Woolworths is considering launching a new label called ‘Woolworths Local’ in an attempt to build its relationship with local farmers and suppliers, according to reports by Fairfax.

The report indicated Woolworths is working on the label that will be titled “W Local” though it is unclear when it will be rolled out but there is potential it will be core to the company’s store operations.

The move for the launch is to help calm down any scrutiny the supermarket giant and its rival Coles have faced in the past for dropping prices to new lows on products like milk, bread and fruit and vegetables, the report suggests.

Activities by both supermarkets are currently being monitored by competition regulators and consumer groups for any anti-competitive behaviour.
On its corporate website, Woolworths currently has a post explaining how it works “fairly with suppliers”.

Last year, the company also launched Speak Up, an externally-hosted hotline for suppliers to report matters where the standard escalation procedures have either been exhausted or are not an option.

This announcement is similar to UK-based supermarket Sainsbury, which rebranded its smaller outlets to “Sainsbury Local” in 1998.