Hu said that the growing demand for beef and lamb products has eaten into pork and chicken demand, which also encouraged Maling to make the overseas acquisition.

The growth in Chinese investment abroad has been largely due to the government support for the "going global" process and the desire by some companies to strengthen their international supply chains.

A senior official at Shanghai Maling told China Daily that the detailed terms of the agreement are still under discussion and will be released when the deal is complete.

Maling's parent, Bright Food Group, has also been on an overseas acquisition spree. It has already bought United Kingdom-based cereal maker Weetabix Ltd and Australian dairy company Mundella Foods Pty Ltd, and also owns a 40 percent stake in New Zealand infant formula processor Synlait Milk Ltd.