Thursday, May 6, 2021

Tetley Tea Totally Thrilled to Tender Tea Tonnages to Tyne Terminals

Two Decade Relationship Extended Again
Shipping News Feature

UK – The Port of Tyne has been awarded a long-term, strategic import and export logistics contract with Tetley following a competitive tendering process. The contract covers the movement of thousands of tonnes of raw tea plus finished product each year.

The second largest tea brand globally, Tetley has outsourced all its inbound tea production and finished goods export logistics requirements to the Port of Tyne for international markets including Canada, USA , Asia and Europe, as well as the UK. This latest agreement reaffirms Tetley’s commitment to fostering a long-term, strategic supply chain partnership and recognises the port’s warehousing and logistics capabilities in a specialist industry.

As a UK leading deep-water port, the Port of Tyne originally began working with Tetley in 2003 and the scope of services provided has grown every year. Shipping now accounts for 90% of Tetley’s inbound and outbound transportation activities and outsourcing to the port has apparently helped the brand realise many commercial and environmental sustainability benefits. This includes the ability to ship larger, heavier container loads closer to the point of consumption and increase the amount of tea shipped per container by 10% making use of slip sheets.

In addition to having a significant impact on cost reduction levels by taking trucks off the roads by using the coastal feeder service to South Shields instead, it also reduces Tetley’s carbon footprint. Tetley has calculated this saves over 730,000 road miles per annum and based on fuel consumption of 8.8 mpg, removing 987,840 kg of CO2 from the atmosphere. Richard Newton, Commercial Director for Logistics at the Port of Tyne, said:

“Retaining the custom of a mega brand like Tetley for over 20 years wouldn’t be possible if we were not ab le to precisely meet their requirements and we have demonstrated our effectiveness in doing this for almost 20 years. It is a perfect example of the long term, strategic commercial logistics partnerships we want to foster at the Port of Tyne.”

As part of a significant investment into new technology to enhance its warehousing and logistics services, the Port of Tyne is also due to implement a new warehouse management system (WMS) in July 2021. This is intended to bring further efficiency benefits to Tetley Tea once live. David Cook MCILT, Group Logistics Manager at Tetley, commented:

“When it comes to working with the Port of Tyne logistics team, what continues to impress us is their eternal commitment to service improvement and excellence. The Covid pandemic provides a perfect example, and during this extreme period, they immediately rose to all challenges presented and ensured our global supply chain was not only resilient, but could scale to cope with extra product demand.”