Suppliers claim that Tesco is making unreasonable demands for listing fees and instore marketing in the run up to the peak Christmas trading period.
Ambient goods producers said the retailer had started invoicing them for up to £10,000 per new listing, while it was attempting to charge fees of up to £5,000 for instore merchandising tools.
One supplier said the retailer had also made demands for thousands of pounds for ‘one in one out’ product swaps.
“The worse thing is that the buyer we are dealing with is trying to apply some of these payments retrospectively,” said one Tesco supplier. “The first we knew about it was when we received a couple of debit notes presenting it as a done deal. I was never informed of this and have written to Tesco to say that I am not paying it.”
Another supplier said Tesco had even attempted to charge it a four-figure listing fee for an own label line. He said: “These are unreasonable demands.”
A Tesco spokesman said: “This is not policy but there is a risk in introducing new products and there needs to be some comfort from our point of view.”