Westland Milk Products has agreed to sell its Hokitika-based retail arm to rural supplier Combined Rural Traders (CRT).
The milk processor has deemed the retail outlet, which runs a profit, no longer part of its core business.
Westland chief executive Rod Quin says CRT, as a fellow co-operative, is an ideal buyer.
“We really needed it to remain as a farm centre, so we needed someone who was interested in running it as a going concern, and not change the focus.
"CRT certainly addressed those issues, and they put together a very comprehensive pitch."
Rod Quin says the CRT sale will significantly expand the services available to farmers at stores.
"Their expertise extends over a number of areas – not just farm supplies but accommodation and all sorts of other things.”
The store will be rebranded as a CRT ‘FarmCentre’ on February 1st.