Specialty milk producer A2 Corporation has appointed a distributor of its infant formula in China.
China State Farm Holding Shanghai, a state-owned company, will set up the infrastructure, distribution network and marketing needed to sell the formula throughout China.
A2 says the first sales in China should take place by June next year.
The formula will be produced by Canterbury-based Synlait Milk at its Dunsandel facility from December.
The Chinese infant formula market is estimated to be worth about $US6 billion a year, and growing by about 12% a year.
Shares in the A2 Corporation were up 6 cents to 67 cents on Wednesday.