Aldi has announced that it is extending its temporary shorter payment terms (‘fast-track’ payments) for small and medium Irish suppliers for the entirety of 2021.
The initiative was first started at the onset of the Covid-19 pandemic in Ireland.
Aldi said it will continue to process payments within five working days for suppliers that transact up to €1 million worth of business annually with the retailer.
“These past months have been a huge challenge for many people and businesses, including Ireland’s food and drink sector. In recognition [of this], we are further extending the shorter payment terms we introduced at the beginning of the pandemic,” said John Curtin, Aldi Ireland’s group buying director.
“Supporting our Irish supply base is of the utmost importance, and we thank all our suppliers for their hard work over Covid-19 in keeping our shelves fully stocked,” he added.
A representative for one company that avails of the initiative, Dromod Boxty, said that it had “benefited from the fast-track payment scheme massively”.
Dromod Boxty managing director Aine Faughnan said: “The quick turnaround has ensured that while we are producing at a higher volume we are in a position to continue to do so.
Cash flow is so important right now for small business so schemes like this really make a huge difference.
Aldi also said that it is now seeking producers for its ‘Grow with Aldi’ supplier development programme for 2021. The programme has been running since 2018. To date, over 500 Irish suppliers have entered the programme.