The board of directors of Yamada Green Resources Limited announced that the Group intends to wind down and eventually cease its Processed Food Products Segment (hereafter "Segment"). The production of processed food products is expected to be ceased by end of June 2024. The revenue for the Segment has been continuously declining for the past few years as a result of the decline in sales in both the domestic and overseas market.

Other than the repercussion from the COVID 19 pandemic in FY2021 and FY2022, the decrease in domestic sales was mainly due to challenging economic climate in China where there are intense price competition and longer repayment period from customers. Meanwhile, the decrease in sales to overseas markets was mainly due to decline in demand because of the significant weakening and devaluation of the Japanese Yen, the global slowdown in economic activity and high inflation. In addition, the Group has also discontinued certain loss-making products which contributed to the decrease in revenue.

However, the Group is not ruling out the food business permanently. The Group continues to explore other business opportunities and segments including the food segment.