Asda renews XPO Logistics reverse logistics contract

Grocery chain Asda has announced it is renewing its reverse logistics contract with XPO Logistics, as well as other asset management services.

According to XPO Logistics the three year deal will extend the two companies’ relationship to more than 20 years of working together.

Under the agreement XPO is to manage the logistics for Asda’s product trays through its nine-site network. Returned assets are washed, inspected and reused for product distribution, or recycled or sold. This is an integral part of Asda’s zero-waste policy that ensures all food waste, plastics and cardboard are recycled. It covers over 8 million assets across more than 250 accounts.

Chris Hall, senior director, central logistics Asda Stores Ltd., said: “We’re delighted to be continuing our successful partnership with XPO. Together, we’ve worked hard to implement far-reaching waste reduction initiatives and achieve significant savings and other efficiencies. We look forward to nurturing further improvements across our reverse network.”

Gavin Williams, managing director, supply chain UK and Ireland, XPO Logistics, said, “The teams at Asda and XPO have worked tirelessly to drive tangible cost reductions and process improvements for Asda. We’re excited to use our expertise with asset management to realise even greater productivity, delivered through customised technology.”