Tesco and Carrefour plan 'strategic alliance' to buy products

While link-up could lead to more choice, analysts say it will squeeze suppliers further

Tesco and France’s Carrefour are teaming up to buy products for more than 19,000 stores, a move the supermarket groups claim will lead to greater choice and lower prices for customers.

While the decision may be good news for shoppers, analysts said the planned three-year strategic alliance between Britain’s biggest grocer and Europe’s largest retailer would squeeze suppliers further.

Related: Tesco trials 'shop and go' app in till-free store

FMCG suppliers can't seem to catch a break - supermarket consolidation, Amazon stepping up private label efforts and now a buying alliance between two of the world's largest food retailers.

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from Mergers and acquisitions | The Guardian https://ift.tt/2tNiCZN