Tesco announces changes to its Executive Committee and International Leadership team

CHESHUNT, England, 2017-Mar-23 — /EPR Retail News/ — Tesco has today (20 Mar 2017) announced changes to its Executive Committee and International Leadership team.

After 38 years of distinguished service to Tesco, Trevor Masters, CEO Tesco International, will leave the business at the end of May.

Trevor began his Tesco career as a teenage management trainee. Over the last four decades, he has served as Operations Director for the UK, a member of the Executive Committee and CEO of our International business. His contribution to Tesco has included growing our Extra format; building our JV businesses in India and China; and rationalising our international business over the last two years.

Following the completion of the sale of our Turkish business, we will be giving greater focus to the two parts of our international business. This includes creating two new roles leading Asia and Central Europe on our Executive Committee.

We are pleased to announce that from 1 April, Tony Hoggett will become Tesco’s CEO Asia and Matt Simister will become Tesco’s CEO Central Europe.

Tony Hoggett joined Tesco as a sixteen year old student in 1990. He managed a number of stores across northern England before being promoted to Stores Director. In 2007 Tony moved to China, where he led our business in the South. In 2010, Tony joined the Turkish Board as Chief Operating Officer. He returned to the UK in 2011 and joined the UK Leadership Team as Retail Director in 2014 before becoming UK Chief Operating Officer in 2016. Over the last three years, Tony has led the transformation of our service model and customer experience in the UK.

Matt joined Tesco in 1996 initially as a marketer, and subsequently worked extensively across different categories in our Product team. After three years as Commercial Director for our Czech and Slovak businesses, Matt returned to the UK to set up our Group Food capability, managing our regional fresh food and Tesco Brand sourcing, buying and inbound supply chains for the UK, ROI, Central Europe and Asia.  For the last two years, Matt has integrated these capabilities into the UK business, and led his team to an exceptional trading performance across Fresh Food and Commodities, as part of our UK ambition to become First for Fresh.

Dave Lewis, Tesco Group Chief Executive, said:

“I’d like to thank Trevor for everything he has done for our business over the last four decades. He has worked tirelessly to strengthen and simplify our international business, and we couldn’t have made the progress we have without him.

“Tony and Matt’s work has been at the heart of Tesco’s turnaround over the last two years and I’m delighted that they will join our Executive Committee. Their new roles will allow us to focus on the different opportunities presented in Asia and Central Europe and I’m looking forward to working even more closely with them both”.

Notes:

  • Over the last two years, Tesco’s Executive Team has been simplified from 16 roles down to 11
  • Other roles in Tesco’s International Leadership team will remain in place, reporting to Tony Hoggett (Asia) and Matt Simister (Central Europe)

We are a team of 480,000 in 11 markets dedicated to serving shoppers a little better every day.

For more information please contact the Tesco Press Office on 01707 918 701  

Source: Tesco

Tesco launches online ‘food waste hotline’ to help suppliers and growers identify food waste hotspots

Tesco launches online ‘food waste hotline’ to help suppliers and growers identify food waste hotspots

CHESHUNT, England, 2017-Mar-15 — /EPR Retail News/ — Tesco has launched an innovative, online ‘food waste hotline’, to help make it easier for suppliers and growers to pinpoint ongoing food waste hotspots, and work with the retailer in tackling them.

The ‘hotline’ is accessible to all Tesco suppliers via the retailer’s online Supplier Network, a resource used by over 5,000 Tesco partners regularly. The ‘hotline’ will serve as a new link between these businesses and Tesco Product teams, and will enable them to alert Tesco to potential supply chain food waste and work together to take action.

Supply chain food waste accounts for a significant proportion of UK food waste. Tesco is committed to helping halve all UK food waste by 2025 and currently works closely with suppliers to reduce food waste where it occurs.

For instance, last summer’s weather meant a warmer period than forecast and as a result the strawberry crop all ripened at the same time. Tesco’s response was to take the whole crop and introduce large boxes of strawberries to stores at a market leading price – helping customers and avoiding food waste on farm. |

The ‘hotline’ will provide another way for this to continue, while enabling Tesco to work directly with suppliers to identify emerging as well as the more long term food waste issues they face.

