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Nestle partners Kuehne + Nagel for food supply distribution in the Netherlands
SWISS logistics giant Kuehne + Nagel's (K+N) strategic push into perishables and consumer goods logistics received a boost after Nestle hired the firm to handle its handle its food products in the Netherlands.
Starting next year, all Nestle-Netherlands' chocolate, coffee and culinary products, as well as pet and baby foods, will be warehoused in the distribution centre in Veghel that K+N built for this new partnership.
The two companies have worked together for 15 years, and this latest development increases K+N's role in the food company's supply chain.
K+N's profits have stalled as margins remain under pressure, especially in its traditionally strong-showing air and maritime freight sectors. Entering the fast-moving consumer goods (FMCG) side of the business will allow the forwarder to put its extensive infrastructure into play in a market that seems to be accelerating, the New York's Air Cargo World reported.
"The FMCG industry is of strategic importance to Kuehne + Nagel," said Diederick de Vroet, managing director of K+N Netherlands. Mr De Vroet said that, with Nestle-Netherlands looking for a single partner for all of its distribution channels, an "omni channel approach,' in which all logistic flows are managed centrally, made the most sense in the "fast-changing consumer landscape."
Starting next year, all Nestle-Netherlands' chocolate, coffee and culinary products, as well as pet and baby foods, will be warehoused in the distribution centre in Veghel that K+N built for this new partnership.
The two companies have worked together for 15 years, and this latest development increases K+N's role in the food company's supply chain.
K+N's profits have stalled as margins remain under pressure, especially in its traditionally strong-showing air and maritime freight sectors. Entering the fast-moving consumer goods (FMCG) side of the business will allow the forwarder to put its extensive infrastructure into play in a market that seems to be accelerating, the New York's Air Cargo World reported.
"The FMCG industry is of strategic importance to Kuehne + Nagel," said Diederick de Vroet, managing director of K+N Netherlands. Mr De Vroet said that, with Nestle-Netherlands looking for a single partner for all of its distribution channels, an "omni channel approach,' in which all logistic flows are managed centrally, made the most sense in the "fast-changing consumer landscape."
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