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Sainsbury’s said it has entered into a wholesale partnership with Australian supermarket chain Coles to supply its own brand products.

Coles is a leading Australian retailer with more than 2,400 retail outlets – including 800 supermarkets and 700 convenience stores.

Sainsbury’s will supply its products, which will be white labelled under the Coles brand, from early next year. The range includes a selection of packaged groceries and household products.

“Great quality food, high standards and ethical sourcing are at the heart of both our businesses and we are delighted to work with Coles to bring more choice and innovation to Australian customers,” said Michael Luck, director of business development at Sainsbury’s.

The supermarket said the agreement marks a key milestone in its strategy to build its wholesale business. Sainsbury’s has a number of partnerships already in place in Asia, Europe and the UK.

The deal will also allow Sainsbury’s to source Australian groceries and alcohol through Coles to bring to UK customers.