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Business / Companies

Yuanda acquires Israeli agri firm for $20m

By Liu Ce (chinadaily.com.cn) Updated: 2014-09-11 13:40

Shenyang Yuanda Enterprise Group (Yuanda) announced on Wednesday that the group has acquired Auto Agronom Israel Ltd (AA) for $20 million to expand its business to high-tech agriculture area.

Founded in 1988, Auto Agronom Israel Ltd is a top company in the world producing smart irrigation systems used in 13 countries. It is an expert in improving efficiencies of water and fertilizer usage for environmental protection.

The intelligent drip irrigation system introduced from Auto Agronom makes it possible for over 95 percent of the liquid to be absorbed and various targets to be monitored. With the help of the system, the water consumption for each acre plunges to 150 tons from previously 500 tons, 30 to 40 percent less than that of in Israel.

Also, following the intelligent drip irrigation system, Yuanda plans to develop relative agricultural facilities manufacturing.

"Our cooperation is like a marriage. We offer technology and Yuanda focuses on marketing," said Nissim Daniely, general manager of AA.

"The movement to new technology is huge. Every year, the area of drip irrigation system farming in China increases about 20 percent, which is more than all in Israel and Europe together. It is a huge market in China." Nissim Daniely added.

Yuanda is also confident about the future of its new business. "The system can help us to farm on the sand, saline-alkali soil or even on the Gobi, which may restore underground water and help manage heavy metal and garbage pollution," said Kang Baohua, chairman of Shenyang Yuanda EnterpriseGroup.

Experts said if the costs of the intelligent drip irrigation system is affordable for farmers, it would have broad market prospect.

Founded in 1993, Shenyang Yuanda Enterprise Group is a world leading curtain wall manufacturer. It has constructed the curtain wall projects in over 30 countries.

Yuanda acquires Israeli agri firm for $20m

Yuanda acquires Israeli agri firm for $20m

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