Matt Simister, Commercial Director, Fresh Food and Commodities at Tesco, said:
“At Tesco, we have no time for waste, and we are committed to reducing food waste wherever it occurs, from farm to fork.

The ‘food waste hotline’ is another little help we are making to achieve this with our suppliers. It helps our suppliers gain direct, easy access to our Product teams, and this will enable us to identify food waste hotspots and systemic issues and work in partnership to tackle them.”

Notes to editors
• The ‘food waste hotline’ another part of Tesco’s ongoing work to tackle food waste under its No time for waste campaign and commitments. For more information go to www.tescoplc.com/foodwaste.

• Tesco has made a commitment that no surplus food will be wasted in its UK operations by the end of 2017. For more information on Tesco’s commitment to tackling food waste, visit www.tesco.com/foodwaste

• Tesco CEO Dave Lewis chairs Champions 12.3, a coalition of leaders from government, business, research and civil society. This group is dedicated to accelerating progress towards the UN Sustainable Development Target 12.3. – to halve per capita global food waste at retail and consumer level, and reduce food losses along production and supply chains by 2030.

 

About the Supplier Network
The Supplier Network is Tesco’s online community for all Tesco teams, suppliers and producers from around the world. The network enables members to share knowledge, build a more sustainable supply chain and innovate together.

Contact:
Tesco Press Office
01707 918 701

Source: Tesco

Tesco and Yeo Valley together help tackle food waste and support FareShare with the creation of new yogurt

Tesco and Yeo Valley together help tackle food waste and support FareShare with the creation of new yogurt

 

CHESHUNT, England, 2017-Jan-22 — /EPR Retail News/ — Tesco and Yeo Valley have joined forces to create a delicious new yogurt variety to help tackle food waste and support food redistribution charity, FareShare.

This is the latest move by the retailer in its bid to reduce food waste from farm to fork.

Tesco has partnered with leading organic dairy, Yeo Valley, and Adam Wakeley, the UK’s largest organic fruit grower to create an exclusive new Apple and Custard Left-Yeovers yogurt which helps to tackle food waste.

The yogurt uses visually imperfect, but great tasting apples, to create the delicious and exciting seasonal flavour.

The Left-Yeovers range, which has been championed by Tesco in recent months, helps to prevent food waste by using surplus fruit from the Yeo Valley storerooms, and also raises money for a very important cause, with 10p from every pot sold donated to food redistribution charity, FareShare.

It  is hoped up to £7,000 will be raised to help with the redistribution of fresh, quality, surplus food to charities and community groups across the UK, which is then transformed into nutritious meals for vulnerable people.

Previous Left-Yeovers flavours have included Strawberry & Fig, Plum & Custard and Banoffee, and raised £20,000 for FareShare so far.

Tesco’s Commercial Director for Fresh Food Matt Simister said:

“Left-Yeovers is a great tasting yogurt with a clear mission – to help tackle food waste by using the whole of our growers’ organic crop.

“This project is a brilliant example of how we and our producers are taking a creative approach to reducing food waste, at every step of the journey of our food.”

Adrian Carne Joint Managing Director of Yeo Valley said:

“Our Apples and Custard yogurt is made with organic Santana fruit grown in Gloucester. The juicy apples are blended with a creamy custard yogurt made in our Somerset dairy.

“Made with quality produce, this will be a real treat for customers and through this fantastic partnership with Tesco, it will also help people in their community.”

Four years ago Tesco pledged to help reduce food waste right across the food chain and has set a target of insuring no food safe for human consumption goes to waste inside its UK operations by the end of 2017.

The new collaboration between Tesco, Yeo Valley and Adam Wakeley builds on the success of a similar initiative it developed with their ready meals and potato producers, which turns misshapen potatoes which would otherwise have gone to waste, into mashed potato for ready meals.

Tesco and its suppliers have also partnered on the following food waste projects:

  • A partnership between Branston, its potato growers and Samworths, its ready meal supplier which uses visually imperfect but entirely edible potatoes.
  • The introduction of Farm Brands and Perfectly Imperfect ranges, which allows the retailer to use up to 95 per cent of growers’ crops.
  • Partnership with Kenyan produce growers to pre-trim green beans to save 135 tonnes of edible fine bean crop from going to waste each year.
  • Reducing the number of steps in the journey for food from farm to fork, which adds two days extra freshness for popular fruit and veg items like citrus, lettuce, tomatoes, cucumbers, peppers, broccoli and celery.

