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'Factory gate' closes Matthews
Page 8
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• An East Yorkshire haulier has become an apparent casualty of the new supermarket policy of 'factory-gate pricing' after seeing its work dry up.
Logic Logistics, trading as Matthews Logisbcs, was expected to go into liquidation this week after director Ken Matthews decided to throw in the towel.
Matthews had previously run another firm, Matthews European, which went bust back in 1999 leaving a trail of angry creditors. Logic Logistics was up and running just days after Matthews European's collapse.
One of Matthews' customers was Hedon Salads, which is based next door to the firm's Brough premises. Transport manager Bob Salt says: "I don't think he's been running his business badly—the situation has been created by supermarkets collecting the bulk orders using their own transport. He had to close it because he didn't see any future for an independent hauler. I think there will be a lot of firms going to the wall over this.'
Factory gate pricing is a supermarket initiative to reduce supply chain costs by using their own vehicles to take loads from suppliers to their RDCs.
The firm's insolvency is being handled by Andrew Nicholls from Driffield-based Redman Nicholls. Despite repeated attempts, CMhas not been able to contact Matthews.