SPC Ardmona seals $7 million private label deal

Woolworths has signed up Coca-Cola Amatil's troubled fruit processor, SPC Ardmona, as the new supplier of its Woolworths Select canned apricots, peaches, apples and pears.

Woolworths said it awarded the $7 million contract to SPC Ardmona in place of its existing overseas suppliers in support of fruit growers from Victoria's Goulburn Valley in Victoria.

SPC Ardmona recently called for emergency tariff protection from cheap imports. According to the manufacturer, market share of imported private label canned fruit had grown to 58 per cent, while SPC Ardmona canned fruit share has declined to 33 per cent.

Woolworths' managing director of supermarkets and petrol, Tjeerd Jegen, said the retailer was "passionate about Australian food".

"Our customers share this passion and have clearly told us that they want us to support Australian producers and manufacturers wherever possible.

“That’s why Woolworths has signed a contract with SPC Ardmona worth $7 million to source 13 lines of canned fruit from their growers in the Goulburn Valley,” he said.

Jegen noted that Woolworths already sold SPC Ardmona’s branded lines, SPC, Goulburn Valley and Ardmona, and it was the retailer's single largest supplier of canned fruit.

“They are a great partner and we’re pleased that together we are getting more Aussie canned fruit on our shelves for our customers to enjoy,” he said.

Woolworths said it is also sourcing three canned pineapple products from Queensland to replace Select canned fruit lines that were previously imported from South Africa and Thailand.