Fonterra signs five-year contract with EROAD for 500+ tankers

Transportation technology services company EROAD Limited (NZX/ASX: ERD) (EROAD) has today announced the acquisition of a significant enterprise customer in New Zealand.

The Fonterra Co-operative Group Limited (Fonterra) has signed a five-year contract to install EROAD fleet management hardware across its fleet of 500+ milk tankers.

Mark Heine, EROAD’s Chief Executive Officer says, “we’re incredibly excited to be partnering with such an iconic and important organisation here in New Zealand. Creating safer, more sustainable roads is at the very heart of what we do at EROAD, and it’s clear that Fonterra is equally committed to these goals.”

From Cape Reinga to Bluff, and almost everywhere in between, Fonterra’s milk collection operation spans the entire country. Through its fleet of 500+ milk collection tankers and 1600+ tanker operators, Fonterra completes an average of one farm collection every 15 seconds and collects around 16.5 billion litres of milk per year.

The addition of Fonterra is a big win for EROAD. As well as electronic RUC and in-vehicle driver monitoring hardware, the safety-focused organisation is also installing EROAD’s high-definition dual-facing dashcams to gather vital evidence that can help exonerate innocent drivers in the event of an incident.

Malcolm Bailey, National Transport Transformation Manager at Fonterra adds, “Fonterra has chosen to partner with EROAD, due to their innovation across a number of products (telematics, eRUC, dash cams etc). Their ability to harmonise these products into an overall telematics solution, that meets our business requirements, will assist us in maintaining our market-leading commitment to health and safety. It is great to be working with another New Zealand-based team developing products here in Aotearoa.”

Fonterra will also mitigate the risk of roll-over events in its liquid tankers by installing EROAD’s specialised hardware. EROAD’s Collision and Rollover Alert solution utilises vehicle roll-over alert technology and satellite communications to help ensure emergency services can be dispatched as quickly as possible if the worst should happen – including when the vehicle is outside cellular range.

Paul Phipps, GM National Transport & Logistics at Fonterra says, “safety doesn’t happen by accident, so with us picking up milk from our shareholders all over rural New Zealand we choose to partner with an industry leader who delivers Emergency and Automated Alerts through a 24/7 Satellite Solution for when we leave areas with cellular coverage. This becomes a great mechanism in supporting our strategy of sending our valued employees home the way they come to work each and every day.”

“We look forward to partnering closely with the team at Fonterra as they continue their strong focus on fleet safety and sustainability,” adds Heine.