Aldi plans new $70m warehouse and distribution centre for SA

Aldi Australia has announced plans to build an eight hectare warehouse and distribution centre at Regency Park in South Australia, expected to cost approximately $70 million and creating around 150 jobs.

The company has submitted a development application to the City of Port Adelaide Enfield and executed a conditional contract for a 30,000sqm facility. Subject to approvals the new facility will support plans to build a network of up to 50 stores, generate 900 new jobs and secure $300 million in new investment for South Australia.

“We are eager to bring the Aldi difference to new markets like South Australia.  Having investigated the future store network and benefits of the location in varying degrees, the Regency Park site presented as the best fit for our needs,” said Viktor Jakupec, managing director Aldi South Australia.

Deputy Premier and Minister for Planning, John Rau said the Aldi expansion into South Australia is a welcomed addition to the state. “The benefits associated with Aldi’s decision to enter South Australia will be substantial. 

With a series of new permanent jobs and rollout of store openings, South Australia is looking forward to having the retailer enter the market.”

In October last year Aldi announced an aggressive rollout of store openings, including entering the new markets of South Australia and Western Austraila.


Linfox wins Australian Defence Force contract

Linfox has won a warehousing and distribution contract with the Australian Defence Force that will see the creation of 600 new jobs.

Linfox will manage over 20 sites around Australia and provide warehouse and distribution services of all defence inventory handled through the joint logistics units with the exception of explosive ordnance.

Linfox CEO Michael Byrne said the contract will provide efficiency reforms for the ADF’s logistics network.

“Efficient logistics management is the core of our business. We have a track record in partnering major customers across the Asia Pacific to achieve supply chain efficiencies,” Byrne said.

“The contract further endorses the strengths and capabilities of the Linfox business.”

Byrne said the contract would bring 600 new people to the Linfox team, with the company looking at employing experiences personal for the new work.

DB Schenker open $8.5m logistics distribution centre

DB Schenker have opened a new $8.5m distribution centre in Altona.

The Schenker Australia facility, opened by Victorian Minister for Public Transport and Roads, Terry Mulder is a specially adapted eco-friendly building doing its part in reducing CO2 emissions.

Eco-friendly features in the new logistics distribution centre include low emission T5 lighting, an innovation that is expected to save emissions equivalent to the output of 13 residential homes annually, in addition to rainwater harvesting.

Schenker Australia CEO Ron Koehler explains that the T5 fluorescent lighting installed at Altona is one of the smartest options around as an alternative to LEDs, offering comparable energy savings and low cost replacement parts. The new facility would also harvest rainwater to deliver significant savings similar to one of the company’s other centres in Tullamarine.

Mulder applauded the state-of-the-art facility and said supporting innovation and growth for the freight and logistics sector is a high priority for the Government.

He added working with industry to deliver more sustainable businesses is one of the key themes of the Coalition Government's recently released Victorian freight and logistics plan. 

According to Koehler, Schenker Australia has consolidated two other distribution facilities at Sunshine to make a significantly larger Distribution Centre that allows for growth and is located closer to major roads and port facilities.

At optimum operation it will employ 30 staff, including some locally-sourced casual positions. 

Altona becomes the fifth largest site in the Schenker Australia network. The 18,000m² logistics centre operates eight recessed docks and a 2,000m² awning, allowing transport and logistics operations to co-exist on the one site safely and efficiently. 

Schenker Australia is the local arm of DB Schenker, the world’s second largest transportation and logistics service provider based on sales and performance. The company is in its 51st year of Australian operations.

Bunnings signs 10-year lease at Port of Brisbane’s Port West Estate

The Port of Brisbane has announced the signing of a 10-year lease for a 30,450 square metre Bunnings Distribution Centre at its Port West Estate.

The 7.65 hectare area will be developed by the port, due for completion on late 2013, with an expected value of $45 million.

Port of Brisbane chief executive officer, Russell Smith,. Said the company was pleased the have secured the agreement with one of Australia’s leading retailers.

“Bunnings will be the first tenant to occupy the land at the Port of Brisbane’s Port West Estate,” Smith said.

“The Estate’s prime location provides Bunnings Distribution Centre with access to unrivalled transport connectivity – by road, rail and sea – and immediate access to the Port of Brisbane and Gateway Motorways, to help meet their logistics requirements.

“Tenants also have access to the Port’s world-class cargo handling and warehousing facilities, with over $1 billion invested in capital works during the last 20 years,” Mr Smith concluded.

