A South Australian food processing company has secured a major deal to distribute its products in 150 cities across China.

Beston Global Food Company will supply the Dashang retail group with dairy, meat, seafood and health foods.

“Our two companies share a common objective of taking lean, green and safe products from high-quality producers in Australia into the discerning consumer markets in China,” Beston chairman Roger Sexton said in a statement on Wednesday.

Beston says Dashang has also agreed to subscribe to 14.9 per cent of Beston’s stock as part of the company’s $130 million initial public offering.

Dashang has supermarkets and specialty food stores in 150 Chinese cities and is the largest retailer in north east China.

Sexton said Beston would become the preferred supplier to Dashang for Australian food and beverages.

“(Beston) has formed a close working relationship with Dashing following on from the signing of the Free Trade Agreement between China and Australia,” Sexton said.

South Australian products to be supplied include b.-d. Farm Paris Creek dairy products and Ferguson Australia seafood.

– with AAP