Aumake Teams with Sinomach to Launch Premium Hay Export Supply Chain to China

Aumake Limited (ASX: AUK) has unveiled a strategic partnership with Sinomach Hainan, a subsidiary of China’s state-owned industrial giant Sinomach, to develop an integrated premium hay supply chain between Australia and China. The agreement marks Sinomach’s first commercial venture in Australia and aims to meet China’s rising demand for high-quality forage.

The non-binding cooperation framework outlines a staged development plan starting with 3,000 hectares of hay cultivation and expanding to 20,000 hectares, supporting an annual production target of 300,000 tonnes. Aumake will be responsible for managing Australian operations including land acquisition, cultivation, processing, environmental compliance and export logistics.

Sinomach Hainan will supply advanced Chinese agricultural equipment, infrastructure services and irrigation systems. The company will also act as the primary off-taker of hay exports to China and assist in facilitating financing through its institutional and banking relationships.

Aumake Executive Director Joshua Zhou described the partnership as a major milestone for the company. “This collaboration reflects our shared vision to develop a premium hay supply chain that promotes the export of Chinese agricultural machinery and technology to Australia, while facilitating the import of high-quality Australian hay into China,” Zhou said.

The project forms part of Sinomach’s broader overseas strategy to strengthen international agricultural supply chains, particularly under the Hainan Free Trade Port framework. It also aligns with Aumake’s ambition to diversify its cross-border trade platform by entering scalable agricultural markets with long-term export potential.

Infrastructure plans include on-site processing facilities, storage systems and logistics hubs to support scalable and traceable export volumes. The project will incorporate digital farm management systems to meet both Australian and Chinese regulatory standards.

While the framework remains non-binding, it provides a clear pathway toward definitive agreements that will detail commercial terms, financing arrangements and operational responsibilities. The partnership seeks to position Australia as a key supplier of premium hay to China, while simultaneously promoting bilateral technology transfer in the agricultural sector.

Next steps include due diligence, feasibility studies and negotiation of binding agreements. If executed as planned, the partnership would establish a vertically integrated supply chain underpinned by environmental sustainability and regulatory compliance across both jurisdictions.