Welsh food distribution firm Harlech Foodservice is using spare capacity at Farralls’ depot in Telford, Shropshire to aid its expansion into the West Midlands.
The move is part of the Welsh company’s £6m expansion plans and comes just weeks after Harlech bought rival firm Pembrokshire-based Celtic Foodersvices and opened a new depot in Carmarthen, where 15 sales staff and drivers have been recruited.
The Telford depot will be the second depot in England for Harlech, which is based in Criccieth, Gwynedd and has depots in Chester, Merthyr Tydfil and now Carmarthen.
The company employs 250 staff and has operating licences for 73 vehicles and five trailers. Its fleet delivers up to 5,000 product lines to cafés, restaurants, pubs and public sector customers across Wales, Shropshire, the Midlands and the North West.
Harlech’s latest expansion drive comes as the company continues to grow its revenue, with sales rising from £32m to a record turnover of £50m in the past three years.
Palletforce member Farralls Group has its headquarters in Chester. The family firm specialises in general transport and pallet deliveries and has 140,000sq ft of warehousing. It has operating licences for 120 trucks, three LGVs and 195 trailers.
The collaboration between the two companies came from a “chance meeting” between Harlech MD David Cattrall and Farralls MD Matthew Farrall, according to Harlech’s head of operations, Ian Evans.
He added: ”Both businesses are expanding and have ambitions to grow in the same areas so it makes sense to work together.
“Farrall’s are operating in different parts of the country and it makes sense to work together so we can serve our customers better from what is a new gateway to the West Midlands.
“Both companies have shared values, we are both transitioning towards net zero and both have ambitions to grow so it makes sense to work together.”
Harlech will employ five drivers at Telford along with another driver in Criccieth.
“Initially we are basing five lorries there but as opportunities to grow occur we could have a greater presence,” Evans added.
Matthew Farrall said the collaboration will benefit both companies which share many of the same values.
He said: ”We are constantly looking for new markets and new areas to operate in and in the last 18 months we have added sites in Newport, South Wales, Sandycroft on Deeside and Telford in November.
“This is a relatively new area for us but we see its potential and there is spare capacity on the site which we’re happy to partner with Harlech.
“We believe in forging partnerships with other businesses to the benefit of both and that is the case here – we are both in the distribution business but not in competition so this makes sense.
“We share many of the same business principles as Harlech – both companies are growing and at the same time are committed to reducing their carbon footprint in sectors where that isn’t easy to do but we have both taken steps to do so.
“Partnership working is a positive which can benefit both companies and this is something we can continue as both look to grow their markets.”
