Safeway cuts milk suppliers

28 April 1999

Safeway cuts milk suppliers

THE Safeway supermarket chain plans to cut the number of companies supplying it with liquid milk, reports the Financial Times.

The company is dropping Glanbia, the Irish dairy group formerly called Avonmore Waterford.

In future it will buy supplies only from Dairy Crest, Express Dairies and Robert Wiseman.

The decision puts a questionmark against the future of Glanbia.

Its managing director said the company would take part in the restructuring of the dairy sector, through possibly alliances and joint ventures.

Doubts have also been raised about Wiseman plans for expansion in the south of England after it failed to win the extra business created by the pruning of Glanbia.

• Financial Times 28/04/99 page 34