Cargo owners sign-up for campaign to cut haulage miles
- 50 shippers, representing 400,000 teu of UK trade, back Cargo200 initiative
- Supporters to date include international manufacturers and retailers
- Ambitious plan to save UK economy 200 million road and rail miles by 2020
eel Ports has today (Thursday 19 November) announced that it has secured 50 advocates for its Cargo200 initiative and is urging other shippers in the North-west to add their weight to the campaign.Launched in May, Peel Ports called for importers and exporters whose goods began or ended their journey in the north of the UK to switch current delivery of ocean freight from south-east ports to the centrally-located Port of Liverpool.
The initiative aims to cut freight mileage by 200 million miles over the next five years. In addition to achieving significant carbon reduction, the company also estimates that the move could save shippers up to £400 per container in transportation costs by delivering to the heartland of the UK.Diageo, JCB, B&M, Jaguar Land Rover, Matalan and Typhoo are among the first 50 customers to respond to the Cargo200 initiative, encouraging the UK freight and logistics industry to deliver a fundamental shift in supply chain and services routes.
The news comes as the company is in the process of commissioning its recent delivery of five new ship-to-shore (STS) megamax cranes for its Liverpool2 development.Jerome Wildsmith, Head of Supply Chain at retailer B&M, said: “Shipping through Liverpool offers B&M massive benefits. By removing four million miles of transport we save significantly in our onward transport costs, reduce the carbon emitted and reduce the likelihood of delays on the UK network. Not only that, but by using the port close to our distribution centre, we can use Peel Ports’ value-added services, such as their flexible storage and warehouse offerings. The first line to offer direct calls into Liverpool on our key shipping routes is likely to benefit in a huge volume gain, not just from B&M, but the many companies like us in the North-West region.” Gareth Williams, Distribution Manager at Jaguar Land Rover, said: “The growth of our business on a global level brings challenges as well as opportunities. With plants in the West Midlands and in Liverpool, we join the call to shipping lines and logistics service providers to make better use of the infrastructure in the north of England to shorten supply chains, reduce carbon and improve transport economics.”
Retailer Matalan, which has its new warehouse within 10 miles of Liverpool, is another signatory. Imports Operations Manager, Mark Taylor, said: “The benefits we could realise by shipping our 10,000 boxes through Liverpool are not just sourced from the transport cost savings associated with lower mileage, but from the benefits we will see in our entire supply chain. Our fleet of trucks that serve our stores during the day can continue to support the shunt of our containers onto our warehouse site at night without the need of a rail leg from a southern port. Additionally, the short distance and night time running all but eliminates the threat of congestion between port and warehouse. Equally, we can prioritise which containers we bring off the port and when, so we can be much more responsive to changes in demand from our customers.”
The success of the campaign to date underlines Peel Ports’ efforts to improve the logistics infrastructure and offering in the North-West. In April this year, the company secured General Mills as the first tenant at its Port Salford warehouse and distribution hub, which will be connected to Liverpool2 by road, ship canal and ultimately rail.
Speaking at the time, General Mills’ UK & Ireland Supply Chain Director Dave Howorth said: “We are very excited about this new distribution agreement as it reinforces our commitment as a company to finding solutions that are best for customers, consumers and the environment, and our move to Port Salford ticks all those boxes.”