The Food Standards Agency (FSA) said horse DNA was detected in the canned beef product which was manufactured in Romania.
Officials said the Food Hall Sliced Beef in Rich Gravy, sold in Home Bargains and Quality Save stores, has been withdrawn from sale.
The FSA said the presence of horse DNA was found during routine testing carried out by Lincolnshire county council trading standards officers.
The product, which was made in January 2013, was found to contain between 1% and 5% of horsemeat.
However, the tinned product did not contain any of the veterinary painkiller bute.