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Teesport benefits as Asda boxes start to flow.

Europe Intelligence Wire

| February 01, 2006 | COPYRIGHT 2006 Financial Times Ltd. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan.  All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)Copyright

(From Lloyds List)

THE decision by supermarket chain Asda to build a GBP20m ($35.4m) import centre at Teesport is already having a positive impact on container throughput at the port, says PD Ports' group development director, Martyn Pellew.

Asda will concentrate nearly three-quarters of its UK non-food imports through the centre and therefore through Teesport's container facilities.

'We have seen some notable changes in rotations prompted by Asda saying they want their boxes delivered into Teesport,' says Mr Pellew. Mediterranean Shipping Co and Maersk in particular are sending more regular feeder boxes, he says.

The 500,000 sq ft centre is being built in two phases the first 360,000 sq ft should be largely complete by the end of this month and operational by Easter.

'Everything that goes through that facility will come across the quay in containers,' says PD Teesport commercial manager Trevor Meredith. 'The cartons will be taken out of the containers and palletised at the centre, before going into Asda's own distribution system.

'A lot of the boxes are already coming in; but once Asda announced they were going to go ahead with this project, they started to do contracts with the shipping lines based on a Teesport bill of lading.'

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