BIGA AGRO GROUPTable of ContentExpansion Business PlanExecutive Summary3Company Background5Management Structure8ySWOT Analysis12Main Products14Operations and Production Plan16Productivity Per Crop Type20Quality Assurance and Control21Marketing Plan22Industry Analysis23Market Description25Competitionp26Business Development Plan27Financial Plan29Risk Analysis36page


BIGA AGRO GROUPExecutive SummaryEntire business is conducted through Biga Armenian‐Dutch JV LLCand Amster Flowers Armenian‐Dutch JV LLC.MissionInvestments PlannedMission of the Company is to produce high quality freshItemagro‐production and deliver it to the ultimate buyers bothGeneral objectives of thein local and foreign are:The Company aims to be an economically viable, consistent, To increase productionsustainable and diversified business which is highlycapacities. To decrease negativeseasonality effects bycompetitive both in local and export markets, which usesgood agricultural practices to produce the highest qualitycultivated, natural, non‐GMO crops for its consumers.diversifying product line. To use advanced andmodern technologies forintensive expansionTotal, USD’mlnBIGAEBRDStrawberry ‐ New12.21.78.3Mushroom ‐ New4.204.2Tomato ‐ New2.702.7Hangar Construction0.200.2Lamps elopment PlanConcept proposalThe Companyp y intends to establish:Currentlyy the Companyp y seeks a strategicg ppartner to attract A new greenhouse of 5 hectares for strawberry growing,financial resources for the expansion of the business.containing 750,000 plants for winter crop Open area of 5ha strawberry fields with small greenhouse forcultivating seedlings on 5 ha with 150,000 plants A new mushroom growing plant near the existing plantplant. A new 1ha greenhouse for tomato breeding, to be constructednear the current one. A special storage for keeping fertilizers, coco peat and otherEBRD is considered as main potential partner. Mezzaninefinancing of USD 16mln may be applied to successfullyimplement the development plan with further conversionto Company in the near future.The financial resources anticipated to be attracted are to befully utilized for business expansion purposes.inventories in secure and safe conditions. Install new growing lights in existing tomato greenhouseExpansion Business Plan* AdditionallyAdditionally, the cash inflows generated from the operationalactivity are to be invested in the business: c. USD 2.7mlnpage

BIGA AGRO GROUPCompany Background

BIGA AGRO GROUPCompany BackgroundBIGA’s long term vision is to increase profits by decreasingproduction and operational costs and increasing its market reachglobally.VisionQuality assures long term profitability.General objectives of theBIGA ltd is dedicated to produce the best quality freshbusiness are:fruits and vegetables and thus increase brand loyalty of its To increase productioncustomers, resulting in higher customer retention rate. Allcapacities. To decrease negativethe above mentioned attributes will allow BIGA togradually increase the production rate, and simultaneouslyseasonality effects byraise the production prices. BIGA strives to be thediversifying product line.dominant food exporter to Middle East and reflect To use intensive advancedand modern technologiesAgricultureRegistration Date:24.02.2005Registration Number:26411007131Tax ID:00089298Legal Address:36/3 N. Zaryan Str., Yerevan,ArmeniaLongg Term GoalsShort Term Goals Penetrate into new markets by positioning as high Increase productivity in existing greenhouse by using Establish relationship with leading distributioncompaniespin CIS and the Middle East Expand collaboration with Mirak Group by growing newvegetables (iceberg lettuce) and fruits (cherry) Establish R&D department to provide researches inthe fields of adapting advanced technologies to (in) localenvironmental conditions and to develop strategy tosubstitute imported materials with locally producedExpansion Business PlanSphere:Armenian fresh food’s image in the region (Middle East).quality, non‐GMO product from ArmeniaThe CompanyThCwas awardedd d withihsolid awards for many yearsBasic Informationnew technologies and build a new 1ha greenhouse Construct hangar for store in proper conditions turf andother inputsputilized for mushroom business Build new 12 units mushroom factory Build 5ha of strawberry greenhouse to utilize the highprices in winter season Use extensive growing technologies in newlyconstructed strawberry greenhouse Establish Accounting and Management reporting OSpage

