The Dalbeattie-based sawmill Howie Forest Products Ltd and Birmingham-based packaging manufacturer J Nicklin & Sons Ltd have entered into a strategic alliance.

Howie has invested in a dedicated line, installed two weeks ago, to produce cut-to-size pallet wood from first grade home-grown timber for Nicklin.

The companies say the alliance was formed to meet the challenges and changes facing the transit packaging sector, adding that closer partnerships between suppliers and customers provide real benefits for both parties and the end user.

David Nicklin, managing director of Nicklin, said: “The thinking behind this partnership is that we need to get products closer to the end user with a view to understanding customer requirements and giving the mill the opportunity to make more added value.

“We will be doing joint marketing campaigns with Howie and, within the day-to-day operations, we have taken out a lot of the administration as everything is now done from master documents.”

Howie will be Nicklin’s primary supplier and Mr Nicklin said: “The nature of our business is such that there will be many different specifications so they will cut to order.”

Keith Ainslie, sales director at Howie Forest Products, said the investment in the new line was part of a wider ongoing investment at the mill. He added: “This is the first partnership we have entered into on the packaging side. Nicklin’s requirements are a good fit for the new product range we have been developing over the last few months.”