**UNITED STATES**

**SECURITIES AND EXCHANGE COMMISSION**

Washington, D.C. 20549

**FORM 10-QSB**

**X**Quarterly report under section 13 or 15(d) of the Securities Exchange Act of 1934 for the
period ended June 30, 2002.

____Transition report under section 13 or 15(d) of the Securities Exchange Act of 1934 for the
transition period from ______ to ______.

**AGRONIX, INC.**

(Exact name of registrant as specified in its charter)

|Florida                                        | 0-15893                  | 13-4025362                          
|---------------------------------------------- | ------------------------ | ------------------------------------
|(State or other jurisdiction of
incorporation) | (Commission File
Number) | (IRS Employer Identification
Number)

|1666 West 75th Avenue

Vancouver, B.C., Canada | V6P 6G2   
|---------------------------------------------- | ----------
|(Address of principal executive offices)       | (Zip Code)

Registrant's telephone number, including area code:  (604) 714-1606

Check whether the issuer (1) filed all reports required to be filed by Section 13 or 15(d) of the
Securities Exchange Act during the past 12 months (or for such shorter period that the registrant
was required to file such reports), and (2) has been subject to such filing requirements for the
past 90 days. Yes. X  No...

Applicable only to issuers involved in bankruptcy proceedings during the past five years.

Check whether the issuer has filed all documents and reports required to be filed by Section 12,
13 or 15(d) of the Exchange Act after the distribution of securities under a plan confirmed by a
court.  Yes .....  No .....

Applicable only to corporate issuers

State the number of shares outstanding of each of the issuer's classes of common equity, as of the
latest practicable date:  At June 30, 2002, there were 19,926,181 shares outstanding.

Transitional Small Business Disclosure Format (Check one):  Yes .....     No ..X..



PART 1 - FINANCIAL  INFORMATION

ITEM 1.  FINANCIAL STATEMENTS AND EXHIBITS ****

**AGRONIX, INC.**

**(A Development Stage Company)**

**JUNE 30, 2002**

**CONTENTS**

|**********INTERIM CONSOLIDATED FINANCIAL STATEMENTS** | ****
|----------------------------------------------------- | ----
|Consolidated Balance Sheets                           |     
|Interim Consolidated Statements of Operations         |     
|Interim Consolidated Statements of Cash Flows         |     
|Consolidated Statements of Stockholders' Equity       |     
|Notes to Interim Consolidated Financial Statements    |     



**AGRONIX, INC.**

**(A Development Stage Company)**

**CONSOLIDATED BALANCE SHEETS**

(Expressed in U.S. Dollars)

**ASSETS**

|                                    | **June 30**         | **December 31******
|----------------------------------- | ------------------- | -------------------
|                                    | **2002******        | **2001**           
|****                                | (Unaudited)         |                    
|**CURRENT**                         |                     |                    
|Cash                                | $68,714             | $100,610           
|Receivables                         | 4,180               | 1,071              
|Prepaid expenses and deposits       | 25,913              | 4,087              
|                                    | 98,807              | 105,768            
|**FIXED ASSETS**(Note 3)            | 16,227              | 9,998              
|**INVESTMENT IN AND ADVANCES TO**   |                     |                    
|**3884171 CANADA INC.**(Note 4)**** | ********146,447**** | ********143,017    
|                                    | $261,481            | $258,783           

**LIABILITIES AND STOCKHOLDERS' EQUITY**

|**CURRENT LIABILITIES**                  |          |        
|---------------------------------------- | -------- | -------
|Accounts payable and accrued liabilities | $101,140 | $28,786
|Due to related parties (Note 5)          | 72,870   | 69,870 
|                                         | 174,010  | 98,656 

|**STOCKHOLDERS' EQUITY**  |  | 
|------------------------- |  | 
|**CAPITAL STOCK**(Note 6) |  | 
|**Authorized:**           |  | 

50,000,000 common shares with a par value of $0.001 per share

10,000,000 preferred shares with a par value of $0.001 per share

|**Issued and outstanding:**                             |                         |                    
|------------------------------------------------------- | ----------------------- | -------------------
|19,926,181 (2001: 19,328,074 after giving effect to 2:1 |                         |                    
|stock split) common shares                              | 10,205                  | 9,664              
|Additional paid in capital                              | 2,398,360               | 1,836,286          
|****                                                    | 2,408,565               | 1,845,950          
|**DEFICIT ACCUMULATED DURING THE**                      | ********                | ********           
|**DEVELOPMENT STAGE**                                   | ********(2,321,094)**** | ********(1,685,823)
|****                                                    | 87,471                  | 160,127            
|                                                        | $261,481                | $258,783           

Continuance of operations (Note 1)

Commitments (Note 8)

See accompanying notes to the interim consolidated financial statements.

**AGRONIX, INC.**

**(A Development Stage Company)**

**INTERIM CONSOLIDATED STATEMENTS OF OPERATIONS**

(Expressed in U.S. Dollars)

