TasFoods’ subsidiary Nichols Poultry has signed wheat supply agreements with TAP AgriCo, Tasmania’s largest supplier of premium quality stockfeed.
TasFoods said the agreement will guarantee that 100% of the wheat processed in Nichols Poultry’s feed mill is sourced from Tasmania.
“This commitment supports the TasFoods Strategy of building a stable premium food brands sources from Tasmania,” the company told the ASX.
According to TasFoods, the high quality red wheat, which is the predominant feed grain grown in Tasmania, will support the production of new high welfare free range chicken to be released in Q1 2017.
“With premium food consumes of chicken products concerned about the provenance of their food in terms of both welfare of the animals and the food they eat, the arrangements provide Nichols Poultry with high quality feed input and transparency around its origin,” reads the statement.
Under the terms of the contract, Nichols Poultry is committed to purchasing 9,000 metric tonnes of wheat, 20% of the feed wheat produced annually in Tasmania.