Julian Hunt Wholesalers and suppliers should work together to find common solutions to the problems that will be created by the introduction of factory gate pricing, according to Palmer & Harvey McLane chairman Christopher Adams. "There is a real dialogue that should be undertaken," he told The Grocer. His company is running trials of an "alternative distribution service" for two suppliers, one in confectionery, the other soft drinks. P&H is essentially distributing to customers on their behalf. "We are not looking to expand that necessarily," said Adams. "But if factory gate pricing is successful there will be a real need for suppliers to look at their entire cost of distribution and supply chain management. Wholesalers can play a substantial role in that." Adams said suppliers could see the cost of servicing the rest of their business rocket, which meant they would either have to charge more or slash costs. "The wholesaler comes into play by working with the manufacturer to see if we can help cut current overheads, whether it is in the way product is delivered to us or through us picking up goods." He said wholesalers should focus on what they did best ­ breaking bulk and distributing to the retailer ­ while manufacturers remained focused on marketing their products. Adams' comments came in a major interview with The Grocer ­ which will be published in next week's issue. {{NEWS }}