Qilian International Holding Group Limited to Triple Organic Fertilizer Production Capacity by March 2021

Rhea-AI Summary

Qilian International Holding Group Limited (Nasdaq: QLI) announced the upcoming completion of the first phase expansion of its organic fertilizer production facility in Jiuquan City, Gansu Province, expected by March 2021. This expansion aims to triple its production capacity. The company has already secured government bids for organic fertilizer projects in Tibet, Gansu, and Qinghai. Chairman Zhanchang Xin highlighted the significant potential of the organic fertilizer market in China, positioning this segment as a future growth driver for the company.

Positive

• Expansion of organic fertilizer production capacity expected to triple.
• Secured government contracts for organic fertilizer projects in key regions.
• Positioned to capitalize on the growing organic fertilizer market in China.

Negative

• None.

Jiuquan, China, Feb. 08, 2021 (GLOBE NEWSWIRE) -- Qilian International Holding Group Limited (Nasdaq: QLI) (the “Company”), a China-based pharmaceutical and chemical products manufacturer, today announced that the Company will complete the first phase expansion of its new organic fertilizer production facility and put it into production in Jiuquan City, Gansu Province by March 2021. The Company expects to triple its organic fertilizer production capacity upon completion of its first phase expansion.

Currently, the Company’s organic fertilizer products are mainly sold to the China’s five northwestern provincial-level regions, namely Shaanxi, Gansu, Qinghai, Ningxia, Xinjiang and other regions including Sichuan, Shanxi, Tibet and Inner Mongolia. With a tripled production capacity, the Company has won bids for government organic fertilizer projects in Tibet, Gansu and Qinghai. After completing the first phase expansion, the Company will mainly focus on producing and selling bio-organic fertilizers under the "Moshangfa" and "Xiongguan" brands.

Mr. Zhanchang Xin, Chairman and CEO of the Company, commented, “the Chinese government pays great attention to the issues of ‘agriculture, rural areas and farmers’ and strives to maintain at least 1.8 billion mu (approximately 296.5 million acres) of arable land in China. As each mu of arable land consumes 150-200 kilograms of organic fertilizer, the organic fertilizer market in China has tremendous potential. We will seek to provide solutions for the ‘degradation, acidification, salinization’ of China's arable land. Looking forward, we expect that our organic fertilizer business become a new growth point for our Company and create long-term value to our investors.”

About Qilian International Holding Group Limited

Qilian International Holding Group Limited, headquartered in Gansu, China, is a pharmaceutical and chemical products manufacturer in China. It focuses on the development, manufacture, marketing and sale of licorice products, oxytetracycline products, traditional Chinese medicine derivatives product, heparin product, sausage casings, and fertilizers. The Company’s products are sold in more than 20 provinces in China. For more information, visit the company’s website at http://ir.qlsyy.net/.

Forward-Looking Statements

This announcement contains forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact in this announcement are forward-looking statements, including but not limited to, the Company's proposed Offering. These forward-looking statements involve known and unknown risks and uncertainties and are based on current expectations and projections about future events and financial trends that the Company believes may affect its financial condition, results of operations, business strategy and financial needs. Investors can identify these forward-looking statements by words or phrases such as "may," "will," "expect," "anticipate," "aim," "estimate," "intend," "plan," "believe," "potential," "continue," "is/are likely to" or other similar expressions. The Company undertakes no obligation to update forward-looking statements to reflect subsequent occurring events or circumstances, or changes in its expectations, except as may be required by law. Although the Company believes that the expectations expressed in these forward-looking statements are reasonable, it cannot assure you that such expectations will turn out to be correct, and the Company cautions investors that actual results may differ materially from the anticipated results and encourages investors to review other factors that may affect its future results in the Company’s registration statement and in its other filings with the SEC.

For more information, please contact:

Ascent Investors Relations LLC
Tina Xiao
President
Phone: 917-609-0333
Email: tina.xiao@ascent-ir.com

FAQ

What is the significance of QLI's expansion announcement?

QLI's expansion announcement highlights its plan to triple organic fertilizer production capacity, indicating growth potential in a lucrative market.

What regions will benefit from QLI's organic fertilizer production?

QLI's organic fertilizer production will primarily serve five northwestern provinces of China, including Tibet, Gansu, and Qinghai.

When is QLI expected to complete its facility expansion?

QLI is expected to complete the first phase expansion of its organic fertilizer production facility by March 2021.

What market opportunity does QLI see in organic fertilizers?

QLI sees a significant market opportunity in organic fertilizers, driven by the Chinese government's focus on agriculture and arable land preservation.