BIGA AGRO GROUPAAnnuall salesl ffor 2013was over USD 5mln.Company BackgroundBIGAAMSTER FLOWERSBIGA was registered in 2010 and is operating inAMSTER FLOWERS was registered in 2006 and is engagedStrawberry and Mushroom growing tomato growing and decorative plants import,Strawberry growing fields are located in Akunqregeneration and distribution. Tomato greenhouses areCommunity,y, Kotayqyq Region,g , Armenia.located in Margara,g , Armavir Region,g , Armenia.Mushroom growing plant is located in Margara, ArmavirPlants business is operating from Margara, Armavir Region,Region, Armenia. BIGA Mushroom is using the latest DutchArmenia (growing facilities) and 9 Arshakunyats Ave,technologies in the production in order to achieve highYerevan (Showroom).quality and maximum yield .Existing Production CapacitiesInvestments, USD’000, 2010‐2013Net Profit for the sameperiod exceeded USD950k.Business Direction Strawberry fields MushroomGrowingAreaAnnualYield15 ha350tones2,880 sqm720 0363,237301Plant* Tomato10,000 sqm362.5 tonesStandard7,500 sqm300 tonesCherry2,500 sqm62.5 tonesTotal* Actual investments were made in 2006This business line is excluded from calculations andprojections due to its small share in total volumes,instead all fixed expenses are considered.Expansion Business Planpage

BIGA AGRO GROUPThe business ownersare actively engaged inbusiness managementprocesses by ensuringthat the business isproperly managed andcontrolled.Management StructureIn 2014, BIGA and AMSTER FLOWERS will be grouped under theumbrella of BIGA AGRO GROUP to manage the whole business.BIGAKey Management PersonnelShareholder NameShare, %Karen Gevorgyan30%Kim Yeganyan25%Garnik Petrosyan25%Amster Flowers JC LLC20%Total100%AMSTER FLOWERSShareholder Namebusinesses.Li ManagersLineMMr. Davit Ghukasyan – Mushroom business.Mr. Aram Asatryan – Tomato growing business.Mr. George Gadimy – Strawberry business.M DonaraMrs.DK t dKostandyan–StStrawberrybbbusiness.iCurrent StructureShare, %Kim Yeganyan45%Garnik Petrosyan45%Karen Gevorgyan10%TotalMr Samvel Petrosyan ‐ general manager, whole100%All strategic decisions are driven by shareholders, who are actively engaged in the management processes of they and operationalpmanagementgis conducted byy experiencedppprofessionals, who carryywhole business, while dailyout daily works to ensure stable management over the whole process.Expansion Business Planpage

BIGA AGRO GROUPLocations and Existing Infrastructure – StrawberryStrawberry growing fields are located in AkunqCommunity, Kotayq Region, Armenia.Strawberry Growing FieldsView on Strawberry Growing FacilitiesThe Company operates on rented land plots of 15hectares in Akunq Community, Kotayq Region, ArmeniaP h dPurchasedby running constructed production premises on 8The first harvest ofstrawberry wasreceived in 2012.hectares of the above mentioned area.For effective management and tax optimizationpurchasedToTobebepurchasedpurposes the properties are rented from theshareholders.The construction process was finalized in March, 2013.Overall USD 4.5mln was invested in this business line.Source: Google MapsThe first harvest of strawberry was received in 2012.The equipment and technological systems have beenpurchased from Mirak Group.Overall 500k plants are planted on this area, whichensures 350 tones of strawberry growing annually (i.e.each plant provides 0.7kg crops annually).Special Fast cooling System‐FCS was established toprolong shelf life and deliver fresh products to local andforeign markets. The production capacity of FCS isexceedingdcurrent productiondvolumeslandd can serve thehexpansion requirements.Expansion Business PlanActual InvestmentsItemLand Purchase and LevelingValue, ment & Machinery952,000Plants500,000Perlit & Coco peat260,000Other CAPEX490,000Total4,512,000page

BIGA AGRO GROUPLocations and Existing Infrastructure – TomatoTomato growing greenhouses are located in Margara, ArmavirRegion, Armenia.Tomato Growing GreenhousesView on Tomato Growing FacilitiesThe Company started tomato growing in 2010 andcurrently has two greenhouses with total growing area of10,000 sqm, which ensure c. 360 tones of harvest annually.The greenhouses are furnished with modern equipmentsand technologies, purchased from Ammerlaan. Theproduction is based on hydroponics standards.Hydroponics is the production of vegetables in modern,temperature‐controlled, multi‐span tunnels. In terms ofimplemented systems computer temperature sensors,automatic opening and closing vents, automatic mistingunitsnits and temperaturetemperat re controlled fans are being exploited,e ploitedThe first harvest oftomato was received in2010.which significantly increase the effectiveness and theefficiency of vegetable growing processes.Greenhouse/hothouse hydroponic tomatoes are used forthe fresh tomato market only.y While these tomatoescommand a premium price in the market place, they arenever used in processing. GH tomatoes would beconsidered trash in processed markets due to their waterSource: Google MapsActual InvestmentsItemGreenhouseValue, ther253,976Total2,760,000content. Additionally/Moreover, no bioengineered varietiesare grown; most greenhouse varieties are produced byDutch or Israeli seed companies.Expansion Business Planpage

