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The Grocer Talking Retail

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Wyke Farms launches fixed price milk contract as part of Lidl cheese deal

Farmers supplying milk to Wyke Farms as part of its long-term cheese supply deal with Lidl will now be able to fix the price they are paid for the next three years.

The arrangement, which is open to Wyke’s entire supply base of about 130 west country farmers, will allow them to fix between 10% and 50% of their volumes at 28 pence per litre from 1 January. 

The move, made possible due to a long-term supply deal agreed between Wyke and Lidl last year, would help its supply base “take volatility out” of the equation during what could become “an uncertain next three years”, said Wyke Farms MD Rich Clothier.

“We’re living in a more volatile world, with tit-for-tat trade disputes and ongoing uncertainty over Brexit, currency volatility and future trade deals,” Clothier told The Grocer.

Source: The Grocer Dec 9 | Competitor News | In-store Analysis