Role of Super Sorghum in Global Food Value Chain Nov. 13th.2014 Prepared by : SOL Holdings Corp. ◆EXECUTIVE SUMMARY High Productivity of “Super Sorghum” Being Executed “Made with Japan” by All Japan Technology Contribute Largely to Improve Profitability for Agriculture in Vietnam 1 1. Current Status and Future in Vietnam Current in Vietnam Future in Vietnam Change of Consumption Trend to Diary Products, Beef, etc. along with Economic Growths Balance between Demand and Supply (Production) in Vietnam Low Productivity in Agriculture Improve Agricultural Productivity Domestic Feeds Industry Relying on Importations Aim at Stable Production and Production Increase of Domestic Feeds 70% of Vietnamese Working for Agriculture Increase Further Income for Agricultural Workers 2 2. What is Super Sorghum?|Features of Super Sorghum Overwhelming Yield. Yield of 3-4 Times Larger Than the One of Sugarcane. Utilization of ”Genomics-assisted Breeding” by Japanese Technology in Crop Breeding. Enable to Develop Most Appropriate Variety and Improve Its Varieties in Short Period of Time. Diversified Use Crops Suitable for Various Kinds of “Food Demand” Such As Silage and HFCS (High-Fructose Corn Syrup). Enable to Utilize as Raw Material of Reusable Energy. 3 2-1. What Is Super Sorghum?|Overwhelming Yield TH Milk Farmland TH Milk Farmland Project Yield of 300-350 tons/ha Annually at Test Cultivation in TH True MILK Farmlands* Enable To Produce Feeds of 2-3 Times per Harvest Larger Than the Ones from US-made Sorghum *Prerequisites: Soil Condition: Adjust Soil pH to 6-7 by using Calcium Carbonate (2tons/ha), Fertilizer: 10 tons/ha, NPK: 300kg/ha Planting Density:100,000 roots/ha, Average Weight: 1329.2g (Inspection Data: 4/Oct/2014) Harvest Time: 3 times/year, Average Height of Super Sorghum: 505.8cm (Inspection Data: 4/Oct/2014) 4 2-2. Utilization of ”Genomics-assisted Breeding” by Japanese Technology in Crop Breeding (1) What is Genomics-assisted Breeding? • Method of Breeding in Which Selection Is Made Based on the DNA Sequences • Enable to Create a New Phenotypic Variety in a Short Time (Conventional Method of Breeding Needed Many Years for Breeding) →Enable to Cultivate Cultivar Suitable for Required Environments in Short Term! →Use Cutting-Edge Technology without Genetic Modification! Cultivate Superior Cultivar Efficiently and Reasonably Suitable for Required Environment in Vietnam →Improve Productivity in a Short Period of Time! →Develop Cultivars Resistant to Salt Soils and Pests! ◎Processes to Create Super Sorghum Set the breeding goal according to the target area Conventional breeding → Genomics-assisted breeding Generate an expanded collection of sorghum cultivars Field tests for selection ◎Phenotypes to Be Improved Regeneration performance Sensitivity to day length Height Weight Stem diameter Humidity tolerance Disease resistance Lodging resistance Drought tolerance Soil tolerance Sugar content Sugar composition Selected sorghum cultivars=Super Sorghum 5 2-2. Utilization of ”Genomics-assisted Breeding” by Japanese Technology in Crop Breeding(2) Yield of 200tons/ha per Harvest at Cultivar with Resistant to Salt Damage Salt Soil Tolerance Test Photo of Land by Salt Damage Performance Record of 200 tons/ha in Cultivar Resistant to Salt Damage Potential to Cultivate on Upstream of Salt Water in Mekong Delta Cultivation of Super Sorghum in Dry Season 6 2-3.Super Sorghum Has Potential for Diversified Use Fodder for Chicken Grain Ear There are some cultivars in Super Sorghum suitable to fodders for chickens. The land productivity is very high, as not only ears but also stems are cultivated at the same time, which is different from grain sorghum whose grains only are used. Pellet(Thermal electric power generation) Stem and Leaf Stem and Leaf Dried sorghum bagasse is suited as a biomass fuel for thermal electric power generation. Electricity both for in-house use and retail sale can be generated. Also, biomass-derived pellets are now rapidly increasing in consumption on global scale. Silage(Lactate fermented fodder) Bagasse High quality silage fodder is made from sorghum bagasse by inoculating appropriate lactobacilli, followed by anaerobic fermentation. A high concentration of lactobacilli in the silage provides probiotic effects. HFCS:High-Fructose Corn Syrup Juice (sap) Juice from Super Sorghum contains sucrose, glucose and fructose. High-Fructose Corn Syrup (HFCS) can be produced from Super Sorghum juice by decomposing sucrose, followed by purifying the sucrose with the glucose and fructose that also comes from the juice. 