UK supermarket chain Sainsbury and Wal-Mart’s UK unit Asda are in talks over the possibility of establishing a shared distribution centre, just-food has learnt.
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According to a report in the Sunday Times, initial talks during the summer centred on a consolidation centre, where branded goods are stored before being transferred to distribution centres.
“We are collaborating with them,” an Asda spokesperson confirmed today (15 January). Sainsbury’s was unwilling to comment.
The idea of retailers utilising shared distribution facilities has risen in popularity as a means to cut food miles and the impact that transporting food to store locations has on the environment. With stores often taking delivery half-full lorry loads, combined distribution has the potential to cut such waste.
However, in practicality collaboration with a competitor has many stumbling blocks, such as clashing delivery schedules, meaning that while in principle this concept has been widely accepted as a positive environmental goal, UK retailers have been slow to take it up.
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