After a trading suspension last week, it was announced that Fengle Seed, a corn seed producer, would have 20% of its shares bought by a state-owned rural investment fund.
The shares were purchased by the Central SEO Industrial Fund for Rural Area. The fund was set up by the State Council in order to promote rural revitalization efforts, which include investment in seed technology.
The fund is also the largest investor in seed company Longping Biotech and has substantial investments in other firms operating in feed and animal genetics.
China’s government has been increasingly focused on self-sufficiency and seed technology. Large investments through state-owned funds and companies are seen as a way to boost the development of the domestic seed industry.