June 14, 2011

China Modern Agriculture Inc has negotiated an increase in the sales prices of its raw milk product in Heilongjiang province, under the direction of the provincial government's pricing system and given its regional advantage.

The resulting price increase of 13.33% will raise raw milk prices RMB0.30 (US$0.05)/kg resulting in a sales price of RMB2.25 (US$0.35)/kg. It is estimated that due to the price increase, the net profit for Q4 2011 will increase by US$500,000. Net income was up 94% and totalled US$6.18 million for the first nine months of fiscal 2011.

China Modern Agricultural Information Inc is a high-tech livestock company specialising in the breeding of cows and calves, the production and sale of milk, the sale of organic fertiliser, as well as the promotion of agricultural information.