Kellogg undertakes major mode shift challenge
Wednesday 07 August 2013
Kellogg will substantially increase the efficiency of its supply chain and take hundreds of trucks off UK roads by increasing the volume of breakfast cereals it will transport using Peel Ports' 'green highway network' – on the Manchester Ship Canal container shuttle service.
The Manchester Ship Canal shuttle service is reported to be the most environmentally-friendly bulk logistics solution on offer in the UK, and already serves other major retail names such as Princes Foods, Kingsland Wine, Tesco and Typhoo.
Two thousand five hundred Twenty Equivalent Units (TEU) of Kellogg cereal product will be transported on the green highway network between the company's Manchester, Ireland and Iberia distribution hubs in 2013. The containerised product is transhipped at the Port of Liverpool onto a coastal feeder service to serve the Irish and Spanish markets.
In what is an added value logistics solution for the company, Kellogg has also taken advantage of the Port of Liverpool's flexible 'on demand' warehousing offering. The port-centric warehousing capacity further increases efficiency of the company's supply chain, with storage for up to 7,000 pallets of cereal product available at the port when required.
Kellogg's use of the shuttle service will equate to an 85 per cent reduction in road miles for the supply chain: a reduction of 40,000 road miles and 61 tonnes of CO2 in the coming year.
Julie Faulkner, Kellogg's Supply Chain Director UK & Ireland, said: "thanks to a review of our supply chain strategy and having new solutions available to us like the Manchester Ship Canal shuttle service we are able to see our sustainability goals come to life. To be able to transport cereals such as Cornflakes and Rice Krispies by water helps us reduce our supply chain road miles so we are still able to get our products into shopping baskets and onto breakfast tables whilst also significantly reducing our carbon footprint. We are going to continue to work closely with Peel Ports to look at further solutions to help make us even more sustainable in the future."