Thinking direct supply? Know before you go
By: Ryan Toney, Cargill Dairy Enterprise Group
This article originally appeared in Progressive Dairyman. You can access the full article here.
Many dairy farmers are intrigued by the idea of entering a direct supply relationship with a food manufacturer, commonly referred to as a consumer packaged goods company (CPG). For the first 20 years of my career, I worked for CPGs and have helped facilitate direct supply relationships for dairy producers. Based on my experiences, I can offer some insights into how these companies purchase milk and what details can make the difference in being selected as a preferred milk supplier. There are three key things you should know if you’re thinking about working with a CPG:
- Know your value
- Know your vulnerabilities
- Know the vernacular
If you do the right homework, and are prepared with the right support, a direct supply agreement might be a win-win for all.
Learn more by reading the full article here which originally appeared in Progressive Dairyman.