Tesco has created the new Tesco Cheese Group (TCG), which it says will guarantee dairy farmers an above-market price for the milk they supply for Tesco’s British private label cheese.
The initiative will see Tesco invest £6 million over two years, and builds on the success of the Tesco Sustainable Dairy Group (TSDG), which was established in 2007
It says the move will deliver a fair and consistent pricing model for UK farmers, and aims to provide them with the security and ability to plan ahead for the future.
Commercial Director for Fresh Food Matt Simister commented, "We have created this new cheese group to help us to meet customers’ needs whilst also establishing a long term sustainable livelihood for our farmers.
"By providing them with the assurance of our commitment, we are hoping to give our producers the confidence to invest so that they can deliver what customers are looking for in an efficient way."
© 2016 European Supermarket Magazine – your source for the latest retail news. Article by Jenny Whelan. To subscribe to ESM: The European Supermarket Magazine, click here.