II. Market Size and Potential

1. Total Potential Market:

Industry data shows that if high-folate soybeans are used in all "soybean application scenarios that need folate fortification", the total potential market size for folate is estimated at around USD 90 million. This is based on projections that the global market for functional foods and natural health products will reach RMB 180.858 billion by 2025. Domestically, the market for high-value-added soybeans is expected to exceed RMB 69.646 billion in 2025.

2. Addressable Market:

The initial focus will be on the downstream processing clusters in China's main soybean-producing regions in Northeast China and the Huang-Huai-Hai summer soybean area. Heilongjiang Province, the country's top soybean-growing province, offers good conditions. In 2023, it planted over 73.97 million mu of soybeans, and the government provides a subsidy of RMB 350 per mu for high-quality soybeans. This support makes it possible to quickly set up large-scale planting bases there. Shandong Province is home to over 10 enterprises listed among the top 50 in the soybean product industry. These enterprises have an urgent need for high-folate raw materials, and the market size they are expected to reach is approximately 4-6 billion yuan.

III. Characteristics of Market Demand

1. Demand from downstream enterprises:

Infant complementary food manufacturers commonly struggle with "high costs for chemically fortified raw materials and low consumer trust". They show strong acceptance of "natural high-folate ingredients" and are willing to pay a premium of 3,000-5,000 yuan per ton of raw materials to reduce product development risks and boost market competitiveness.

2. Demand from the planting sector:

Agricultural cooperatives and large-scale farmers have a strong need for "high value-added crop varieties". With government subsidies, if high-folate soybeans can generate an additional income of over 200-300 yuan per mu compared to regular varieties, the planting willingness is projected to reach 70-80%.

3. Consumer demand:

Women of childbearing age and mothers clearly prefer products labeled "natural nutrition" and "no additives". Over 65-75% of survey participants stated they would accept a price increase of up to 10-20% for foods with a "folate" label.

Part II Product Introduction

I.Overview of Product Functions and Services

The core product of this project is high-folate soybeans. It is intended to enhance the folate content in soybeans through synthetic biology techniques, thus providing the public with a safe, convenient, and efficient solution for "food supplement" of folate.

II. Core Value Proposition

Derived from natural crops, the dietary folate in this product avoids potential liver and kidney strain and health risks linked to synthetic folic acid. It also offers greater convenience and efficiency, as folate can be supplemented through daily foods like soybean milk and tofu, significantly boosting user adherence. Moreover, the stable and controllable folate content meets the precise nutritional needs of specific groups such as pregnant women and middle-aged/elderly individuals.

III. Service Model

In terms of the commercialization path, we plan to advance it in stages.

Initial phase: Supply high-folate soybeans as a high-value raw material to food processors, including soybean product manufacturers and health supplement companies.

Medium phase:Collaborate with partners to develop end consumer products like high-folate soybean milk powder, reaching customers through both online and offline channels.

Long-term Goal: Expand the mature folate fortification technology platform to other staple food crops and establish itself as a provider of "nutritionally fortified crops" solutions.

IV. Technology Implementation and Innovation Points

Our product offers significant advantages over traditional synthetic folic acid supplements:

1. The dietary folate it contains is more easily absorbed and utilized by the human body without undergoing complex conversion processes, which can effectively reduce the metabolic burden on the liver.

2. The selection of soybean as the fortification carrier is a well-considered decision: soybeans are naturally rich in high-quality protein, dietary fiber and other nutrients, are an important crop grown widely around the world, and have a well-developed processing industry chain.

3. Through the innovative technical approach of "increasing sources and reducing expenditures" (introducing exogenous genetic elements, enhancing the expression of key enzymes in the folate synthesis pathway in soybeans, and using gene editing technology to knock out or inhibit the activity of enzymes related to folate catabolism), the total amount of natural folate in soybeans is increased, ensuring that the total amount of folate absorbed and utilized meets the body's requirements. The folate content in soybean seeds has been successfully increased. This means consumers can meet their folate needs just by eating soy products in daily life, which greatly improves the convenience and sustainability of nutritional supplementation.

