Dairy Crest, which makes Catherdral City cheddar, Clover and Country Life butter, has signed a three-year contract renewal with CHEP worth more than £5 million.
CHEP has been supplying pallets to Dairy Crest for more than 15 years and over the past 12 months moved from operational provider to strategic partner.
Dairy Crest has 19 sites in the UK, Ireland and France, with pallet movements taking place across three divisions – retail food, retails liquids and household products.
Packaging and raw materials from Dairy Crest’s European suppliers will now be moved on CHEP pallets, rather than the current one-way pallets and containers, and will then be re-used by Dairy Crest for exporting finished goods on a project.
Dairy Crest and CHEP are currently reviewing a specific service for Dairy Crest’s milk cage fleet, with a view to better control the flow and reduce the losses of Dairy Crest’s milk cage fleet which undergoes some 6.5 million movements a year.
CHEP will also now be supplying an additional 80,000 pallet flows a year for Dairy Crest’s drinks division that moves bulk products such as buttermilk and cream to manufacturers in the UK.