7 3. Action Status in Vietnam:Test Farmland Range (Test for Registration of Variety and Test for Commercialization) Test Cultivations are Being Implemented in Provinces of Northern, Central, Central Highland, Southern and Others. The Plants Have Grown Well to More Than 4 Meters High in Northern Provinces and Highlands and Other Provinces. 8 4. Action Status in Vietnam • • • • November, 2013: Participated in Conference Hosted by MARD Attendees were from Major Companies from Industries of Sugar, Diary, Ethanol, etc. Completed MOU with MARD concerning Test Cultivations Completed MOU with TH Milk Company and Lam Son Sugar Company concerning Test Cultivations towards Business Partnership November, 2014: • Started with Preparations for Establishing a Local Subsidiary (Tentative Name: Super Sorghum Vietnam) • Its Foundation Will Be in Quang Ngai Province which Agreed to Supporting Our Business 9 5. Food Value Chain in TH True Milk Improve Productivity and Added Value Produce Feeds Efficiently by driving by Advanced Agricultural Technology Food Processing and Merchandise Development Produce High-quality Diary Product in Its Own Factory Improvement of Distribution System and Cold Chain Offer High-quality Product by Utilizing Cold Chain Development of End-user and Market Market Development and Sales Strategy by Advanced PR Strategy Produce Feeds for Diary Cow in Its Own Land of 7,000ha Aim at Breeding 137,000 Diary Cows by 2017 Own One of the Largest Integrated Production Plants for High-Tech Milk and Diary Products in Vietnam Aiming at Producing Milk of 500,000tons Equivalent to the 50% of Its Consumption Volume in Vietnam Establish Food Value Chain Creating High Added Value 10 6. Role of Super Sorghum in Food Value Chain Solution of Super Sorghum Improve Productivity and Added Value Reduce Production Cost Maintenance of Irrigation System, Participatory Watering Management, Adjustment for Use of Pesticide and Fertilizer High-quality Utilize Lands Effectively Genomic-assisted Breeding Proposal of Model Region: Nghe An Province 1. Reduce Production Cost by High Yield (Already Verified by Test Cultivations) 2. Contribute to High-quality Products as Feeds 3. Enable to Utilize Lands Effectively 4. Develop Cultivar in a Short Period of Time by Genomic-assisted Breeding *Meet Requirements of “Reduce Production Costs” and “Change Current Crops to Another One for Feeds in Part of Agricultural Land” in “Diary Development Strategy 2020”, the Policy of the Vietnamese Government Offer Solutions by Super Sorghum 11 7. Role of Super Sorghum in GFVC (Dairy Farming) Ensure Safety of Diary Product Without Genetic Modifications and Made in Vietnam Contribute to the Economic Growth in Vietnam and Income Increase of its Agricultural Workers by Japanese Technologies Support Precisely to Supply Merchandise to Meet the Needs in Each Market and Region Correspond to Domestic Demand of Food for Economic Growth in ASEAN Nations and Increase in Their Populations Establish Stronger Food Value Chain with Cooperation with Domestic Companies Provide Comprehensive Support into ASEAN Markets Based on GFVC Concepts Utilize Super Sorghum Strategically under the Economic Support System 12 ◆Summary ”Today’s Message from SOL Holdings” High Productivity of “Super Sorghum” Realize Authentic “Made with Japan” by Japanese State-of-the-art Technology Contribute Largely to Improve Profitability and Income for Agricultural Workers in Vietnam Best Practice in Vietnam to ASEAN Nations and the World! 13
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