Day 096 - 03 Mar 95 - Page 29


     
     1        A.  Yes.
     2
     3   Q.   The reason you do not do that is for commercial, economic
     4        reasons?
     5
     6   MR. JUSTICE BELL:  We are back to what you were asking about
     7        before.
     8        A.  No, because that is one thing you must understand, that
     9        to produce them on our outdoor units is far more expensive
    10        than in our indoor units.
    11
    12   MS. STEEL:  That is what I was saying.  If the customers will
    13        not pay for them, then you do not take that up?
    14        A.  It is not a question of customers.  That is a question
    15        basically of the consumer, will they pay for it?
    16
    17   Q.   McDonald's have not offered to pay you more for pigs that
    18        were bred outside?
    19        A.  I do not have direct links with McDonald's.
    20
    21   Q.   McKey's?
    22        A.  We are in discussions.
    23
    24   Q.   But they have not asked you do that up until now?
    25        A.  There is a problem.  There is a limitation of
    26        suppliers.
    27
    28   Q.   But I did ask, they have not asked you up until now, have
    29        they?
    30        A.  Freedom Foods were first launched on, I think, July 7th
    31        last year and very quickly I can show you that McKey Foods
    32        were asking us in great depth about it.  We were only
    33        starting in a very small way then.
    34
    35   Q.   So why did you give preference to Tesco's, say, rather than
    36        McKey's?
    37        A.  Because they buy two completely different types of
    38        meat.
    39
    40   Q.   Were they willing to pay a higher price?
    41        A.  You know, the value of the meat that the retailer buys
    42        and what the manufacturer buys are two completely different
    43        items.
    44
    45   Q.   What the retailer buys is more expensive?
    46        A.  Yes.
    47
    48   Q.   You have had free range pigs.  You have had them for a
    49        number of years, have you not?
    50        A.  Yes. 
    51 
    52   Q.   McDonald's have not asked you about them, asked you for 
    53        them to be supplied?
    54        A.  Again there is the problem of limitation of supply and
    55        has been for a number of years.
    56
    57   Q.   But have they actually asked you?
    58        A.  We have discussed it in the past.
    59
    60   Q.   Then it was not taken up?

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