S&W Seed Company Announces Sudan Expansion
S&W and its local representative to hire S&W agronomist to support Sudanese Customers
Company receiving significant new orders from Sudan
FIVE POINTS, Calif., Aug. 15, 2012 /PRNewswire/ -- S&W Seed Company (Nasdaq: SANW) today announced an important step in increasing its presence in sub-Saharan Africa. In partnership with the company's longstanding representative in Sudan, the company is hiring an agronomist dedicated to supporting sales of S&W's alfalfa varieties, and any other forage products S&W may also offer in the future. The agronomist will work with existing and potential customers throughout Sudan, educating them on alfalfa variety selection and cultivation as well as the economic benefits of S&W's proprietary varieties. The S&W agronomist will be based at the offices of S&W's representative, A. El Mustafa, in Khartoum Sudan.
The decision to co-hire an agronomist stems from strong order flow that follows Sudanese government policies that S&W believes will turn Sudan into one of the world's largest alfalfa producing countries. Senior management of S&W recently met with Sudanese officials in Khartoum, including the Minister of Agriculture, to discuss S&W's role in the Sudanese government's initiatives to encourage investment in alfalfa production. Sudan's natural advantages include vast tracts of uncultivated land, warm climate and abundant water from the Nile River at nominal prices. The company sees Sudan as a place where S&W's non-dormant and salt tolerant varieties are particularly well suited to thrive in local conditions and where total acres dedicated to alfalfa are growing exponentially.
Shipments of initial orders from new customers are expected to commence in September with favorable selling prices that are consistent with the prevailing tight supply of non-dormant alfalfa seed and the awareness of the economic benefits of S&W's branded varieties.
Mark Grewal, chief executive officer of S&W Seed Company, commented, "Sudan represents a significant opportunity for S&W Seed Company. Alfalfa flourishes in Sudan's hot, dry climate growing all year round, and Sudanese farms are excellently positioned to produce alfalfa for export to neighboring countries in Middle East. We set out over the last year to develop an increased presence in the area and this initiative is now paying off."
Mr. Grewal continued, "Our S&W brand and varieties are already well known and respected in Sudan. This is because so many top Sudanese farmers and agronomists have had prior experience with S&W varieties while working on farms in Saudi Arabia. There is a pre-existing brand awareness and familiarity with specific S&W varieties and that gives us a unique competitive advantage. This first step in increasing our presence in Sudan should enable us to become a leading provider in Sudan, and hopefully the clear market leader, in the years to come."
About S&W Seed Company
Founded in 1980 and headquartered in the Central Valley of California, S&W Seed Company is a leading producer of warm climate, high yield alfalfa seed varieties, including varieties that can thrive in poor, saline soils, as verified over decades of university-sponsored trials. S&W also offers seed cleaning and processing at its 40-acre facility in Five Points, California and has recently launched a business expansion initiative centered on its plan to mass produce stevia leaf in the U.S. in response to growing global demand for the all-natural, zero calorie sweetener from the food and beverage industry. For more information, please visit http://www.swseedco.com/.
Safe Harbor Statement
This release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended and such forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. "Forward-looking statements" describe future expectations, plans, results, or strategies, including statements regarding the potential success of the Company's stevia program, and are generally preceded by words such as "may," "future," "plan" or "planned," "will" or "should," "expected," "anticipates," "draft," "eventually" or "projected." You are cautioned that such statements are subject to a multitude of risks and uncertainties that could cause future circumstances, events, or results to differ materially from those projected in the forward-looking statements, including the risks that actual results may differ materially from those projected in the forward-looking statements as a result of various factors and other risks identified in the Company's 10-K for the fiscal year ended June 30, 2011, and other filings made by the Company with the Securities and Exchange Commission.
SOURCE S&W Seed Company