(Unaudited)****

|                    | **********Cumulative** | ********          | ********          | ********          | ********         
|------------------- | ---------------------- | ----------------- | ----------------- | ----------------- | -----------------
|                    | ******From Inception** | **For the**       | **For the**       | **For the**       | **For the**      
|                    | ******(Jan 20, 2000)** | **Six Months**    | **Six Months**    | **Three Months**  | **Three Months** 
|                    | **to June 30**         | **Ended June 30** | **Ended June 30** | **Ended June 30** | **Ended June 30**
|                    | **2002**               | ******2002**      | ******2001**      | ******2002**      | ******2001**     
|**INTEREST INCOME** | $2,628                 | $202              | $901              | $158              | $149             

|**EXPENSES**               |           |         |         |         |        
|-------------------------- | --------- | ------- | ------- | ------- | -------
|Stock based compensation   | 677,900   | 200,900 | 117,250 | 61,150  | 40,500 
|Consulting fees            | 802,489   | 290,675 | 97,962  | 173,434 | 47,714 
|Depreciation               | 2,325     | 1,114   | 377     | 563     | 242    
|Office and general         | 78,723    | 24,474  | 19,023  | 18,043  | 11,209 
|Professional fees          | 152,319   | 41,075  | 29,844  | 9,482   | (1,166)
|Rent                       | 28,718    | 8,287   | 7,137   | 4,838   | 3,464  
|Research and development   | 439,923   | 51,240  | -       | 29,428  | -      
|Shareholder communications | 10,361    | 3,002   | 1,127   | 1,447   | 283    
|Travel and promotion       | 130,964   | 14,706  | 29,001  | 10,307  | 21,082 
|                           | 2,323,722 | 635,473 | 301,721 | 308,693 | 123,328

|**NET LOSS**before the following   | (2,321,094)      | (635,271)          | (300,820)              | (308,535)           | (123,179)      
|---------------------------------- | ---------------- | ------------------ | ---------------------- | ------------------- | ---------------
|Equity loss in 3884171 Canada
Inc. | -                | -                  | (20,000)               | -                   | (20,000)       
|**NET LOSS FOR THE PERIOD**        | **$(2,321,094)** | **$(635,271)**     | **$(320,820)**         | **$(308,535)**      | **$(143,179)** 
|****                               | ****             | ********           | ********               | ********            | ********       
|****Weighted average common        | ****             | ********           | ********               | ********            | ********       
|shares outstanding                 |                  | ****19,571,335**** | ********15,317,382**** | ********19,675,457  | ****17,182,512 
|****Basic and diluted loss per**** | ********         | ********           | ****                   | ****                | ****           
|share                              |                  | ****$(0.03)****    | ********$(0.02)****    | ********$(0.02)**** | ********$(0.01)

See accompanying notes to the interim consolidated financial statements.

******AGRONIX, INC.**

**(A Development Stage Company)**

**INTERIM CONSOLIDATED STATEMENTS OF CASH FLOWS**

(Expressed in U.S. Dollars)

(Unaudited)****

|****                                                            | ******Cumulative**     | ********          | ********         
|--------------------------------------------------------------- | ---------------------- | ----------------- | -----------------
|                                                                | **From Inception**     | **For the**       | **For the**      
|                                                                | **(January 20, 2000)** | **Six Months**    | **Six Months**   
|                                                                | **to June 30**         | **Ended June 30** | **Ended June 30**
|                                                                | **2002**               | ******2002**      | ******2001**     
|**Cash derived from (applied to):**                             |                        |                   |                  
|**OPERATING ACTIVITIES**                                        | ********               | ********          | ********         
|Net Loss                                                        | $(2,321,094)           | $(635,271)        | $(320,820)       
|Depreciation                                                    | 2,325                  | 1,114             | 377              
|Research and development expenses paid                          |                        |                   |                  
|through issuance of common shares (Note 7)                      | 383,856                | -                 | -                
|Stock based compensation                                        | 677,900                | 200,900           | 117,250          
|Equity loss in 3884171 Canada Inc.                              | -                      | -                 | 20,000           
|Rent paid through issuance of common                            |                        |                   |                  
|shares                                                          | 18,885                 | 8,776             | 2,550            
|Consulting and legal fees paid though the                       |                        |                   |                  
|issuance of common shares                                       | 289,865                | 240,650           | -                
|Non-cash office and general expenses                            | 3,000                  | 3,000             | -                
|Change in non-cash working capital                              |                        |                   |                  
|Receivables                                                     | (4,180)                | (3,109)           | 369              
|Prepaid expense and deposits                                    | (25,913)               | (21,826)          | -                
|Payables and accruals                                           | 88,038                 | 72,354            | 9,010            
|                                                                | (887,318)              | (133,412)         | (171,264)        
|**FINANCING ACTIVITIES**                                        |                        |                   |                  
|Advances under a credit facility with a company                 |                        |                   |                  
|with director in common, net of repayments                      | 69,870                 | -                 | 66,070           
|Advances from (to) shareholder                                  | (14,267)               | -                 | 702              
|Shares issued or subscribed for cash                            | 1,065,428              | 112,289           | 111,346          
|Shares subscribed                                               | -                      | -                 | 40,317           
|                                                                | 1,121,031              | 112,289           | 218,435          
|**INVESTING ACTIVITIES**                                        |                        |                   |                  
|Acquisition of fixed assets                                     | (18,552)               | (7,343)           | (1,383)          
|Investment in and advances to 3884171 Canada Inc.               | (146,447)              | (3,430)           | (95,015)         
|                                                                | (164,999)              | (10,773)          | (96,398)         
|****Increase (decrease) in cash                                 | 68,714                 | (31,896)          | (49,227)         
|**Cash,** beginning of period                                   | -                      | 100,610           | 95,040           
|**Cash,** end of period                                         | $68,714                | $68,714           | $45,813          
|**Non-cash financing transactions not included in cash flows:** |                        |                   |                  
|Shares issued for research and development                      | $383,856               | $-                | $-               
|Stock based compensation                                        | $677,900               | $200,900          | $117,250         
|Shares issued for rent                                          | $18,885                | $8,776            | $2,550           
|Shares issued for consulting and legal services                 | $289,864               | $240,650          | $-               

See accompanying notes to the interim consolidated financial statements.

