Primark has signed a new, five year deal with supply chain partner Wincanton for the provision of transport services to all its UK stores.
Under the agreement, which commences early next year, Wincanton will make over 50,000 deliveries to 191 stores across the UK each year and deliver “significant operational efficiencies to the safety, service and cost of its supply chain.”
As part of the operations, Wincanton and Primark will also work to ensure a reduction in carbon emissions, reducing distances travelled by HGVs by 15 per cent and increasing the use of alternative fuels.
Over 100 colleagues will stay on in their current positions, joining the 20,000 strong Wincanton team, working across transport operations, conducting deliveries nationwide and benefitting from the real-time visibility provided by Winsight, Wincanton’s single platform technology suite.
“We are excited to be working with the Wincanton team whose size and expertise match the growing demand from our customers,” Primark director of logistics Mark Shirley said.
“Wincanton has developed sustainable solutions that will bolster Primark’s logistics capacity in the UK, and we look forward to continuing to innovate and improve our transport operations.”
Wincanton managing director of general merchandise Rachel Gilbey added: “This is a significant contract which demonstrates strong momentum within the business, as we welcome our new colleagues to the Wincanton family.
“The Wincanton and Primark teams are working hand-in-hand to deliver a successful transformation for Primark’s transport operations.
“We look forward to continuing to innovate and unlock significant value for customers.”
The news comes as Wincanton has seen half-year revenues increase by 28.6 per cent to £690.3 million and pre-tax profit jump 43 per cent from the previous year to £27.3 million.