Origin Agritech Commences Full-Scale Seed Processing Operations at Xinjiang Production Base

Rhea-AI Summary

Origin Agritech (NASDAQ: SEED) has launched full-scale seed processing operations at its Xinjiang production facility on August 21, 2025. The strategically located facility leverages Xinjiang's favorable solar thermal resources and climate conditions for optimal corn seed production.

The facility features a fully automated processing line that integrates cleaning, drying, threshing, precision sorting, coating, and packaging operations. Key technological features include advanced seed coating for crop protection and real-time monitoring systems for moisture content optimization.

This operational milestone strengthens Origin's integrated seed production and distribution strategy, enhancing its capability to supply high-quality corn seeds across China's agricultural markets while supporting national food security objectives.

Positive

• Strategic location in Xinjiang provides natural advantages for premium seed production
• Implementation of fully automated processing line enhances operational efficiency
• Advanced seed coating technology offers improved crop protection and development
• Real-time monitoring systems ensure optimal seed quality control

Negative

• None.

Insights

Agricultural Technology Analyst

Origin Agritech's new fully-automated Xinjiang seed processing facility enhances production capacity and positions the company strategically in China's agricultural supply chain.

Origin Agritech has activated its Xinjiang seed production facility at full capacity, marking a significant operational milestone for the company's integrated seed strategy. The timing is particularly strategic as it coincides with the 2025 growing season preparation cycle, when seed inventory positioning is critical.

The facility's automation capabilities represent a substantial competitive advantage in China's agricultural technology sector. By implementing a fully automated processing line that handles everything from cleaning to packaging, Origin has created efficiencies that should translate to improved margins. The company's enhanced seed coating technology addresses a crucial pain point for farmers – early-stage crop vulnerability – which typically accounts for 15-20% of crop failure rates.

Xinjiang's selection as the production hub demonstrates shrewd geographic strategy. The region offers unique solar thermal resources that naturally support seed development while reducing energy costs. This location provides Origin with both quality and cost advantages in seed production that are difficult for competitors to replicate.

What's particularly notable is the company's emphasis on real-time monitoring systems for moisture content and seed viability. These quality control measures should reduce batch inconsistencies that plague agricultural inputs, potentially translating to more predictable germination rates for farmers and enhanced brand reputation for Origin.

This facility activation aligns with China's broader agricultural modernization initiatives and food security objectives, positioning Origin to potentially benefit from favorable policy support. The company's reference to seeds as "semiconductor chips of agriculture" indicates their strategic positioning in a critical segment of the agricultural value chain.

Leveraging Advanced Automation to Support the National Agricultural Supply Chain

BEIJING, Aug. 25, 2025 /PRNewswire/ -- Origin Agritech Ltd. (NASDAQ: SEED) (the "Company" or "Origin"), a leading Chinese agricultural technology company, today announced that its Xinjiang production and processing facility (the "Facility") has commenced full-scale seed processing operations for the 2025 season on August 21, 2025. The Facility's activation marks a critical milestone in Origin's integrated seed production and distribution strategy, positioning the Company to meet growing demand for high-quality corn seeds across China's agricultural markets.

Origin's Xinjiang facility is strategically located in one of China's most important corn seed production regions, benefiting from Xinjiang's unique solar thermal resources and climatic conditions for seed development. The region's natural advantages provide an ideal environment for producing premium-quality seeds that meet Origin's stringent quality standards.

"Seeds are the semiconductor chips of agriculture, and the processing stage is absolutely critical," said Weibin Yan, Chief Executive Officer of Origin Agritech. "Through our advanced seed processing equipment and strict quality management systems, we ensure that every seed meets optimal standards, providing farmers with the foundation for successful harvests."

The Xinjiang production base operates a fully automated processing production line that integrates cleaning, drying, threshing, precision sorting, coating, and packaging operations. This comprehensive automation significantly improves processing efficiency while maintaining the highest seed quality standards throughout the production chain.

The Facility's seed coating technology provides critical protection during early crop growth stages, effectively preventing diseases and pest damage while promoting uniform emergence and robust seedling development. These protective measures establish the foundation for high-yield, stable production outcomes for Origin's farmer customers.