Notes to editors

  • Left-Yeovers is available exclusively at Tesco and will be on sale for £1.50
  • Tesco and Yeo Valley will each donate 5p from every pot that is sold to FareShare
  • Since 2008, Adam Wakeley has partnered with Tesco by supplying the retailer with apples from a dedicated organic orchard.
  • FareShare redistribute in-date, good food from the food & drink industry, that would otherwise go to waste, to frontline charities and community groups that support vulnerable people, including homeless shelters, children’s breakfast clubs and domestic violence refuges.
  • Tesco has been working with FareShare for four years. The partnership includes activities which make food available from the Tesco supply chain, distribution centres and dotcoms centres. This has seen 15 million meals made up of surplus food donated to over 2,500 charities and community groups across the UK. This is in addition to the FareShare FoodCloud partnership, which has seen over 5 million meals distributed through Tesco’s Community Food Connection programme.

We are a team of 480,000 in 11 markets dedicated to serving shoppers a little better every day.

For more information please contact the Tesco Press Office on 01707 918 701    

Source: Tesco

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UK potato supplier Branston opens its £5m prepared potato factory extension in partnership with Tesco

UK potato supplier Branston opens its £5m prepared potato factory extension in partnership with Tesco
UK potato supplier Branston opens its £5m prepared potato factory extension in partnership with Tesco

 

CHESHUNT, England, 2016-Oct-18 — /EPR Retail News/ — Branston, one of the UK biggest potato suppliers, has officially opened its £5 million prepared potato factory extension in partnership with Tesco.

Producing around 3,500 tonnes of potatoes each week for sale in Tesco stores across the UK, the new factory expansion includes the introduction of two new batch peeling lines, making it one of the largest peeling and processing facilities in the UK.

The development which has created more than 20 new jobs at the Lincolnshire site also supports Tesco’s commitment to look for new ways to reduce food waste. The facility peels visually imperfect but entirely edible potatoes, which are then supplied to Samworth Brothers, a convenience food producer which produces a range of Tesco’s ready meals.

Tesco’s Commercial Director for Fresh Food Matt Simister said: “Working collaboratively with our suppliers to ensure we provide the highest quality fresh produce for our customers is right at the heart of what we do.

“Our long history of partnering with Branston, has helped to provide the confidence potato growers and the whole potato industry need to invest and innovate for the future.

“We believe that no food which could be eaten should go to waste so we’re constantly looking for new ways to reduce food waste across our supply chain.

“This new partnership between Branston and Samworth, and new facility means that in addition to our Farm Brands and Perfectly Imperfect ranges, we will be able to use up to 95 per cent of our growers’ crops, and save edible produce from being wasted.”

Branston’s MD James Truscott said: “Our relationship with Tesco is hugely important to the business and its commitment to reducing waste is a shared goal. This exciting new development enables us to play our part, whilst improving quality and freshness for customers.

“The new state of the art peelers have the capacity to cope with potatoes of all shapes and sizes – the wonky veg – which can be used to supply Samworth Brothers to make mashed potatoes for its range of Tesco ready meals.

“Working in partnership adds value to all three businesses. We have to continually modernise and adapt to the evolving food industry in order to have a sustainable business.”

Branston’s commitment to environmental issues has always been a priority for the business.  It uses waste potatoes to generate 40 per cent of the Fresh Potato site’s electricity through its on-site anaerobic digestion plant, with the remaining digestate used by local farms as fertiliser.

Branston, which has three sites across the UK – located in Lincolnshire, Perthshire and Somerset – has been supplying potatoes to Tesco for over 25 years.

Notes to editors:

  • Branston is one of the UK’s leading suppliers of potatoes – for leading UK retailers and wholesalers – as well as providing seed for potato growers. It has sites in Lincoln, Scotland and the South West, with Lincoln also being the home of its award-winning prepared foods factory. For more information visit www.branston.com.
  • In July, Tesco became the first retailer in the UK to introduce new long term contracts for potato growers and packers. The contracts, worth £12 million over three years will help safeguard the future for UK farmers https://www.tescoplc.com/news/news-releases/2016/investing-in-the-future-for-britains-potato-growers/
  • Tesco is committed to reducing food waste by working in partnership with producers and suppliers, whilst providing high quality affordable food for customers. Tesco stores donate surplus food to local charities, food banks and community group and has so far given away more than one million meals.

