegetable seeds accounted for ~ US$ 8.8 billion in 2016 and is expected to reach over US$ 14.0 billion by 2022.
Cucumbers: The cucumber business recorded both domestic and international expansion.
While the mini cucumber variant has become popular amongst the Queensland growers, the domestic distributor sales are continuing with a shift from introductory to standard pricing.
Overseas, Mexican growers are expected to begin planting shortly. Moreover, a grower/distributor in Vietnam recently purchased seeds and developing greenhouses for abundant crops. The trial in the USA, Canada and Middle Eastern locations are underway.
The cucumber product pipeline includes five new varieties close to commercialisation phase- a long variety (22-24 cm long), an even longer ‘continental style’ Lebanese cucumber (32-35 cm), a particularly sweet tasting lime coloured variety, and new variations on the popular mini theme including an eye-catching bi-coloured variety.
Five new variants of Cucumber, Source: Company’s Business Update
Tomatoes: The R&D for Tomato products continued with a focus on incorporating traits targeting disease resistance. The Group is currently growing trial commercial crops of tomatoes in the Sydney region, northern New South Wales and Victoria with positive early feedback, as preparations are underway for the full commercial release of 10 tomato varieties (baby romas, cherry tomatoes, mini plums and gourmet varieties).
Greenhouses of parent lines are ready for harvesting so that seed can be supplied to contract growers to produce commercial-scale inventories of hybrid seeds. These are expected to be in stock toward the end of 2019, ready for spring/summer plantings.
Baby Romas, Cherry Tomatoes, Mini Plums and Gourmet Varieties, Source: Company’s Business Update
Abundant Natural Health (ANH)
ANH was launched in February 2019 with its products currently ranging in over 550 pharmacies country wide. The Group focussed on accelerating domestic and international promotion and distribution.
In China, an Abundant Natural Health Chinese website (Baidu) was launched after excellent feedback from Chinese consumers and professional buyers at the inaugural China International Import Expo in 2018. In the United States and other countries, the online retail giant Amazon.com has formally accepted ANH products. Abundant is currently arranging the shipment of stock to Amazon U.S. warehouses, and the initial inventory includes four ANH products expected to be available in June.
As a life sciences company, Abundant is working to improve human health and wellbeing. With its recent endeavours, it is well placed to shine amongst the 270 food & agriculture technology companies that form a part of the vast life sciences industry sector in Australia.
Today, on 31 May 2019, the ABT stock was trading at AU$ 0.081, climbing up 24.615% by AU$ 0.016, at AEST 03:45 PM.
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