Getting warm and Woolie on local supply

Canberra’s war against big supermarkets jars with the chains’ lowered food costs, but Woolworths’ SPC deal will win favour with politicians and regulators.

Given the increasingly hostile political environment in which the two major supermarket groups are operating, Woolworths’ decision to source all of its home brand canned deciduous fruit requirements from SPC Ardmona is an astute move.

The Coca-Cola Amatil-owned processor has been struggling as supermarkets have switched to cheaper offshore sourcing of fruit, which has been made even more competitive by (until recently) the strength of the Australian dollar.

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