Part III Operation and Marketing Plan

I. Operation Plan

1. Supply Chain Operation

(1) Planting-end Management

At the start, instead of rushing to expand farmland, we will focus on partnering with local agricultural cooperatives near the university or using university experimental fields to run small-scale planting trials covering 5–10 mu. This approach allows us to get technical guidance from agricultural experts at the university while keeping initial investment costs under control. We will work with biology and agronomy instructors to create a user-friendly "High-Folate Soybean Planting Guide" that includes seed preparation, fertilization tips, and common pest control methods. A student technical team of 5–8 members will also be set up. They will visit the fields 2–3 times weekly to collect data and offer support, which helps keep folate levels steady. In terms of acquisition, we plan to purchase from cooperatives at a price 10%–15% higher than that of ordinary soybeans. This approach not only ensures farmers' income but also helps control our raw material costs.

(2) Production and processing management

The processing steps will be entrusted to qualified small food workshops near the school for initial cleaning and sorting, with processing fees ranging from approximately 800 to 1000 yuan per ton. Folate content testing will be directly carried out using the high-performance liquid chromatography instrument in the school laboratory, eliminating the need for additional equipment purchases and truly achieving the goal of "light assets, heavy technology".

(3) Warehousing and logistics management

For warehousing, we do not currently have a dedicated warehouse and plan to rent space in the school's research warehouse or use existing areas of the cooperative (about 10–20 square meters). Storage will be done with simple constant temperature equipment, and monthly rent will be kept within 500 yuan. For logistics, we will partner with local delivery services like ZTO and YTO Express to handle small-batch, low-frequency transportation needs. Individual shipping costs will be kept between 50–100 yuan, ensuring logistics expenses align with the project scale.

2. Team Operation

The team consists of three core groups: Technical Group (biology/agronomy backgrounds, responsible for breeding and cultivation), Operations Group (economics and management majors, handling partnerships and cost control), and Promotion Group (journalism/communication and marketing majors, managing branding and channels). The total team size is approximately 15–20 members, all currently enrolled students. Technical training sessions will be held biweekly, with key planting techniques instructed by agricultural college mentors. Meanwhile, the Promotion Group will attend monthly practical training programs organized by the Entrepreneurship Center, covering topics such as new media management and business communication skills. For daily collaboration, progress is synchronized using tools like Tencent Docs and Lark. This approach avoids introducing complex systems, helping maintain flexibility and efficiency.

II. Marketing Plan

1. Market Positioning and Target Customers

The core marketing concept is positioned as "natural folate supplementation around campus", featuring "student-developed formulas, local cultivation, and budget-friendly pricing" to create differentiation from high-end functional agricultural products currently available.

B-end customers (business clients):
C-Primary targets include school cafeterias, campus supermarkets, nearby breakfast outlets, and bean product shops. These clients typically place small orders with monthly requirements of 50–100 kilograms, have low entry barriers for cooperation, and show moderate price sensitivity, making them ideal partners for small-batch trial production and sales.

D-end customers (consumer clients):
Key focus is placed on serving university faculty/staff and middle-aged to elderly residents in surrounding communities. Due to close geographical proximity and established trust, over half of this group demonstrate willingness to purchase products with slightly higher prices that offer enhanced health benefits.

2. Marketing Strategy

B-end Cooperation:
In the initial phase, efforts will be made to partner with 1–2 canteen stalls and 3–5 off-campus food service outlets. Free samples of 5–10 kg will be provided to help develop specific products like high-folate soybean milk and tofu pudding. Promotion will be done through canteen display boards and store posters, without allocating significant advertising resources.

C-end Promotion:
Online, folate educational materials and project updates will be shared via the university's official WeChat account, class groups, and club communities. Offline, tasting events will be held at canteen entrances and community squares. Flyers and posters will be printed by the university's copy shop, with the total budget kept between 500–800 yuan.