**AGRONIX, INC.**

(A Development Stage Company)****

**NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS**

(Unaudited)

**JUNE 30, 2002**

**1.	OPERATIONS AND GOING CONCERN**

The company was incorporated under the laws of Florida, U.S.A. on May 6, 1996 as RCA
Trading Co.  The company changed its name to Agronix, Inc. on June 18, 2001.

Pursuant to a share exchange agreement entered into on October 16, 2000 and closed on March
26, 2001, between the shareholders of the Agronix and shareholders of a private Company,
American Waste Recovery, Inc. ("AWR"), the Company purchased all of the outstanding shares
of AWR.  AWR was incorporated under the laws of Nevada, U.S.A. on January 20, 2000 as
American Bio Recovery, Inc.; on January 26, 2000, its name was changed to American Waste
Recovery, Inc.  The consideration for this acquisition was the issuance by the company of
6,622,250 common shares.

As a result of this transaction, AWR has become a wholly-owned subsidiary of Agronix and the
former shareholders of AWR in turn became owners of the majority of the issued and
outstanding shares of Agronix.  Since the former shareholders of AWR have acquired control of
Agronix through this transaction, it is considered a reverse acquisition and these financial
statements are presented from the perspective of AWR (the accounting parent in this transaction).
These financial statements present the consolidated results of operations from AWR's date of
incorporation (January 20, 2000) to June 30, 2002 including the results of operations of Agronix
since March 26, 2001.

Agronix has focused its activities on the development of its acquired technologies for
commercial use, for identifying prime international locations to build commercial plants, and
forming strategic alliances for the implementation of its global business plan.  No significant
revenues have been realized and planned principal operations have not yet commenced.  Agronix
is engaged in the acquisition and development of technologies that convert organic residues into
agricultural products such as growth substrates, organic fertilizers, soil amendments and
chemical commodities for agriculture and industry use.

These financial statements have been prepared on the basis of accounting principles applicable to
a going concern which assumes that the Company will continue to operate for the foreseeable
future and will be able to realize its assets and discharge its liabilities in the normal course of
operations.  The Company's continued existence is dependent upon its ability to raise additional
capital and to ultimately achieve profitable operations.  It is management's intention to pursue
market acceptance for its product and identify funding sources until such time that there is
sufficient operating cash flow to fund operating requirements.

If the going concern assumptions were not appropriate for these financial statements, then
adjustments would be necessary in the carrying values of assets and liabilities, the reported
expenses and the balance sheet classifications used.

**2.	SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES**

**UNAUDITED INTERIM FINANCIAL STATEMENTS**

These accompanying unaudited interim consolidated financial statements have been prepared in
accordance with generally accepted accounting principles for interim financial information and
conforms with instructions to Form 10-QSB of Regulation S-B.  They may not include all
information and footnotes required by generally accepted accounting principles for complete
financial statements.  However, except as disclosed herein, there has been no material changes in
the information disclosed in the notes to the financial statements for the year ended December
31, 2001 included in the Company's Annual Report on Form 10-KSB filed with the Securities
and Exchange Commission.  The interim unaudited financial statements should be read in
conjunction with those financial statements included in the Form 10-KSB.  In the opinion of
Management, all adjustments considered necessary for a fair presentation, consisting solely of
normal recurring adjustments, have been made.  Operating results for the six months ended June
30, 2002 are not necessarily indicative of the results that may be expected for the year ending
December 31, 2002.

**CONSOLIDATION**

These consolidated financial statements are presented in U.S. dollars in accordance with
accounting principles generally accepted in the United States of America and include the
accounts of the company and its wholly-owned subsidiary, AWR.

**ACCOUNTING FOR STOCK OPTIONS**

In October 1995, the Financial Accounting Standards Board ("FASB") issued Statement of
Financial Accounting Standards ("SFAS") No. 123, Accounting for Stock-Based Compensation
("SFAS"), which requires entities to calculate the fair value of stock awards granted to
employees.  This statement provides entities with the option of electing either to expense the fair
value of employee stock-based compensation or to continue to recognize compensation expense
under previously existing accounting pronouncements set out in APB 25 and to provide
pro-forma disclosures of net earnings (loss) and, if presented, earnings (loss) per share, as if the
above-referenced fair value method of accounting was used in determining compensation
expense.

The company has elected to account for stock-based employee or director compensation
arrangements in accordance with Accounting Principles Board Opinion No. 25, Accounting for
Stock Issued to Employees ("APB No. 25").

Stock options issued to non-employees are recorded at the fair value of the services received or at
the fair value of the options issued, whichever is more reliably measurable.  Compensation is
charged to expense over the shorter of the term of service or the vesting period.

The Black-Scholes option valuation model was developed for use in estimating the fair value of
traded options and warrants which have no vesting restrictions and are fully transferable.  In
addition, option valuation models require the input of highly subjective assumptions, including
the expected stock price volatility.

The Company has also adopted the provisions of the Financial Accounting Standards Board
Interpretation No. 44, Accounting for Certain Transactions Involving Stock Compensation - An
Interpretation of APB Opinion No. 25 ("FIN 44"), which provides guidance as to certain
applications of APB 25.  FIN 44 is generally effective July 1, 2000 with the exception of certain
events occurring after December 15, 1998.

**FIXED ASSETS**

Capital assets are recorded at cost less accumulated depreciation.  Depreciation is recorded on the
straight-line method at the following rates:

|Office equipment   | 20	% | straight line
|------------------ | ---- | -------------
|Computer equipment | 30	% | straight line
|Computer software  | 50	% | straight line

**INVESTMENTS**

The company uses the equity method to account for investments in companies such as 3884171
Canada Inc. and other business ventures over which it exercises significant influence.

