Unlock Premium Data: Up to 50% Off InvestingProCLAIM SALE

Lidl to spend $19 billion over five years with British suppliers

Published 10/16/2019, 05:17 AM
Updated 10/16/2019, 05:22 AM
Lidl to spend $19 billion over five years with British suppliers
MRW
-
TSCO
-
SBRY
-
WMT
-

LONDON (Reuters) - German-owned discount supermarket Lidl GB has vowed to spend 15 billion pounds ($19 billion) with British suppliers over the next five years, committing to increase sales of local meat, poultry and fresh produce.

Lidl and rival Aldi have changed the shape of the UK grocery sector, stealing market share from industry leader Tesco (L:TSCO), Sainsbury's (L:SBRY), Asda (N:WMT) and Morrisons (L:MRW) by offering cut-throat prices in no-frills stores.

To deepen its relations with British suppliers, Lidl, part of the Schwarz retail group, said it would introduce longer-term contracts with suppliers to help them invest and expand.

"Our business is only ever as good as our suppliers', so our investments and commitments are key to ensuring that they can invest and expand with us," said Ryan McDonnell, Chief Commercial Officer at Lidl GB.

Lidl GB currently trades from 770 stores and has a market share of 6%. It is planning to open 50-60 new stores across 2019.

Its sales rose 8.2% in the 12 weeks to Oct. 6, according to industry data published on Tuesday.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.