Channels and Pricing:
For B-end clients, the raw material is priced at 4.8–5 yuan per jin, which is approximately 10% higher than regular soybeans. Bulk soybeans for the C-end market are priced at 8–10 yuan per jin, with 200-gram small packages (5–6 yuan per bag) being developed simultaneously. These products will be sold through campus stalls and supermarket shelves, and will not be made available on major e-commerce platforms for the time being.

3. Promotion Plan

Months 1–3: The planting pilot program will be completed, contracts will be signed with 1–2 canteens and 2–3 restaurants, C-end sales of 5,000–8,000 yuan will be achieved through stall operations and community activities, and campus awareness will reach 30%–40%.

Months 4–6: Expansion will be made to 2 canteen windows and 5 restaurants, small-package products will be launched, entry into campus supermarkets will be secured, and C-end sales will exceed 10,000 yuan.

Months 7–12:The supply chain will be stabilized, products will be optimized, annual C-end sales will be targeted to reach 15,000–20,000 yuan, and a replicable "campus-community" micro-circulation model will be established.

Part IV Team Introduction

I. Core Composition of the Team

The SCAU Guangzhou High-Folate Soybean Team is a professional team led by Professor Wang Yingxiang, who has received the National Outstanding Youth Fund. It is established based on the Plant Reproductive Development and Soybean Germplasm Innovation Research Team, South China Agricultural University (SCAU), and the Guangdong Laboratory for Lingnan Modern Agricultural Science and Technology. There are 24 core members in total, covering three major fields: "technology research and development, industrial implementation, and operation management".

II. Background of Core Members

1. You Chenjiang - Team Leader/Instructor

Field of Expertise: Molecular mechanisms of biosynthesis and functions in plant non-canonical small RNAs, and epigenetic regulation of soybean flowering time

Educational Background:In July 2015, he received his Doctor of Science degree from Fudan University. From October 2015 to July 2020, he conducted postdoctoral research at the University of California, Riverside, USA.

Professional Experience: In September 2020, he was appointed as a Young Researcher at Fudan University as an introduced talent. In January 2023, he joined South China Agricultural University as an introduced talent to carry out teaching and research work, and also took a concurrent position at the Guangdong Laboratory for Lingnan Modern Agricultural Science and Technology. Currently, he mainly focuses on research in plant epigenetics, particularly in the field of non-coding RNA and reproductive development. More than 30 papers have been published in international journals including Nature Communications, PNAS, and Genome Biology.

2. Yalin Liu - Team Leader/Leading Teacher

Professional Field: Focusing on the core issues of chromosome biology and genomics in plant reproductive development

Educational Background: September 2007-June 2011 Northwest A&F University, Bachelor of Agronomy; September 2011-June 2018 Institute of Genetics and Developmental Biology, Chinese Academy of Sciences, Doctor of Science

Work Experience: July 2018-April 2019 Institute of Genetics and Developmental Biology, Chinese Academy of Sciences, Postdoctoral Fellow; May 2019-November 2022 John Innes Center, Postdoctoral Fellow; February 2023-Present College of Life Sciences, South China Agricultural University, First-appointed Professor

III. Resources Supported by the Team

Technical support for variety breeding is provided through core scientific research facilities, including the Testing Center of South China Agricultural University and the Excellent Center for Basic Research on Precision Breeding of Future Crops in Guangdong Provincial Colleges and Universities, which are accessible via the Plant Reproductive Development and Soybean Germplasm Innovation research team. Long-term collaborations have been established with institutions such as the Chinese Academy of Sciences, the Chinese Academy of Agricultural Sciences, Fudan University, and Zhejiang University to share germplasm resources and key technologies.

IV. Core Advantages of the Team

1. Technical Barrier Advantage:

The team has mastered molecular cloning technology, plant genetic transformation technology, and soybean breeding technology. Currently, 4 high-folate candidate lines have been initially cultivated.

2. Industrial Application Advantage:

With members possessing both research backgrounds and industry experience, the team can quickly connect the chain from technology research and development to field planting and market sales. This avoids the common issue of traditional research teams focusing too much on technology while overlooking practical application, helping to shorten the product industrialization cycle.

