Spar and The Co-op movement have formed a new buying alliance for own label products.
It will be managed by the Co-operative Retail Trading Group (CRTG), which currently handles more than £5bn of food sales.
Commenting on the new alliance, Jerry Marwood, managing director of Spar UK said: "The synergies between Spar and the Co-op are numerous which gives us confidence that this alliance will be mutually beneficial.
"Spar is committed to the development of its own brand and this alliance will only enhance our position and enable us to compete more effectively in the marketplace."
Spar said there would be no redundancies among its buying team.
Products to be bought jointly include: paper; foil and wraps; cooking oils; olive oils; fats; dry pasta; sauces and pickles; canned fruit; ambient and chilled fruit juice and frozen vegetables.
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