Based on the research on mechanism of biological olfactory system, we constructed a K-set, which is a novel bionic neural network. Founded on the groundwork of K0, KI and KII sets, the KIII set in the K-set hierarchy simulates the whole olfactory neural system. In contrast to the conventional artificial neural networks, the KIII set operates in nonconvergent 'chaotic' dynamical modes similar to the biological olfactory system. In this paper, an application of electronic nose-brain for tea classification using the KIII set is presented and its performance is evaluated in comparison with other methods.