7 Jul 2010

Pact with Chinese meat producer being signed

7:10 am on 7 July 2010

An agricultural partnership is being signed in China on Wednesday between two New Zealand-based companies and a Chinese meat producer and processor.

Canterbury-based livestock genetics company Te Mania Livestock, which specialises in Angus cattle-breeding technology, is signing the strategic cooperation agreement with Auckland-based food logistics company FoodCap International and China's Kerchin Cattle Industry Ltd.

The partnership aims to improve the beef breeding stock in China's Inner Mongolia region as well as establish meat processing and distribution plants in other regions.

It will also look to grow high-end markets for New Zealand beef and other meat products.

One of Foodcap's founding shareholders, Alan Mayne, says the partnership will help China move away from a wet-meat market to producing more supermarket-ready products.

Mr Mayne says the partnership with Kerchin wouldn't have been possible without a free-trade agreement with China.