1. Project General

　 1.1 Project No.: 067

　 1.2 Project Contact Unit: Nanning Economic and Technological Development Zone

　 1.3 Negotiating Representative: Investment Promotion Bureau of the Administrative Committee, Nanning National Economic and Technological Development Zone

　　 Tel: +86-771-4518881 ， 4518882 ， 4518883

　　 Fax: +86-771-4517365

　　 E-mail: nn56677@tom.com

　　 Add: No. 230, Jiangnan Road, Nanning, Guangxi 530031,China

　 1.4 Project Site: Industrial Park for Small and Medium-sized Enterprises

　 1.5 Total Investment: The investment in equipment is 14 million Yuan, and that for new construction of enterprise is about RMB 27 million yuan.

　 1.6 Anticipated Economic benefits: The total production value is 128 million Yuan, with a profit of RMB 160.5 million yuan, a tax of RMB116.9 million yuan, and an investment recovery period of 3.1 years (construction period inclusive).

　 1.7 Pattern of Cooperation: Cooperation

　 1.8 Progress of Project Preparation: the approval and initiation of project has been made.

2. Project Scope, Capacity and Capital Compositions

　 2.1 Project Scope and Capacity

　　 It is intended to produce compound fruit-vegetable juice, original fruit-vegetable pulp, and concentrated fruit-vegetable juice, establish a production line for PET bottled compound drink of fruit-vegetable juice with an annual output of 10,000 tons, and of fruit-vegetable juice and concentrated juice with an annual output of 3000 tons. The project covers an area of 11 mu.

　 2.2 Capital Compositions: The total investment is RMB 27 million yuan, including construction investment, interests in the construction period and working capital.

3. Brief Introduction of the Project Contact Unit

　 Nanning National Economic and Technological Development Zone, established in 1992, is the only national-level economic and technological development zone in Guangxi approved by the State Council. Up to now, the zone has made an accumulative investment in fixed assets for nearly 5 billion Yuan, including investment in infrastructure facilities for nearly RMB 1.2 billion yuan and accumulated actual utilization of foreign capital for nearly USD 200 million. There are many investors from Japan, Singapore, South Korea, Tai wan and Hong Kong who have entered the zone to invest or purchase real estate, and there appear in the zone such industries such electronics, communication cable, refined chemical, automobile parts, papermaking, pharmaceuticals, medicine machine, agricultural product processing, architecture, and real estate, etc.

4. Project Market Analyses

　 For its advantages of being pollution-free, good for health and nutritious, consumers acclaim fruit-vegetable juice as a new drink for the new century. It is forecast by experts that the main trend of domestic development of fruit-vegetable juice is: one is the development of natural fruit-vegetable juice with tropical flavor, another is the developing of vegetable drink, especially compound fruit-vegetable juice, and the other is the development of wild fruit juice (the third generation juice). It is expected that domestic concentrated fruit-vegetable juice will see its time of speedy growth with brighter market prospect. Therefore, it is possible to achieve excellent social and economic benefits to develop this project in time by taking advantage of the resources and geographic condition of Nanning.

5. Supporting Facilities for the Project:

　 The conditions such as traffic, communication, water supply, power supply have been in order. This project will adopt the advanced technology worked out by the Institute of Food Research, Guangxi University.

6. Project Competitive Advantages

　 6.1 Applicable Preferential Policies

　　● The enterprise income tax is charged at a rate of 15%.

　　● New enterprises are exempted from enterprise income tax within 2 years from the date of production or operation and are charged at half of the enterprise income tax for another three years.

　　● Be able to apply for loan discount during the period of construction.

　　● Nanning national Economic and Technological Development Zone implements the policy of non-charge to industrial project, thus other charges shall be reduced or exempted in the zone unless otherwise stipulated by the state and Autonomous Region, or stipulated in the regulations of the state and Autonomous Region, or government special funds.

　 6.2 Other Advantages of the Project

　　 In Guangxi, climate is humid, mild and warm, with plenty of rainfall and sunshine for a long time of the year. So there are many varieties of vegetable, with high output and quality . And the raw material supply for the project is stable and secured.