About ZHENGWEI GROUP Company

We mainly produce dried food and snacks in Jiangxi Province (followed by Sichuan Province and Hubei Province), followed by trade in related products. We were founded in 2002 and have grown our business since the production of dried foods. Using our experience in dried food production and mature brands, we first expanded our business to snack production in early 2019 and launched fragrant lotus seeds. In view of the expected growth in the vegetable and meat snacks market, we further launched vegetable snacks in August 2019, followed by meat snacks in January 2021. The directors believe that the popularity of vegetable and meat snacks in China continues to rise, and the market potential for the Group is huge. In 2021, the market size of vegetables and meat snacks in China recorded year-on-year growth of 14.6% and 9.8% respectively. The vegetable and meat snack market in China and Jiangxi Province is expected to increase further from 2021 to 2026: (i) the vegetable and meat snack market in China is growing at a CAGR of 10.4% and 8.0% respectively; and (ii) the vegetable and meat snack market in Jiangxi Province is growing at a CAGR of 11.4% and 9.0%, respectively. As far as our manufacturing business is concerned, we produce and sell all kinds of (i) snacks (including vegetable snacks and meat snacks), such as crispy bamboo shoots and roast neck; and (ii) packaged dried foods such as mushrooms, dried aquatic products, seaweed, grains and condiments in China. We usually (i) procure raw materials from suppliers, (ii) process raw materials and packaging products in our own production facilities, and (iii) sell products under our own brands “Shengyao” and “Ganweifang”. As far as our trading business is concerned, we buy dried preserves, nuts and other products in bulk from suppliers in China and then sell them to snack vendors and corporate customers without further processing. We believe that the trade business model allows us to introduce selected products to enrich our product portfolio and make full use of sales channels and marketing resources to meet customer needs and preferences. Our diverse product portfolio is large and growing, covering five categories of products, including (i) snacks; (ii) dried mountain herbs; (iii) dried aquatic products; (iv) grains; and (v) condiments, etc. As of June 30, 2022 and the last practical date, our product portfolio included 564 and 583 types of snacks and 625 and 630 kinds of dried goods, respectively. According to Frost & Sullivan's report, in terms of 2021 revenue, we ranked fifth in the casual food market in Jiangxi Province, with a market share of about 0.4%. The market size of the casual food industry in Jiangxi Province accounted for 1.7% of China's casual food industry in 2021.