Two of Europe’s largest supermarket groups, Tesco and Carrefour, have announced that they will combine their buying of own-label produce for an initial period of three years.

The supermarkets are describing this as a “strategic alliance” that will cover the relationship with global suppliers and it will “enable both companies to improve the quality and choice of products available to their customers, at even lower prices.” At the same time they say that the arrangement “will also allow both companies to strengthen their relationships with their suppliers and create significant opportunities for those suppliers.”