Shoppers browse the meat department at the Northlands Co-op in Medicine Hat on November 17, 2017. South Country Co-op says they will not be following the Calgary Co-operative Association's recent decision and procure grocery products from a private supplier (CHAT News File Photo)

By Charles Lefebvre

No changes planned

No changes to grocery suppliers coming for South Country Co-op

Aug 29, 2019 | 1:33 PM

MEDICINE HAT, AB — South Country Co-op says they will not be following the Calgary Co-operative Association’s lead and switching food providers from the Federated Cooperative Limited (FCL).

“We absolutely are not going to go the same route as procurement as they are,” said Carmen Hudson, marketing and community relations manager with South Country Co-op, on Thursday. “We 100 per cent believe in the Co-op model, and what the Federated Co-op does for us, and we have zero intention of going the same route as Calgary.”

The Calgary Co-operative Association announced earlier this month that they will stop procuring all products for their grocery stores from FCL. Global News in Calgary reported Save-on-Foods will be used for food procurement starting in April 2020, and the decision is likely to impact 200 jobs.

(Note: Save-on-Foods is owned by the Jim Pattison Group, which also owns CHAT Television and CHAT News Today).

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“Working together is at the heart of Co-op, which is why this news is so disappointing,” said Scott Banda, CEO of Federated Co-operatives Limited, in a news release on August 8. “It’s sad to see them moving away from the co-op family they’ve helped build, and that has supported them in the past, but our Senior Leadership Team and Board of Directors had prepared for this possibility and we’re now evaluating impacts and planning our next steps.”

FCL notes Calgary’s decision is only related to grocery procurement. The company remains part of FCL, will continue to obtain fuel from FCL, and remains part of the Co-operative Retailing System.