The new corn seed products include Ao Nuo 1, Yu Ao 6, and Li Yu 16. Ao Nuo 1 is approved for provincial distribution in Beijing and Liaoning. Yu Ao 6 is approved for provincial distribution in Inner Mongolia, and Li Yu 16 is approved for distribution in Hubei province. Of the three new corn seed products approved for distribution, we are especially excited about the acceptance of Li Yu 16 in Hubei province, as it is one of our top selling corn seeds in our product line. With these additional approvals, the Company will provide even broader product coverage throughout China.
Ao Mian 6 is a genetically modified (GM) cotton seed approved for distribution in Henan province. Further penetration of our GM cotton seed continues to support the adoption of GMOs in China. Cotton GMO adoption in approved provinces is nearing 100 percent.
The corn seed approval process is one of the most rigorous regulatory requirements in all of China. The approval requires the applicant to undergo two growing seasons of monitored growth in at least five different locations in the region. Seeds submitted for testing are planted together with control seeds, which are typically the most popular seeds in the testing regions. Only seeds that have an increased yield of 5-8% or higher versus the control seeds are cleared to proceed to the second year of testing.