**TECHNOLOGY**

The company capitalizes the acquisition costs of technologies when their technological feasibility
has been established; otherwise such costs are charged to operations.

**RESEARCH AND DEVELOPMENT**

The Company records all research and development costs in accordance with SFAS 2 "Accounting
for Research and Development Costs".  As such, all research and development costs are expensed
as they are incurred, until such time as the research and development outcome is proven for
commercial use, at which time the costs are capitalized and amortized.

**LONG-LIVED ASSETS**

The company monitors the recoverability of long-lived assets, including capital assets and its
investments in and advances to 3884171 Canada Inc., based on estimates using factors such as
current market value, future asset utilization, and future undiscounted cash flows expected to result
from the use of the related assets.  The company's policy is to record any impairment loss in the
period when it is determined that the carrying amount of the asset may not be recoverable.  Any
impairment loss is calculated as the excess of the asset's carrying value over its estimated realizable
value.

**LOSS PER SHARE**

The company follows SFAS No. 128 to calculate earnings per share.  Basic loss per share is
computed using the weighed effect of all common shares issued and outstanding.  Fully diluted
earnings per share has not been presented as the effect on basic earnings per share is anti-dilutive.

Prior period loss per share have been restated to reflect the two-for-one stock split which occurred
on January 9, 2002.

**USE OF ESTIMATES**

In preparing financial statements in conformity with accounting principles accepted in the United
States of America, management is required to make estimates and assumptions that affect the
reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the
dates of the financial statements for the reporting period.  Actual results may differ from those
estimates.

**FOREIGN CURRENCY TRANSLATION**

The financial statements are presented in United States dollars.  In accordance with Statement of
Financial Accounting Standards No. 52, "Foreign Currency Translation", foreign denominated
monetary assets and liabilities are translated to their United States dollar equivalents using foreign
exchange rates which prevailed at the balance sheet date.  Revenue and expenses are translated at
average rates of exchange during the period.  Related translation adjustments are reported as a
separate component of stockholders' equity, whereas gains or losses resulting from foreign currency
transactions are included in results of operations.

**RECENT ACCOUNTING PRONOUNCEMENTS**

SFAS 141 & 142

On July 20, 2001, the FASB issued SFAS 141, Business Combinations, and SFAS 142, Goodwill
and Intangible Assets.  SFAS 142 is effective for fiscal years beginning after December 15, 2001;
however, certain provisions of this statement apply to goodwill and other intangible assets acquired
between July 1, 2001 and the effective date of SFAS 142.  Major provisions of these statements and
their effective dates for the company are as follows:

a)  all business combinations initiated after June 30, 2001 must use the purchase method of
accounting.  The pooling of interest method of accounting is prohibited except for transactions
initiated before July 1, 2001.

b) intangible assets acquired in a business combination must be recorded separately from
goodwill if they arise from contractual or other legal rights or are separable from the acquired entity
and can be sold, transferred, licensed, rented or exchanged, either individually or as part of a related
contract, asset or liability.

c)  effective January 1, 2002, goodwill and intangible assets with indefinite lives will be
tested for impairment annually and whenever there is an impairment indicator.

d) all acquired goodwill must be assigned to reporting units for purposes of impairment
testing and segment reporting.

SFAS 143 & 144

In July, 2001, the FASB issued SFAS No. 143, Accounting for Asset Retirement Obligations.  This
statement addresses financial accounting and reporting for obligations associated with the retirement
of tangible long-lived assets and the associated asset retirement costs.  This statement applies to all
entities.  It applies to legal obligations associated with the retirement of long-lived assets that result
from the acquisition, construction, development and (or) the normal operation of a long-lived asset,
except for certain obligations of lessees.  This statement is effective for financial statements issued
for fiscal years beginning after June 15, 2002.

In August 2001, the FASB issued SFAS No. 144, Accounting for the Impairment or Disposal of
Long-Lived Assets.  This statement addresses financial accounting and reporting for the impairment
or disposal of long-lived assets and supersedes FASB Statement No. 121, Accounting for the
Impairment of Long-Lived Assets to be Disposed Of.  The provisions of the statement are effective
for financial statements issued for fiscal years beginning after December 15, 2001.

**3.	FIXED ASSETS**

|                        | ****         | ********             | ******Net**     | ******Net**        
|----------------------- | ------------ | -------------------- | --------------- | -------------------
|****                    | ********     | ******Accumulated**  | ******June 30** | ******December 31**
|****                    | ******Cost** | ******Amortization** | ******2002**    | ****2001****       
|Office equipment        | $1,831       | $611                 | $1,220          | $1,039             
|Computer equipment      | 4,219        | 1,522                | 2,697           | 1,776              
|Computer software       | 367          | 192                  | 175             | 67                 
|Option to purchase land | 12,135       | -                    | 12,135          | 7,116              
|                        | $18,552      | $2,325               | $16,227         | $9,998             

******4.           INVESTMENT IN AND ADVANCES TO 3884171 CANADA INC**.

Pursuant to an agreement dated March 26, 2001 entered into by the Company and Bio-Max Inc.
("Bio-Max") (a Quebec City, Canada based developer of organic waste processing plants), a
subsidiary (3884171 Canada Inc. ("Newco")) was created in which the Company owns 20% of the
issued and outstanding common shares and Bio-Max owns 80% of the issued and outstanding
common shares.  Newco has been established to further the development and commercialization of
Bio-Max's "Robo II" technology into Agronix/Bio-Max "Robo III" technology [Agronix
Bio-Conversion Reactor System (BCR)] using Agronix intellectual property rights and proprietary
bio-conversion formulae.

