Chairman Lu Qingguo's new year's Day speech in 2022

The arrow of time carrying 2021 is drifting away, and the shuttle of time is stepping on the waves in 2022. On the occasion of leaving the old year and welcoming the new year, on behalf of the leaders of Chenguang Group, I would like to extend new year's greetings and sincere wishes to all employees and their families fighting in India, Zambia and all parts of China, as well as to leaders at all levels, all shareholders, customers, partners and friends from all walks of life who care about and support the development of Chenguang biology.

2021 is the first year of the 14th five year plan. The COVID-19, which has lasted for two years, is still raging abroad, and it is also spreading at many points in China. The national economy is experiencing difficulties in the recovery of demand contraction, supply shocks, and weakening expectations. Stabilizing the development of the economy has become an urgent task. In the face of the complex economic situation, the company is united, dedicated and dedicated, adheres to the general sense of justice, and continues to advocate that we are based on the struggle. Gratifying achievements have been made in various work, and new development momentum has been accumulated in the difficulties. Especially under the severe epidemic situation in foreign countries, the company only dispatched two Chinese employees, and successfully completed various tasks such as pepper acquisition and processing of Indian companies; The employees of the company dispatched to Zambia gave up their families and worked together to overcome difficulties, laying a solid foundation for the future development of the company.

In 2021, the company adhered to customer demand-oriented, continued to strengthen technology, production and management advantages, insisted on creating value for customers, and continued to improve product competitiveness. Chili red and chili essence products have developed steadily, and their leading edge has been further expanded; The development momentum of nutritional products is good, and new progress has been made in the application and development of lycopene; Stevia sales revenue achieved a new breakthrough; Pepper extract, ginger extract, cumin extract and other products have reached a new level; The cottonseed business was operated steadily, and the listing of the sector was steadily promoted; The health food business continued to expand the market, and the sales revenue reached a new high; Animal protection products have a strong momentum of development and are becoming a new growth business. The construction of raw material base in Zambia has been rapidly promoted. The pepper planting area of sina Zonggui farm has reached 30000 mu, and the marigold planting area of qifengbo farm has reached 10000 mu, which has accumulated energy for the future development of the company.

In 2021, the company will continue to promote the upgrading of production technology and equipment to enhance its core competitiveness. Rosemary production transformation project was successfully completed, with an annual processing capacity of 3000 tons and a significant reduction in production costs; The process equipment of the nutritional and pharmaceutical workshop has been transformed and upgraded to reduce personnel and processing costs; Through transformation, the cottonseed production line has further achieved quality improvement and consumption reduction, and many indicators have been improved; The reconstruction of Stevia production line has improved the production capacity and automation, and the new Stevia crystallization line has been put into use; The digital improvement of the water solution workshop has laid a foundation for the construction of a digital model workshop.

In 2021, the construction of new projects will be steady, accumulating new momentum for the future development of the company. Zambian company overcame various difficulties and completed the construction of marigold processing production line. Handan and Tengchong two new health food workshops have been completed and put into operation, and the annual production capacity of soft capsules has increased significantly; Tengchong Jietou marigold processing production line was completed and put into operation in only four months, ensuring the acquisition and processing of marigold. Tumushuke cottonseed processing project was put into operation, and the production cost was greatly reduced. CMA laboratory was officially put into operation, and the expansion of qualification certification was in full swing, with the goal of building an authoritative testing center in the plant extraction industry. Guiyang Chenguang, the second line of nutrition allocation and other new projects have been put into operation; The construction of Tengchong Yunma, API, Hainan Chenguang and other projects was carried out in an orderly manner.

In 2021, the company insisted on R & D with service production and operation as the core, gathered key products, continued to promote process improvement, and strengthened product application development. The refining process of chili red and chili oleoresin was further optimized, which improved the stability of products and ensured the market supply; Major breakthroughs have been made in the research on the fermentation and processing technology of Wanshou chrysanthemum, which is expected to greatly enhance the competitiveness of products; The yield of stevioside and CQA products increased significantly, and the industrial transformation of crystalline sugar project was completed; The research and development of applied products have been rapidly promoted, and new products such as special pigments for meat conditioning, special pigments for hot pot seasoning, high-quality pepper oil, piperine and so on have been introduced to the market one after another; Online detection technology has developed from single near-infrared detection to online refraction, online UV, online single spectrum and other multi-channel parallel technology, and the online detection platform is becoming more and more mature; Breeding experimental base and animal experimental base have been put into use, further expanding the company's R & D capabilities. The company has been approved as a natural pigment quality control and technology evaluation laboratory and one of the top 100 innovative enterprises in strategic emerging industries in Hebei Province; Won the Hebei provincial enterprise technology innovation award and the first prize of Shennong China Agricultural Science and Technology Award; Shache Chenguang company and Tengchong Chenguang company were both awarded the title of national key leading enterprise of agricultural industrialization. So far, Chenguang Group has four enterprises enjoying this honor.

