DRGG – Dragon International Group Corp.
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DRGG has decided to take its place in the $65 billion global herbal market and they are in very good company. The World Bank has placed itself squarely in the forefront of medicinal herbal plant production and promotion as an important means of creating a cash crop and prevent erosion, run-off and flood control. DRGG in moving into this market is making an important longterm strategical decision for its company. DRGG has the packaging expertise and herbal medicines have not traditionally benefited from modern packaging. This is a winning combination, particularly as middle class China begins to shop in modern stores such as WalMart as opposed to open air market venues.
America recognizes the impact of Chinese imports but often they forget that in China there exists a burgeoning middle class which is fueling demand for flexible packaging with modern and appealing labels. The ten largest Chinese cities are home to about 50 million consumers. They make up only 3.6 percent of China’s population but they account for 20 percent of all retail sales. This population will be most likely to obtain their traditional Chinese Herbal medicine through modern packaging as they participate in the rapid Chinese development of modern retailing versus traditional open-air markets which is revolutionizing packaging demand in China. More than 70 percent of the world’s top retailers have operations in China, including Wal-Mart of the United States.
The World Bank estimates the global herbal drug market will grow at an annual rate of 10 to 15 percent to $5 trillion by 2050. The US and Western Europe currently have a seventy percent share of this market. In China, where traditional herbal medicine is fundamenatal, the herbal market is not charted in this global market pie because many of the herbal medicines and remedies are sold in what Americans would recognize as Mom and Pop venues. Chinese herbal medicines and ingredients are also imported to the Japanese market where traditional Chinese medicine is popular.
DRGG is taking Chinese Herbal Medicine mainstream and embracing modern production and promotion techniques to help boost exports of traditional products.
World Bank Promoting Herbal Medicine
The World Bank has predicted that the promotion of herbs, or the multi-purpose medicinal plants (MPMPs), will have a huge economic impact worldwide because of their growing demand. Herbal medicinal plants will also go a long way in fighting poverty among the communities producing them. A study commissioned by the bank, Capitalising on the Bio-Economic Value of Multi-Purpose Medicinal Plants for the Rehabilitation of Drylands in Sub-Saharan Africa, says that the 2004 global market for herbal medicines, including herbal products and raw materials, is estimated to be $ 65 billion. The figure is based on the World Health Organisation’s $ 45 billion dollar figure, with an annual growth rate from five to fifteen percent.
The World Bank is promoting herbal medicinal species for multipurpose reasons. Like other species, planted medicinal trees, shrubs and herbs can help to check run-off and erosion, control flooding, purify water and protect against wind, says the research carried out by World Bank officials John Lambert, Per Ryden and Enos Esikuri. Dr Lambert, a traditional medicine specialist, is among the bank’s officials working with the Ministry of Health to seek ways of strengthening relations between conventional doctors and herbalists.
China and India are the greatest users of medicinal plants with their traditional plant remedies dating back at least 7,000 years. The report says that in China, the demand in 1994 was 1.6 tonnes of plants, of which only between 300,000 and 400,000 came from cultivation. “The difference comes from wild harvesting, which is increasingly unsustainable.” India is a country in which DRGG has recently obtained a packaging contract for phamaceuticals.
According to the director of Medical Services of the World Bank, Dr James Nyikal, part of the ministry of Health’s reform agenda is to participate in the development of a national policy on herbal medicine and the plants.
Dragon International has placed itself squarely in this growing market. They have the experience and the facilities to package Chinese Medicinal Herbs which will appeal to the growing middle class urban Chinese market as well as the export market.
Coming Up: Chinese Medical Universities conduct studies on the efficacies of Chinese Medical Herbs.
Dragon International Group Corp (OTCBB: DRGG) is one of leading China’s manufacturers and distributors of specialty paper products and packaging materials. DRGG is operating as a manufacturer and distributor of paper and integrated packaging paper products. DRGG has a distribution network covering east and central China. Dragon and its subsidiaries have cultivated strategic relationships with several of the world’s largest and well-known manufacturers of paper and specialty packaging products. For more information, please visit http://www.drgg.net.
Source: Market News Publishing, Inc. and AllAfrica Global Media. (allafrica.com)
Contact:
DRGG – Dragon International Group Corp.
Bldg 14, Suite A09
29 Dongdu Road
International Trading Center
Ningbo, 315000 China
Website: http://www.drgg.net
Phone: 86-574-56169308
Fax: 86-0574-56169378
SOURCE: Dragon International Group Corp.
About Dragon International Group Corp. Dragon International Group Corp. (OTCBB: DRGG) is one of China’s leading manufacturers and distributors of specialty paper products and packaging materials. DRGG is operating as a manufacturer and distributor of paper and integrated packaging paper products. DRGG has a distribution network covering east and central China. Dragon and its subsidiaries have cultivated strategic relationships with several of the world’s largest and well-known manufacturers of paper and specialty packaging products. For more information, please visit http://www.drgg.net.
SafeHarborand Forward Looking Statement: Certain statements set forth in this article constitute “forward-looking statements.” Forward-looking statements include, without limitation, any statement that may predict, forecast, indicate, or imply future results, performance or achievements. Such statements are not guarantees of future performance and are subject to risks and uncertainties that could cause the company’s actual results and financial position to differ materially from those included within the forward-looking statements, including the Company’s ability to obtain sufficient financing to fund both its internal growth opportunities and acquisition strategy. More information about the potential risks and factors that could affect the Company’s business and financial results is included in the Company’s filings, available via the United States Securities and Exchange Commission at http://www.sec.gov/.
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