Aldi Ireland has announced that it will reduce payment terms for its small and medium sized Irish suppliers in response to the COVID-19 crisis, ensuring suppliers get paid as quickly as possible.
The new terms apply to all suppliers that transact up to €1 million worth of business annually and will positively impact over 200 Irish food and drink producers Aldi partners with, the discounter.
Shorter Payment Terms
Effective immediately, the new payment terms will remain in place throughout the COVID-19 crisis, the retailer stated.
“Over the last few weeks our suppliers have experienced unprecedented difficult circumstances. Their teams have worked around the clock to provide the products to keep our shelves stocked for customers, and we want to help them in return," said John Curtin, group buying director, Aldi Ireland.
"Our new shorter payment terms mean over 200 Aldi suppliers will have their invoices processed immediately and payment within 5 working days."
"This will greatly assist with their cashflow requirements, and in turn, help them pay their farmers and suppliers along the chain on time," he added.
"This is a hugely difficult time for Irish business and the food sector and we need to keep supporting each other in any way we can.”
Since 2017, Aldi has had 14 day payment terms for its Irish suppliers who transact less than €300,00 per year.
© 2020 Checkout – your source for the latest Irish retail news. Article by Donna Ahern. Click sign-up to subscribe to Checkout.
