The National Pig Association (NPA) has raised concerns over Tesco’s acquisition of food wholesaler, Booker, believing that the further concentration of power within the supply chain could have a negative impact on pig producers.
NPA chief executive, Zoe Davies has questioned whether the link between Tesco, described as one of the toughest players in the retail market, and a major wholesaler could put further pressure on pig producers. She has called for assurances to be made to ensure “this does not create greater imbalance in the supply chain”.
NPA vice chairman, Richard Longthorp, has also queried whether the retailer might try to brand its acquisitions as Tesco.
Tesco announced its plans to buy Booker in a £3.7 billion deal last week, with both companies saying they believed the merger would create the “UK’s leading food business”.
Charles Wilson, chief executive officer of Booker, added: “Booker is committed to improving choices, prices and service for the independent retailers, caterers and small businesses that we are proud to serve.
“We believe that joining forces with Tesco offers the potential to bring major benefits to end consumers, our customers, suppliers, colleagues and shareholders.”
This story was originally published on a previous version of the Meat Management website and so there may be some missing images and formatting issues.
