Wesfarmers-owned supermarket Coles has entered into a three year contract for Harvey Fresh to supply its Western Australian private label milk contract.

Coles-brand milk produced by local processor Harvey Fresh has begun landing on supermarket shelves across Western Australia this week.

The Coles private label contract also assisted Harvey Fresh to increase the farm gate price paid to its dairy farmer suppliers who previously supplied Challenge Dairy.

Coles merchandise director, John Durkan, said he believed the new Coles’ Western Australian private label milk contracts would build a more sustainable dairy industry.

“This re-distribution of our dairy business in Western Australia means that more local processors and dairy farmers will benefit from partnerships with Coles,” Mr Durkan said.

“We believe that these contracts will build long-term sustainable relationships with dairy processors and farmers in Western Australia.”

Harvey Fresh Marketing and Sales Director Kevin Sorgiovanni said he was very pleased that customers could now enjoy high quality milk in the Coles brand range.

“Harvey Fresh is proud that a Western Australian owned company sourcing milk from Western Australian farmers is now the sole supplier of fresh milk to the Coles brand range in Western Australia,” Mr Sorgiovanni said.