Under the terms of the agreement:

(a) Bio-Max contributed $80 Cdn and the Robo II technology as its capital contribution for an 80%
interest in Newco.  The Company contributed $20 Cdn and its technical process improvements, its
intellectual property rights and proprietary bio-conversion formulae as its capital contribution for a
20% interest in Newco with a option to purchase a further 30% of Newco for $1,500,000 CAD.
Should the Company exercise this option, it would be a 50/50 partner with Bio-Max in Newco.

(b) The Company and Bio-Max have given each other a right of first refusal to match any offer to
purchase any shares of Newco owned by each of them.

(c) Agronix has the world licensing rights for Robo III from Newco with the exception of the
Francophone countries.

(d) Agronix has advanced $224,000 CAD to Newco which has completed Robo III engineering and
the Bio-Conversion Reactor System (BCR) to be constructed for commercial plant operations
throughout the world.

The company's investment in and advances to Newco have been accounted for as follows:

|**** | ********                                                     | ******June 30**  | ******December 31**
|---- | ------------------------------------------------------------ | ---------------- | -------------------
|     |                                                              | **********2002** | ******2001**       
|     | Investment in shares                                         | $13              | $13                
|     | Advances, non-interest bearing, no stated terms of repayment | 146,434          | 143,004            
|     |                                                              | $146,447         | $143,017           

******5.      DUE TO RELATED PARTIES**

|**** | ********                                                                                                          | ******June 30**  | ******December 31**
|---- | ----------------------------------------------------------------------------------------------------------------- | ---------------- | -------------------
|     |                                                                                                                   | **********2002** | ******2001**       
|     | Revolving credit facility with a shareholder, unsecured,
non-interest bearing, principal due on December 31, 2002 | $7,000           | $7,000             
|     | Demand loan from a company controlled by a shareholder                                                            |                  |                    
|     | - unsecured, principal in the amount of $100,000 Cdn; 12%                                                         |                  |                    
|     | annum simple interest; interest payable monthly; repayable                                                        |                  |                    
|     | on demand or on December 31, 2002                                                                                 | 65,870           | 62,870             
|     |                                                                                                                   | $72,870          | $69,870            

****	Included in accounts payable is $9,230 (2001 - $5,130) of interest accrued in connection with the
demand loan.

**6.	CAPITAL STOCK**

On June 11, 2001 the Company amended its Articles of Incorporation to change the authorized
number of shares from 20,000,000 common shares to 25,000,000 and the authorized number of
preferred shares from 5,000,000 to 10,000,000.

On January  9, 2002,  the company amended its outstanding number of common shares to reflect a
two-for-one split.  As a result, the 9,720,997 issued and outstanding shares as of that date changed
to a total of 19,441,994 issued and outstanding shares. In addition, the company amended its Articles
of Incorporation to change the authorized number of shares from 25,000,000  to 50,000,000 common
shares.  The Company has retroactively reflected this two-for-one split in these financial statements.

****

**STOCK OPTIONS**

The following table summarizes information about outstanding and exercisable share options at June
30, 2002:

|**Options Outstanding** | **Options Exercisable**
|----------------------- | -----------------------

|                |                      |                       | **************Average**   | **Weighted**  | ****            | **Weighted** 
|--------------- | -------------------- | --------------------- | ------------------------- | ------------- | --------------- | -------------
|                |                      |                       | **************Remaining** | **Average**   | ****            | **Average**  
|                |                      | **********Excercise** | **Contractual**           | **Excercise** | ****            | **Excercise**
|**Number**      | ****                 | **Price**             | **Life**                  | **Price**     | **Number**      | **Price**    
|**Outstanding** | **Grant Date**       | **Per Share**         | **(In Years)**            | **Per Share** | **Exercisable** | **Per Share**
|****840,000**** | ********01/27/00**** | ********$0.25         | ****4.33                  | ****$0.25     | ****840,000     | ****$0.25    
|400,000         | 01/28/00             | 0.25                  | 4.33                      | 0.25          | 400,000         | 0.25         
|300,000         | 02/17/00             | 0.25                  | 4.39                      | 0.25          | 300,000         | 0.25         
|500,000         | 08/04/00             | 0.25                  | 4.85                      | 0.25          | 500,000         | 0.25         
|150,000         | 10/30/00             | 0.34                  | 5.08                      | 0.34          | 150,000         | 0.34         
|400,000         | 01/17/01             | 0.50                  | 4.30                      | 0.50          | 400,000         | 0.50         
|80,000          | 07/03/01             | 0.50                  | 5.76                      | 0.50          | 80,000          | 0.50         
|1,000,000       | 07/09/01             | 0.25                  | 4.78                      | 0.25          | 1,000,000       | 0.25         
|200,000         | 02/22/02             | 0.50                  | 0.91                      | 0.50          | 200,000         | 0.50         
|3,870,000       |                      |                       |                           | $0.32         | 3,870,000       | $0.32        

Summary of share option activity and information concerning options at June 30, 2002:

|**** | ******** | ********
|---- | -------- | --------

| |                              | **************Six Months Ended** | **Year Ended******           
| | ---------------------------- | -------------------------------- | -----------------------------
| |                              | **********June 30, 2002**        | ******December 31, 2001******
| | Balance, beginning of period | 3,670,000                        | 2,340,000                    
| | Granted                      | 200,000                          | 1,530,000                    
| | Cancelled                    | -                                | (200,000)                    
| | Balance, end of period       | 3,870,000                        | 3,670,000                    

