Earlier this year, Dalian, China-based retail and supermarket giant, Dashang Group acquired the 30,868 hectare Glenrock Station from Babcock and Brown founder, Phil Green for $45 million, but the group is continuing its pursuit of land deals as it seeks to become a top importer of Australian beef to China.

 

Dashang, which is positioned to be a corner-stone investor in the soon-to-be-listed Australian agribusiness, Beston Global Food Company, and which has been buying Australian land through an Australian subsidiary, Australia Aulong Auniu Wang (AAAW), is also the buyer of 1,100 hectares of prime rural land outside of Canberra for $3 million.

 

AAAW general manager, Michael Wang told the Financial Review that Dashang’s strategic plan is to become the first Chinese company to import live cattle from Australia under the newly signed live export cattle deal between the two countries, and plans to run between 10,000 and 15,000 head of cattle on the Glenrock property.

 

“Dashang’s investment in Glenrock represents an important move in securing the supply chain to underpin its Australian beef endeavors. In a country where food security is the number one topic for consumers, Dashang’s securing of the supply chain aims to bring peace of mind for Chinese consumers,” says Mr. Wang.

 

Although many Chinese companies are looking to buy Australian farmland with the goal of exporting food and agricultural goods back to China, Dashang is in a particularly well situated position for success according to Mr. Wang. In 2014 the group saw sales in excess of $36 billion, and has an existing, superior supply chain in place through its massive sales distribution network, giving the group a sizeable advantage over its competition.