Danone choose TDG to operate Irish distribution

TDG, a European logistics and supply chain solutions provider, has signed a three-year €5m contract with food and drinks manufacturer, Danone.

The deal will see Danone use TDG to provide and service a national chilled foods distribution operation for its business in Ireland.

The 45,000 square feet TDG facility, based in Clonshaugh, Dublin, has recently undergone a €3m investment programme.

Over 20 new jobs have been created as a result of this development with employment numbers at the facility projected to double within one year.

Commenting on these latest developments, John McCormick, managing director at TDG said: "Today's announcement is of strategic significance not only for TDG, but for the industry as whole.

"For the first time in this country, producers with chilled foods storage and distribution requirements can avail of the new and innovative 'shared-user' national chilled distribution hub solution TDG is now providing."

"We are very proud to have Danone, one of the biggest names and most trusted and successful brands in the retail sector in Ireland, pioneer this innovative concept in partnership with us.

"Our strategically located chilled distribution hub, located adjacent to the M50 motorway, ensures Danone and other producers now have a highly flexible and cost effective service with the ability to respond to both market demand and dynamic organic growth in the chilled food sector."

Donal Courtney, managing director at Danone Ireland, said: "As the market leader in fresh dairy products in Ireland, we have had to adapt our business model to the rapidly changing environment that we operate in to ensure that we continue to fully meet our customers needs.

"Danone are delighted that TDG will be our logistics partner in our endeavour to serve these needs. The success of the complex implementation project reflected on TDG's commitment to service and desire to be measured against our European best practice benchmarks".

The TDG chilled warehouse is currently receiving products from France and Belgium for storage and onward distribution throughout Ireland.

The chilled foods market in Ireland has grown by 26% between 1998 and 2001.