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Camgrain seals multi-million pound Sainsbury deal

3rd December 2007

East Anglian grain co-op Camgrain has signed a multi-million pound deal with Sainsbury’s to become the sole supplier of wheat used in the supermarket group’s bread.

In the first arrangement of its kind in the arable sector, the superĀ­market has agreed a two-year contract through grain merchant Grainfarmers to use flour from the co-op in its 360 in-store bakeries across the UK.

Sarah Mackenzie, Sainsbury’s in-store bakery bread buyer, said it would be the first supermarket to have fully traceable flour.

John Latham, Camgrain chairman, said the agreement would help farmers better understand issues affecting the supply chain.

“We are already seeing huge benefits in transparency of the supply chain,” he said. “We want to know the drivers in the supply chain and we are looking for a long-term relationship with Sainsbury’s. It is only through working together that we can address our issues.”

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