A PALLET distribution specialist is bucking the trend in the haulage industry by investing in a new warehouse, winning new customers and taking on new staff.

Bow Distribution, based in Riddings, has secured storage and transport contracts with building materials giant Travis Perkins and power tool wholesaler Birchwood Price Tools.

To help service the new contract, the company has taken a 10-year lease on an additional 27,500 sq ft unit at Amber Business Park.

The investment increases the logistics firm's capacity to 70,000 sq ft of warehousing.

A contract to deliver 1,200 pallets of snow shovels is already being serviced from the new warehouse and the business is hopeful of dealing with another 1,000 pallets.

Staff numbers have increased from 25 to 32 in the past 12 months and Bow Distribution has taken its client roster from 100 to 170.

Director Andy Bowd said: "We are investing heavily in the business to consolidate the growth we have experience over the past 12 months.

"The new warehouse is already starting to justify the investment, which we're really pleased with."

With the high price of fuel and a downturn in the economy, the logistics industry has suffered in recent years, creating a climate of intense competition.

Mr Bowd said: "Hauliers are tending to cut each others' throats in trying to be the cheapest but we have stood our ground and will not do a job on which we will lose money.

"We have shifted millions of pallets and our customers value the experience and service we offer."

Founded 14 years ago by Mr Bowd and fellow director Paul Howard, one of the firm's first contracts was to be part of the supply chain for till rolls, the paper on which receipts are printed.

It continues to service this contract to this day.

From January 2012, Bow Distribution will have systems in place for customers to track their pallets from collection to the signature at point of delivery.

Mr Bowd said: "The customer base has increased over 50% in the past 12 months and revenues are up over 20%.

"We are seeing the fruits of our policy to build up the business slowly and sensibly by providing a level of service that ensures we keep existing customers and win new ones.

"We recognises that efficiency from stability and professionalism is key to any long-term viable working relationship in this industry." oastley@derbytelegraph.co.uk