Waitrose has been embroiled in an international row over the sale of produce grown in territories occupied by Israel on the West Bank.

Campaigners are concerned that the supermarket may have sold vegetables grown in the West Bank, as well as some beauty products developed in the territory, with unclear labelling – which could mislead consumers into thinking they are helping struggling Palestinian farmers by buying the products.

Waitrose admitted to The Times that it sources produce from a limited number of Israeli farms employing Palestinian farmers, saying: “Waitrose has a policy of full traceability in our supply chain and high standards of worker welfare and agri-environmental sustainability are essential for any farm supplying us.”

Both Asda and Marks & Spencer have already withdrawn products from the region.

“The illegal Israeli settlements in occupied Palestinian territories are disadvantaging the Palestinians,” said a spokesman for Oxfam.

“Our concern is that they are exploiting the Palestinians and their land and products grown there should be grown by Palestinians. We are concerned that goods grown there should be properly labelled so that consumers can make an informed choice."