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UNFI increases efforts towards diverse-owned suppliers

The wholesaler is leveraging strategies with the goal of increasing product spend

Richard Mitchell

February 3, 2023

2 Min Read
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United Natural Foods Inc. (UNFI)

Grocery wholesaler United Natural Foods Inc. (UNFI) is increasing its efforts to support diverse-owned suppliers after having doubled its year-over-year spend with such firms during its 2022 fiscal year, the company said.

The Providence, R.I.-based operator said its fiscal 2023 goal is for 3% of annual product spend to be with diverse-owned businesses.

UNIF added that its supplier diversity group is actively engaging with diverse-owned firms to help them achieve equal access to purchasing and selling opportunities with corporate procurement, sales, merchandising, and retail teams.

To foster a more inclusive supplier network, UNFI has done the following:

  • Created the ACT initiative which focuses on incorporating supplier diversity into UNFI’s everyday business practice

  • Upped connections with UNFI customers while additionally making navigation within the UNFI network easier

  • Increased transparency and accountability in the procurement process

While still in the early stages, in fiscal 2022 ACT resulted in more than $700 million of diverse supplier purchases by UNFI with more than 600 suppliers, the company said.

UNFI added that it uncovered 167 new diverse-owned suppliers who either were not previously identified as a diverse supplier or were not identified and did not have certification during a three-month outreach effort to existing suppliers.

Diverse-owned suppliers include small businesses owned by disabled individuals, minorities, women, veterans, and members of the LGBTQ community, UNFI said. The wholesaler added that its mission is to build a more inclusive, vibrant, and competitive supply chain by valuing and promoting diverse-owned businesses and utilizing their perspectives and capabilities.

UNFI said its recent activities include working with Stop & Shop’s supplier diversity and category management teams to create a Pride month collaboration showcasing LGBTQ certified suppliers. Some 400 Stop & Shop stores last June created Pride month end caps with products from eight LGBTQ owned suppliers.

“Our work to educate UNFI associates on diverse-owned suppliers, combined with our efforts to consistently participate in matchmaking sessions between diverse-owned suppliers and retail customers, has created wonderful success stories,” Lori Rodriques, UNFI supplier diversity manager, said in a statement. “By purposely expanding our diverse supplier network, we’re creating more opportunities for diverse-owned suppliers to grow their businesses.”

About the Author

Richard Mitchell

Richard Mitchell has been reporting on supermarket developments for more than 15 years. He was editor-in-chief of publications covering the retail meat and poultry, deli, refrigerated and frozen foods, and perishables sectors and has written extensively on meat and poultry processing and store brands. Mitchell has a bachelor's degree in journalism from the University of South Carolina.

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