Morrisons aims to become UK's biggest fresh food maker
The retailer will complete a £200 million investment in the expansion of its manufacturing food arm by 2013 as it looks to buy more fresh food directly from farmers than its rivals.
It is also planning to invest £21 million in increasing capacity at its abattoir in Colne, Lancashire.
Philips said: "If market conditions continue, we will become the UK’s largest manufacturer of fresh food by 2015. This investment sets us apart from other retailers and means that we will be the biggest customer for UK farms.
"This will continue to build on our record of serving the freshest and best food that our farmers have to offer with minimal waste in the supply chain."
By making more of its fresh products, Morrisons said it can “control quality, cut out middlemen and deal directly” with farmers.
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