LAND USE RIGHTS

3 Months Ended

Mar. 31, 2015

LAND USE RIGHTS [Text Block]

NOTE 14 – LAND USE RIGHTS

The Company’s land use rights consisted of the following:

		March 31, 2015			December 31, 2014
Cost of land use rights	$	17,981,142		$	17,786,170
Less: Accumulated amortization		(2,375,086	)		(2,137,018	)
Land use rights, net	$	15,606,056		$	15,649,152

As of March 31, 2015 and December 31, 2014, the net book value of land use rights pledged as collateral for the Company’s bank loans was $10,271,477 and $9,665,834, respectively. Also see Note 16.

The amortization expense for the three months ended March 31, 2015 and 2014 was $97,379 and $89,523, respectively. Amortization expense for the next five years and thereafter is as follows:

2015 (nine months)	$	292,137
2016		389,516
2017		389,516
2018		389,516
2019		389,516
Thereafter		13,755,855
Total	$	15,606,056