Chinese Government Eliminates Agriculture Tax, Benefiting 800 Million Chinese Farmers; Bodisen Sees Favorable Market Environment

Business Wire, Jan 18, 2005

NEW YORK -- Bodisen Biotech, Inc., (OTCBB:BBOI) (website: www.bodisen.com) announced that the Chinese government has adopted new policies in supporting the agricultural sector by eliminating a 50 year old agriculture tax. China has a population of 1.3 billion; approximately 800 million Chinese are farmers. The Chinese agriculture tax brings $7.5 billion per year in tax revenue to the central government and the elimination of the agriculture tax results in approximately 20% in increased annual disposable expenditures for Chinese farmers.

Agricultural productivity and improvement in farmers' livelihoods are seen as major priorities for China in 2005. By removing tax burdens on farmers, the Chinese government believes it will encourage farmers to stay on the field and help boost the country's food production, instead of migrating to the cities for industrial jobs.

Qiong Wang, Bodisen's CEO commented "We are excited to see farmers are relieved of this substantial agriculture tax burden. Annually, Chinese farmers spend 50% of their operating costs on fertilizers and many of them traditionally rely on low quality and cheap chemical fertilizers because of their budget constraints. We believe that the additional disposal expenditures will sway many farmers in choosing higher quality fertilizers that we manufacture and should result in greater demand for our products.

"Our Bodisen brand organic fertilizers are already popular among Chinese farmers because of the yield advantages over traditional chemical fertilizers and we see an even more favorable market environment for our product sales in 2005."

Utilizing proprietary technologies, Bodisen sells over 60 packaged products, broken down into 3 product categories: Organic Compound Fertilizer; Organic Liquid Fertilizer; and Pesticides & Insecticides. Bodisen's organic fertilizers can be absorbed by plants within 48 hours while enriching soil conditions without the damaging effects associated with chemical fertilizers.

About Bodisen Biotech, Inc.

Bodisen is headquartered in Shaanxi, China, an agricultural hub of China and the economic gateway to the western regions of China. The Bodisen brand is a highly respected organic brand in China. Its "green" products support the mandate of the Chinese national government to increase crop yields for the purpose of decreasing China's dependency on food imports. Bodisen's products enjoy brand recognition and a price premium over competitive brands in China.

Safe Harbor Statement

This press release may contain forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These statements are based on the current expectations or beliefs of Bodisen Biotech, Inc. management and are subject to a number of factors and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements.