£1.6m investment positions East Trans for pick and pack logistics growth
Fast-growing logistics operator East Trans has made a £1.6m investment in a new warehousing facility to capitalise on the rapid growth in online transactions.
East Trans, one of the Humber’s leading integrated logistics suppliers, has invested in the 40,000 sq ft, high-bay warehouse, enabling the business to win a major new customer.
The new contract is with a leading medical supplies company requiring secure warehousing and reliable distribution across the UK.
It is East Trans’ first move into ‘pick and pack’ logistics – a growing market driven by consumers and businesses favouring the speed and convenience of online purchasing.
The investment means East Trans can now offer customers a total of 200,000 sq ft of newly-built or recently refurbished warehousing over nine acres at Stallingborough, North East Lincolnshire.
The site is close to the Humber ports and within an area with a strong manufacturing base, with 75% of the UK’s manufacturers, importers and exporters within four hours’ drive time.
The business is owned by managing director Paul Hickling and director Peter Aarosin and was acquired 11 years ago from Icelandic-owned international transportation company Eimskip, which remains an important customer of the company.
Since then, East Trans has grown from having a dozen vehicles and turnover of £1m to operating more than 100 HGVs and over 160 trailers, with annual revenues of £18m.
The new warehouse is the latest investment in a long-term development programme at the Stallingborough site.
Hickling said: “This is a major, long-term investment for the business. It enhances our ability to serve existing and new customers requiring reliable, secure and cost-effective logistics and underpins our position as the leading company in the Humber region for high-class warehousing.
“Although the Humber is an important hub for logistics, there is very limited availability of high-class, modern storage facilities such as this around the estuary.
“The new warehouse is equipped to the latest standards and is technically far superior to many other facilities – in some cases storage amounts to no more than a big box in a field or on an industrial estate.
“Our expanded storage capacity has already paid dividends by enabling us to provide a pick and pack service to a major new customer, supported by full fibre connectivity across our site which gives the client 24/7 visibility and instant stock information.”
East Trans has a roster of more than 200 clients, including many for whom it has been a key, long-term logistics provider. The company employs more than 100 staff and the new investment in the warehouse and pick and pack facilities will create at least 16 jobs.
The investment has been backed by NatWest Bank.
Senior relationship manager Nick Spencer said: “We have been delighted to support the team at East Trans with the opening of their new warehouse. The business continues to go from strength to strength and the new facility will provide East Trans with the space needed to expand further.”
Scunthorpe-based consulting engineers CR Parrott Consultants managed the project and the warehouse was built by contractor PK Construction, based in Immingham.
The investment was also supported by a £136,000 Local Growth Fund grant from the Humber Local Enterprise Partnership, via North East Lincolnshire Council.
