Isle of Man Meats says it's proved too costly to supply Tesco - despite a year's effort to ensure local produce could go back on the supermarket's shelves.
The meant plant stopped supplying the Douglas store on Friday saying the quantities ordered did not justify the costs involved.
The supermarket chain suspended the sale of Manx meat in February last year and meat plant bosses subsequently introduced new procedures to meet standards imposed by Tesco.
But now the meat has been withdrawn for the long term.
Chief Executive of Isle of Man Meats John Dawkins says when local meat was re-supplied six weeks ago it was on an experimental basis:
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