BIGA AGRO GROUPLocations and Existing Infrastructure – MushroomMushroom growing plants are also located in Margara, ArmavirRegion, Armenia.Mushroom Growing PlantsView on Mushroom Growing FacilitiesThe Company is in mushroom growing business since2011. Currently the Company processes two mushroomplants with overall area of 2,400 sqm, containingThe first harvest ofmushroom was receivedin 2011.productive shelves of 2,880 sqm, which daily productionamounts to 2 tons. The mushroom plants are located inMargara, Armavir Region, Armenia.CConstructioni processes off theh greenhouseshwere completedl din 2010‐2011, by Christiaens Group. BIGA startedcollaboration with Mirak Group in 2011 having a currentproduction capacity of 2 tons per day and planning toincrease the production capacity to 4 tons per day.dayBIGA Mushrooms is using the latest Dutch technologies inthe production of the mushrooms in order to achieve highquality and maximum yield from the said areas.Source: Google MapsActual InvestmentsItemFactory3,598,193In its end Mirak Group is exporting mushrooms throughoutSurrounding area of buildingthe GCC and Asia, and looking to expand to the SoutheastBuilding works400,000Asia. The mushrooms are packed in 250g punnets with 8Other building works125,000punnets in a carton with a net weight of 2kg.Water drill19,277Road38,554Electrical grid & transformer33,735TotalExpansion Business PlanValue, USD50,0004,264,759page


BIGA AGRO GROUPSWOT AnalysisThe company permanently pays attention to the improvement ofits weaknesses by using its strengths and opportunities in orderto properly overcome the threats.threatsStrengthsWeaknesses Main shareholders actively engaged in business Lack of financial resources to finance the potentialmanagement Stable and long term relations with foreign partners Existence of advanced growing technologies andautomated control of production process Brand recognition in local and foreign markets Highly supported by the Armenian Government High‐quality technologies and equipment Professionally trained staff Business synergies and economies of scale due to theproduction varieties Dominant market share in local strawberry market Diversified business both geographically and byrealization Professional international consultants and first handmarket information Existence of own premises Existence of show room in Yerevan Presence in manyy shopsp and supermarketsplocallyy andinternationally Certificate of Non‐GMO productionExpansion Business Planggrowth of the business Seasonality of the strawberry growing due to the open airfieldOpportunities Availability of more than 40ha potential strawberrygrowing areas bordered with existing farm Huge potential in new gulf markets (Kuwait, SaudiArabia, Qatar) Easier export operations to new Customs union membercountries Increase of the demand for high quality GMO free food Own land in Armavir region for expanding mushroomand tomato productionThreats Currency rate fluctuation Competition in foreign markets Transportation issues in case off export off vegetables;bl Emigration of population, which leads to the workforcefluctuations and decrease of local market demandpage


BIGA AGRO GROUPMain ProductsStrawberryMushroomThe Company grows Albion, Portola and MontereyThe Company grows Champignon type of mushrooms,strawberry varieties. Each plant provides 0.7‐1 kg cropwhich has large consumption both in local and foreignannually. Berries are sweet flavored, red throughout,markets and is widely used in local and foreign cuisines.conical and evenly shaped with a high percentage of topMushrooms are categorized to three sizes, by the diameterquality fruit. This variety is considered as disease resistantof the cap: small (3cm‐4.5cm), medium (4.5cm‐6cm) andand day neutral plant by ensuring 10‐day shelf life, whichlarge (6cm and more). Local market consumes mainly largemakes the production more competitive in terms ofand medium cap mushrooms while The Middle Eastexportation and realization. Those species produce a highconsumes mainly small cap mushrooms. Marketpercentage of marketable fruit that are quite firm and evendiversification assures high prices for all produces,produces whereasenduring prolonged wet Armenia the small caps are considered as immature andthus are priced very cheap.TomatoDecorative PlantsThe Company grows Cherry, Beefsteak and Standard juicyThe Company runs both indoor and outdoor decorativetomato varieties. Cherry tomatoes are slightly smaller andplants importation and trading business.sweeter than conventional tomatoes. They are a popularOverall more than 100 varieties are presented to the localvariety of tomato all over the world. Beefsteak tomatoesmarket based on specific volatile demand changing yearare large,ljjuicyi tomatoes perfectf ffor eatingi freshf h fromfthehover year. TheTh plantslare bbeingi iimportedd fromfHolland.H ll dharvest. Beefsteaks are typically wide tomatoes, but themore round types have a sweeter flavor.A Cherry plant provides 25‐30 kg, and a beefsteak plantprovides 40‐5040 50 kg crops annually. The highest figures ofyield will be reached by using the special energy efficientgrowing lights.Expansion Business Planpage

