新 希 望：2023年年度报告（英文版）

NewHopeLiuheCo.,Ltd. 2023AnnualReport 2024-28 [April30,2024] 2023AnnualReport Section1ImportantNote,TableofContentsandDefinitions Theboardofdirectors,boardofsupervisors,directors,supervisorsandseniorexecutivesoftheCompanywarrantthatthecontentsofthisannualreportaretrue,accurateandcompleteandfreeofanyfalserecordings,misleadingstatementsorsignificantomissions,andthattheywillbejointlyandseverallyliableforthelegalconsequences. AsdeclaredbyLiuChang(chairmanoftheCompany),ChenXingyao(chiefaccountant)andSuXiaodan(thepersoninchargeofaccountingorganization&accountantincharge):thefinancialreportinthisannualreportistrue,accurateandcomplete. AlldirectorsoftheCompanyattendedtheboardmeetingdeliberatingthisreport. I.Animaldiseaseandnaturaldisasterrisks Animaldiseaseisthemainriskfacedinthedevelopmentoflivestockindustry.Therearethreekindsofrisksarisingoutoftheoccurrenceofepidemicdisease.First,theoccurrenceofepidemicdiseaseislikelytoresultindeathoflivestock,directlyresultinginreducedyield,increasedcostsandlowerprices.Second,theoccurrenceandprevalenceofanimaldiseaseonalargescaleeasilyinfluencetheconsumerpsychology,leadingtoacontractioninmarketdemand,andalsoaffectingthefeedproductionandoperation.Forexample,thefirstoutbreakoftheswinefeverinChinainmiddle2018causedahugeshocktothewholeindustry.Althoughtheindustryinitiallyexploredtheprevention,controlandtreatmentmethodsofcomprehensivebiosafetypreventionandcontrolcombinedwithpreciseeliminationin2019and2020,theswinefeverexperiencedaweakenedmutationattheturnofwinterandspringbetweentheendof2020andbeginningof2021,makingitmorespreadchannels,longerincubationtime,andmoredifficulttodetectandeliminate.Inrecentyears,theswinefeverhasgraduallybecomenormal,especiallyinwinterandearlyspringwhenthetemperatureislow,theimpactisparticularlyseriousinthenorthofChina. Intermsofthenaturaldisasterrisk,thefeedandslaughterarecloselyrelatedtoplantingandlivestockbreedingindustry.Therefore,thenaturaldisasterssuchastemperatureanomalies,drought,flood,earthquake,hail,andsnowdisasterwillalladverselyaffecttheindustryoperationanddevelopment.NaturaldisastersoccurringinandaroundtheCompany’sproductionfacilitiesmayresultinsubstantialdamagesto productioninfrastructureorequipment.Furthermore,naturaldisastersandextremeweathereventscanalsodriveuppricesforcertainfeedingredientsandmeat.Forexample,atthebeginningof2023,southwestChinaexperiencedwinterandspringdrought,leadingtothecontinuousdevelopmentofdroughtconditionsinsomeregions,andaffectingvariousaspectsoftheindustrychain,includingcultivationandlivestockfarmingtovaryingdegrees.Inthemiddleof2023,centralChinaexperiencedawiderangeofpersistentrainyweather,causingalargerangeofcropdisasters,whichalsohadanimpactonthepriceoffeedrawmaterialsandaffectedthequalityofrawmaterials.TheextensiveheavyraincausedbyatyphooninsouthernChinaalsobroughtadverseeffectondiseasepreventionandcontrolofpigbreeding. Riskcountermeasures:facinganimaldisease,thefarmsconstructedbytheCompanyarenormalizedandstandardizedfarmsstaffedwithprofessionalbreedingtechnologistsandequippedwithstrictanti-epidemicmeasurestoeffectivelypreventandcontroltheoccurrenceofepidemicdiseases.TheCompanyhasalsosummarizedapproachesandmeasuresrespondingtomajoranimaldiseasesthroughyearsofaccumulation,whichallowtheCompanytoeliminatestheimpactofvariousanimaldiseases.Since2014,theCompanyhasbeenguidingtechnicianstobetterserveself-ownedfarmsandexternalfarmersbyestablishinganimalhealthcarelaboratoriesinvariousareas,creatingnationwideanimalhealthcaresystem,andconductingthemonitoringandwarningofanimaldiseasesinrealtime.Specifically,regardingtheswinefeveroutbreakin2018,theCompanyformulatedcomprehensivesetofpreventionandcontrolmeasures.Thesemeasuresencompassvariousaspects,includingtheCompany’sself-ownedpigfarms,collaborativefatteningfarms,pigfeedproductionplants,internalanimalhealthcarelaboratories,withaviewtoensuringproperpreventionandcontrolatthesourceofanimalnutrition.Meanwhile,activelyparticipatinginindustryexchangesandexploringmoreeffectivecontainmentmethodswithpeersallowedtheCompany’sbiosafetypreventionsystemandpigproductionindicatorstoachieveindustry-leadinglevels.Fromlate2020toearly2021,theoutbreakofanewroundofattenuatedswinefeverinmanynorthernprovincesbroughtnewchallengestotheindustryattheinitialstageoftheoutbreak.However,theCompanycontinuestosummarizeitsexperienceandupgradepreventionandcontrolandpurificationmethods,includingdualantibodyanddualscreeninginthewholegroupserum,applicationofthermalimagingdevices,andsafestorageanddisinfectionofmaterials;thepreventionandcontrolprocessiscontinuouslyoptimizedtoensurequickerreturntonormalproductionandreduceunnecessarypreventionandcontrolcosts. Inresponsetonaturaldisasters,theCompany’sextensivedomesticandinternationalbusinesspresenceensurethatspecificregionsexperiencingnaturaldisastersdonothaveasignificantimpactontheoveralloperationsoftheCompany.EspeciallyconcerningthefrequentoccurrenceofrainstormandfloodinginsouthernChina,theCompanyhasaccumulatedalargewealthofexperienceinrecentyears.Ithasestablishedmat