Birds Eye has awarded DHL Supply Chain a £30M, three-year contract to handle exclusive distribution of all its frozen foods to UK customers.
The deal will see DHL handle 550,000 pallets annually and manage activity to ensure seasonal peaks in product harvesting are supported.
Under the new arrangement, DHL will transport Birds Eye frozen foods by road and ferry from all European production points to Birds Eye’s national distribution centre in Birmingham. It will also handle onward distribution to retail and wholesale distribution centres.
Following a competitive tender process, DHL was awarded the business on the basis of the value it could deliver and its understanding of Birds Eye’s business needs.
DHL has reviewed Birds Eye’s supply chain and transport network. Based on that, it has created a solution with reduced supply chain costs and transport miles supporting Birds Eye’s sustainability agenda, while maintaining a high level of customer service.
“DHL has proved that it understands our operational needs,” said Paul Dunne, planning and logistics director at Birds Eye. “Flexibility and responsiveness are essential requirements for our business and we have jointly designed a solution that is able to cope with demands across the year, while consistently meeting the service levels our customers require.”
Mel Brockhouse, business director at DHL Supply Chain, said: “To cope with fluctuating volumes and assist the company in meeting its corporate social responsibility targets, we’ve implemented a highly effective shared user network. This has enabled Birds Eye to reduce costs and transport emissions, strengthening its sustainability credentials.”