Smart-tek has signed an exclusive licensing agreement with SES Investment (China) Ltd. to market and distribute its RFID tracking technology for the tracking and monitoring of birds for the possible spread of the H5N1 avian influenza in China.
The initial term of the agreement is for a period of two years and is automatically renewed for an additional two years if aggregate purchases during the initial two year term exceed $5,000,000.
Provisions of the agreement also secure a 50% revenue sharing arrangement for Smart-tek Solutions, Inc. for all sales in China.
Smart-tek's strategy for the containment of the bird flu virus is to leverage its expertise in the security, surveillance and monitoring sectors and apply its available technologies to prevent and/or deter poultry farmers and bird keepers from falsifying their records of the number of birds under their control, ownership and/or care.
In Asia, it has been reported that poultry farmers and bird keepers regularly and frequently falsify their records to prevent the culling of their livestock. The primary reason for falsifying their records or not disclosing cases of bird flu virus is normally the result of a lack of, or an inadequate amount of, compensation for the culling of their birds.