ann:secures exclusive annual shanghai contract, page-2

Good news.

TO: COMPANY ANNOUNCEMENTS OFFICE
ASX LIMITED
DATE: 11 December 2012
Cardia Bioplastics secures an exclusive annual supply contract into
Shanghai, China
? $1.2 million per annum contract to supply
to Shanghai Pudong City District
? Contract represents 20% of Pudong’s households with potential to expand rollout
? Opens up significant opportunity to
? Continues momentum of growth and expansion of Cardia’s product base
Cardia Bioplastics Limited (ASX: CNN) is pleased to announce an exclusive annual supply contract with the
Shanghai Pudong City District in China
Cardia’s Biohybrid™ renewable kitchen waste bags to approximately 20% of
Cardia's renewable Biohybrid™ kitchen bags are made with
uses less oil and a lower carbon footprint compared to conventional plastics.
successful six-month trial of Cardia’s products in this region earlier this year. Pudong is one of four City
Councils in China that has conducted waste management
Councils in trial phase are Nanjing, Hangzhou and Yuhang and Cardia is looking to expand into other
provinces of China.
Penetrating into this crucial market opens up significant opportunities for Cardia to gro
global distribution of organic waste management products. Shanghai Pudong is one of China’s highest
profile development areas and represents a key financial and commercial hub for the entire country.
There has been a strong focus towards
Following the World Expo in 2010, Shanghai implemented an organic waste separation process which
targets waste separation at source. In particular, separating plant material and food scraps
level, which form a large part of the domestic waste stream in China. Earlier this year, as part of the six
month trial period, Cardia successfully supplied its
Pudong’s households. This supply will now be expanded to 20% of Pudong’s households.
This is a critical step towards efficient management of domestic waste. More importantly, Shanghai Pudong
City District has selected Cardia Bioplastics to supply Biohybrid
households, which are tailored specifically for collection of food waste.
Dr Frank Glatz, Managing Director of Cardia Bioplastics said:
“This marks another important milestone for Cardia. The success of winning this contract is a result of our
superior product technology and effective supply capability through our manufacturing plant in Nanjing,
China. Through our successful pilot programs, which are already in place in other key districts in China
(Nanjing, Hangzhou and Yuhang) we are confident in
contracts in China.
Importantly, this contract follows the recent announcements of $500,000 per annum sales contracts to both
an American hygiene products company
combined equate to over $2.2 million of secured revenues contributing to the current financial year. This is
significant for the Company and equates to over one half of last financial year’s total reported revenues.
Mr. Jackie Chen, Cardia Director and Head of China Operations said
IC Australia
Cardia’s Biohybrid™ renewable kitchen waste bags
secure additional City Councils in China
China. The agreement is to supply an estimated $1.2 million per annum of
householders
Cardia's proprietary Biohybrid
This contract win follows the
trials using Cardia products. The other three
environmental initiatives in the city of Shanghai in recent years.
Biohybrid™ kitchen bags to approximately 5% of
ply ™ renewable kitchen waste
rior our corporate strategy of securing additional long term
and a global consumer products company. These three contracts
n, said:
stimated in this region.
™ technology that
grow and expand its
at the household
six-
bags to
.
Cardia Bioplastics Limited
Unit 18/35 Dunlop Road, Mulgrave, VIC 3170, A
“We are delighted with this outcome and we will continue to develop and maintain strong Government
relationships to work with China City Councils towards managing household waste sustainability and
reducing their environmental footprint.”
In addition, Cardia has a certified compostable offering for its organic waste management business, where
trials are underway in Australia, New Zealand, Malaysia, Canada
About Shanghai Pudong
The city district of Shanghai Pudong is one of China’s high profile development
of five million people (2010). Pudong has been developed as a New Open Economic Development Zone
since 1990 and has emerged as China's financial
Finance and Trade Zone, the Shanghai Stock Exchange, and a skyline that includes the Oriental Pearl
Tower, the Jin Mao Building, the Shanghai World Financial Center and the Shanghai Tower (under
construction), reflective of Shanghai and China's rapid economic development.
About Cardia Bioplastics
Cardia Bioplastics Limited (ASX CODE: CNN) develops, manufactures and markets its patented renewable
resource based materials and finished products derived from
packaging and plastic products industries. The company holds a strong patent portfolio and its growth is
fuelled by the global trend towards sustainable packaging. Established in Australia in 2002 as Biograde
company Headquarters and Global Applications Development Centre is in Melbourne, Australia. The
Product Development Centre and manufacturing plant for resins and finished goods is in Nanjing, China.
There are Cardia Bioplastics offices in Australia,
distributors across the Americas, Asia and Europe. Visit
For Media enquiries please contact:
Justin Kelly
Director
Mercury Consulting
0408 215 858
[email protected]
IC Australia
is ardia Canada, USA, Brazil and the UK.
areas and has a population
. and commercial hub. Pudong is home to the Lujiazui
ion), Cardia’s proprietary technology for the global
China, USA, Brazil and Malaysia, and a network of leading
www.cardiabioplastics.com
@Biograde, the
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