Openfield appoints DHL as logistics partner

Source: Supply Chain Digital

Date :15/09/2008 11:47:16

DHL Exel Supply Chain has been appointed supply chain partner to Openfield, the planned new merged business of Grainfarmers and Centaur Grain.

In a five year contract worth around £125 million, DHL will work with the existing grain carriers to establish a more efficient supply chain.

The new contract involves DHL taking over the existing Grainfarmers fleet, which makes around 15 percent of the deliveries in any one year.

DHL said it will be managing and co-ordinating deliveries to ensure that the supply chain is working to its maximum potential, with waiting times and empty running reduced.

Best practice

This appointment comes after three years of collaboration between the companies which allowed DHL to develop a best practice model for the transportation of grain in the UK.

Tim Davies, Chief Executive designate of Openfield commented: “Working with DHL over the last few years has clearly demonstrated that there are some major efficiency savings that can be made in the food supply chain.”

He added: “We welcome DHL as an integral part of our team and look forward to creating the most efficient supply chain in the industry, one that drives efficiencies and adds value to our farmer members and customers.”

When applied across the two businesses, DHL expects there to be up to a 10 percent reduction in food miles and a saving of 2,500 tonnes of CO2 per annum.