From October 6 the Ryans Group and Allens Freight will share premises and customers in Hamilton and Portland, while a shared arrangement at Warrnambool will follow later.

“We realised there must be a more efficient way of doing business,” Ryans marketing manager Richard Van Bergeijk said.

“It’s not a takeover — the companies are still operating as separate entities.”

The collaboration is designed to improve economic and environmental sustainability and safety by servicing each other’s customers with Allens concentrating on smaller, express deliveries and Ryans focusing on larger linehaul components.

“In the past we would compete in some sectors of the supply chain and would both have trucks travelling down the same roads making deliveries,” Allens Freight operations manager Richard Allen said.

“Now we are able to concentrate on core business and have less trucks on our roads.”

Warrnambool City Council growth director Bill Millard said the collaboration would help the two companies seek further growth opportunities.

Ryans managing director Graham Ryan said the deal met his company’s three main criteria — sustainability, safety and environment.

“This opens up new opportunities with both businesses able to attract further customers through greater service depth, a reduction in environmental footprint and making sure the customer is at the forefront of decisions we make collectively,” he said.

Ryans is one of regional Victoria’s largest trucking companies operating from eight locations and employing about 190 staff.