BIGA AGRO GROUPOperations and Production Plan

BIGA AGRO GROUPOperations and Production Plan – StrawberryDescriptionThe strawberry plants are being purchased from Holland, where the Company has a long term strategic partner, VissersAardbeiplanten BV.The plants are being seat in the end of April and the first harvest is being gathered after 2 months. After the first harvest ondaily basis the harvest is gathered by the collectors. The harvest season lasts till the end of November. Each plant produces upto 1kg crop, which can be increased up to 1.5kg within 1‐2 years, via the improvement of production process. The strawberryffarmisi theh onlyl one ini Armenia,Ai whichhi h hash a post harvesthtechnologyh linstalledill d ini house.hItI includesi l d theh system off fastf cooling,liwhich allows maintaining “just‐picked” fresh quality of berries, facilitates the (easies) transportation and prolongs the life spanof berries by extra 10 days. The berries grow open air, which makes them exposed to the direct sunlight, wind and rain andCurrently thethus improves the plants’ photosynthesis and absorption of oxygen through rain. The pollination is carried out by speciallybusiness ownersimported bees. Harvesting berries in special boxes located above 80cm ground level allows eliminating the risk of variousand specialistsdiseases that can occur by berries interacting with the soil if grown on the ground. It also increases the crop collectionthink aboutefficiency by workers as they do not bent to collect the crop. Closed controlled irrigation circle in place saves water and reducesincreasing thequantity of mineral substances used, resulting in a better quality crop. All together, the detailed consideration and control overefficiency andharvesting and post‐harvesting processes extends the berries shelf life.effectiveness ofThe foreign buyers send company specialists to Armenia to train the local staff each year for 2 months. They also follow thestrawberrycrop collection process and thus carry out quality control process on site. The gathered production is packaged in boxes, whichgrowing.ensure the products are not damaged during the transportation. The realization is being conducted by drivers, who arrangeParticularly, specialtransportation of the products from the fields to the Airport for export or to the large supermarkets. To be noted that retailerspots are to beband buyers of smaller volumes purchase strawberry right from the field.installed forconstructing 8‐levelgrowing areas(overall 4 plants oneach level).Expansion Business Planpage

BIGA AGRO GROUPOperations and Production Plan – MushroomMushroom growing factories are furnished with equipmentimported from the well‐known producer CHRISTAENS GROUP toensure high‐qualified products.DescriptionThe company imports 3rd phase ready‐to‐grow mushroom compost from Netherlands. Other composts (Hungarian, Polish,Armenian) testing showed that the best price/quality/quantity ratio is provided by the Dutch compost. The compost is beingplaced on the shelves and being irrigated with water enriched with fertilizers. Special systems are installed to allow permanentcontrol over the humidity, air conditioning and temperature in each hall, where the shelves are located.Special software system is installed, which is used to monitor and control the productive environment. The software allows themanager to control it remotely via mobile or other devices.As per technology the first harvest of mushroom is being received 12 days after seeding. Actually the first harvest is about248 8 kg248,8k per sqm off theth productiond ti area. ThThe secondd portionti off theth harvestht isi receivedi d afterft 14 days.dTheTh gatheredth d mushroomshare being packaged in special boxes for further transportation to export markets or local resellers.There is a fast cooling system which is being utilized for keeping the gathered mushrooms’ fresh product look till itstransportation to the buyer.Growing processes in mushroom business are managed, monitored and controlled by a software product, developed byFANCOM specialized Software company. The software allows setting the indicators acceptable thresholds and in case ofdeviations from those limits special alarms are sent to the controller.The Company has own vehicles which are exploited for the product transportation.Expansion Business Planpage

