Culina Logistics wins deal with First Milk

Culina Logistics has won a primary distribution and storage contract with dairy farmer-owned First Milk.

The logistics company will predominantly collect packed cheese from First Milk's site in Maelor, north-east Wales, and transport it to its own Stafford site, where it will be sorted and distributed across the UK.

The deal was previously managed by Dairy Crest, which sold its cheese business to First Milk in 2005. A Dairy Crest spokesman says: "When we sold the division to First Milk, part of the agreement was that we would continue the distribution for a certain time. That agreement has now come to an end, but it was not something we wanted to continue."

He says the affected drivers will be used elsewhere in the company, but admits a number of warehousing employees have been made redundant.

Sue Wilson, general manager procurement, First Milk, says: "As a farmer owned co-operative, it is important that we deliver sustainable returns to our farmer members. Working with Culina Logistics will allow us to do this, by delivering an economic and efficient service, and a flexible platform for future growth."