Trading Statement

Plant Health Care PLC
07 March 2005


Press Release

For immediate release: 7 March 2005

                              Plant Health Care plc

                               Trading Statement

Plant Health Care plc ('PHC' or the 'Company'), the leading supplier of natural
products for plants and soil, provides an update on current trading.

Sales for the year ended 31 December 2004 for the US, PHC Mexico, PHC
Netherlands and PHC Reclamation were in line with expectations. We had expected
the UK operation to be achieving further sales into the Spanish market, which
was already penetrated through sales of PHC's Liquid Organic Plant Food, and the
opening of a Spanish office. However, the UK division was unable to accelerate
its Spanish sales due to the slow response of the Spanish government in issuing
the business registration permit. Additionally, a key supplier was late on
delivery of products because of labeling issues during the key part of the
season and sales were missed. As a consequence, sales for this business unit
will be below target. The Spanish company has now been formed and awarded its
tax number and labeling issues have been resolved.

We also accelerated our distributor early order programme from the first quarter
of 2005 into the fourth quarter of 2004. This change, which aligned the company
with standard industry practices in the US landscape market, nevertheless
contributed to a deterioration of percentage margins because of the pricing on
large orders. It is anticipated that margins in 2005 will return to previous
levels due to already implemented price increases combined with the operating
efficiencies that will be realized by the new manufacturing plant.

The Company has been evaluating the prospect of relocating its Pittsburgh
manufacturing plant for some time. The Directors recently received notification
that a potential tenant is willing to lease a significant portion of the space
which would allow PHC an economical exit from the property. The proceeds
received from the AIM IPO allow PHC to sublet the current plant and take a one
time charge in 2004. Accordingly, the Board has decided to take advantage of
this opportunity and relocate the Pittsburgh manufacturing plant to a new
significantly lower cost site. Whilst there will be a one off restructuring and
relocation charge, the new manufacturing facility is expected to reduce rental
costs by approximately 50% and realise operating efficiencies through better
machinery layout and more advanced equipment. We estimate that payback on the
investment by way of cost savings will be achieved in less then 2 years.

The Company has decided to accelerate the entry of its Myconate seed coating
product, acquired from VAMTech in October 2004, into the European market and as
a consequence incurred costs that were originally budgeted for 2005. On the
strength of the Myconate test results announced in early December, and the
interest for the product by some key European distributors, management elected
to commission a study of key European corn and wheat growing regions to target
the markets which will provide optimal entry points for the product's European
launch. This combined with the earlier than expected recruitment costs for a
seed coating General Manager moved expenses into the fourth quarter of 2004
rather than in 2005 as anticipated.

The management also decided to accelerate the hiring of several other key
individuals to drive the growth of the Company. A General Manager for the US
operation was added along with several sales people to extend coverage more
uniformly across the US.

Whilst the Directors believe the relocation of the manufacturing facility and
the acceleration of the move of the seed coating business into Europe will
greatly benefit the business these moves, together with the other matters
referred to above, will cause the losses in 2004 to be some $1,100,000 greater
than previously expected.

The underlying trends for the business are stronger than ever and, coupled with
the added coverage by the new sales hires, the Directors expect current growth
to continue in the coming months and into the future.

For further information please contact:

Plant Health Care plc              Tavistock Communications
John Brady, CEO                    Jeremy Carey/Katy Pratt
Tel: [phone]              Tel: [phone]
Steve Whitcomb                     Email: [e-mail]
Tel: [phone]



Notes to Editors

About PHC

Plant Health Care plc ('PHC') is a leading provider of natural products for
plants and soil. Established in 1995 in Pittsburgh (Pennsylvania) in the United
States, PHC currently has approximately 60 employees and has operations in the
US, Mexico, UK and the Netherlands with technical support in Austria. The Group
has two principal operating subsidiaries in the US - PHC Inc (PA) and PHC
Reclamation. The Company listed on the AIM market of the London Stock Exchange
in July 2004.

PHC's products are aimed at the horticulture, agriculture, turf grass,
commercial landscaping, forestry and land reclamation industries and are both
environmentally beneficial and on the whole more cost effective than synthetic
chemical alternatives. Through the commercialisation of these products, PHC is
capitalising on current long-term trends toward natural systems and biological
products for plant care and soil and water management uses.

PHC Reclamation is an environmental and reclamation engineering consulting firm
providing cost effective, biologically based solutions for the reclamation and
restoration of lands disturbed by mining, construction and other activities. PHC
Reclamation was established in 1997 to exploit PHC's products and technology.




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