Sao Paulo, Brazil, 15 Feb – Brasil Foods has set up a partnership with Chinese company Dah Chong Hong Ltd, according to a regulatory filing Tuesday.
The aim of the partnership, according to the Brazilian company, is to enter the Chinese market using the Sadia brand and access retail channels in China as well as in Hong Kong and Macau.
Brasil Foods estimates it will place 140,000 tons of products on these markets and generate revenue of around US$450 million in the first year of business.
Dah Chong Hong Limited (DCH) was founded in 1949 and is a 100 percent-owned subsidiary of international conglomerate Dah Chong Hong Holdings Limited (DCHH), a group that has been listed on the Hong Kong stock exchange since 2007.
Brasil Foods and Dah Chong Hong will each have a 50 percent stake in the partnership and the Brazilian company will focus on production, technical support and promotion of the products whilst DCH is expected to focus on processing, packing and distribution in the three markets. (macauhub)