Fastfood company McDonald's only Australian supplier of gherkins has won a more secure deal with the fast-food giant after threatening to withdraw supply, according to the Australian Broadcasting Corporation.

Grower Tony Parle from Griffith in New South Wales said he saw the writing on the wall when Tasmanian potato growers recently lost half their contract to supply the chain.

The gherkin deal is worth A$3-4m (US$2.3-3.06m) a year but Parle said he was prepared to risk it when he saw long-standing relationships with other growers being wound up.

"We didn't agree with the number of local suppliers who were dropped so what we said was we didn't agree with the philosophy of importing product and on that basis we were going to withdraw supply and terminate the relationship," he said.

"The head guy, Peter Bush, asked to sit down and talk through the issue which we did, we worked it through and so we agreed to stay supplying."