Morrisons acquires potato packaging plant

The plant in Carnoustie will be used to store, grade, pack and procure potatoes for Morrisons customers. The acquisition brings the number of food manufacturing sites the retailer owns to 17.

Farmcare will supply a range of produce to Morrisons, including potatoes.

Morrisons manufacturing md Andrew Thornber said: “​Our acquisition of the Carnoustie site, and our relationship with Farmcare, shows Morrisons’ commitment to working directly with growers in Scotland and offering our customers the very best quality fresh produce.”​

‘Working directly with growers’​

As part of the deal, Morrisons has started talks with Farmcare Carnoustie staff.

Farmcare ceo Richard Quinn said the deal with Morrisons was a strong strategic fit for the company.

“We look forward to an ongoing relationship which allows Farmcare to concentrate on what we do best: growing great crops and working closely with Morrisons as a supplier of choice,” ​added Quinn.

The potato deal is the latest in a long line of production-based acquisitions for the vertically integrated retailer.

Vertically integrated ​

The acquisition of the Carnoustie site comes two years after the retailer took over Kerry Foods’s former Grimsby site in January 2015, to expand its fish manufacturing business.

Established in 1904, Farmcare controls 40,000 acres of land in the UK, where is grows arable crops, fruit, vegetables and potatoes. It employs 250 people across the country.

Meanwhile, Morrisons’ Potts praised the retailer’s “food makers and shopkeepers”​, after it reported its strongest sales performance for seven years in a Christmas trading update.