Real-time monitoring systems oversee the drying operations, ensuring optimal moisture content and seed viability. The integrated approach to quality control demonstrates Origin's commitment to delivering consistent, high-performance products to its distribution network.

With the commencement of full-scale processing operations, Origin is accelerating its logistics and distribution capabilities to ensure the timely delivery of premium seeds to farmers nationwide. The Company's commitment to meeting critical agricultural timing requirements supports China's food security objectives and agricultural modernization initiatives.

About Origin Agritech Limited

Origin Agritech Limited, founded in 1997 and headquartered in Origin R&D Center, Songzhuang, Tongzhou in Beijing, is a leading Chinese agricultural technology company. In crop seed biotechnologies, Origin Agritech's phytase corn was the first transgenic corn to receive the Bio-Safety Certificate from China's Ministry of Agriculture. Over the years, Origin has established a robust biotechnology seed pipeline, including products with glyphosate tolerance and pest resistance (Bt) traits. For further information, please visit the Company's website at www.originagritech.com. The Company also maintains an X account for updating investors on Company and industry developments which is https://x.com/origin_agritech.

Forward-Looking Statements

This communication contains "forward-looking statements" as defined in the federal securities laws, including Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, as amended, and as defined in the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements address expected future business and financial performance and financial condition and contain words like "expect," "anticipate," "intend," "plan," "believe," "seek," "will," "would," "target," and similar expressions and variations. Forward-looking statements address matters that are uncertain. Forward-looking statements are not guarantees of future performance and are based on assumptions and expectations that may not be realized. They are based on management's current expectations, assumptions, estimates, and projections about the Company and the industry in which the Company operates but involve a number of risks and uncertainties, many of which are beyond the Company's control. Some of the important factors that could cause the Company's actual results to differ materially from those discussed in forward-looking statements are: failure to develop and market new products and optimally manage product life cycles; ability to respond to market acceptance, rules, regulations and policies affecting our products; failure to appropriately manage process safety and product stewardship issues; changes in laws and regulations or political conditions; global economic and capital markets conditions, such as inflation, interest and currency exchange rates; business or supply disruptions; natural disasters and weather events and patterns; ability to protect and enforce the Company's intellectual property rights; and separation of underperforming or non-strategic assets or businesses. The Company undertakes no duty or obligation to publicly revise or update any forward-looking statements as a result of future developments, new information, or otherwise, should circumstances change, except as otherwise required by securities and other applicable laws. Although the Company believes that the expectations expressed in these forward-looking statements are reasonable, it cannot assure that such expectations will be correct. Actual results may differ materially from the anticipated results. You are urged to consider these factors carefully in evaluating the forward-looking statements contained herein. You are cautioned not to place undue reliance on such forward-looking statements, which are qualified in their entirety by these cautionary statements.

For more information, please contact:
Origin Agritech Limited Contact:
Kate Lang (Mandarin/English)
Director of Investor Relations
Phone: +86 186-1839-3368
Email: bing.lang@originseed.com.cn

Investor Relations Contact:
Matthew Abenante, IRC
President
Strategic Investor Relations, LLC
Tel: 347-947-2093
Email: matthew@strategic-ir.com

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SOURCE Origin Agritech Limited

FAQ

When did Origin Agritech (NASDAQ: SEED) begin full-scale operations at its Xinjiang facility?

Origin Agritech commenced full-scale seed processing operations at its Xinjiang facility on August 21, 2025.

What automated processes are included in Origin Agritech's Xinjiang production facility?

The facility features a fully automated processing line that includes cleaning, drying, threshing, precision sorting, coating, and packaging operations.

Why did Origin Agritech choose Xinjiang for its seed production facility?

Xinjiang was chosen for its unique solar thermal resources and climatic conditions that create an ideal environment for producing premium-quality corn seeds.

What technology does Origin Agritech use to protect seeds during early growth?

Origin Agritech uses advanced seed coating technology that prevents diseases and pest damage while promoting uniform emergence and robust seedling development.

How does Origin Agritech monitor seed quality during processing?

The facility employs real-time monitoring systems to oversee drying operations and ensure optimal moisture content and seed viability throughout the production process.