Business News

China Green Agriculture, Inc. Progresses on Construction of New Facilities

2008-08-19 08:00:00

    XI'AN, China, Aug. 19 /Xinhua-EMWNews/ -- China Green

Agriculture, Inc. (OTC Bulletin Board: CGAG) ("China Green Agriculture" or

"the Company"), a leading producer and distributor of organic humic acid

("HA") based liquid compound fertilizer through its wholly owned

subsidiary, Shaanxi TechTeam Jinong Humic Acid Product Co., Ltd., today

announced that it is progressing as scheduled in the construction of its

expanded fertilizer manufacturing facilities at its headquarters in Shaanxi

province, PRC.



    The new manufacturing facilities, which broke ground in May of this

year, will increase China Green Agriculture's annual organic fertilizer

output by an additional 40,000 tons, from 10,000 tons per year to 50,000

tons. To date, China Green Agriculture has completed its foundation work

for the new facility and is currently constructing the main building. In

addition, the Company has recently finalized contracts for the purchase and

installation of all equipments that will be used in the manufacturing

facility including dryers, mixers, reactors, etc. This equipment was custom

ordered from a medical machinery manufacturer to function in accordance

with the Company's proprietary automated control system, allowing China

Green Agriculture to manufacture high grade, uniform quality fertilizer

products. Furthermore, the new facility will be able to produce granular HA

fertilizer, diversifying the Company's product offering from liquid

fertilizers.



    "We are pleased with the speed and efficiency with which the

construction process of our new facilities has proceeded," commented Mr.

Tao Li, CEO of China Green Agriculture. "As we are currently operating at

above capacity, we are eager to be able to expand our production volumes as

soon as possible. At the current pace of construction, we hope for our new

facilities to come online in February of 2009."



    About China Green Agriculture, Inc.



    China Green Agriculture, Inc. produces and distributes humic acid

("HA") based liquid compound fertilizer through its wholly owned

subsidiary, Shaanxi TechTeam Jinong Humic Acid Product Co., Ltd.,

("TechTeam"). TechTeam produces and sells approximately 10,000 metric tons

of over 100 different kinds of fertilizer products per year. All of

TechTeam's fertilizer products are certified by the PRC government as green

products and suitable for growing Grade AA "green" foods, also known as

green products that contain little or no chemical materials, as stated by

the China Green Food Research Center. TechTeam's fertilizers are highly

concentrated liquids which require an application of approximately 120 ml

per mu per application. Its average customer has approximately four mu of

land (one mu = .165 acres).



    China Green Agriculture currently markets its fertilizer products to

private wholesalers and retailers of agricultural farm products in 27

provinces in the PRC. The leading five provinces by revenue for the fiscal

year ended June 30, 2007 include Heilongjiang (9.99%), Guangdong (7.81%),

Xinjiang (6.59%), Shandong (5.81%), and Henan (5.80%). For more

information, visit http://www.cgagri.com .



    Cautionary Statement



    This press release contains forward-looking statements concerning the

Company's business, products and financial results. The Company's actual

results may differ materially from those anticipated in the forward-looking

statements depending on a number of risk factors including, but not limited

to, the following: general economic and business conditions, development,

shipment, market acceptance, additional competition from existing and new

competitors, changes in technology, and various other factors beyond the

Company's control. All forward-looking statements are expressly qualified

in their entirety by this Cautionary Statement and the risk factors

detailed in the Company's reports filed with the Securities and Exchange

Commission. China Green Agriculture undertakes no duty to revise or update

any forward-looking statements to reflect events or circumstances after the

date of this release.




For more information, please contact: Company Contact: Mr. Tao Li Chief Executive Officer China Green Agriculture, Inc. Tel: +86-29-88266386 Email: [email protected] Investor Relations Contact: Mr. Crocker Coulson President CCG Investor Relations Tel: +1-646-213-1915 (NY Office) Email: [email protected] Web: http://www.ccgirasia.com

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