First reported by The Telegraph earlier this week, the supermarket chain is said to be in talks with direct competitors in a bid to secure new supply agreements for its food manufacturing business, Myton.
The supplier currently provides Morrisons with products including sweet and savoury pies, meat, fish, eggs and flowers, and also works with a range of independent retailers.
As a result of its growing debt, however, the retailer is exploring options for Myton to expand its client portfolio, with representatives from supermarket retailers invited to one of its sites in recent weeks to discuss possible supply arrangements.
Morrisons is also said to be considering ways in which Myton could supply large UK hospitality businesses, having held showcases to promote its produce to potential new customers.
A Morrisons spokesperson said: “Myton is an independent, high-quality food manufacturing business and has always served other customers as well as Morrisons.
“It has been growing this area of the business over recent years by attracting new customers in retail, food service and food manufacturing, to build a broader base for the business both in the UK and internationally.
“Myton does not comment on the detail of its customer relationships.”
The news comes as the Bradford-based supermarket chain revealed last week that it would be closing 100 of its Morrisons Daily convenience stores over the coming months, putting hundreds of jobs at risk.
The firm said that it would look to find openings for impacted staff elsewhere within its retail and manufacturing divisions “where possible”, but did not confirm how many staff were at risk of redundancy.
