RooLife Group Wins $64m Supply Order to Serve China’s Growing Coffee Market

RooLife Group (ASX: RLG) subsidiary RLG Global Trading (Zhuhai) has entered into a $64 million deal with leading wholesaler and distributor Zhongshan Runlian Commercial to supply its RLG-branded coffee beans, beverages, food, and coffee machines into the Chinese market.

The two-year supply and procurement agreement should provide material revenue visibility and growth for RooLife, at the same time giving it access to Zhongshan’s established sales and distribution channels.

The two companies will collaborate on product supply, marketing, influencer campaigns, subscription coffee programs, and coffee machine bundle promotions.

China Coffee Launch

RooLife launched its proprietary RLG Coffee brand in China this year, offering the range both online and offline through strategic sales channels and distributors.

The company appointed Zhongshan and Ausmeiyoupin (Guangzhou) International E-Commerce as strategic partners responsible for driving regional market penetration through online stores on JD.com, Tmall, and Douyin, along with full category management, customer engagement, and promotional support.

RooLife will leverage Ausmeiyoupin’s operational expertise in day-to-day e-commerce execution, while retaining control over brand, supply chain, and product quality.

Strong Product Demand

RooLife managing director Bryan Carr said the sales agreement underscored strong demand for RLG-branded coffee and food products in China.

“We are working to cement our position as a trusted supplier in one of the world’s fastest-growing coffee markets, where consumption has been increasing by over 20% annually since 2011,” he said.

“This deal also opens opportunities to bundle coffee machines with recurring coffee supply subscriptions which will further enhance margins and customer loyalty.”

Eternal Asia Partnership

The Zhongshan agreement builds on RooLife’s recent partnership with Eternal Asia Supply Chain Management targeting $100m in annual sales of health and wellness, and food and beverage, products across the region.

The deal includes a provision for future expansion into renewable energy technology products.

Eternal Asia operates one of China’s largest distribution networks which includes over 1 million retail outlets in more than 320 cities, servicing more than 100 Fortune Global 500 companies and 2,600 major enterprises.