Wincanton: milk in pipeline Hi r3 c 0 k 0 er :0 11 0 et
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by Karen Miles • Wincanton is set to benefit when its parent Unigate begins to use it to move 700 tnillion extra litres of milk a year.
The extra work will result from Unigate's plan to buy more of its milk direct from farmers.
Unigate is already buying more than half of its milk from farmers following this month's milk industry reorganisation: Wincanton transports the milk from farms to Unigate dairies.
In the long term Unigate expects to buy its entire annual requirement of 1.4 billion litres direct from farmers, using Wincanton to haul the extra 700 million litres.
"It's going to be more business for Wincanton," says Unigate, which is angry about the higher prices charged by Milk Marque since the abolition of the Milk Marketing Board.
Unigate's decision will reduce the amount of work going to the hauliers contracted by Milk Marque who currently move 7.5 billion litres of milk a year. They include Dairy Products Transport, Tankfreight, United Transport, Lloyds Fraser (Dairy Services), Ryder—and Wincanton.
Wincanton's operating profit for the six months to 30 September was 1,10.7m on a 1160m turnover, compared with last year's 110.6m on 1146m.