CLAREMONT, Calif., Dec. 28, 2006 (PRIME NEWSWIRE) -- Kiwa Bio-Tech Products Group Corporation (OTCBB:KWBT) announces that it has started negotiating with officers of local Animal Husbandry Administration Division on promoting AF-01 Anti-Virus Aerosol Agent in Xinjiang Uygur Autonomous Region.
In the past few days, Mr. Yunlong Zhang, Director of Kiwa, and Mr. Bin Liu, President of Xinjiang Rundi Bio-Tech Co., Ltd. ("Rundi"), had a formal meeting with officers of Animal Husbandry Administration Division in Xinjiang. Mr. Zhang gave detailed explanations on the cooperation between Kiwa and the Chinese Academy of Medical Sciences on the AF-01 project; application of AF-01 on preventing bird-flu virus; particularly on Kiwa's cooperation with the government of Guangdong Province on promoting this product.
Officers of Xinjiang Animal Husbandry Administration Division introduced that Xinjiang Uygur Autonomous Region is not only a place with large amounts of stock farming, but also a highly-risky area of bird-flu disease spread. Statistics show that, the rangeland area in Xinjiang is approximately 770 million mu (Note: The mu is a traditional Chinese unit of land measure equal to one-fifteenth of a hectare). By the end of 2004, number of livestock on hand in Xinjiang was 50 million units; number of slaughtered livestock was 35 million units; and number of slaughtered poultry there reached more than 80 million units. Local Officers believe that the sales pattern in Guangdong Province will be applicable in Xinjiang, and if AF-01 products will be first used for preventing disease in 30% of their poultry, the sales revenue in 2007 is expected to be no less than RMB 20 million (US$ 2.5 million).
In the past month, Kiwa has discussed with Rundi on distributing AF-01 product in Xinjiang for several times. With good relationships with the local government and large-scale livestock farming, Mr. Liu expects to help Kiwa obtain orders of AF-01 products from local government and key-accounts. He noted that Guangdong had set a good example of promoting AF-01 products, the same mode could be used for reference in Xinjiang Area as well. Rundi will continue to make preparation for exploring the potential market for AF-01 products in Xinjiang.
In the fourth quarter of 2006, the government of Dongguan, Guangdong Province has purchased nearly three metric tons of AF-01 products as Feed Additive from Kiwa, their administrative department spray AF-01 to every local livestock market everyday to prevent bird-flu disease.
Mr. Wei Li, Board Chairman and CEO of Kiwa, said: "We believe that our AF-01 product would have great market potential in the Xinjiang Area, and we hope Rundi would help us enter the local market in a shorter time."
About Kiwa Bio-Tech Products Group Corporation
The Company develops, manufactures, and distributes and markets innovative, cost-effective, and environmentally safe bio-technological products for agricultural and natural resources and environmental conservation. The Company has acquired the rights to manufacture and market AF-01 Anti-viral Aerosol Agent for use in preventing (blocking) bird-flu disease in Chinese and international markets. The Company has excellent relations with government authorities in China and has developed several innovative, high margin products, while continuing to grow through internal and external product development.
For more information about the Company, please visit the Company's website at http://www.kiwabiotech.com.
This press release contains information that constitutes forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Any such forward-looking statements involve risk and uncertainties that could cause actual results to differ materially from any future results described by the forward-looking statements. Risk factors that could contribute to such differences include those matters more fully disclosed in the Company's reports filed with the Securities and Exchange Commission. The forward-looking information provided herein represents the Company's estimates as of the date of the press release, and subsequent events and developments may cause the Company's estimates to change. The Company specifically disclaims any obligation to update the forward-looking information in the future. Therefore, this forward-looking information should not be relied upon as representing the Company's estimates of its future financial performance as of any date subsequent to the date of this press release.