Sector News

Hilton Food Group plans US$7.3m Poland site as part of Tesco deal

August 29, 2017
Food & Drink

Specialist retail meat packing business Hilton Food Group plc has signed a long-term supply agreement with Tesco Central Europe to produce fresh food.

The five-year deal involves building a state-of-the-art factory in Poland to produce items including sandwiches, pizza, ready meals and soups. Hilton says that this requires an investment of €6 million (US$7.3 million) in plant and equipment, as well as the construction of the factory itself.

Production is expected to begin in the first quarter of 2019.

Hilton and Tesco have also agreed to sign a further five-year supply agreement for Hilton to continue servicing Tesco’s Central European stores with pre-packed meat.

“We have a long and successful history of working with Tesco, one of the world’s biggest retailers. This agreement represents an opportunity to enter a growing food segment of the market,” says Hilton Chief Executive Robert Watson OBE.

“We look forward to seeing the positive effect our tried and tested business model will have on this relationship, which will be supported by our flexible and versatile approach to meeting local requirements.”

“We continue to look for further opportunities for geographic expansion.” Matt Simister, Tesco Central Europe CEO, adds.

“I’m delighted that we are extending our deep Group-wide partnership with Hilton to bring new manufacturing investment and capability to Poland. Our collective experience and expertise will bring new, innovative and high quality fresh and convenient products to our customers in Central Europe.”

Hilton Foods, which also has supply deals with Ahold, ICA, Coop Danmark and Sonae in Europe as well as Woolworths in Australia, had sales of £1.2 billion (US$1.5 billion) in 2016 and employs around 3,000 people across its sites.

Source: Food Ingredients First

comments closed

Related News

October 2, 2022

Drinktec 2022: In review

Food & Drink

In the lead-up to the world-famous Oktoberfest – which celebrates Bavarian tradition, beer and the festival spirit – Munich was already buzzing with activity by the time the doors opened to Drinktec 2022 on 12-16 September. The atmosphere was lively, with approximately 50,000 visitors from 169 countries in attendance.

October 2, 2022

Alan Jope to step down as Unilever CEO

Food & Drink

Unilever has announced CEO Alan Jope’s decision to retire from the company at the end of 2023, after five years at the helm. The announcement comes less than a year after a failed attempt by Unilever to buy GlaxoSmithKline’s consumer healthcare business and just months after activist investor Nelson Peltz joined the company’s board.

October 2, 2022

Lakeland Dairies names Colin Kelly as next group CEO

Food & Drink

Lakeland Dairies has announced that Colin Kelly will assume the role of group CEO following the retirement of Michael Hanley at the end of the year. Kelly will take up the position in January 2023, while Hanley will step down in December this year.