Suttons Tankers, part of Suttons Group, said it is in its “best interests” to walk away from its eight-year relationship with British Sugar when its contract expires later this year.
The North West operator won the contract in a competitive tender in 2008 from incumbent Turners (Soham), which had previously held the contract for 34 years.
In Suttons Tankers' statement, it said the decision not to renew its contract when it expires came after a review of its UK operation. Suttons said its focus is on its core business in the hazardous chemicals, gases and fuels sectors.
Michael Cundy, Suttons Tankers MD, said: “We have valued the relationship with British Sugar over the past eight years; it nevertheless serves in the best interests of the company to have a clear focus on developing our core activities in the hazardous chemicals, gases and fuels sectors.
"We have agreed to continue beyond the end of the contract to ensure British Sugar has time to find a suitable replacement.’’
MT understands that there are two businesses in the running for the contract: one based in the North West and one in the South West.
Suttons’ work with British Sugar saw it win the Partnership Award at the MT Awards in 2014.
In February, Suttons Group said its most recent financial year was one of progress and challenges, as it embedded its purchase of Imperial Tankers into its UK business.
Its acquisition of Imperial Tankers from Hargreaves in September 2014 increased the operator’s ADR network fleet to an excess of 700 road tankers, substantially contributing to the £26.9m it added to its turnover for the year ending 30 April 2015.
Former Wincanton chief executive Graeme McFaull was appointed chairman of the business in January.
