Coles to help save troubled Spring Gully pickles

  • April 22, 2013
  • Sophie Langley

Australian supermarket giant Coles has awarded a new national contract for its own brand pickled onions to food manufacturer Spring Gully Foods Pty Ltd (Spring Gully) just a few days after the South Australian food company was placed in voluntary administration.

The new 12 month contract is expected to commence in two months and will involve 35,000 units of Coles Brand Brown Pickled Onions for sale in 525g jars across Australia.

Coles General Manager for South Australia, Vito Borrello, said Coles had been in discussion with Spring Gully for a few weeks, but had expedited the process given the difficulty the Company was facing.

“Spring Gully has been an important supplier to Coles for many years and we are keen to back them by increasing our supplies,” Mr Borrello said. “This new national contract will add to our existing range of more than 30 branded and Coles Brand products supplied by Spring Gully,” he said.

Additionally, Coles said it was working on sourcing additional Spring Gully products to supply Coles stores across Australia.

The new contract for pickled onions comes after sales of Spring Gully products trebled at Coles stores in South Australia after the announcement that the Company had been placed into administration.

Spring Gully is a third-generation family-owned company that includes the brands Spring Gully Pickles and Gardener and Leabrook Farms premium honey. Its product range includes pickled onions and gherkins, as well as relishes and sauces and a cocktail range of mini pickled onions.

Spring Gully has signed a contract with Coles


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2 Responses to “Coles to help save troubled Spring Gully pickles”

  1. Robbie on April 22nd, 2013 5:22 pm

    I wonder if they were placed into administration because Coles would not stock their product, or if Coles gouged the wholesale price, causing them to be to unprofitable?
    Now they look like the White Knight….

  2. Graham Kellett on April 22nd, 2013 8:57 pm

    Finally the conglomerates are starting to realising they need to protect the smaller companies vs the multi-nationals manufacturing companies after both Coles, Woolworths & Aldi lost another main third party manufacturer after Rosella closed their operations. Unfortunately Australian manufacturing is suffering from the Aust Dollar and unless the Australian Government starts stepping in to protecting these companies there will be more casualties in Australia’s food manufacturing industry and more Australian jobs money will go overseas as the consumer is not going to save the industry without better assistance through supply agreements and subsidies in planograming within the supermarket chains.

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