Aldi is committing over £5bn to long-term supplier agreements as part of its ongoing investment into British farming and food production.
The discounter said it would enable over 50 suppliers to invest in the growth of their operations, while giving farmers and producers greater long-term certainty to plan ahead and invest.
Aldi’s announcement comes seven months after it settled out of court with a former sprout and brassica supplier who had accused the supermarket of effectively forcing the closure of the business by delisting its produce without due notice and in contravention of the Groceries Supply Code of Practice.
The Grocer revealed how the High Court had reached a decision that would allow Groceries Code Adjudicator Mark White to advise on evidence in the case, involving John Clappison and Matthew Rawson, whose business, W Clappison Ltd, ran the last sprout and brassica farm in Yorkshire and had been one of Ald’s longest-serving suppliers. A “confidential settlement” in October halted proceedings before any such GCA intervention came.
Aldi’s agreements typically run for around two years. It has now pledged it will source 50% of its domestic produce through long-term agreements by the end of 2027.
This announcement is the first time Aldi has shared the total amount it will be spending with British supplier under multi-year long-term agreements. It follows the retailer’s commitment to invest £1.1bn into British egg production over five years, underpinned by five-year long-term agreements with its egg suppliers.
“British suppliers are at the heart of our business,” said Aldi UK chief commercial officer Julie Ashfield. “These long-term agreements give farmers and producers the stability they need to plan ahead, invest in their operations, and build more resilient supply chains.”
She added: “We’re committed to backing UK agriculture for the long term and ensuring customers continue to benefit from high-quality, affordable British food.”
A OnePoll survey of 2,000 UK adults commissioned by Aldi found only 27% actively considered whether fruit & vegetables were grown in the UK when shopping, despite 80% saying supporting British or local farmers was important to them.
Aldi has also announced a partnership with farmer and TV personality Harriet Cowan to highlight the importance of buying British-grown fruit & vegetables.
Cowan has created a series of recipes featuring British fruit & veg, including Creamy Pea & Pesto Pasta Skillet, Pork Tenderloin with Rhubarb Sauce, Beef & Pepper Stir Fry, and Hot Honey Carrots.
“I’m passionate about highlighting the brilliant work British farmers do to bring high-quality food to our tables,” said Cowan. “I’ve loved teaming up with Aldi to learn more about the fruit & veg we grow here in the UK and to shine a light on what’s in season.”
No comments yet