In 2021, the company continued to improve the talent training system, continued to strengthen on-the-job training, job rotation training, professional title evaluation, participation in project construction and other measures, and further expanded the team of industry experts. The company further optimized the employee compensation system, improved the treatment competitiveness, and let the majority of employees share the development results. On the occasion of the 100th anniversary of the founding of the Communist Party of China, the refining workshop of the pigment nutrition division won the honorary title of "National worker pioneer", and the general Party branch of the company was awarded the honorary title of "national advanced grass-roots party organization" by the CPC Central Committee, which is a full affirmation of the high-quality development of the company.

In 2021, the company will continue to promote the construction of management standardization, process and it, further improve the level of refined management, systematically sort out the seven system management priorities, formulate corresponding improvement measures in combination with the actual process of each product, and strictly promote the implementation. The company has established a leading group for digital construction to accelerate the digital transformation and empower high-quality development. The company further strengthened the management functions of various functional departments for subsidiaries, and continuously improved the management level of subsidiaries through institutional system construction, on-site audit and other measures.

Things change and the stars change, and time passes like a song. Over the past two decades, we have made brilliant achievements one after another through hardships and trials. Facing the future, we should adhere to the "three-step" development strategy, give full play to the advantages of talent, technology and equipment, allocate advantageous resources globally, and continue to build a natural extract and biological health industry platform to contribute to the cause of human health.

In 2022, we will adhere to the concept of creating value for customers, accelerate the development progress of applied and composite products, and make great efforts in the research of service solutions for users to create our unique competitive advantage. We should speed up the development of Zambia's planting base and ensure the continuous growth of raw material supply; Continuously optimize the production process, speed up the construction of Hainan subsidiary, and further expand the market share of chili red, chili oleoresin and lutein products. Rely on technological progress to improve the process level, reduce consumption, improve yield, ensure product quality, and strive to build rosemary extract, curcumin, silymarin, stevia, spice products into a new economic growth point of the company; The health food and traditional Chinese medicine business should continue to expand marketing channels, gradually build brand awareness, and cultivate a growth pole for future development.

In 2022, we will insist on building the best executive platform, so that those who want to work have the opportunity, those who can work have the platform, and those who succeed have the harvest. We should continue to build a corporate culture that conforms to the company's development strategy, reflects the characteristics of the enterprise, is recognized by the majority of employees, and condenses the hearts of the people, and turn the corporate culture into the daily behavior of employees, so that the corporate culture can be deeply rooted in the hearts of the people. We should solidly promote the all staff talent project, arrange ideal and ambitious highly educated employees to participate in the project construction, undertake process and technology projects, and cultivate the comprehensive ability of employees; Arrange experienced old employees to take new students, let R & D personnel do pilot tests, follow production, visit customers in the market, etc; Let the staff create more opportunities for learning and progress and realizing self-worth in the progress of production technology, the development of business market and the continuous improvement of management, and take multiple measures to cultivate comprehensive talents.

In 2022, we will continue to strengthen top-level design, do a good job in system planning, and improve the overall management level. Continue to take the seven production management systems as the guide, consolidate and improve the production safety management system, adhere to the management concept of "science, high pressure, strict management and heavy punishment", and ensure safe production. Quality and food safety management should go deep into reality, integrate the requirements of various management systems, improve the on-site supervision and inspection standards, and normalize the quality system management. On the basis of work standardization, process and it, we should systematically investigate and evaluate advanced industrial software, technology and equipment, work with internal and external stakeholders to promote enterprise digital transformation, tap the potential of digital assets, and help enterprise operations to a new level.

In 2022, we will continue to advocate the core concept of joint development between people and enterprises, inherit and carry forward the Chenguang spirit of hard work and dedication, strive to create a work atmosphere based on struggle, and give more opportunities, platforms and resources to strivers. We should focus on creating the "three centers" of leading R & D, pilot test and testing in the industry, gather first-class experts and talents in the industry at home and abroad, and strive to build a technological commanding height in the plant extraction industry.

In the new year, we should keep up with the pace of the times, live up to the heavy trust of the times, be practical, courageous and unswerving, and make no less efforts than anyone, so as to make unremitting efforts to achieve the grand goal of "building a world natural extract industrial base and making contributions to human health" as soon as possible!

Finally, I wish you all a happy New Year's day, smooth work, family happiness and all the best!