Iceland Foods is “incredibly well positioned”, despite its suppliers being temporarily cut from accessing credit insurance cover over rising energy costs.
According to a report by The Sunday Times, the French credit insurance provider Coface is no longer insuring suppliers providing services to the frozen food retailer.
The French insurer is the third insurer known to have limited its exposure to Iceland over the last few months after Allianz and Atradius both cut coverage to the supermarket in November 2022.
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An Iceland spokesperson told The Grocer that the decision had only impacted a “handful” of suppliers, with which it has been working for the past three months.
“There are many credit insurers in the market, and we know of over £150m of Iceland credit cover still available in the market,” they said.
The spokesperson also said that Coface is already looking to reinstate this cover.
However the spokesperson said ”All credit insurers have reduced cover across UK food retail, not just Iceland, over the past six months,” and added that Iceland is ”incredibly well positioned” with over £200m of available liquidity,
The news comes as Iceland has been named the supermarket with the highest percentage of its own-brand wild seafood products bearing the blue Marine Stewardship Council (MSC) ecolabel.
