Australian Woolsworths joins European purchase alliance

Australian retailer Woolsworths has joined the European purchase alliance European Marketing Distribution (EMD), with the purpose to acquire its entire private label product ranges through the alliance .

Join Kaufland in EMD

German discounter Kaufland’s impending launch in Australia may cause Australia’s largest retailer some headache, but as a countermeasure it just joined European Marketing Distribution, which includes Kaufland as one of its members. The purchase alliance signed a deal with Woolsworths and will get the right to buy resources in its name, to supply its private label product ranges.

According to German Lebensmittel Zeitung, Woolsworths’ premium brands may also be included later on. To better collaborate with EMD, Woolsworths will use an office in Switzerland, where EMD is located as well.

With Australia’s largest retailer now part of its network, EMD will also strengthen its worldwide purchase and marketing position. “Our commitment in the Oceanian countries of Australia and New Zealand reinforces the importance of our group”, CEO Philippe Gruyters said. EMD is now the leading buying group for the food retail industry.