Sustainability 2022

I am pleased to address all our stakeholders on behalf of Agrovision Corp. to present our third sustainability report, prepared in accordance with the standards of the Global Reporting Initiative (GRI), under the methodological update of the Universal Standards 2021. In this report, we account for our environmental, social, and corporate governance performance for 2022.

In recent years, we have been committed to developing a modern agribusiness approach to add value beyond our profitability. Therefore, we bring special attention to the fact that, given the expansion of our crop operations in Peru, Mexico, and Morocco, we are creating a high positive impact through the dynamization of the economies in these countries, as well as formal and quality employment, generating welfare and development in the quality of life of their inhabitants.

Our results in 2022
We have been operating continuously for ten years. We are a young corporation that continues to work on delivering a portfolio of premium fruits and vegetables of the best varieties to the tables of thousands of people around the world. We have a solid portfolio of new varieties of blueberries, raspberries, and blackberries in our operations in Peru, Mexico, and Morocco, to supply our global customers year-round with fresh and reliable quality.

During 2022, we faced some global challenges that impacted our operation. At an economic level, we experienced an increase in fertilizer prices as a result of the bellicose conflict between Russia and Ukraine. Regarding our subsidiary in Peru, the socio-political situation in the country exacerbated social conflicts, directly impacting some sectors of the Peruvian business community and families. Although we were not directly affected, we were always prepared and alert to face any situation that could pose a risk to the continuity of the business.

We faced these situations strategically, making decisions in a different manner, being operators and investors to deepen enough and do it right. In 2022, our net sales increased by 47%, accounting for $42,362,215 USD. This growth, which we have constantly maintained year after year, has allowed us to expand our operations in other countries, as well as to have an EBITDA margin of 22%.

I would like to announce that, thanks to our good performance and reputation in the international market, Agrovision Corp. has received the support of leading investors in sustainability, such as Responsibility Investments and Avenue Capital Group. We also celebrate that we have executed commercial agreements for marketing sales with Fruitist & Paradise companies of North American and Mexican capitals, a synergy that will allow us to position firmly among the three main suppliers of blueberries and raspberries for the North American market.

Additionally, I would like to take a moment to recognize the efforts of our Agrovision leaders in LATAM, who, based on their efforts and commitment to the corporation, obtained a $20 Million USD revolving line of credit from IADB Invest. This financing will contribute to supporting Agrovision's increased production and the growth of permanent direct and temporary employment. Increasing the volume of exports will also impulse production of our supply chain.

Technology and innovation
At Agrovision Corp., we aim for the development of intelligent agriculture that contributes to improving the efficiency, productivity, and quality of crops. In this regard, I would like to emphasize that technology is a fundamental complement that we will implement in the next ten years. Under these objectives, we invest in developing genetic improvements in some varieties of the blueberry portfolio, as the Sekoya variety, seeking to extend the shelf life of our products and provide a taste and enjoyment experience for our consumers.

Given the good results we have obtained so far, we are interested in applying these innovations to berries, hoping to materialize these improvements next year. The general idea is to implement more modern tools that allow us to evolve and innovate faster, accordingly to the needs and demands of international markets.

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