Foodservice business and Olympic supplier Aramark has asked suppliers for “support to reduce our costs” as its looks to streamline its supplier base and plug a 12 per cent “opportunity gap”.

In a leaked letter to some of its suppliers, the company said that, following a benchmarking exercise, it had highlighted a gap in “both procurement and logistics [that] illustrates many opportunities for improvement”.

Aramark has given its secondary suppliers, particularly those of “non-core” goods and services - although not food - nine days to respond to the letter, which demands suppliers “make immediate proposals for price reductions on all products or services to Aramark, effective 1 July 2011”.

The spokesperson told FPJ: “Early indications are that many of those approached have seen the letter as a positive ‘call to arms’ and are keen to explore how they can extend their relationship with Aramark in return for offering more favourable terms.”

But Jonathan Doughty, chairman of the Foodservice Consultants Society, said: “It would appear to me that Aramark is asking its suppliers to bear the cost of their procurement and purchasing systems.

“The inference is clear that they are demanding at least a 12 per cent reduction in cost if the supplier or provider wishes to continue to do business with Aramark. This is both unrealistic and unachievable for many of the quality suppliers that provide goods and services to the company.

“It will also probably result in those businesses having to accept no profit on their Aramark business... Introducing ‘gun to the head’ negotiation tactics will alienate the partners that Aramark so badly needs to recover its