Advance
      Agreement

    


    Party
      A:  Wei
      Li

     

    Party
      B:  Kiwa
      Bio-Tech Products Group Corporation

     

    The
      Advance Agreement is signed on September 10, 2007 by both parties, to clarify
      the following advance transactions:

     

    
      	
            	1.	
              During
                August 2007, Party A advanced an aggregate sum of RMB 1,377,405 (i.e.
                US$182,180, based on the exchange rate 7.5607:1 on August 31, 2007)
                to
                Party B’s Beijing Representative Office in
                China.

            


    

     

    
      	
            	2.	
              During
                August 2007, Party A advanced RMB 240,000 (i.e. US$31,743, based
                on the
                exchange rate 7.5607:1 on August 31, 2007) to Party B’s subsidiary, Kiwa
                Bio-Tech Products Group Ltd.

            


    

     

    
      	
            	3.	
              Both
                parties agreed the abovementioned advances bear interest at 6% per
                annum
                starting from September 1, 2007. Party A agreed that Party B could
                repay
                the advances aperiodically when the Company’s cash flow circumstances
                permit. At the same time Party B agreed to settle the advances within
                180
                days since September 1, 2007. 

            


    

     

    
      	
            	4.	
              Both
                parties agreed that Party B will issue to Party A warrants that entitle
                Party A to purchase up to 1,069,615 shares of common stock based
                on the
                exercise price specified in Clause 4. Party A shall have the right
                to
                exercise the warrants within next 24 months beginning from September
                1,
                2007.

            


    

     

    
      	
            	5.	
              Exercise:
                At the option and instruction of Party A, Party A shall at any time
                make
                an application to exercise any warrants for the issuance of shares
                of
                Party B. Party A shall have the right to exercise the warrants based
                on a
                exercise price equal to the closing quote (US$0.08) of the shares
                of Party
                B on August 31, 2007. Party A shall have unlimited piggyback registration
                right. 

            


    

     

     

    
      	 	
              Party
                A:

            	
              Wei
                Li

            	 
	 	 	 	 
	 	
               

            	
              /s/      
                Wei Li

            	 
	 	 	 
	 	
              Party
                B:

            	
              Kiwa
                Bio-Tech Products Group Corporation

            	 
	 	
               

            	
              /s/      
                Lianjun Luo

            	 
	 	 	
              Director
                and Financial Officer

            	 
	 	 	 	 
	 	 	 	 
	 	
              Date:

            	
              September
                10, 2007