We are a team of 480,000 in 11 markets dedicated to serving shoppers a little better every day.

For more information please contact the Tesco Press Office on 01707 918 701

Source: Tesco

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Tesco launches low-priced Perfectly Imperfect range ‘wonky’ cucumbers

CHESHUNT, England, 2016-Jun-17 — /EPR Retail News/ — Tesco has launched a brand new range of low-priced ‘wonky’ cucumbers to help customers looking to save over the summer months.

The cucumbers are priced at 35p per 100g and will form part of the Perfectly Imperfect range, which already includes parsnips, potatoes and strawberries.

Matt Simister, Commercial Director for Fresh Food and Commodities at Tesco said:

“Providing great quality produce at low prices is clearly something our customers find really helpful, and we’re expecting our new Perfectly Imperfect cucumbers to prove just as popular as the rest of the range. We want to do everything we can to cut food waste, and we’ll continue to do more to help our suppliers and customers reduce the amount of food that is wasted from farm to fork.”

The Perfectly Imperfect range has proved extremely popular with Tesco customers, and since it was launched:

·         Sales volumes of Perfectly Imperfect are ten times bigger now than they were when the range was introduced, thanks to increased customer awareness as well as a rapid expansion of the range;

·         Sales of Perfectly Imperfect Apples have more than trebled; and

·         Sales of Perfectly Imperfect Parsnips have more than doubled.

It is expected the Perfectly Imperfect range will be expanded to cover up to 10 different types of fruit and vegetables. From next week Perfectly Imperfect courgettes will also be on sale at Tesco stores.

For more information please contact the Tesco Press Office on
01707 918 701

We are a team of 480,000 in 11 markets dedicated to serving shoppers a little better every day.

 

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Tesco launches low-priced Perfectly Imperfect range ‘wonky’ cucumbers

Tesco launches low-priced Perfectly Imperfect range ‘wonky’ cucumbers

Tesco and Kenyan produce growers partnership to save 135 tonnes of bean crop from going to waste each year

  • New initiative will save 135 tonnes of edible fine bean crop from going to waste each year and result in fresher food for customer
  • The move is one of several measures by Tesco and its suppliers to utilise as much of the fruit and vegetable crop as possible

CHESHUNT, England, 2016-Apr-22 — /EPR Retail News/ — A new partnership between Tesco and Kenyan produce growers will save 135 tonnes of edible fine bean crop from going to waste each year – with Tesco shoppers set to benefit from a fresher product.

Until recently, growers were required to deliver fine beans within a specific size range and to trim them before being packed and shipped to the UK.

This move was originally made as a convenience measure to help customers, but after listening to them Tesco found they’d prefer the beans uncut.

So as part of an ongoing review of its food sourcing policy, Tesco has widened the length specifications and stopped the trimming procedure, resulting in the huge waste saving.

The new length specifications will also mean customers will be able to benefit from a fresher, uncut product, meaning less food waste in the home.

Tesco Commercial Director for Fresh Food Matt Simister said: “We have listened to our customers who have told us that they want great tasting, quality fresh produce over uniformed sizing.

“This new partnership with our growers in Kenya is a great example of how we are delivering on that promise to customers while also ensuring we prevent food that could be eaten, going to waste.

“Our overall aim is to use as much of the edible crop as possible. In some cases, we believe that our specifications – such as with the fine beans – can be widened to accommodate more of the crop.

“If there is a surplus, we will work with suppliers to find an outlet – for example, by connecting our growers with our fresh and frozen suppliers for it to be used in foods such as ready meals.” 

The opportunity to provide customers with a fresher, uncut product was identified by Tesco’s Agricultural Hubs’ and the supermarket’s suppliers, Flamingo Produce.

The ‘Agricultural Hubs’, have been set up by Tesco in different parts of the world including Spain, France, Chile, Peru, Costa Rica and South Africa. They are staffed by trained agronomists and act as Tesco’s eyes and ears on the ground, providing insight on levels and causes of farm waste.

