Carrefour and Système U announce five-year purchasing alliance

By consolidating the historical links they have built with the agricultural world, the two companies said they want to offer the agricultural sector a partnership of reference. It will be built around prices and volumes to provide fair compensation to farmers, over an extended period of time, the retailers said.

To achieve this goal, the two retailers have revealed they are in exclusive negotiations to agree a five-year co-operation agreement that will involve purchasing negotiations with the biggest national and international brands.

The scope of this agreement, intended to reinforce the competitiveness of the two retail banners, could be extended to include indirect purchasing. Each banner will remain responsible of their commercial and promotional policies. This co-operation is designed to begin in the autumn in preparation for the 2019 negotiations round with suppliers.

Carrefour and Système U said they aim to achieve a stable and responsible agreement whose aim is to promote a fair distribution of value between upstream and downstream.