Müller has signed a three-year milk supply deal with supermarket chain Lidl, which will see the dairy brand supply milk to the majority of Lidl’s UK stores.
The partnership will be effective from 1 June 2018, and Müller estimates that it will supply 90% of Lidl’s liquid milk and butter once the deal comes into effect.
Andrew McInnes, managing director of Müller Milk and Ingredients said: “This long term strategic partnership has benefits for every part of the dairy supply chain, and will provide Lidl with a unique offering for its customers.
“It allows us to work closely with Lidl to drive innovation and growth in the milk and butter categories, leveraging the growing capabilities we have within our dairies.
“We are delighted that Müller Direct farmers will benefit from this innovative partnership.”
“Locking a portion of their milk supply at a fixed price will significantly lower exposure to milk price volatility and we are confident that this move will be welcomed.”
Ryan McDonnell, Lidl UK’s commercial director added: “We are pleased to announce a long term partnership with Muller, which will see them provide liquid milk to the majority of our UK stores.
“Our ambition as a business is to put sustainability firmly at the heart of everything we do, and by supporting growth in the British dairy farming sector, we’re taking another crucial step in fulfilling that goal.”
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