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


XI'AN, China, Aug. 19 /Xinhua-PRNewswire-FirstCall/ -- 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 inShaanxi 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 includeHeilongjiang (9.99%),Guangdong (7.81%), Xinjiang (6.59%),Shandong (5.81%), andHenan (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: kingtone@techteam.com.cn

    Investor Relations Contact:
     Mr. Crocker Coulson
     President
     CCG Investor Relations
     Tel:   +1-646-213-1915 (NY Office)
     Email: crocker.coulson@ccgir.com
     Web:   http://www.ccgirasia.com

SOURCE China Green Agriculture, Inc.

Tags: ,AGR,CHM,OTC,ASI,PDT,CGAG-New-Facilities
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