Heinz makes groundbreaking freight agreement
H.J Heinz, one of the world’s largest ocean shippers, has announced a groundbreaking agreement this week, having broken with tradition and signed an exclusive five year contract with a single logistics provider.
The transformational agreement sees the company entrust its distribution to supply chain management specialists CEVA Logistics.
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The two companies have agreed on a five year Oceanfreight contract, where CEVA logistics, one of the world’s leading non-asset based supply chain management companies, is entrusted with the management of Heinz’s supply chain.
This agreement represents the first time that a shipper with an annual volume of 60,000 twenty foot equivalent units (TEU’s) has given a single logistics provider with the exclusive management of it’s Oceanfreight.
Organised by Heinz’s global procurement team, the company will benefit from considerable complexity reduction, enhanced supply chain visibility and a reduced supply chain cost.
Heinz had previously distributed via direct contracts with more than 20 shipping lines.