China National Cereals, Oils & Foodstuffs Corporation (COFCO), the country's largest oil and food producer, is planning to build a soybean-processing plant in South China's Guangxi Zhuang autonomous region with a capacity of 1.2 million tons a year.

Sources familiar with the 1.85-billion-yuan project said construction is likely to start in September in Qinzhou, in the Beibu Gulf economic zone

This is the second big soybean-processing factory built by COFCO. In April it opened a 4-billion-yuan oil-pressing project in Tianjin.