Tine refuses to supply Lidl milk

Related tags Milk Norway European union Retailing

Talks between Lidl, the German retail company, and Tine, the
Norwegian dairy group, have this week been terminated as the result
of a milk packaging dispute.

Lidl refused to sell Tine milk in its Norwegian stores because the Norwegian dairy group insists that the milk be packaged in Tine cartons.

Lidl has outlets in countries all across Europe. In the past, the company has packaged milk in its own cartons, using milk imported from Germany.

However, due to extremely high (and, Lidl might argue, protectionist) duties on imported milk in Norway, bringing in milk from Germany would not be cost effective for the company. And the discount retailer believes that selling the milk under the Tine brand - rather than its own label - would also not be its interests.

Earlier in the year Lidl said that it might look into buying a number of small Norwegian dairies so it would be able to produce its own milk, but Lidl representatives have stated that the company is not ready for this move.

Related topics Markets Fresh Milk