RedOrange has rejoined Nisa - just two years after it jumped ship to Costcutter.

The symbol group, which has 36 stores, had been a member of Nisa for 25 years, but in June 2010 left Nisa for Costcutter, with MD Chris Futter blasting Nisa for competing against its own members. However, it has now returned to Nisa and will resume orders through the retail buying group next week.

“In view of the uncertainty over the Costcutter supply route and the lack of any assurances from Costcutter, RedOrange has negotiated an alternative guaranteed method of purchasing stock,” said Futter.

Costcutter CEO Nick Ivel said he was “baffled” by the decision. “RedOrange joined Costcutter to benefit from our exceptional retailer support programme, something Chris said he had not received from his former supplier,” he said.

“I am very disappointed Chris has taken this decision when we will shortly be announcing exciting plans for Costcutter’s future.”

RedOrange is the latest retailer to return to Nisa. In June, J&J Wilson, a Costcutter member for 25 years, rejoined the group it had been with for 10 years before that.

But the traffic hasn’t all been one way. Former Nisa board member Atul Amin this week switched to Costcutter, opening a store under its new Kwiksave fascia.

It is a critical time for both parties. Costcutter is due to announce shortly if it will extend its distribution deal with Nisa. In June, The Grocer revealed Morrisons had been in acquisition talks with Costcutter’s owner Bibby.

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