Lidl said the contract, worth a six-figure sum, had helped the family-run firm expand its production facilities at Larbert.
Mrs Tilly’s will supply the German-owned grocer with tablet, fudge and macaroon bars, to be sold in all 91 of its Scottish stores under the Caulder’s Confectionery name.
Paul McQuade, senior buyer for Lidl in Scotland, said: “We are delighted to offer our customers these traditionally hand-crafted Scottish favourites using locally sourced milk and butter. Working with suppliers who share the same passion about delivering quality products to our customers is a priority.”
Mrs Tilly’s commercial manager Ronnie Wilson added: “Recent investments in our own production capabilities have seen us look to expand our customer portfolio and partner with businesses who can deliver additional volume.
“The early signs are very encouraging and we are confident that the initial predictions on annual sales forecasts will be exceeded.”
Lidl said it was planning to further expand its Scottish offering over the next six months, with its local buying team aiming to have more than 25 per cent of all products in Scottish stores being sourced from suppliers north of the Border.