Hershey, Ferrero ink warehouse, distribution pact

by Eric Schroeder
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HERSHEY, PA. — The Hershey Co. has entered an alliance with Somerset, N.J.-based The Ferrero Group under which the two companies will operate a joint warehousing, transportation and distribution initiative in North America. Additionally, the two companies have agreed to work together to maximize corporate social responsibility efforts with the goal of reducing carbon dioxide emissions and energy consumption in warehousing and freight.

The agreement does not include manufacturing, selling or marketing activities, the companies said.

“Ferrero is a respected international company with a portfolio of successful brands, including Tic Tac Mints, Ferrero Rocher Chocolates and Nutella Hazelnut Spread,” said John P. Bilbrey, president and chief executive officer of Hershey, the largest chocolate maker in the United States. “Collaborative supply chain operations are a growing trend across industries as companies seek to fully leverage their logistics infrastructure. Although we are initially focusing on one region of our business, we are excited about the full potential of this project.”

Ferrero, which is the fourth largest confectionery company in the world, said the partnership is consistent with its strategy to reduce its carbon footprint through more efficient supply chain operations.

“We are in the early stages of launching this venture but are already excited about its potential to improve supply chain operations,” said Giuseppe D’Angelo, area manager for the Ferrero Anglo/Americas region. “And Hershey is the ideal partner to work with us to achieve this goal.”

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