// Tesco plans to axe its international wholesale business
// It aims to shut down the division completely by the middle of next year
// A small number of staff are expected to be affected by the closure
Tesco has reportedly revealed plans to axe its international wholesale business, which exports its own-brand range across the world.
The Big 4 grocer will wind down its international export arm with the aim of shutting down the division completely by the middle of next year.
Despite the business “performing well” last year, Tesco made the decision to shut it down after a “thorough consideration of its scale and the future growth potential”.
A small number of staff are expected to be affected by the closure, but Tesco said it will redeploy those affected within the business, Retail Week reported.
Meanwhile, Tesco denied that the decision to close the international wholesale arm was connected to the recent agreement to end its buying partnership with French supermarket giant Carrefour after three years.
Tesco’s international export business has been in operation for about a decade and exports the retailer’s own-brand products to 20 partners in countries such as Australia, Saudi Arabia and in Europe.
“This was a difficult decision to make, but we believe it’s the right one, and we are committed to supporting our partners through the transition period ahead,” Tesco chief product officer Ashwin Prasad said.