The company accounts for the options issued to directors and employees in accordance with the
provisions of APB Opinion No. 25, Accounting for Stock Options Issued to Employees.  Had
compensation cost for the stock option plan been determined based on the fair value at the grant
date consistent with the method of SFAS No. 123, Accounting for Stock-Based Compensation,
the company's net loss and net loss per share would have been the pro forma amounts indicated
below:

|**** | ********                            | ******Six Months Ended**  | ******Six Months Ended**
|---- | ----------------------------------- | ------------------------- | ------------------------
|     |                                     | **********June 30, 2002** | ******June 30, 2001**   
|     | **Net loss:**                       |                           |                         
|     | Actual net loss                     | $(635,271)                | $(320,820)              
|     | Proforma net loss                   | $(635,271)                | $(386,070)              
|     | **Loss per share:**                 |                           |                         
|     | Actual net loss per share           | $(0.03)                   | $(0.02)                 
|     | Proforma net loss per share         | $(0.03)                   | $(0.02)                 
|     |                                     |                           |                         
|     | Weighted average shares outstanding | 19,571,335                | 15,317,382              
|     |                                     |                           |                         

The fair value of each option grant was estimated at the grant date using the Black-Scholes
option-pricing model for the period from inception to June 30, 2002, assuming a risk-free interest
rate of 2.10% (2001: 4.85%), volatility of 67.6% (2001: 0%), zero dividend yield (2001: zero),
and an expected life of six years.

The Black-Scholes option valuation model was developed for use in estimating the fair value of
traded options and warrants which have no vesting restrictions and are fully transferable.  In
addition, option valuation models require the input of highly subjective assumptions, including
the expected stock price volatility.  Because the company's employee stock options and warrants
have characteristics significantly different from traded options, and because changes in the
subjective input assumptions can materially affect the fair value estimates, in management's
opinion, the existing models do not necessarily provide a reliable measure of the fair value of its
employee stock options.

On March 1, 2002  the Company approved a stock option plan whereby 3 million shares will be
available to compensate some of the company's key contributing consultants and allow the
company to retain and hire qualified personnel.

**PERFORMANCE SHARES**

On January 27, 2000, 1,000,000 post-split performance shares were issued into escrow for the
company's President and C.E.O.  For each $0.25 of cumulative cash flow generated by the
company from its operations, two performance shares will be released from escrow.  All shares
remain in escrow at June 30, 2002 and are not included in common shares issued and
outstanding.

- **RESEARCH AND DEVELOPMENT**

During 2000, AWR acquired certain soil and organic matter expertise and intellectual property
from an unrelated organic residue consultant based in Ottawa, Canada.  The consideration for
this acquisition was 300,000 post-split AWR common shares issued at an estimate of their fair
value of $0.50 per share. This research and development acquired has yet to be proven
commercially and its cost of acquisition was expensed.

During 2001, 220,000 post-split Agronix shares were issued at an estimate of their fair value of
$0.50 Cdn per share to three separate parties with soil science and engineering expertise.  The
shares were consideration for engineering activity which was required to advance the design of
the BCIR system to the point that it meetsspecific functional, manufacturing and economic
requirements.A further 500,000 post-split shares were issued during 2001 at an estimate of their fair value of $0.50
Cdn per share to three separate parties with soil science and engineering expertise.  The shares were
consideration for routine, on-going efforts to refine, enrich, and otherwise improve upon the qualities
f the existing BCR system, and the engineering follow-throughto commercial production.

The company has incurred research and development expenses as follows:

|****                                                    | ******Cumulative**     | ******For the**  | ******For the** 
|------------------------------------------------------- | ---------------------- | ---------------- | ----------------
|                                                        | **From Inception**     | **Six Month**    | **Six Month**   
|                                                        | **(January 20, 2000)** | **Period Ended** | **Period Ended**
|                                                        | **to June 30**         | **June 30**      | **June 30**     
|                                                        | **2002**               | ******2002**     | ******2001**    
|Acqusition of organic matter expertise and intellectual |                        |                  |                 
|property                                                | $150,000               | $-               | $-              
|Technical development of BCR System                     | 218,467                | 51,240           | -               
|Technical development of BCIR System                    | 71,456                 | -                | -               
|                                                        | $439,923               | $51,240          | $-              

**8.	COMMITMENTS**

**Collaborative Research and Development Agreement**

The Company has consolidated its research and development activities at Carleton University in
Ottawa, Canada where it has committed to fund research being carried out by Carleton University
for a period of five years ending April 30, 2005.  The company will own any new technologies
and/or intellectual property arising out of these research and development activities.  Upon execution
of a formal agreement, the company will contribute approximately $90,000 per year in cash for five
years and $1,725,000 in kind to further research and development in this area.  To date the Company
has incurred $75,980 Cdn for research and development and $4,175 Cdn of accrued interest.  No
expenditures have yet been made under this agreement.

**Licensing Agreement**

The Company has entered into a licensing agreement with a private U.K. registered Company
whereby the Company has committed to provide exclusive rights to introduce the Company's
technology throughout Europe.  Under the agreement the Company has received a convertible loan
note, the principal amount of $8,000,000 with an agreed value of GBP 5,673,759; non-interest
bearing and convertible into 2,466,852 shares of non-diluted common shares of the licensee.

The Company has provided a full impairment provision for the $8,000,000 note due to the
uncertainty of collection.

**Consulting Agreement**s

The Company has entered into certain consulting agreements whereby the Company has committed
to issue 10,500 shares per month to consultants for each month of service provided subject to
monthly renewals.  In addition the Company has committed to issued an additional 20,000 shares
in exchange for consulting services to December 31, 2002.

