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Costcutter clarifies supply position after P&H failure

York, UK: Costcutter Supermarkets has set up temporary arrangement to cope with the demise of P&H.

Grocery and tobacco wholesaler Palmer & Harvey entered administration last week. The company delivered goods to 90,000 grocery and convenience stores, including Tesco, Sainsbury’s and the Costcutter chain.

Darcy Willson-Rymer, chief executive, Costcutter Supermarkets Group, said: “We are rolling out an interim wholesale delivered solution for the majority of our stores.

“Four wholesale suppliers (Musgrave, Bestway, Nisa and the Co-op) are providing support based on their geographic delivery services.

“Additional cash and carry solutions are also being provided by Bestway, Musgrave and Dumecha, and we have expanded our existing direct to store service providing a wide range of fresh, chilled and ambient products for direct to store supply.

“Additional wholesale delivered supply will continue to be introduced with the intention of providing a delivered service wherever possible ahead of our transition to the Co-op.

“We would like to thank all the wholesale suppliers for the support they are providing. We fully appreciate how disruptive the collapse of P&H has been for all our retailers and providing an interim supply solution is our priority.”