As a result of the new measures being adopted, 15 per cent of the bean will no longer go to waste.

Added Matt Simister: “We’ve also improved how we forecast and order to help producers cut down on waste by only growing and harvesting what is required.

“In the case of Kenyan fine bean growers we have overhauled the ordering process. This means the beans can be sent straight to our distribution centres, cutting time out of the supply chain and providing customers with a fresher product.”

Last month Tesco also launched its ‘Perfectly Imperfect’ range.  The range sees the supermarket now selling produce which traditionally fell outside its size specifications.

The first products introduced are parsnips, potatoes, strawberries and apples and Tesco aims to extend the range to between 15 and 20 seasonal lines throughout the year, taking into account crop flushes.

ENDS

Note to editors:

Recent Tesco achievements in helping reduce food waste

  • Giving customers up to two days extra food freshness through a scheme that cuts out a food packing stage in the journey from farm to fork.
  • Tesco works in partnership with Fareshare and FoodCloud to ensure that surplus food in stores goes to people in need. The aim is to never throw away food that could be eaten: if it can’t be sold, it will be offered to charities and community groups to feed people in need. By 2017 Tesco will roll out Community Food Connection to all of its UK stores.
  • Community Food Connection with FareShare FoodCloud is the latest innovation in Tesco’s work with FareShare on the provision of surplus food.
  • The partnership has included activities which make food available from the Tesco supply chain, distribution centres and Dotcom centres. This has seen 4.5 million meals of surplus food donated to support nearly 2,000 charities and community groups across the UK.

For more information please contact the Tesco Press Office on 01707 918 701
We are a team of 480,000 in 11 markets dedicated to serving shoppers a little better every day.

Tesco to pay its British dairy farmers 28.69 ppl for their fresh milk

CHESHUNT, England, 2016-Apr-05 — /EPR Retail News/ — Tesco has today confirmed that for three months from 1st May, it will pay its British dairy farmers 28.69 ppl for their fresh milk, through the Tesco Sustainable Dairy Group (TSDG).

The TSDG, which was set up in 2007 to address the uncertainty faced by British dairy farmers caused by volatility in the markets, has continued to be integral to how the retailer has created sustainable and fair partnerships with producers, growers and farmers across British Agriculture.

The largest of its kind in the retail industry, the group comprises of around 600 farmers, who supply Tesco directly with own-brand fresh and filtered milk products and share Tesco’s aim to deliver the best possible quality milk for customers.

Since its establishment, the pricing mechanism of the groups has ensured that Tesco continues to pay a price for the milk that is buys, that reflects at least the cost of production for dairy farmers. The guaranteed price, which will be reviewed every quarter to ensure that it correctly corresponds with the current market conditions for producers, helps farmers to budget, invest and plan for the future. Calculated by the independent consultancy-Promar – the price paid by Tesco reflects the average cost of production of all members of the sustainable dairy group.

The price, which is always agreed in collaboration with farmers from the group, is completely independent from the retail price for milk.  Customers can be assured that every pint of own-brand milk they buy from Tesco supports a TSDG farmer, helping to deliver a sustainable future for the British dairy industry.

Tesco Commercial Director for Fresh Food Matt Simister said:

‘The TSDG continues to be the cornerstone of the way we partner with British Agriculture. For almost a decade we have worked with our dairy farmers to provide the best possible quality British milk, produces to the highest standards for our customers, whilst ensuring farmers receive a fair price.

‘We know that our customers want us to support dairy farmers during this period of economic uncertainty. And through our direct partnerships with producers, customers can been assured that every pint of own-brand milk they buy from Tesco, offers valuable security for a TSDG farmer’

TSDG Farmer and Committee Chairman James Stephen said: 

‘I have been farming for many years and have seen first-hand how volatile the industry has and continues to be.

‘The Tesco Sustainable Dairy Group  provides  confidence to plan for the future, so we can focus on the things that matter most to customers- delivering high quality British milk, with high animal welfare and farm standards.’

The new price covers all Tesco own-brand fresh & filtered milk (1, 2, 4, 6 pint and 1 and 2 litre – excluding organic milk); single, double & extra thick double cream (150, 300, 600 ml) products and mature & extra mature cheddar.

