Coles yoghurt contract is a major boost for Tasmanian dairy industry

Tasmanian company Tamar Valley Dairy has signed a five-year contract with Coles to produce its private label yoghurt range. Initially, Tamar Valley will produce seven product lines of Coles’ private label yoghurt, but the two companies will collaborate over the five years to create new product lines and grow the business.

The contract is part of Coles’ “Australia first” sourcing policy. For Tamar Valley Dairy, it’s a major business boost.

“This new contract will see our retail business grow by 40%, and it reinforces our confidence in our decision to build new facilities and expand our production facility,” said Archie Matteo, Tamar Valley Dairy founder and managing director.

“We’ll be looking to employ another 40 people as a result of winning the Coles contract and we think that, indirectly, the contract will provide employment for over 100 people.”

The yoghurt range will be gelatine-free, with no artificial flavours or colours, according to Coles merchandise director John Durkan. Coles anticipates the product range will be available in most Australian states from late July.