Tesco is to stock only 100% fresh branded Scotch Beef in its 200 stores in Scotland from the spring.
It also revealed yesterday it would be offering farmers two-year direct supply contracts to guarantee supplies through McIntosh Donald, its Portlethen-based processor.
The move follows criticism that its shelves have in recent months been devoid of branded Scotch, unlike those of budget rivals Aldi and Lidl which have been filled with Scottish product. Tesco’s somewhat poor Scottish beef offering has recently been limited to mince and some steaks. The majority of its pre-packed beef has been from British branded and either from England or Wales according to the slaughter codes on it.
The retailer said the pledge for 100% Scotch – using beef branded with Quality Meat Scotland’s Scotch Beef protected geographical indication (PGI) label – would extend to its fresh offering sold at counters as well as its everyday value, Tesco brand, finest and organic ranges.
Tesco said the decision represented a significant investment in the Scotch Beef industry.
Fresh foods commercial director Richard Marris said: “With so much fantastic produce available in Scotland, we’re delighted to announce this new commitment on Scotch beef, which reinforces our standing as the Scottish beef industry’s biggest customer.”
Tesco was embroiled in last year’s horse-meat scandal and was found to be selling burgers with equine meat in them. Mr Marris said it had over the last year been taking steps to bring the food it offered closed to home.
Quality Meat Scotland chairman Jim McLaren described it as fantastic news and a great vote of confidence in the hard work by Scottish farmers.
He said Tesco’s move would heap pressure on other retailers to follow suit.
McIntosh Donald site director Alan McNaughton said the new deal from Tesco was an opportunity not to be missed by livestock producers in Scotland.
But there was a mixed response from farmers. Peter Morrison, of Ingliston, Inverurie, gave a cautious welcome. Bruce Walker, of Newton of Lewesk, Old Rayne, said: “This is good news if there’s enough product to fulfil the order. We need every outlet we can get.”
NFU Scotland food chain relationships manager Kylie Barclay said it was an important deal which would put more Scotch Beef on retail shelves and significantly increase the visibility of the coveted PGI brand, which guarantees the beef as from cattle born, raised and slaughtered in Scotland.
She added: “Equally important is the long-term signals it sends to other parts of the chain, with Scottish beef finishers being able to consider a two-year contract to supply the supermarket. That, in itself, will underpin the long-standing relationship the retailer has with its processor, McIntosh Donald.”
Rural Affairs Secretary Richard Lochhead hoped producers could seize the opportunity about to open up to them.