CLAREMONT, CA--(Marketwired - Feb 22, 2017) - Kiwa Bio-Tech Products Group Corporation (OTCQB: KWBT) announced today that the company believes it is well-positioned in Asia to benefit from certain recently enacted Chinese government regulations regarding the restricted use of chemical fertilizers.
New regulations in China are aimed at a major reduction in the use of chemical fertilizers and to significantly promote agricultural efficiency. According to relevant statistics over a 35-year period, from 1979 to 2013, China's fertilizer consumption increased from 10.86 million tons to 59.12 million tons.
"China has entered a stage of rapidly rising customer expectations. Consumers want their food to be of high quality and they seek greater choice. The basic objective of agricultural reform is to provide safe, edible food and bio-fertilizers are capable of doing this," stated Kiwa's CEO Yvonne Wang.
In 2017, legislation in China is focused on affecting the quality and safety of agricultural products. For years, Kiwa Bio-Tech has been developing fertilizer products utilizing organic fertilizers instead of chemical fertilizers that support the goal of zero pesticide growth.
"According to the China Federal Government, in pursuit of safer, more sustainable, higher quality food products, there must be no increase in use of pesticides. Better quality-control and more systematic production will ensure the safety of produce," added Wang.
While accelerating the unification of domestic and international standards, the government of China is pursuing an ongoing effort to develop and protect China's national agricultural product brands. The current market in China for fertilizers is around 100 billion USD per year.
As of December 31, 2016, KIWA achieved product sales well in excess of levels projected in its 2016 business plan. Specifically, the Company reported total product shipments of more than 55,000 tons and total sales of nearly US$9,000,000. The level of both product shipments and revenues significantly exceed comparable prior periods. Kiwa Bio-Tech also applied for fertilizer registration certificates for its newly developed fertilizers. Earlier this month, the Company eliminated close to US$8.6 million dollars in corporate debt as a part of its restructuring.
During 2016, KIWA established several strategic marketing relationships. These included partnerships with CCOOP Group Co., LTD, Joyvio Great Northern Wilderness Holding Company, Hunan, Hainan, Shandong and Hebei Provinces. In addition, there are several other distributors who are evaluating and testing the Company's new line of products.
KIWA believes that it is poised to further expand sales in 2017 through two new subsidiaries, which are focused on Shenzhen, Guangdong Province and Gu'an, Hebei Province. These relationships should support and provide sales channels for the launch of new Kiwa fertilizer products for sale across the distribution network in 2017 and beyond.
About Kiwa Bio-Tech Products Group Corporation
Kiwa Bio-Tech Products Group Corporation develops, manufactures, distributes, and markets innovative, cost-effective and environmentally safe bio-technological products for agricultural and environmental conservation. The Company's products are designed to enhance the quality of human life by increasing the value, quality and productivity of crops and decreasing the negative environmental impact of chemicals and other wastes.
Kiwa is dedicated to eco-agricultural development and environmental control by developing, producing, and selling bio-technological products with high technology, low-cost, and high productivity to satisfy the growing market demand. Kiwa's development is creating a standardized and ecologically safe agricultural industry chain platform. The Company's development effort is based in China, and has gradually expanded to the international market.
Kiwa uses new bio-technological skills at its core, with organic, ecologically sound, and "green" practices as its theme. The Company strives for customer satisfaction and continued development. Kiwa is dedicated to making safe food, further developing eco-agriculture and upholding a responsibility of contributing to China's agricultural safety, food safety, and a healthy lifestyle.
For more information on Kiwa and its products, please refer to the Company's website at www.kiwabiotech.com or the Company filings with the United States Securities and Exchange Commission, available for free at www.sec.gov
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 U.S. 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.