China Green Agriculture, Inc. Puts Greater Emphasis on Anti-Drought Humic Acid Fertilizers

XI'AN, China, Feb. 22, 2011 /PRNewswire-Asia-FirstCall/ -- China Green Agriculture, Inc. (NYSE: CGA) ("China Green Agriculture" or the "Company"), a leading producer and distributor of humic acid ("HA") based compound fertilizers, blended fertilizers, organic compound fertilizers and mixed organic-inorganic compound fertilizers through its wholly owned subsidiaries in China, Shaanxi TechTeam Jinong Humic Acid Product Co., Ltd. ("Jinong") and Beijing Gufeng Chemical Products Co., Ltd. ("Gufeng"), today announced it will put greater emphasis on anti-drought HA fertilizers during this quarter.

China is currently experiencing a drought that threatens to reduce wheat production in the heart of the world's largest wheat producer. As of February 15th, around 6.7 million hectares with approximately 1.2 million farms in Hebei, Shanxi, Jiangsu, Anhui, Shandong, Henan, Shaanxi and Gansu Provinces were affected according to China News (http://www.chinanews.com/gn/2011/02-16/2847253.shtml).

To aid in drought relief, CGA has been promoting Jinong's anti-drought HA liquid fertilizers: (i) Jin Mai Sui, Jinong Guang Pu, and Jinong Jing Dian, previously existing anti-drought products, and (ii) Mai Feng, a new anti-drought product developed in February. Total sales volume of these four products hit 860 metric tons between January 1st and February 18th. Given the recent drought, CGA is trying to promote the sales of anti-drought products.

"I am saddened by what the provinces in Northern China are weathering at the moment. We are determined to do everything we can to help the farmers deal as best as possible with this difficult situation. We are particularly focused on making sure that we correctly align the supply of our anti-drought products to help our customers cope with their specific situations," stated Mr. Tao Li, Chairman, President and Chief Executive Officer of China Green Agriculture. "We are stepping up our R&D efforts in order to accelerate product roll-out to help farmers cope with minimum delay."

About China Green Agriculture, Inc.

The Company mainly produces and distributes humic acid-based compound fertilizers and other varieties of compound fertilizers through its wholly-owned subsidiaries, Jinog and Gufeng. Jinong produces and sells 146 different kinds of fertilizer products, all of which are certified by the PRC government as Green Food Production Materials, as stated by the China Green Food Research Center. Jinong currently markets its fertilizer products to private wholesalers and retailers of agricultural farm products in 21 provinces, four autonomous regions and three central-government-controlled municipalities in the PRC. For the three months ended December 31, 2010, the top five provinces (or municipalities) of fertilizer sales accounted for 29.2% of total revenues. The five provinces (or municipalities) and their respective percentage contribution to total fertilizer revenues were Hebei (7.0%), Jilin (6.8%), Liaoning (6.4%), Shaanxi (4.8%) and Beijing (4.1%).  Jinong had 598 distributors in China. Gufeng had 157 distributors including some large state-owned enterprises. Gufeng, the recently acquired company, and its wholly-owned subsidiary, Beijing Tianjuyuan Fertilizer Co., Ltd., are Beijing-based producers of compound fertilizer, blended fertilizer, organic compound fertilizer and mixed organic-inorganic compound fertilizer. Gufeng produces and sells over 300 different kinds of fertilizer products, and has over 150 distributors throughout China. For more information, visit http://www.cgagri.com. The Company routinely posts important information on its website.

Safe Harbor 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 Safe Harbor Statement and the risk factors detailed in the Company's reports filed with the SEC. 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, except as required by applicable law or regulation.

SOURCE China Green Agriculture, Inc.