NOTE 8- LOAN PAYABLES

As of September 30, 2016, the short-term loan payables consisted of three loans which mature on dates ranging from January 19, 2016 through July 28, 2017 with interest rates ranging from 4.87% to 5.22%. The loans No. 1 and 2 below are collateralized by Tianjuyan’s land use right and building ownership right. The loans No. 3 is guaranteed by Jinong’s credit.

No.	Payee	Loan period per agreement	Interest Rate			September 30, 2016
1	Agriculture Bank of China-Pinggu Branch	May. 18, 2016 – Mar. 17, 2017		4.87	%	$	1,948,960
2	Agriculture Bank of China-Pinggu Branch	Jan. 19, 2016- Jan. 17, 2017		5.00	%		1,199,360
3	Beijing Bank- Pinggu Branch	Jul. 28, 2016 – Jul. 28, 2017		5.22	%		1,499,200
	Total					$	4,647,520

As of June 30, 2016, the short-term loan payables consisted of three loans which mature on dates ranging from May 18, 2016 through March 17, 2017 with interest rates ranging from 4.87% to 5.82%. The loans No. 1 and 3 below are collateralized by Tianjuyan’s land use right and building ownership right. The loans No. 2 is guaranteed by Jinong’s credit.

No.	Payee	Loan period per agreement	Interest Rate			June 30, 2016
1	Agriculture Bank of China-Pinggu Branch	May. 18, 2016 - Mar. 17, 2017		4.87	%	$	1,956,500
2	Beijing Bank - Pinggu Branch	Aug. 11, 2015- Aug. 2, 2016		5.82	%		1,505,000
3	Agriculture Bank of China-Pinggu Branch	Jan. 19, 2016 – Jan. 17, 2017		5.00	%		1,204,000
	Total					$	4,665,500

Gufeng repaid RMB10,000,000 ($1,499,200) bank loan to Beijing Bank in July, and borrowed RMB10,000,000 ($1,499,200) from the same bank as of September 30, 2016.

The interest expense from short-term loans was $138,545 and $429,035 for the three months ended September 30, 2016 and 2015, respectively.