PCHK's First Subsidiary Seeks to Dominate China's Castor Industry
PCHK Castor is an integrated agribusiness specializing in the farming, processing, R&D, and sales of castor oil derivative products. The company, based in Hong Kong, has plantations in Xinjiang, China and, due to strong demand growth for its products, is expecting aggressive land acquisitions into other provinces in China as well as Southeast Asia. Conquest seeks to become China’s largest castor oil producer in XX years.
China is an enormous consumer of castor due to explosive growth in castor usage for pharmaceuticals and cosmetics. Conquest is positioned to be a market leader for China’s demand through its global land acquisitions, leading edge R&D, pricing advantages, and strong management team.
Conquest is a “one-stop shop” in China for castor production due to the company’s management of its own plantations, vast sales/distribution networks, joint ventures at strategic global locations, and a visionary management team. This gives the company tremendous economies of scale in minimizing costs and maximizing potential as it aggressively seeks to become China’s largest castor oil producer.
Conquest owns the majority rights to its plantations and equipment, giving the company efficiencies that create strong profit margins as compared to competitors.
The global castor oil market is US$1.18 billion and is expected to grow at a CAGR of around 4.3% through at least 2023. With China being a top three demand markets and the largest growth market into the future, Conquest is poised to reap great benefits.
Conquest has a well-developed customer base with large scale national clients that it will leverage to secure additional long-term customers.
Conquest’s R&D team keeps the company at the forefront of the industry through advances in increased aggregate plantation yield and seed oil content improvements.
The R&D team has pursued developing by-product opportunities that should accelerate Conquest’s growth. The company is proving out strong revenue and profit potential for by-products of its main castor business, including silk worm and animal feed ancillary markets.
Future Growth Plans
Plantation: Increase plantation acreage by first expanding into additional Chinese provinces and then throughout Southeast Asia and Africa.
Castor Oil: Implement cold-pressed castor oil manufacturing for sale to the pharmaceutical industry.
Castor By-Products: Selling of castor cakes made from crushed seeds. These are used in the agriculture industry as a balanced fertilizer far superior to synthetic competitors. Conquest’s product would be able to provide slow and steady nourishment, protection from soil nematodes and insects, acceleration of earthworm growth, and better soil aeration.
Processing: Technological application of castor oil as a bio-fuel.
End-Markets: Major petrochemical companies and export opportunities.