XPO Logistics has clinched a major logistics contract with food manufacturer Premier Foods.

The long-term contract will see the operator provide inbound transport, warehousing and outbound distribution to Premier Food’s customers throughout the UK and Ireland.

Premier Foods will relocate its multi-site warehousing operations to a single XPO managed national DC in Tamworth, Staffordshire under a phased transition programme which will see the centre fully operational from mid-2018.

XPO is expected to manage around two million pallets a year at the centre, which has the capacity for 80,000 pallets.

The 650,000ft2 site will employ an estimated 170 workers and be equipped with XPO’s warehouse management system.

Transport services will be handled with a dedicated fleet of around 70 vehicles and 200 trailers. XPO will also customise its transport management software to increase fleet efficiency.

Chris Hyde, XPO Logistics UK supply chain business unit director, said: “This is an exciting and significant win for us. Our work with Premier Foods will be supported by the scale and flexibility of our operations in the UK, allowing us to provide a fully integrated and seamless solution to Premier Foods throughout their network.”

Paul Thompson, Premier Foods operations director, said: “The team at XPO Logistics has demonstrated the capabilities to deliver a cutting-edge solution based on extensive experience and the kind of scale we require.

“This strategic integration will be very important in helping us service our customers more effectively. We’re delighted to begin working together, and we look forward to building a long-term relationship with XPO.”

This is the latest in a chain of contract wins for XPO Logistics.

Last month the company also announced a new multi-year contract with online cosmetics retailer Beauty Bay, a multi-year contract with wine enthusiast app Vivino, and a long-term agreement with Gower Furniture, a manufacturing unit of Nobia AB.