Dairy Crest loses Tesco contract

Dairy Crest said yesterday it has lost its contract to supply milk to Britain's largest retailer Tesco and that it was looking at closing two facilities, which will affect about 470 staff. The manufacturer of Country Life butter, Cathedral City cheese and flavoured milk drink Frijj, said Tesco had decided not to renew its contract with the company after its expiry in July. Tesco declined to specify the reasons behind its decision, but said there would not be a tender process to replace Dairy Crest with another supplier.