BIGA AGRO GROUPOperations and Production Plan – TomatoTomato growing greenhouse is equipped with high‐qualitytechnologies including hydroponic and drip irrigation systems.DescriptionThe tomato seeds are imported from the Netherlands. The plants are usually seat in July‐August each year and the first harvestis gathered from September, which lasts till June (next year). Overall 50 kg of standard tomato and 25kg of cherry tomato isbeing gathered per 1 sqm of the growing area annually.annually For effective business management purposes July‐AugustJuly August is selectedas a period for plants’ renewal given that the market prices are at the lowest level for that period, thus it is not economicallyjustified and effective to grow tomato in greenhouses during those months. To arrange proper pollination within thegreenhouse sections special bee‐hives are being used, which are purchased from Biobest Belgium N.V. Those bee‐hives arerenewed every 6 weeks. Overall 8 bee‐hives are installed in the greenhouse to “serve” the whole area. Given the fact that thewhole harvest season is 8 months, the total quantity of bee‐hives purchased is about 30 annually. A correct balance betweenmacronutrients and micronutrients is provided to obtain the best results from tomato crops. A water reservoir is installed inthe greenhouse which ensures permanent water supply to the plants. Before supply the water is being enriched with fertilizersand special medicines are being added to the water to eliminate the risk of any possible diseases.Special software system is installed in the greenhouse, which allows to preliminarily set thresholds for humidity, airtemperature, day lights, etc. In case of any deviation of those indicators special alerts are being sent to the staff members forpreventive or corrective actions. In the current stage the business owners intend to install special lamps, which will ensureproper lighting in the greenhouse thus encouraging the plants grow faster and more effectively. This will also lead to thedecrease in gas utilization expenses by cc. 25%25%. There is also a special water tank located in the greenhouse where the water isbeing gathered during day time which in the night time is used to reduce gas utilization expenses. The Greenhouse has its ownheating substation, which can independently provide heating to the whole greenhouse in case of the interruption of gas supply,based on diesel engine.The harvest is beingg ggathered on dailyy basis and immediatelyy transportedpto the resellers and other buyers.ySome pportion ofthe harvest is being collected by the buyers themselves.Expansion Business Planpage

BIGA AGRO GROUPTotal area ofstrawberry growing isProductivity Per Crop TypeEach plant has its own growing cycle which directly impacts theproduction volumes and cash flows of the whole business.Annual yields per square meter for each crop type (kg/sqm)arranged on the fieldsof 15 HHHHHHHHHBeefsteak tomatoes andPlantsHHHHHHHHHHHHthe other one forH – Harvest SeasonJan Feb Mar Apr May JunJulTomato is harvested on10,000 sqm greenhousecomprising of two 5,000sqm sectionssections, one forN – No HarvestCherry.The Mushroomproduction plant is inProductthe same land plot withStrawberry‐500k plants000005050507080500350Tomato (Beefsteak)(fk) 1.92.72516,2 20,2 24,7 24,7 24,7 24,713,513,5 13,5 24,7 24,7 24,7250tomato greenhouse andhas area of 1,000 sqm,with productiveshelves of 2,880 sqm.Expansion Business PlanTomato (Cherry) m2Mushroom –m2Aug Sep Oct Nov DecpageTotal

BIGA AGRO GROUPQuality Assurance and ControlTo ensure the quality of the products is properly satisfying thestandards and is within the acceptable framework the Companyconducts regular quality check processesQuality Assurance Actions On monthly basis the water utilized in the production processes of tomato growing cycles is sent to the Netherlands to getth llaboratorytheb On monthly basis the statistical data regarding the weather conditions and the quality of the product received are analyzedto reveal the impact of weather conditions on the quality and quantity of the harvest. Plants of strawberry (Vissers Aardbeiplanten BV), compost for mushroom growing (Walkro International BV /also fromttheire subssubsidiaryd a y cocompanypa y ‐ DTO/)O/) aandd seeds oof totomatoato ((fromo tthee ggrowers)o e s) aaree bebeingg pupurchasedc ased fromo thet e e a ds Coco peat is being purchased from a well‐known company, located in Sri Lanka. Cardboard box “bee hives” are purchased from Biobest Belgium N.V., which has a good reputation in its field. Mirak Group, strategic partner of the Company, conducts regular visits to the production premises by analyzing theproduction and harvest gathering processes. Daily monitoring and controlling activities are being conducted by the staff in the local work stations and productionfacilities. The computer systems allow setting up required settings to manage the climate within the greenhouses by automaticallychanging the internal climate depending on external weather conditions, i.e. sun, light, wind, etc.Expansion Business Planpage


