One of the Australian groups in the delegation has expertise in health and elderly care. Their aim is to explore emerging trends and business opportunities, and to help China enhance its service delivery in the sector.

A delegation of more than 1,000 Australian business people constituted the country's "largest ever trade mission" to China. The visit comes hard on the heels of the China-Australia Free Trade Agreement, which came into force last December. In the Chinese capital, the health and elderly care industry is where their special focus is trained.

Ageing populations around the world are creating new opportunities and challenges for governments, healthcare systems, social services and cultural traditions.

China has a rapidly ageing population -- with more than 130 million people aged 65 years or above -- that's 10 per cent of the total population.

China is investing heavily in health and aged care, with expenditure expected to reach 6.5 to 7 per cent of GDP by 2020. Experts say that there are enormous opportunities for cooperation between the two countries.

:China has very advanced hardware and facilities in the healthcare industry but we are lagging behind in software and staff training," Chuyang Liu, counsellor with Australian Trade Commission, said.

According to China-Australia Free Trade Agreement, for health and aged care services, China will permit Australian service suppliers to establish profit-making aged care institutions throughout China, and wholly Australian-owned hospitals in certain provinces.

Australian-owned aged care institutions can now partner with Chinese firms across China to help develop the aged care industry and improve the healthcare system.