Tesco Ireland has confirmed that it is extending its improved payment terms for small suppliers until the end of February 2022.
Since the emergence of the pandemic, in March of last year, Tesco announced that it would support small and local suppliers by temporarily changing its payment terms to have their invoices processed within five days, instead of the usual 14 days.
While the impact of the pandemic continues to be felt, the extension of Tesco’s improved payment terms will mean that small businesses will be supported further, the retailer added.
Improve Cash Flow
This is welcome news for suppliers, including Wicklow Rapeseed Oil, which has worked with Tesco for over five years.
Keith Symes, managing director, Wicklow Rapeseed Oil, said, “This is a huge help for a company like ours. Securing five-day payment terms until February of next year helps us improve cash flow at a time when we need to provide what certainty we can to our four full-time and four part-time staff.
“We’re grateful to Tesco for their sensitivity to the small supplier and look forward to continuing to supply our award-winning products from our fourth-generation farm in Wicklow to family tables across the country,” Symes said.
Joe Manning, commercial director, Tesco Ireland, said, “Small food and drink suppliers have been amongst the hardest hit in the food industry in the past ten months.
“I’m delighted we’ve been able to give over 200 small suppliers like Wicklow Rapeseed Oil long-term certainty for the year ahead, and thank them for their ongoing hard work and resilience,” Manning added.
Tesco sources from over 480 local Irish food and drink suppliers and supports 13,000 Irish farming families.
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