Lidl Ireland invested €1bn in the Irish agri-food industry last year, supporting 400 local suppliers, according to its latest supplier impact report.
The supermarket chain said that of the €1bn, €682m stayed within its operations to be sold locally to its Irish customers, while the remaining €318m was exported internationally.
Among the partnerships agreed by Lidl Ireland, there was a €20m deal with Bantry-based Keohane Seafoods, a €15m contract with the Dublin Meat Company, and an €8m deal with Donegal juice and smoothie producer Muirines.
Many of the agreements included provisions for export, with Keohane's fresh and frozen Irish seafood being sold to stores in Britain, Germany, Cyprus, Italy and the US.
Tipperary’s Honeyvale Foods now supplies Irish ham and bacon products to hundreds of Lidl stores in Denmark, Greece, Portugal, Slovenia and Poland.
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At a micro-level, Lidl has invested more than €7m in its Kickstart supplier development programme, supported by Bord Bia, which is now in its seventh year.
JP Scally, CEO of Lidl Ireland and Northern Ireland, said: "Our fantastic suppliers represent the best of Ireland’s food and drink industry and we’re proud to showcase the high calibre of their products on our shelves in Ireland and on the global stage through our Lidl network. In 2022, Lidl Ireland procured more than €1bn worth of goods from Irish suppliers.
"This record investment is a huge driver of economic growth, and this report demonstrates just how important supplier relationships are not only to the ongoing success of our business, but to the 400+ local producers that we work with and their employees across the country."
Scally said Lidl had expanded its product range by more than 40% and tripled the size of its buying team to focus on sourcing as many Irish products as possible since 2018.
"As we look ahead to this upcoming year, we look forward to nurturing new and fruitful supplier partnerships and supporting even more local businesses to success," Scally concluded.
Commenting on the report, Bord Bia CEO Jim O’Toole: “Over the past 20 years, Lidl has demonstrated a strong commitment to sourcing Irish produce, giving a wide range of Irish food, drink and horticulture producers access to a large customer base in Ireland as well as export opportunities.
"2022 saw record export growth for the Irish agri-food sector, and strong partnerships with retailers, such as Lidl, are a key factor of that growth. Bord Bia is committed to continuing our work with Lidl as a partner to ensure this support and growth continues year on year.”
Lidl's share of the Irish grocery market stood at 12.2% for the 12-week period to Christmas Day, driven by sales growth of 10.1%, own-label sales growth of 47.2%, and and an additional €32.4m from new shoppers, according to Kantar.
Photo: (l-r) JP Scally, Lidl customer assistant Patrycja Samojiuk, and Jim O’Toole. (Pic: Fennell Photography)