BIGA AGRO GROUPOverall 11,406.03 tones offresh fruits and vegetableswere exported fromArmenia as of March 20,2014, against the 3,312.64tons in the same period lastIndustry AnalysisCurrent strategy of RA government is mostly inclined toencourage the development of foreign investment and fosterbusiness cooperation with foreign companies.Macroeconomic HighlightsExport Statistics by Product Types3Currently the agriculture sphere is one of the vital areas ofProductTypeypTomatoth llocall economy.theyear4.This strategy has a fundamental role for the full use of localeconomic 59201111366Volume, TonesIn recent years the agricultural industry has been ensuring20126655GGeorgiai8 815 588,815.58about 17%%oof GGDP,, which,c , cocombinedb ed witht tthee ssharea eoof 0128301,29320131 3471,3472 2842,28420107252industrial agriculture in Armenia is largely contingent on20117469the export potential.2012414770There are cc. 900 greenhouses in the country in 2013 2,199CountryIraq66.72UAE36.60Uk iUkraineTotal0 160.1611,406.03processing, results in c. 23% of GDP.1MushroomAbout 97% of agricultural production is provided byprivate sector.Current TrendsGiven the small size of the local market, development oftotal area of about 130 hectares. The largest greenhouse is5 hectares.About 60% of their outputs are vegetables – tomatoes,cucumbers, beans and peppers, and 40% are flowers andornamental plants2.Source: (1); (2); (3) (4) http://news.amBerryFlowerspage

BIGA AGRO GROUPThe whole business can bedescribed as export‐orientedand well diversified.The export market includesDubai, UAE, where theCompany sells through itsmain partner MIRAK GROUPand the Russian Federation,wherehBIGA LLC cooperateswith AGRIKON LTD.Market DescriptionThe Company sells its products both in local and foreign markets.The export market includes mainly UAE and RF.StrawberryMushroomLocal market capacity of strawberry is almost 200 tonsIn terms of Mushroom growing and realization currentlyannually, which is provided mostly by the Company (c.the Company has solid market position by being85%) and a number of small local householdhousehold‐producersproducersrepresented in all large supermarket chains and shopsshops.(c. 15%). In 2013, more than 50% of the producedAs per the Company’s calculations half of the production isberries have been exported to Dubai, UAE and Russia,consumed in local market, which assures c. 50% of localwhile the rest has been consumed volume.Local sales are conducted mainly via major supermarketchains and wholesalers, through which the Company’sproduction is delivered up to local corner shops.The remaining part of produced mushroom is exportedmainly through MIRAK GROUP to Carrefour, Waitrose andSpinney's supermarket chains in Middle East.TomatoDecorative PlantsTomato grown by the Company is historically realized inDecorative plants trading business is comparatively new forlocal market. However, the business owners haveArmenia and currently there are no many large players inpreliminary intentions to arrange exportation ofthis market.tomatoes starting from Russian market.Given the diversification of the whole business the Company’s main clientele consists of both corporate(wholesale) and individual (retail) customers. Furthermore, the Company realized the production in local andforeign markets. Currently proper arrangements are in process to get certification of organic production, whichaims to strengthen the Company’s market positioning.Expansion Business Planpage

BIGA AGRO GROUPMarket DescriptionStrawberry and Mushroom are being exported, while Tomato andDecorative Plants are fully realized in local market.StrawberryMushroomThe Company has 245 tones maximum capacity ofThe Company has 720 tones maximum capacity ofstrawberry supply hasstrawberry production on annual basis. Based on themushroom production on annual demanddemand, the Company has selling potential up toNote that the market is also introduced with canned Dubai market is Russian market for1,000 tons per season, mainly to UAE and Russia. MIRAKmushroom products, which take some market share.attractive for April‐Group is ready and wiling to ensure 1,000 tones of annualAmong the main players BONDUELLE can be mentioned.September each year.purchase of strawberry.No strawberry harvest is gathered during April–Septemberin Dubai. For local market it is typical that the prices areMain Customersvery attractive and beneficial during October‐NovemberClient Namemonths.LocationProductsMethodpSales Structure: Local vs. ExportMirak

The Company is in mushroom growing business since 2011. Currently the Company processes two mushroom plants with overall area of 2,400 sqm, containing productive shelves of 2,880 sqm, which daily production amounts to 2 tons. The mushroom plants are located in Margara, Armavir Region, Armenia. Ci fhh ld The first harvest of mushroom was received