China Organic Agriculture Inc. CNOA Feeding the New China Economy Investor Presentation November 200

1
China Organic Agriculture Inc. (CNOA)Feeding the
New China EconomyInvestor PresentationNovember
2008
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Safe Harbor Statement

• This presentation contains "forward-looking
  statements" within the meaning of the
  safe-harbor provisions of the Private
  Securities Litigation Reform Act of 1995. Such
  statements involve known and unknown risks,
  uncertainties and other factors that could cause
  the actual results of the Company to differ
  materially from the results expressed or implied
  by such statements, including changes from
  anticipated levels of sales, future national or
  regional economic and competitive conditions,
  changes in relationships with customers, access
  to capital, difficulties in developing and
  marketing new products, marketing existing
  products, customer acceptance of existing and new
  products, the companys ability to complete
  additional acquisitions and other factors.
  Accordingly, although the Company believes that
  the expectations reflected in such
  forward-looking statements are reasonable, there
  can be no assurance that such expectations will
  prove to be correct. The Company has no
  obligation to update the forward-looking
  information contained in this presentation.

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Company Overview

• KEY DETAILS
• Ticker CNOA
• Sector Agriculture
• Industry Farm Products
• MARKET DATA
• as of November 14, 2008
• Share Price 0.51
• 52 Week Range 0.16 - 4.37
• Shares Outstanding 73 million
• Market Cap 37 million
• Avg. Volume 300,000

• FINANCIAL INFORMATION
• for nine months ended September 30, 2008
• Revenue 58.4 million
• Net Income 9.1 million
• EPS 0.17 

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Company Profile

• China Organic Agriculture is an active seller and
  distributor of agricultural products in China
• We capitalize on China's burgeoning economy and
  expanding class of consumers who increasingly
  demand upscale food products

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Company Highlights

• Premium foods and organic products are a
  fast-growing phenomenon in China
• China Organic Agriculture has developed an
  extensive distribution network throughout many of
  China's major cities
• High-growth company. Third quarter net sales of
  48.3 million is two times higher than 2007 period

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Business Segments

• Ankang Agriculture
• Ankang Agriculture focuses on distribution of
  green and organic rice
• This segment is the engine of growth for China
  Organic, responsible for a vast majority of its
  sales by engaging in the resale of rice and
  grains
• Flagship products
• Organic and green rice
• New product lines
• Soybeans, kidney beans and mushrooms.
• Some of these new products will be distributed
  under the newly acquired Xiaoxinganling brand
  name, popular in the northeast provinces of China

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Business Segments (cont.)

• Dalian Huiming
• Major agricultural trading company with broad
  distribution and product lines. 60 stake
  recently acquired by CNOA on October 30, 2008
• Expands the diversity of the products CNOA offers
• Focuses on soybeans, corn, and cereal crops
• Based on net earnings, Dalian Huiming is one of
  the top-tier agricultural trading companies in
  the Northeast provinces of China
• For fiscal year 2007
• Revenue was 40.2 million
• Net income was 2.7 million
• Fourfold increase from the comparable period in
  2006.

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Business Segments (cont.)

• Bellisimo Vineyard
• Located in the premium wine country of Sonoma, CA
  
• Produces Chardonnay, Merlot, and Cabernet
  Sauvignon wine grapes
• Export Napa and Sonoma wine to China
• Chinese and Asian consumers hold areas wine in
  high regard
• Label bottles specifically for Chinese and Asian
  consumers
• Partnering with local wineries in order to bottle
  harvestable grapes.
• Marketed toward a variety of different consumer
  groups

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Chinese Market Overview

• Expanding Consumer Class
• Rapidly growing affluent population
• Increasingly becoming health conscious
• Quarter of worlds population and the largest
  middle class is located in Asia
• Increasing Disposable Income
• As Chinese consumers incomes rise
• Consumers are changing their diets
• Demanding greater quality, convenience, and
  safety in their food
• Fueling recent growth in sales of premium food
  and beverage products

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Organic Food

• Organic Foods Consumption
• Estimated retail sales now exceed 1 billion in
  Asia for organic products
• Organic and natural food is gaining traction in
  China
• China has the largest area of organic certified
  land of any Asian country
• Food Safety
• Many recent food safety scandals have undermined
  the consumers trust
• Recent example of unsafe food products was the
  melamine milk scare
• Consumers retreating to safe food products that
  are free of pesticides, chemicals and heavy
  processing

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Market Data

• Wine Consumption
• In 2007 China imported approximately 54 million
  bottles
• Latest report of the International Wine and
  Spirit Competition
• Wine consumption in China is expected to increase
  65 from 2001 to 2010
• A growth rate over six times faster than the
  global average
• Price Support
• Rapidly-growing emerging market economies keep
  demand high
• PRC announced plans to enact half-trillion dollar
  stimulus package
• Set to boost investment and consumer spending
• Large portions to infrastructure and agricultural
  industries

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Financial Information
Revenue and Net Income
Three Months Ended September 30
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Financial Information

• Consolidated Statement of Income

Numbers in millions
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Management Team

• Jinsong Li CEO and Chairman of the BoardMr.
  Li, a Chinese business leader with over 18 years
  of agricultural and financial industry
  background, was formerly vice president of
  Beijing Jingwei Capital Investment Co., Ltd, an
  investment firm focusing on agricultural
  companies, where he managed investment projects
  valued at more than 100 million. Mr. Li
  previously worked for more than 15 years in
  various executive roles at a commercial trade
  company in Shantou and an agricultural products
  company in Beijing.
• Xuefeng Guo CFO Secretary of the Board
• Mr. Guo graduated from the University of Shandong
  and holds an MBA degree. From January 2003 to
  present, he was deputy Manager of Beijing
  Mingtian Capital. Until December 2002, Mr. Guo
  was Deputy Manager of Tianlishou Medicine
  Factory, in Shandong.

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Independent Directors
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Recent Events

• October 15, 2008
• Appointed Jinsong Li as the Companys new
  Chairman and Chief Executive Officer after
  accepting the resignation of Huizhi Xiao
• October 22, 2008
• Signed an agreement to acquire the trademark
  "Xiaoxinganling," an organic brand name in
  China's northeast, along with the distribution
  channel of several premium food products
  including soybeans, kidney beans and mushrooms
• October 31, 2008
• Completed the acquisition of 60 of Dalian
  Huiming Industry, Ltd. for 10.6 million in an
  all cash transaction

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Investment Summary

• China Organic has strong presence in the organic
  and green food market in China
• Developing and marketing a broad array of new
  premium agricultural product lines to consumers,
  including rice, soybeans, kidney beans and
  mushrooms
• China Organic strives to be one of the foremost
  leaders in premium and natural food products in
  China, as well as Asia

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Corporate Contact Steve Wan China Organic
Agriculture Inc. Tel. [phone] stevewan_at_chinao
rganicagriculture.com
Financial Communications Contact Darren
Minton China America Financial Communications
Group Tel. [phone] chinaorganic_at_cafcg.com
Thank you!