Asda and Wincanton renew supply chain partnership

UK grocer Asda has renewed its transport and warehousing contract with Wincanton for another three years.

The logistics firm will continue to operate four Asda sites in Doncaster, Larne, Rochdale and Wigan, covering frozen, chilled and ambient grocery, as well as general merchandise. This partnership, which began back in 2005, employs 1,216 Wincanton staff and utilises 58 vehicles.

Asda has extended the deal amid the ongoing Competition and Markets Authority (CMA) probe into Sainsbury’s mooted £7.3 billion takeover of its supermarket competitor. In December, the two retailers secured more time to respond to the competition watchdog’s investigation into the merger.

Concerns over the viability of the coming together of two of the UK’ largest retailers revolve around a potential reduction in competition and the number of stores that may have to close as a result. The CMA is also looking into whether the merged company would use its combined buying power to squeeze suppliers.

Sainsbury’s also uses supply chain solutions from Wincanton, having extended a long-term distribution deal in 2016.

Busy supply chain network

Wincanton recently gave a snapshot of its activity across the UK during last year’s peak trading period, providing an indication of its work in supporting the wider retail sector throughout December.

It said that in Greater Manchester alone, it delivered over 35,000 bags of Christmas carrots, while in and around central London, it delivered over 5.1 million bottled drinks – with Central London the region where the highest number of deliveries were made.

In Cambridgeshire, the company made almost 10,000 trips to deliver nearly nine million grocery items, while drivers stationed at the Wincanton site in St Helens clocked up over 1.38 million kilometres on the road in December alone.

On Friday 21 December, Wincanton in North Yorkshire reportedly recorded the highest number of single day shipments, at over 300,000.