Tesco is particularly in the firing line with claims from the president of the National Farmers' Union that it is using 'outrageous bully boy tactics' to cut prices paid to suppliers.
All the major supermarkets have been calling in suppliers in the last few weeks to demand cuts in prices following the reduction in the cost of oil and commodity crops. However, NFU president, Peter Kendall, said Tesco, in particular, has gone too far.
Tesco has been accused of putting 'extreme' pressure on growers and suppliers in an attempt to compete with budget retailers like Aldi, Lidl and Netto.
It is claimed growers are being asked to pay new fees to have their products stocked on shelves, give discounts on previously agreed prices, which are known as over-riders, and put up with increases in the time it takes to settle invoices. More...
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