Aldi pledges long-term deals for half of UK produce by 2027

Aldi has pledged to secure at least half of its UK-grown produce through long-term supply agreements with British farmers by 2027.

The supermarket said the move will expand multi-year partnerships with fruit and vegetable growers, helping to provide greater certainty for producers while strengthening the resilience of UK food supply chains.

The commitment comes as British farmers continue to face difficult growing conditions. Last year’s extreme heat and drought cost the sector millions in lost production, before one of the wettest winters on record left fields waterlogged and damaged autumn crops.

UK growers are also grappling with rising input costs, labour shortages and increasingly unpredictable weather, placing further pressure on domestic food production.

Retailers have faced growing calls in recent years to offer longer-term supply agreements, as farmers seek greater stability and fairer returns amid rising production costs.

Under Aldi’s plans, supply agreements lasting two years or longer will be offered to both large and small producers. Suppliers will qualify based on performance in areas such as availability, quality and value.

Aldi already sources a significant share of its products domestically.

Around 75% of its sales come from UK-based suppliers, making the discounter one of the grocery sector’s biggest supporters of British producers.

Julie Ashfield, chief commercial officer at Aldi UK, said British growers remain central to the retailer’s operations.

“British growers are at the very heart of our business, and are essential to delivering great quality fresh produce to our customers every single day,” she said.

Ashfield said expanding long-term agreements would help deepen partnerships with suppliers and provide greater stability.

“Extending our long-term agreements to more supplier partners is about strengthening those partnerships and providing greater certainty for our suppliers, giving them the confidence to invest in more efficient and sustainable farming methods,” she added.

The announcement builds on Aldi’s existing long-term partnerships with British growers.

The supermarket previously agreed a £750 million, 20-year deal with Kent fruit farm AC Goatham & Son, its sole supplier of British apples.

The agreement supported the creation of a dedicated “Aldi Orchard” supplying apples to the retailer’s UK stores.

However, farming groups have previously warned that longer-term supply agreements must also reflect rising production costs to remain sustainable for growers.