France's Bernard Krief Consulting (BKC) is to set up a joint venture company with Chinese textile firm, Zhonghe, producing fabrics destined largely for the market in China.

Sportswear fabrics specialist Saic Velcorex-Concord, which is jointly owned by BKC and Pakistan's Kohinoor Mills, will have a 51% stake in the venture.

While Zhonghe, which is to provide several millions of euros worth of new equipment, will account for the remaining 49% of the capital.

Based at BKC's plant at Saint-Amarin, in eastern France, the joint venture company will manufacture cotton fabrics for Zhonghe's 2011 winter collection.