(Yicai Global) March 29 -- Lawson and China's state-backed Capital Agribusiness Group are teaming up to open a fresh food convenience store in Beijing, marking the Japanese corner shop chain's first partnership with a Chinese company.

CAG, which is based in the capital, has taken a 30 percent stake in Lawson's Beijing unit, Beijing Business Today reported. The new store, whose name remains unknown, will sell meat, eggs, dairy, produce and other staple foods and daily necessities, the report added.

The store will open in the second half of this year and the pair hope to gradually develop a community retail network which may expand across North China and the rest of the country. To do that, the pair will plan an infrastructure grid that encompasses logistics and food processing centers and central kitchens to provide fresh food and convenience, the report added.

Lawson was one of the first foreign convenience stores to enter the Chinese mainland when it moved over in 1996. It now has over 2,007 stores in eight provinces and municipalities, including Beijing, Shanghai and Zhejiang, with over 100 stores in the capital.

CAG was formed through the restructuring of Capital Agriculture Group and two other state-owned enterprises in 2017, when it became Beijing's largest agricultural group. It has over 500 subsidiaries covering farming, food processing, trade and logistics.

Editor: James Boynton