Tesco prizes its relationships with its producers as highly as it does its customers, claimed Tim Lee, fruit category manager.

Speaking at Fresh2005 in Hungary last week, Lee said: “We work in partnership with our suppliers and for us to succeed, they need to succeed, otherwise we don’t have a sustainable business.

“Building loyalty with our suppliers is as important to us as it is with our customers to ensure that we both have a future.”

He said a recent survey conducted among its suppliers found the general view of the retailer was “fair” but sometimes challenging.

He claimed that, for suppliers, Tesco was the best bet for the future, particularly with the sector’s emphasis on price: “Low prices are the hallmark of the retail sector throughout the EU... and there will be winners and losers. Tesco offers profitable growth, even in the low price environment.”

Lee said there is no getting away from the price issue: “You can’t escape the fact that for customers, price is important, particularly in developing markets. It can deepen loyalty and drive sales.”

He said Tesco has ambitions to grow ever stronger on the international stage and that offers opportunity for suppliers.

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