Farmmi's Subsidiary Successfully Passes Stringent Double Certification Audit; Able to Fully Use Expected 20% Increase in Production Capacity

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Sep 22, 2020, 06:00 ET

LISHUI, China, Sept. 22, 2020 /PRNewswire/ -- Farmmi, Inc. ("Farmmi" or the "Company") (NASDAQ: FAMI), an agriculture products supplier in China, today announced one of its subsidiaries, Zhejiang Forasen Food Co, LTD, successfully passed the stringent BRC Global Standard for Food Safety and Hazard Analysis Critical Control Point ("HACCP") certification audits. Passing the audit of two certifications, or the "Double Certification" audit, further validates the Company's quality management and food safety management systems.

The Company began the certification process earlier this year as part of the final phase of its technology transformation project. With the "Double Certification" granted, the Company will now be able to fully utilize its expanded production capacity.

Ms. Yefang Zhang, Farmmi's Chairwoman and CEO, commented, "This is another important milestone for Farmmi. Our team worked hard to implement the major technology transformation project we started back in July 2019. The successful completion of the comprehensive and careful examination, and receipt of the 'Double Certification' will now allow us to fully utilize an expected 20% increase in production capacity achieved by our investment and technology transformation project. It is very timely for us to have the increased capacity given our accelerating sales channel development and demand growth. Our strategy of innovation-driven development and commitment to green, intelligent, high-end, standardized requirements, will help us to further improve quality and efficiency, and solidly promote the high-quality development of enterprises."

China Quality Certification Center conducted the audits. Its audit team carried out an expansive on-site inspection and audited the Company's entire process from food inspection, production and storage to sales and distribution. After three days of comprehensive, careful examination, the audit team gave high marks for the Company's food safety management and control, production site management and control, product traceability and product inspection capabilities and processes.

The BRC Global Standard for Food Safety is one of the highest standards of the EU food safety system, and has become the internationally recognized food standard quality system audit standard. The audit standard includes all relevant employees of the application enterprise, product quality, the quality and safety and health assurance ability of food suppliers, and the safety assurance ability of food sales and inventory.

HACCP is an assessment of hazards that may occur during food processing and the adoption of a preventive food safety control system. HACCP can help prevent, eliminate or reduce hazards by taking effective corrective actions to ensure that food processors can provide consumers with safer food.

About Farmmi, Inc.

Headquartered in Lishui, Zhejiang, Farmmi, Inc. (NASDAQ: FAMI), is a leading agricultural products supplier, processor and retailer of Shiitake mushrooms, Mu Er mushrooms, other edible fungi, and many other sought-after agricultural products. The Company's Farmmi Liangpin Market serves as a trading platform for Chinese geographical indication agricultural products and is a large platform for consumers to access locally sourced agricultural products. For further information about the Company, please visit: http://ir.farmmi.com.cn/.

Forward-Looking Statements

This announcement contains forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact in this announcement are forward-looking statements, including the potential impact of COVID-19 on our business within and outside of China. These forward-looking statements involve known and unknown risks and uncertainties and are based on current expectations and projections about future events and financial trends that the Company believes may affect its financial condition, results of operations, business strategy and financial needs. Investors can identify these forward-looking statements by words or phrases such as "may," "will," "expect," "anticipate," "aim," "estimate," "intend," "plan," "believe," "potential," "continue," "is/are likely to" or other similar expressions. The Company undertakes no obligation to update forward-looking statements to reflect subsequent occurring events or circumstances, or changes in its expectations, except as may be required by law. Although the Company believes that the expectations expressed in these forward-looking statements are reasonable, it cannot assure you that such expectations will turn out to be correct, and the Company cautions investors that actual results may differ materially from the anticipated results.

SOURCE Farmmi, Inc.