Notes to editors

  • The new price is following an independent cost tracker review by agriculture research consultancy Promar. Tesco pays a price for milk that reflects the cost of production, calculated from costs submitted to Promar.
  • The new price, which is 1.39ppl lower than the previous 6 months’ price, takes into consideration a reduction in the cost of feed and rising milk volumes and will be reviewed every three months

For more information please contact the Tesco Press Office on 01707 918 701
We are a team of 480,000 in 11 markets dedicated to serving shoppers a little better every day.

Tesco extends financial support for British dairy farmers

CHESHUNT, England, 2016-Feb-16 — /EPR Retail News/ — As the wintry weather continues to take hold, Tesco has today announced it will extend its industry leading support for British dairy farmers.

Six months ago, Tesco announced it would provide additional financial provision for farmers who produce milk that goes into its own label cheddar cheese products. The winter supplement payment was initially intended to conclude at the end of February, but given the inclement weather and challenges faced by First Milk farmers during these uncertain times in the dairy market, Tesco is pleased to announce the payment will now be extended to support the farmers through to spring.

Through the work of the Tesco Sustainable Dairy Group (TSDG) and its collaborative partnerships with dairy farmers, Tesco  recognises how challenging the winter months can be – particularly for non-TSDG producers -and has made this investment to give them further additional financial assistance until 17th April 2016 to help them cover their production costs.

Commercial Director for Fresh Foods and Commodities Matt Simister said:

‘Helping to create a sustainable dairy industry is integral to how we partner with British Agriculture. Tesco has a long history of supporting dairy farmers and is proud of the sourcing relationships we have with them.

‘We recognise that it is a particularly challenging and uncertain time in the global dairy market, which is why over the past six months, we have provided additional financial support to help our First Milk farmers.

‘With the effects of the winter still being felt across the country, we are delighted to announce we have extended the supplement.’

Mike Gallacher, First Milk’s CEO said:

‘First Milk would like to thank Tesco again for their support with the Winter Supplement and welcome the news that this will be extended for a further six week period. Consumers clearly want their retailers to pay sustainable prices for British dairy products – in both cheese and milk – and Tesco, under Dave Lewis, have taken a leadership position. They deserve a great deal of credit for continuing to support British farmers who supply the milk that makes Tesco’s cheese.’

Dairy farmers from across the UK will also receive a further boost, with the move to one hundred per cent British milk for all Tesco own label standard yoghurts from the 1 March. This will see Tesco increase the amount of British milk in its standard range yoghurts from two-thirds and will help increase the demand for milk from farms across the whole country.

ENDS

 

1.       The winter supplement payment was due to cease on the 28th February 2016, but will now be extended until 17th April 2016.

2.       Tesco has supported First Milk farmers supplying their Haverfordwest Creamery through this period by paying First Milk the base TSDG price for the milk that goes into their cheese. This price will continue to be 29.58ppl and will be reflected in the cheese price that Tesco pays to the processor.

3.       First Milk will distribute this additional income across its farmers, and will be able to provide an audit to demonstrate that farmers have received this additional payment.

4.       From March 2016, all Tesco own label standard tier yoghurt will be made with milk sourced from Britain with the exception of those with protected origins – including authentic Greek Yoghurt and French Fromage Frais.

 

For more information please contact the Tesco Press Office on
01707 918 701

We are a team of 480,000 in 11 markets dedicated to serving shoppers a little better every day.

 

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Tesco extends financial support for British dairy farmers

Tesco extends financial support for British dairy farmers

Tesco Sustainable Dairy Group (TSDG) expands to support even more of Britain’s dairy farmers

CHESHUNT, England, 2015-11-6 — /EPR Retail News/ — Tesco has today announced its first and biggest farming group, the Tesco Sustainable Dairy Group (TSDG) will be expanding to support even more of Britain’s dairy farmers.

Already the largest group of its kind, Tesco has confirmed the number of dairy farms from across the UK it will have direct relationships with could increase by around a quarter. The supermarket will also look to foster and mentor fresh talent, by creating a new platform for new and young farmers wishing to enter the dairy industry.

The Dairy Centre of Excellence will provide practical support for Tesco dairy farmers and opportunities to share knowledge and expertise with other farming colleagues from across the country, in order to improve animal welfare and encourage innovation.

