Hong Kong-based global consumer goods exporter Li & Fung Limited and the Hudson's Bay Trading Company have announced a global sourcing strategic partnership.

The sourcing deal is for Hudson's four main retail banners - the Bay, Zellers, Home Outfitters and Lord & Taylor.

It sees the consolidation of Hudson's global sourcing requirements and activities into one North American shared services group.

Jeff Sherman, chief executive officer of Hudson's Bay Trading Company, said: "The signing of buying agency agreement with Li & Fung complements our shared services strategy to consolidate and align global sourcing needs into one group for all of our banners.

"By partnering with the world's leading consumer goods sourcing company, we will be able to leverage Li & Fung's scale and expertise."

Bruce Rockowitz, president of Li & Fung Company, said: "We are delighted to see the execution of this outsourcing deal with one of the oldest companies and one of the leading retail groups in North America.

"We are very excited about this strategic relationship as the four main retail banners are well-established and we see great potential in them.

"With our strong network of offices in over 40 economies, we are confident that we will be able to contribute to the long term success of Hudson's Bay Trading Company in North America."

The new buying agency arrangement with Li & Fung will go into effect in 2010.