Introduction
One of the biggest issues to arise in the UK grocery distribution industry over recent years is the Introduction of factory gate pricing (FGP) by some of the leading retailers. The use of FGP within the grocery sector is one of the largest applications of the concept. Commencing in 2001, it is part of a series of initiatives in recent decades that have led to a transformation in the organization and operation of grocery distribution in the UK (Fernie and sparks, 2004). The focus of these developments has been to increase the efficiency of transport, so as to reduce transport costs. Strategies adopted include load consolidation and improves vehicle scheduling,both elements