The Company has entered into a premises lease whereby the Company has committed to issue 2,300
shares per month in exchange for rental payments.

**Option to purchase land**

The Company has acquired an option to purchase a 73 acre parcel of land in the Fraser Valley region
of British Columbia, Canada, on which it intends to construct its initial pilot plant in Western
Canada.  Under the agreement, the Company has agreed to pay $2,000 Cdn. per month to extend the
land purchase option to September 30, 2002.   The Company is currently negotiating amendments
to certain terms of the agreement and accordingly there have not been any payments made since
April 2002.  The agreed purchase price of the land is $1,800,000 Cdn.  The Company is required to
make a payment of $100,000 Cdn. to secure the purchase  agreement.

**9.	INCOME TAXES**

At June 30, 2002, the company has net operating losses carried forward of approximately
$1,600,000 that may be offset against future taxable income to 2020.  No future tax benefit has
been recorded in the financial statements, as the company believes that it is more likely than not
that the carryforwards will expire unused between the 2018 and 2022 taxation years.
Accordingly, the potential tax benefits of the loss carry-forwards are offset by a valuation
llowance of the same amount.

- **RELATED PARTY TRANSACTIONS**

During the six month period ended June 30, 2002, the company paid $33,469 in consulting fees
to its president and C.E.O. and $253,192 to other shareholders as consulting fees.  The consulting
fees of $253,192 paid to other shareholders include cash payments of $28,118 and 293,000
common shares valued at $221,543.

- **SUBSEQUENT EVENTS**

On July 16, 2002, the company sold 300,000 shares at a price of US$0.50 per share to a group of
investors.

******ITEM  2.  MANAGEMENT'S DISCUSSION AND ANALYSIS OR PLAN OF
OPERATION**

The following discussion contains certain statements that may constitute forward-looking
statements within the meaning of the Private Securities Litigation Reform Act of 1995.  Any
statements that refer to expectations, projections or other characterization of future events or
circumstances, and especially those which include variations of the words "believes," "intends,"
"estimates," "anticipates," "expects," "plans," or similar words or variations thereof, are likely to
be forward-looking statements, and as such, are likely to concern matters involving risk,
uncertainty, unpredictability and other factors that could materially and adversely affect the
outcome or results indicated by or inferred from the statements themselves. Therefore, the reader
is advised that the following discussion should be considered in light of the discussion of risks
and other factors contained in this Form 10QSB and in the Company's other filings with the
Securities and Exchange Commission, and that no statements contained in the following
discussion or in this Form 10QSB should be construed as a guarantee or assurance of future
performance or future results.

**Introduction**

During the second quarter 2001, the Company held a special shareholders' meeting which approved
a name change from RCA Trading Co. d.b.a. American Waste Recovery, Inc. to Agronix, Inc. This
name change complements the market/industry in which the Company does business. At that time,
the number of authorized shares of common stock of the Company was voted to be increased from
10,000,000 to 25,000,000, and 10,000,000 shares of preferred stock were also authorized. In January
2002, in conjunction with a 2:1 forward split of its issued and outstanding common stock, the
Company increased its authorized common stock from 25,000,000 to 50,000,000 shares.

**Plan of Operations**

Agronix, Inc. is in the business of acquiring and developing technologies that convert organic wastes
(animal manure, sewage sludge, bio-solids, produce processing waste, etc.) into agricultural products
such as growth substrates, organic fertilizer, soil amendments and other value added agri-products.
The Company is also engaged in the business of developing a technology that is used to recover
chemical commodities from organic waste for a wide variety of industries such as agriculture, food,
oil & gas, paper, clothing and pharmaceuticals. The Company's Bio-Conversion Reactor System
(BCR System) is now fully engineered and ready to enter the market. The Company is presently
reviewing locations in North America and Europe to launch its first plant.

The Company remains in the development stage and does not have an established source of revenue
sufficient to cover its operating costs. As of June 30, 2002, the Company had cash on hand of
$68,714, which is not sufficient to allow it to pay its operating expenses and carry out its plan of
operation for the next twelve months. Therefore, it is the Company's intention to seek additional
financing through private and public placements of its common stock and to seek commercial
alliances and begin production where market opportunities exist.

Pursuant to an agreement entered into by the Company and BIOMAX Inc., a Canadian Company
located in Quebec City (a developer of automated organic waste processing plants), the Company
and Biomax have created a subsidiary ("Newco") to further develop and commercialize Biomax's
"Robo II" technology. In exchange for its technology contribution, Biomax will receive an 80%
interest in Newco, and for its cash contribution of $224,000 CAD, intellectual property and
proprietary soil science expertise Agronix has received exclusive licensing rights and a 20% equity
interest. Agronix has the right to purchase a further 30% equity interest over the next 3 years for
$1,500,000 CAD.

The Company is presently working in the British Columbia, Canada, Fraser Valley, Abbotsford
Region to locate its first 50,000-ton per year bioconversion plant. In the second quarter of the
previous fiscal year, the Company located and contracted for the acquisition of 73-acre parcel of land
for a purchase price of $1,800,000 Cdn. The Company has negotiated a purchase option of CAD
$2,000 per month until April 30, 2002 and is currently negotiating new terms to the agreement.  No
payments have been made while these negotiations are taking place.

Agronix is actively involved in negotiations to joint venture Bio-Conversion Reactor System (BCR)
plants in the following jurisdictions:

USA - Florida, New Jersey, New Hampshire

Europe - Geneva, Switzerland (Greater Regional District)

Canada - Abbotsford, British Columbia, Bromont, Quebec and Lethbridge, Alberta;

Additionally, the Company is presently negotiating with a large feed supplier with operations in the
US and Canada to secure take-out contracts for Agronix's BCR plant organic fertilizers and growth
substrates.

