Aldi has announced an innovative new way of sourcing fresh Scotch Aberdeen Angus Beef in Partnership with Crocketford Farming Family G Barbour & Company that is hoped will provide a long-term, economically sustainable solution for farmers, processors and retailers.
The new Beef Cross Dairy Supply Chain model integrates the Dairy and Beef supply chains from farm to retailer and will give Aldi’s Beef Farmer partner a mutually agreed guaranteed price per kilogram for Scotch Aberdeen Angus Beef over each 12-month period. Led by Aldi in partnership with Scotbeef, G Barbour & Company from Crocketford near Castle Douglas in Dumfries and Galloway, Harbro and Genus ABS it is believed to be the first end to end contracted integrated scheme of its kind in Scotland where a farmer, processor and retailer are working together collaboratively.
For several years Scottish Beef farmers and producers have been experiencing severely depressed prices. In the last year alone there has been a sizeable reduction in the wholesale price of Beef which, combined with uncertainties around future support payments for the industry, has forced some farmers to consider their future in the industry.
Renowned for its provenance and domestic sourcing, Aldi is committed to offering customers the highest quality Scotch Aberdeen Angus Beef in all 91 Scottish stores. In support of Scottish farmers and the Scottish Beef industry, Aldi has developed the innovative model in the hope of providing a long-term solution for the sector which can be progressively scaled up in coming years.
Aldi’s new farmer partner, Richard Barbour, of G Barbour & Co, beef farmers based in Crocketford, Dumfries & Galloway commented: “This is a positive development for our industry and we’re proud to be working with a forward-thinking supermarket like Aldi to develop an innovative new model for the procurement of Scotch Aberdeen Angus beef.
“Over recent years the Scottish Beef industry has experienced severe price pressures, with many cutting livestock numbers or even exiting the industry all together. By Aldi guaranteeing a fixed price per kilogram for the Beef we produce each year, it will allow us to forecast further into the future and provides more certainty going forward. By taking away pricing volatility, Aldi’s Beef Cross Dairy Supply Chain model reinjects an element of certainty and confidence into what is such a crucial industry for Scotland.”
The model uses Aberdeen Angus Beef Cross Dairy Calves. Dairy cows must give birth to one calf annually in order to produce milk and this model uses local dairy cows, which have been artificially inseminated by an Aberdeen Angus bull, to produce an Aberdeen Angus Beef Cross Dairy Calf.
In the new model Richard will buy Aberdeen Angus sired calves from a select group of local dairy farmers, which will then remain on his farm for the rearing, growing and finishing stages of beef production, before being sent to Scotbeef’s state of the art abattoir at Bridge of Allan.
Graham Nicolson, Group Buying Director, Aldi Scotland, said: “Aldi is the largest retailer for Scottish Origin Beef and we’re consistently the strongest supporter of the domestic Scottish Red Meat industry as demonstrated by our performance in NFUS Shelf Watch during 2019. We believe this is the right thing to do to support the industry in the long term and is the next evolution of our local Fresh Meat sourcing strategy.
“By bringing together partners at each stage in the supply of Scotch Aberdeen Angus Beef, we are confident our Beef Cross Dairy Supply Chain model will create a product of consistent high quality.”
“We’re excited to be working with the Barbour family to trial the model this year and hope to be able to roll it out more widely across the Scottish business over the next five years.”
Last year, Aldi introduced a new traceability programme across its premium Specially Selected Aberdeen Angus Scotch beef range, which allows the supermarket to match cuts of meat with the animal of origin, guaranteeing full traceability.
The programme; DNA Traceback®, works with the supply chain to enable Aldi to trace every piece of Specially Selected Aberdeen Angus Scotch beef back to the animal by matching the DNA of the beef product to the animal, which ensures more accurate levels of transparency and accountability for both its customers and suppliers.