UNILIVER, the Anglo-Dutch consumer products group, sees a large

opportunity for its goods in mainland China. That country's huge

population of 1.2 billion, which up until now has been starved of

Western style consumer goods, and fast growing economy provide an

attractive background for investment.

Other companies such as confectioners Cadbury have established joint

ventures in China and yesterday was the turn of Unilever, which proposes

to form a joint venture with the Shanghai Toothpaste Factory for the

production and marketing of oral care products.

It already has five joint ventures including an ice cream factory for

Walls and a fabric detergents company. It is keen to establish trading

bases in China in its core business areas.

Unilever will have a 60% share in this latest venture which will

employ 1350 people.

Shanghai Toothpaste Factory is China's largest toothpaste manufacturer

producing more than 550 million tubes a year.

With about 5% of world production, it is also the largest manufacturer

in Asia. Its Maxam brand is well known in China and is also sold

elsewhere in Asia and Africa.

The Chinese business will be modernised in terms of technology and

marketing and Unilever's existing toothpase brands such as Signal and

Close-Up will be introduced into China.

There are thought to be significant growth opportunities for the joint

venture business as oral hygiene awareness increases prompted by

educational programmes aimed at the predominantly young population and

the urban areas become increasingly affluent.

Unilever has a long-standing presence in China's neighbouring

countries which forms a strong base for further expansion.