Retailer demand lifts Northern Foods

Frozen food supplier Northern Foods said today it had seen a significant surge in demand from Britain's five biggest retailers…

Frozen food supplier Northern Foods said today it had seen a significant surge in demand from Britain's five biggest retailers.

Sales to high-street giants - including Marks & Spencer, Tesco and Sainsbury's - rose 7 per cent in the past two months.

Commenting on those full-year figures today, chairman Mr Christopher Haskins said the group, which owns the Green Isle brand, was benefiting from a strong relationship with retailers.

During the last financial year, sales rose 2.9 per cent to £1.38 billion sterling, buoyed by strong demand for all of its major brands, including Ski yoghurts, Fox's biscuits and Goodfella's Pizzas.

Despite Marks & Spencer's problems, food supplies to the company remained strong as turnover from Northern's major five customers rose 6.8 per cent in the year.

Northern, which also supplies Safeway and Asda, believed it stood to benefit as the major retailers increased their own share of the market.

The group said its performance had not been materially affected by the foot-and-mouth outbreak, although it thought public confidence in the food industry had been damaged by the episode.

Mr Haskins said: "The process of rebuilding that trust will necessitate an even greater emphasis on quality and safety, which should benefit reputable retailers and manufacturers."

PA

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