South African retail giant Woolworths has broken its silence over its split from former chocolate supplier Beyers, saying recent public claims surrounding the relationship and the supplier’s liquidation are “incomplete or factually incorrect”.
In a detailed statement, Woolworths confirmed it had worked with Beyers for more than 30 years in what it described as a “valued partnership”.
The retailer said the two parties entered into an exclusivity agreement in 2019 covering certain Woolworths chocolate products and formulations.
‘Materially similar’
However, Woolworths alleged that during 2023 it became aware that products “materially similar” to Woolworths-exclusive chocolate offerings were being supplied to competitors.
According to the retailer, this had not been disclosed and only became apparent after similar products began appearing elsewhere in the market.
“This went against the intent of our agreement and raised concerns regarding both the future of the commercial relationship and the supplier’s commitment to the existing contract,” the company said.
Woolworths said multiple engagements followed in an effort to salvage the relationship, but the parties were ultimately unable to agree on terms to continue working together.
‘Protect brand differentiation’
As a result, the retailer decided to move its chocolate production to alternative manufacturing partners, saying the decision was aimed at protecting its “proprietary product development, brand differentiation, and long-term commercial interests”.
By January 2025, Woolworths confirmed that its chocolate products were no longer being manufactured by Beyers.
The retailer also rejected claims that it was responsible for Beyers’ liquidation.
“Statements suggesting Woolworths was responsible for Beyers’ liquidation are inaccurate and do not reflect the facts,” the company said, adding that Beyers had continued supplying a broad range of retailers during and after its partnership with Woolworths.
Woolworths noted that between 2018 and 2023, it had more than doubled its business with Beyers, which it said reflected its long-standing support for the supplier.
Chuckles
The retailer also addressed customer concerns over the future of its popular Chuckles sweets range, assuring shoppers that the brand remains wholly owned by Woolworths and that the quality and taste would remain unchanged.
It added that the original malt Chuckles, packaged in the iconic red bag, had never been produced by Beyers.
Importantly for local consumers, Woolworths confirmed that the Chuckles range continues to be manufactured in South Africa.
The company said while commercial relationships sometimes evolve or come to an end, its commitment to acting responsibly and with integrity remains unchanged.
“On this matter, we are confident that we have acted fairly and in the best interests of our customers, our business, and the long-term strength of the Woolworths brand,” the retailer said.
Liquidation
Beyers Chocolates founder, Kees Beyers, confirmed that the company has filed for liquidation after 39 years of business.
This closure is reportedly expected to affect around 700 people who worked at Beyers.
Kees Beyers was born and raised in Belgium, after which he moved to South Africa in 1985 and launched his chocolate company in 1987.
The company grew quickly and became a supplier to Woolworths in 1990, which marked the beginning of a 34-year partnership with the retailer.
“Everything went well for many, many years. We supplied Woolworths for 34 years, and it grew to the point where we were voted the supplier of the year at least once,” Beyers said in an interview with 702.
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