Ceva Logistics will help Australian DIY group Arlec build up its UK business after sealing a new warehousing deal.

Ceva has secured an evergreen contract with Arlec, which designs and manufactures electronic and electrical products for the DIY market in Australia and New Zealand.

It is now entering the UK market to serve its customer Homebase, owned by Bunnings of Australia.

Under the deal, which is effective immediately, Ceva will provide warehousing, storage and relabelling services to Arlec from its multi-user site at Mendlesham in Suffolk. Of the inbound traffic to be handled under the contract, 95% will be brought to the UK via ocean freight with 5% coming in by air for Ceva to store and distribute.

"Ceva's implementation of this supply chain solution demonstrates our commitment to new customers in an area where we have considerable experience and expertise," said Ceva's executive vice president Michael O’Donoghue.

"Arlec's product range is constantly developing and we have put in place a range of flexible options to ensure we can meet their future development,” he said.

By David Craik