Heineken Opens New National Distribution Centre

16th May 2014

HEINEKEN, the UK's leading cider and beer business, has unveiled details of its new, state-of-the-art national off trade distribution centre in Derby. The multi-million pound landmark investment will create a 600,000 sq.ft warehousing and primary distribution facility, which has been purpose-designed to meet the future needs of national sales customers in the off trade channel. The logistics service, operated from the site, will be provided by HEINEKEN's long-term distribution partner, Kuehne + Nagel Drinks Logistics (KNDL) through an initial 10 year agreement.

The new centre, which will be fully operational by the end of this month (May 2014), will provide a flexible, centralised stockholding point for HEINEKEN's brands in the UK which include Foster's, Strongbow, Bulmers, Heineken ®, Kronenbourg 1664 and Desperados. This will be supported by on-site warehousing at the company’s Hereford Cider Plant and Manchester Brewery, creating three delivery points from which national off-trade customers will be supplied.

The giant new build facility at Derby is approximately twice as big as HEINEKEN's current centre at Dove Valley and will provide block stacking and racking for up to £75 million of HEINEKEN stock with a flexible bottle/can mix. This site will operate 24 hours a day on seven days a week and has a separate on-site HGV trailer park as well as fuel and vehicle wash facilities.

Martin Porter, Managing Director- Off Trade at HEINEKEN said: "It's hugely important that we have logistics services that enables us to get our brands to our customers efficiently, so that they can delight the millions of consumers who enjoy our ciders & beers. KNDL has been a joint venture partner since 2006 and we have been working together to create this modern site that will give us both flexibility and the ability to respond swiftly to demand for both new and existing products.

"It will streamline our service to customers, as there will be one despatch point, reduced stock movements and simplified order management. Importantly, this is also a more environmentally friendly operation too, as we’ll no longer need to move stock between numerous smaller distribution centres, thus reducing our CO2 footprint and supporting HEINEKEN's global 'Brewing a Better Future' commitments."