Furthermore, an organic product producer and retail distributor in Quebec, Canada is negotiating
with Agronix for East Coast US distribution of the BCR organic fertilizers and growth substrates.

The Company estimates that it will require funding of approximately $7,500,000 Cdn to complete
construction of the proposed Abbotsford plant. The Company has entered into discussions with the
Farm Credit Corporation (FCC) of Canada to provide 75% financing for the Abbotsford plant and
for all subsequent plants to be constructed in Canada, but there is no assurance that this funding will
be available.  100% financing is available through the FCC provided the company partners with
members of the Agriculture community.

The Company has consolidated its research and development activities at Carleton University in
Ottawa where its has committed to fund research being carried out by Carleton University for a
period of 5 years. The Company will own any new technologies and/or intellectual property arising
out of these research and development activities.

The Company's shares have been approved for trading on the OTC Bulletin Board under the symbol
"AGNI."

PART II

ITEM 1.  LEGAL PROCEEDINGS

None.****

ITEM 2.  CHANGES IN SECURITIES AND USE OF PROCEEDS

During the quarter ended June 30, 2002, the Company sold a total of 339,547shares that were not
registered under the Securities Act of 1933.  A total of 197,667 of such shares were sold for cash.
The total offering price for such shares was $112,289, and the Company paid no underwriting
discounts or commissions.  The shares sold for cash were sold in reliance upon the safe harbor
provisions of Regulation S, adopted under the Securities Act of 1933, for offers and sales that occur
outside the United States.  The shares were sold on various dates between May 31, 2002 and June
27, 2002, to persons who subscribed for purchase of such shares pursuant to the terms of an offering
memorandum dated April 30, 2002.

A total of 141,880 of the unregistered shares sold during the quarter were issued to consultants and
others as compensation for services. A total of 130,000 of such shares were issued at an assigned
value of $1.00 per share (Canadian), which is equivalent to approximately US $0.65 per share.  The
remaining 11,880 shares were issued at an assigned value of $0.50 per share (Canadian), whichis
equivalent to approximately US $ 0.325 per share.   A total of 100,000 of such share were issued in
reliance upon exemptions from registration provided by Section 4(2) under the Securities Act of
1933.  A total of 41,880 of such shares were issued in reliance upon the safe harbor provisions of
Regulation S adopted under the Securities Act of 1933.

ITEM 3.  DEFAULTS UPON SENIOR SECURITIES

None.****

ITEM 4.  SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS

None.

ITEM 6.  EXHIBITS AND REPORTS ON FORM 8-K.****

- Exhibits 99.1 and 99.2**,** CEO AND CFO CERTIFICATION PURSUANT TO 18 U.S.C.
SECTION 1350, AS ADOPTED PURSUANT TO SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002****are filed herewith.****

(b)	A current report on Form 8-K to announce changes in the registrant's certified public
accountant was filed with the Securities and Exchange Commission on August 2, 2002.

****

**SIGNATURES**

In accordance with the requirements of the Exchange Act, the registrant caused this report to be
signed on its behalf by the undersigned, thereunto duly authorized.

**AGRONIX, INC.**

(Formerly RCA Trading Co.)

(A Development Stage Company)****

****

By: /S/ BRIAN HAUFF

Brian Hauff, President, Chief Executive Officer and Director

By:/S/ PETER J. BARNETT

Peter J. Barnett, Chairman of the Board

By:/S/ PETER DRUMMOND

Peter Drummond

By:/S/ HENRI  DINEL

Henri Dinel, Director

Date: August 14, 2002

****

Exhibit 99.1
AGRONIX, INC.
CERTIFICATION PURSUANT TO 18 U.S.C. SECTION 1350, AS ADOPTED PURSUANT TO
SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002
In connection with the Quarterly Report of Agronix, Inc. (the "Company") on Form 10-QSB for the
period ending June 30, 2002, as filed with the Securities and Exchange Commission on the date
hereof (the "Report"), I, Brian Hauff, President and Chief Executive Officer of the Company, certify,
pursuant to 18 U.S.C. ss. 1350, as adopted pursuant to ss. 906 of the Sarbanes-Oxley Act of 2002,
that:
(1) The Report fully complies with the requirements of section 13(a) or 15(d) of the Securities
Exchange Act of 1934; and
(2) The information contained in the Report fairly presents, in all material respects, the financial
condition and result of operations of the Company.

By: /S/ BRIAN HAUFF

Brian Hauff, President, Chief Executive Officer and Director
Date: August 14, 2002



Exhibit 99.2
AGRONIX, INC.
CERTIFICATION PURSUANT TO 18 U.S.C. SECTION 1350, AS ADOPTED PURSUANT TO
SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002
In connection with the Quarterly Report of Agronix, Inc. (the "Company") on Form 10-QSB for the
period ending June 30, 2002, as filed with the Securities and Exchange Commission on the date
hereof (the "Report"), I, Peter Drummond, Chief Financial Officer and a Director, certify, pursuant
to 18 U.S.C. ss. 1350, as adopted pursuant to ss. 906 of the Sarbanes-Oxley Act of 2002, that:
(1) The Report fully complies with the requirements of section 13(a) or 15(d) of the Securities
Exchange Act of 1934; and
(2) The information contained in the Report fairly presents, in all material respects, the financial
condition and result of operations of the Company.



By:/S/ PETER DRUMMOND

Peter Drummond, Chief Financial Officer and a Director
Date: August 14, 2002