KUALA LUMPUR (Aug 11): LKB Bio Innovations Co. Ltd (LKB) and Koperasi Petani Muda Malaysia Berhad (KPMMB) have inked a Memorandum of Understanding (MOU) aimed at driving Malaysia towards becoming a recognised global bio-agriculture industry powerhouse.

In a joint statement yesterday, the parties said the three-part MOU includes LKB and KPMMB collaborating to effectively penetrate the ASEAN agriculture market; working together to raise Malaysia’s profile as a viable hub for agri-biotechnology research; and nurturing world-class talent in the field of agri-biotechnology. 

LKB Bio Innovations Co. Ltd is part of the Malaysia-based LKB Group, a biotechnology group of companies involved in manufacturing, product development and marketing.

LKB Bio Innovations Co. Ltd was listed on the Hai Xia Equity Exchange (HXEE) on June 18 this year.

Chia Ning Shing, CEO of LKB said China is reducing chemical fertilisers to green biological fertilizer and this has resulted in an exponential increase in the demand of biological fertilizers and other pollution-free products that are produced by LKB.

“Through our R&D efforts, we have developed eco-friendly bio-fertilizer products that allow planters and farmers to reap a significantly higher value of crop using only a fraction of our product.

“With LKB’s wide range of products that come with patented technologies coupled with KPMM’s extensive network, we are confident in leveraging on each other’s strength to expand further into China and achieving our targeted RMB20 million (RM13 million) within the first three years.

Chia said the company decided to list on HXEE because its  products are exported to China.

Being a NEEQ (National Equities Exchange And Quotations Co., Ltd) listed company can accord us greater visibility and credibility for a SME-sized enterprise like LKB. Proceeds from the listing will be utilised to expand its facilities and capabilities in China to enable LKB to increase its exports to meet the growing demand from China,” Chia further added.