3. Resource Integration Advantages:

Backed by South China Agricultural University, Lingnan Guangdong Laboratory for Modern Agricultural Science and Technology, and Southern Soybean Innovation Research Institute, we can efficiently link up scientific research, policy, and industrial resources. This helps cut down project R&D costs, policy communication costs, and market development costs, while boosting the success rate of projects.

Part V Financial and Financing Plan

I. Initial Investment Forecast

Expenses from various stages, including R&D and testing, patent and regulatory compliance, team operation, and market preparation, are covered in the project investment budget. The total investment budget is set at approximately 3,000,000 RMB according to the project plan. Below are the specific figures and purposes for each investment budget item:

II. Sources of Funds for the Project

The funds for the project are mainly derived from self-owned funds, scientific research funds, and angel investment. The specific sources, amounts, and proportions of the funds are as follows:

A diversified financing strategy is reflected in the allocation of project funding sources. 30% of the funds come from self-owned capital, which provides stable financial support for the project's launch and early operations. Another 30% is research funding, which not only supports the project financially but also improves its capital liquidity. Angel investment makes up 40% of the total, acting as the main funding source and showing investors' confidence in the project and their recognition of its market potential. With this diverse funding structure, the project can keep enough money available while also managing financing costs and risks sensibly.

III. Revenue Projection and Cost Calculation

The project is expected to start generating profits in the first year. The revenue projections for the next three years are as follows:

Revenue forecasting is based on market research and the development of industrialization promotion strategies. The main sources of income consist of two models: technology licensing and raw material sales. Through diversified income sources, it is projected that the project will generate a revenue of 500,000 yuan in the first year, increase to 2,500,000 yuan in the second year, and reach 8,000,000 yuan in the third year.

The analysis of product costs is as follows:

Cost analysis covers three components: research and development costs, production costs, and operating costs. To control expenses, a phased investment approach will be adopted, with funds allocated in batches based on Research and development progress. Collaboration with other teams will also be pursued to share laboratory equipment, thereby reducing fixed asset investments. Furthermore, the order agriculture model will be utilized to transfer part of the production risks to cooperative bases, while standardized operating procedures will be established to enhance the execution efficiency of each link.

IV. Risk Assessment and Response Measures

Four main types of risks, namely policy, market, technology, and social acceptance, have been identified during the process of project advancement.

For various risks, 15% of the budget is set aside as risk reserve funds, and a monthly risk assessment mechanism is established to ensure that strategies can be adjusted in a timely manner.

Part VI: Risk Management and Control

I. Identification of the Main Risks

II. Response Strategies

1. Technical Risks:

Weekly supervision by instructors should be arranged during the seed cultivation stage, with small-batch testing completed first before expanding planting scale. During the growing period, on-site guidance should be provided by graduate students from the College of Agriculture or cooperative technicians, supported by illustrated operation manuals.

2. Operational Risks:

Simple agreements should be signed with partners to specify the cooperation period, supply volume, and low-amount liquidated damages. One to two alternative cooperatives or canteen windows should be pre-arranged to ensure channel flexibility.

3. Financial Risks:

A monthly budgeting system should be strictly implemented, prioritizing the use of on-campus resources such as university entrepreneurship funds and competition prizes. A 30% advance payment should be collected from B-end customers, and planting scale should be promptly reduced if sales performance is poor.

4. Market and Policy Risks:

Trust should be built through tasting events and science popularization activities, while highlighting the features of "student entrepreneurship plus local planting". Gene editing experiments are proactively reported to the school's Research Office, and the qualifications of processing parties are reviewed with the assistance of the school's legal affairs department.

III. Risk Monitoring and Iteration

We hold weekly meetings to gather and address issues in technical, operational, and promotional work, using online documents to keep track of progress. Each month, we compile data on planting, sales, and expenses, and adjust our strategies as needed. Before competitions, we invite startup mentors to assess potential risks and help strengthen the project's sustainability plan.