Official Launch of the "Nongsikpum Venture Investment Association"... Driving a Virtuous Cycle in the Agricultural Food Ecosystem

Inaugural Chairman Kwon Junhee, CEO of Hi Investment Partners
Secures Over 70 Member Companies Centered on Nonggeumwon

[Asia Economy Reporter Kwangho Lee] An investment association has been established to create a virtuous cycle in the domestic agri-food venture ecosystem. It is expected to play a role in consolidating the power of the government and the private sector for fostering and scaling up agri-food venture companies.

According to the industry on the 1st, the Korea Agri-food Venture Investment Association, a corporation, will hold its inaugural general meeting today and officially launch. The need for the association was raised mainly by the Agricultural Policy Insurance and Finance Service (hereinafter referred to as Nonggeumwon), and related industries united to form the association. The founding members included Junhee Kwon, CEO of Hi Investment Partners, Seongbong Jeong, Head of Investment Management Division at Nonggeumwon, and Hwasung Jeon, CEO of CNT Tech.

The first president will be Junhee Kwon, CEO of Hi Investment Partners. The president’s term is two years starting today. CEO Kwon has experience managing funds primarily focused on agri-food and marine fisheries since the days of Surim Venture Investment, the predecessor of Hi Investment Partners. He is regarded as a suitable candidate due to his expertise and network.

Discussions on establishing the association began earlier this year. The need for the association was raised by investment industry stakeholders at the ‘Gaonnuri Invesium Forum’ hosted by Nonggeumwon, which led to the formalization of the plan. Nonggeumwon then envisioned participation from private fund managers (GPs).

Currently, about 70 member companies are being secured. Approximately 20 ‘special members’ composed of public institutions and general companies, and about 50 ‘general members’ consisting of venture capital (VC) and accelerators (AC) are expected to participate. Nonggeumwon will qualify as a ‘special member company.’

The main projects specified in the establishment charter include ▲analysis of global agricultural industry trends and investment market research ▲certification system for promising agri-food companies ▲training of specialized investment personnel in the agri-food sector ▲support for investment attraction and consulting for investee companies ▲management of agri-food investment information statistics (DB, statistics, white papers) ▲expansion of the private investor pool ▲cooperation with related organizations ▲protection of agri-food investors’ rights and interests.

The association emphasized, “The instability of international grain supply and demand conditions due to climate change and war, as well as the importance of securing food security and food sovereignty, are greater than ever. Digital innovation is needed to address issues such as aging population and shortage of agricultural labor, reduction of arable land, decline in grain self-sufficiency rate, widening income gap between urban and rural areas, and environmental pollution.”

It added, “It is a time when not only promoting public health through food safety but also strengthening green bio and new material research and development (R&D), improving systems to promote industrial utilization, and enhancing the discovery of next-generation promising export food companies are necessary. The association must play a central role in driving the virtuous cycle and growth of the agri-food venture investment ecosystem,” stating the purpose of its establishment.