European supermarket heavyweights Tesco and Carrefour have announced plans to form a strategic alliance covering global supplier relationships, the joint purchasing of own brand products and goods not for resale.
Anticipated to be formally agreed within the next two months, the partnership will be governed by a three-year operational framework.
In a statement, the retailers said the alliance would enable both companies to enhance their competitiveness by improving the quality and choice of products available to customers, at lower prices.
“This agreement will also allow both companies to strengthen their relationships with their suppliers and create significant opportunities for those suppliers”, the firms noted, adding that each would continue to work with supplier partners at a local and national level.
Commenting on the partnership, Tesco group chief executive Dave Lewis said: “I’m delighted to be entering into a strategic alliance with Carrefour. By working together and making the most of our collective product expertise and sourcing capability, we will be able to serve our customers even better, further improving choice, quality and value”.