Dale Farm wins contract to supply cheddar to Lidl stores

UK-based dairy cooperative Dale Farm has been awarded a contract to supply cheddar cheese to Lidl stores across the UK, Europe and US.

The deal represents the largest contract to be awarded by Lidl to a Northern Irish dairy farm to date, reported the Belfast Telegraph.

Dale Farm’s block cheddars, along with its the grated and sliced varieties, are expected to be delivered to 8,000 Lidl stores across 22 countries under the arrangement.

Dale Farm currently employs around 1,000 personnel.

The dairy cooperative is slated to become Lidl’s main cheddar supplier globally as a result of the latest agreement.

Lidl Northern Ireland director Conor Boyle was quoted by the Belfast Telegraph as saying: “Dale Farm has been a valued and trusted Lidl supplier for many years, and this deal strengthens and secures that relationship for the future.

“It is a coup for Dale Farm and for Lidl, allowing us to introduce and showcase this stunningly good product to our customers around the world.”

Dale Farm cheddar is expected to be sold under Lidl’s Rathdaragh brand in Ireland, while it will be marketed as Valley Spire and Milbona across the UK and Europe.

The cooperative’s cheddar products will also be sold under the Preferred Selection brand in US.

Dale Farm is also one the four firms in the running for a joint venture (JV) with dairy cooperative LacPatrick.

Almost 700 dairy suppliers across the border counties of Northern Ireland currently provide milk to LacPatrick.

Dale Farm said: “As Lidl’s business continues to grow, so will Dale Farm’s, and as such the rollout of this significant contract will ultimately lead to the creation of jobs within Dale Farm.”

Dale Farm Group commercial director Stephen Cameron noted that the contract is considered good news for the cooperative’s 1,300 farmers.

Cameron told the website: “The scale of this contract is testament to the high standard of the milk our farmer-owners provide us with to consistently create world-class cheddar cheese.

“It also demonstrates the continuing strength and sustainability of our farmer-owned co-operative business model.”