Following discussions with famers, processors and industry experts, Tesco has just completed its first ever review of the TSDG in order to adapt to the significant changes that have taken place in the dairy industry since the TSDG’s inception in 2007.

The outcome of the review has cemented the TSDG’s position as an integral part of how Tesco partners with British Agriculture and serves its customers.

Tesco Commercial Director for Fresh Food Matt Simister said: ‘Tesco has a long and proud history of supporting British dairy farmers and we recognise the many challenges they face. We’re also committed to helping customers by providing the best quality British produce every time they shop with us. 

‘So it’s crucial to us and our farmers we continue to evolve the most sustainable, progressive and leading dairy group in the UK. 

‘By maintaining our above the cost of production model and focusing on delivering quality, value, innovation and service for our customers, we are confident  it can continue to be a standard bearer for the industry.’

TSDG Farmer and Committee Chairman James Stephen said: ‘As a lifelong dairy farmer, I’ve seen first-hand how uncertainty has impacted so many of my farming colleagues. This is why the Tesco Sustainable Dairy Group is so important; it provides members with the valuable security and peace of mind, which is often lacking in the increasingly volatile market. So we can focus on what matters- providing the best quality milk and standards for our customers’.

All of the revisions to the TSDG will be initiated by the 1st February 2016.

Notes to Editors 

  • The TSDG was established in 2007 to address the uncertainty facing British dairy farmers caused by volatility in the markets. It comprises of around 600 farmers who supply Tesco directly with own-brand fresh and filtered milk products and share Tesco’s aim to deliver the best quality milk possible for customers. The TSDG pricing mechanism ensures that Tesco pays a price for the milk that is buys that reflects at least the cost of production to dairy farmers, helping them to invest and plan for the future.
  • New members of the TSDG will from the supplier base of Tesco’s processing partners -Muller Wiseman and Arla.
  • The core principles of the TSDG have always been to

– Have a transparent and clear pricing mechanism, using an independent cost tracker

– Pay a fair price for our milk and reward those who help us to deliver the best quality milk for our customers and the highest animal health and welfare standards

– Ensure that we have a sustainable approach to the dairy industry.

  • The price Tesco will pay its British dairy farmers for milk will follow a regular three-monthly review of production costs. The price will be set using the independent consultancy-Promar- to make sure that price paid by Tesco reflects above the average cost of production of the TSDG group. That price, agreed in collaboration with farmers, will then be set for three months and is completely independent from the retail price for milk.  Customers can be assured that every pint of own-brand milk they buy from Tesco supports a TSDG farmer, helping to deliver a sustainable future for the British dairy industry.
  • For eight years, Tesco has been paying dairy farmers more than market average:

 

  • The current price Tesco pays farmers is  30.58ppl, which includes the Promar 0.5ppl  for all Tesco own-brand fresh & filtered milk (1, 2, 4, 6 pint and 1 and 2 litre – excluding organic milk); single, double & extra thick double cream (150, 300, 600 ml) products and mature & extra mature cheddar. Until the 28th February 2016, Tesco brand Mild & Medium Cheddar, Red Leicester & Double Gloucester Cheese will receive 29.58ppl, which will be reflected in the cheese price paid to the processor.
  • Tesco dairy farmers must adhere to the nationally recognised Red Tractor assurance scheme, as well as additional Tesco welfare standards, to improve cow health and welfare. • The Tesco Dairy Centre of Excellence works to encourage innovation and improve the knowledge and understanding of dairy production within the industry.
  • Additional support Tesco provides British Agriculture includes:
  • Sustainable farming groups in lamb, beef, chicken, pork, eggs, potatoes
  • Providing support for UK agriculture, with the development of a joint initiative with Anglia Famers – the ProducerClub.  The club delivers support for the day-to-day running of farms and an unrivalled combination of savings and benefits
  • Championing young farmers in British agriculture, offering a 12 month package of training, business planning, advice and supply chain experience through the Future Farmer’s Foundation.
  • An agriculture team, which works alongside a single product team responsible for the entire lifecycle of products.
  • A Supplier Helpline, where any issues raised by farmer, growers and producers are aimed to be resolved within 48 hours

For more information please contact the Tesco Press Office on 01992 644645
We are a team of over 500,000 people in 12 markets dedicated to providing the most compelling offer to our customers.