Broighter Gold in Limavady is one of the many food and drink SMEs across Northern Ireland which will be able to shave 25% off its transport and distribution costs thanks to a new logistics solution from Access 6, the EU-funded export development programme.
The cost saving solution was initially developed to support the 90 food companies from NI, the border counties of Ireland and western Scotland which are part of the Access 6 programme.
However thanks to its potential market impact, it is being opened up to all food producers and processors across the three regions.
Developed by specialist supply chain consultancy, PerformanSC in conjunction with global logistics provider DSV, the solution operates on an economies-of-scale basis, pooling resources from the participating food producers, and leveraging freight savings and efficiencies based on group volume.
Irrespective of their size or scope, all local food and drink SMEs will benefit from the cost reduction model and gain a competitive advantage within the European market.
The structure of the Access 6 Logistics Solution is guaranteed until June 2017 with a built in provision that the pricing will be reviewed annually, enabling further cost savings as export volumes increase.
Other benefits of the new solution, such as on-line shipment visibility, support and advice on labelling, tractability, warehousing, regulatory, customs and duty compliance will also help SMEs streamline and simplify their export efforts.
Paul Monks, Divisional Director for DSV said: “The export market can be challenging, particularly for smaller, artisan companies who are not aware of the logistics and costs involved. Individually they lack the scale to benefit from competitive logistics but as part of Access 6, they create a more economic business profile.
“This innovative new solution provides a cost effective and highly efficient route to market, which will be a long term benefit to the food sector as a whole.”
Harry Hamilton, NI project manager of Access 6 added: “Developing this region’s export potential is vital to the overall success of the agri-food sector. This new solution, which is a first for the market, will really help companies gain competitive edge and bring industry-wide benefits to the market as a whole.”
Full details of the Access 6 logistics solution are available on www.access6.eu or by contacting Harry Hamilton at NIFDA on 028 90241010