BEIJING - COFCO, China's State-owned food processing group, sealed a deal with US meat supplier Keystone on Friday to set up a joint venture in China to develop logistics systems in the growing market.
The joint venture, COFCO Shitong Supply Chain (China) Investment, plans to build seven logistics centers in China's major cities, including Beijing, Shanghai, Shenzhen and Chengdu, over the next ten years.
It aims to provide logistics services to global chain restaurants, supermarkets, food manufacturers in China, including the McDonald's Corporation, Yum! Brands and Wal-Mart Stores Inc.
As the country's leading supplier of agricultural products and other food items, COFCO is striving to forge a complete industry chain based on international standards.
COFCO expects the cooperation to help the company meet that goal.
"An efficient logistics system and distribution platform would significantly boost our competitiveness," said Ning Gaoning, chairman of the COFCO group.
