ROJNA and Herb Treasure in a joint venture for Hemp business with an initial investment of 250 million baht, and expected annual revenue of 1 billion Baht
ROJNA is investing 51% in Herb Treasure for the hemp business. Herb Treasure is well equipped to serve entire hemp value chain from upstream to downstream involving breeding, cultivation, extraction and distribution. The project starts with an initial 250 million baht investment to construct 300 greenhouses across 100 Rai (160,000 square meters), aiming to extract more than 9 tons of CBD per year, which will generate approximately 1 billion Baht revenue per annum.
Rojana Industrial Park Company Limited (ROJNA), led by Chai Vinichbutr (Vice President) and Kanawat Chantaralawan (Deputy Managing Director), established a joint venture with Herb Treasure Co., Ltd., headed by Romchalee Chanprasit (CEO) and Arisa Chitsena (Director) . Witnesses include Panuphol Rattanakanjanapatra, Chairman of Advisory Board of Tobacco Authority of Thailand, and Kittitas Phathong, Chairman of Tobacco Cures Planter and Seller Trade Association.
According to Kanawat Chantaralawan (Deputy Managing Director), three major reasons for this collaboration are: 1) Herb Treasure already secured the required licenses i.e., seed importing, cultivation and the only company who received export license 2) Herb Treasure already had customers both local and overseas 3) Herb Treasure has highly efficient, professional and experienced management team, and both companies share the same business vision. ROJNA also has extensive foreign customers both in Asia and Europe, which can extend the customer base in the future. They also intend to turn CBD into varieties of products, including food, supplements, beverages, cosmetics and especially medical products pending on the Government regulations. ROJNA's board of directors approved 250 million baht in the first phase and plan to expand investment further to serve the increasing demand of the market.
According to Romchalee Chanprasit, CEO of Herb Treasure, the company also plan to assist the contract farming including SME and farmers by developing commercial hemp strains to create the opportunity for the farmers, who are the backbone of the country, to have sustainable revenue. Earlier, Herb Treasure had signed MOU with Tobacco Authority of Thailand to coordinate and help the farmers under their network. This will in turn create even more opportunities in the value chain.
This is a significant cooperative venture, according to Panuphol Rattanakanjanapatra, Chairman of Advisory Board of Tobacco Authority of Thailand. He believes that this corporation will create a benefit for their business as well as for the farmers. More than 1,000 tobacco farmers have shown their interest to participate in this initiative project.
