Inventories

3 Months Ended

Dec. 31, 2011

Inventory

Inventory Disclosure [Text Block]

5. Inventories  

Inventories as of December 31, 2011 and June 30, 2011 consisted of the following: 

	December 31, 2011		June 30, 2011
	(Unaudited)		(Audited)
Raw materials	$	50,178	$	37,305
Work in progress		1,074,470		1,006,071
Finished goods		1,286,872		501,299
Total	$	2,411,520	$	1,544,675

The raw materials generally consist of feedstuff and other raw materials. Finished goods consist of the baby hogs, young hogs and commercial hogs which are ready to sell. Work in progress consists generally of the direct labor, depreciation of the facilities, manufacturing overhead expenses, and other production related fees

Inventory turnover for the six months ended December 31, 2011 and 2010 were as follows:

	For The Six Months Ended December 31,
	2011		2010
Inventory turnover		36.44		32.19

Cost of goods sold increased for the six months ended December 31, 2011 as compared to the same period in 2010 as a result of the increase in sales. Average inventories increased in the six months ended December 31, 2011 as compared to the same period in 2010. However, the increased amount of cost of goods sold was greater than the amount of increased average inventories during the current period. As a result, the inventories turnover rate, which equals the cost of goods sold divided by the average inventory, for the six months ended December 31, 2011 was higher than in the same period in 2010.