Bunnings’ general manager of Logistics and Improvement, Rodney Boys, said the port offered an great location for the new distribution centre, catering to the company’s long-term strategy in the sunshine state.

“Bunnings is dedicated to injecting over $730 million of capital investment in Queensland over the next three to five years through new stores. These developments will create over 3,500 permanent positions for Queensland residents and over 5,000 additional jobs during the construction phase,” Boys said.


Road Runners saved from collapsing

A Tasmanian courier and distribution company that went into administration last week after 25 years in the business, has been bought by trucking magnate.

Road Runners told its workers in Hobart, Devonport and Launceston on Thursday that it had gone into receivership, leaving 100 jobs in jeopardy, the reported.

However, trucking magnate Chas Kelly has come the rescue of the company, purchasing the business with plans to keep it as a separate entity from his Chas Kelly Transport empire.

Kelly said the company would remain as Road Runners.

"Everything will be identical — I will deliver the same level of service and commitment," he said.

Kelly said 45 – 50 jobs would remain, but that the rest would need to be shed.

He said he hoped the company could be rebuilt.

"I think it's a great business and now we have an excellent base to build it back to what it was," he said.

CMA CGM launches REX 2 service from Far East to Red Sea

CMA CGM has announced the launch of a new direct service of the Asia to Red Sea route that will replace a service that was stopped at the end of June.

The new REX 2 service will replace the REX 1 service that was operated in a Vessel Sharing Agreement (VSA) with APL.

This new service will enable CMA CGM to remain active on this major trade for the company, with a dedicated loop from the Far East to Red Sea markets.

The REX 2 service has been active from 22nd July, 2012, and is operated under a VSA between CMA CGM, HANJIN, CSCL and YANG MING. The "Ville d’Aquarius" vessel of 3900 TEU has been deployed for this purpose.

Commenting on the decision to launch this new service, CMA CGM Asia MED & NAF Vice President Stéphane Courquin explained that "it was essential for CMA CGM to offer again Egypt and Jordan calls with a direct and improved service from Asia. This new REX 2 service is the first step of CMA CGM redeployment in the zone and confirms the Group’s will to increase its presence in these countries for both import and export."

Geodis to manage Mattel’s logistics operations in southern Europe

Toy manufacturer Mattel has announced that it has signed a six year contract with Geodis for the management of its logistics and distribution operations in southern Europe.

This contract includes the reception of 3,000 sea containers per year from Asia, customs clearance, palletising, storage and the management of 1,800 references to be distributed in France, Spain, and Portugal.

To satisfy these requirements, Geodis has established a 42,000sqm warehouse in the Distriport area of Marseilles, France, which has been operational since March, and is recruiting 120 people.

The warehouse and its resources were sized to fit the seasonal peaks inherent to the business of Mattel.  The site also has a storage area for containers to handle seasonal variations. By late 2013, the total area of the distribution centre will be brought up to 60,000sqm and it will employ 200 people.

An additional 1,500sqm will be dedicated to high value-added services such as the preparation of promotional displays or package customisation according to the requirements of retailers. Geodis will also be in charge of returns management on behalf of Mattel.

Geodis has implemented advanced technologies in the new distribution centre, such as radio frequency and 'voice picking', which is designed to provide optimum service quality and productivity by guiding operators through a voice recognition system.

The new contract is part of a long standing partnership between Mattel and Geodis. Geodis has been managing Mattel's north Europe distribution centre in Venlo, Netherlands, as well as two hubs in Tanjung Pelapas and Port Klang in Malaysia since 2007.

Kuehne + Nagel opens new shared warehouse facility in Hong Kong

A second contract logistics facility has been opened by Kuehne + Nagel in Hong Kong to meet growing demand for quality warehousing and distribution services in the area.

Located at the Hutchison Logistics Centre, the new facility is adjacent to Kuehne + Nagel's warehouse at Asia Terminals Limited and its container freight stations (CFS) in Kwai Chung, the major logistics hub in Hong Kong.

It features 750 pallet positions, 2,000 shelf locations, a 20,000-sq.ft. stacking area and a multi-purpose inspection room, all of which is supported, the company states, by state-of-the-art material handling equipment and warehouse management systems.

Smooth access to the facility is provided by 21 loading docks. The premises also meet stringent security and safety requirements.

With the additional 75,000 sq. ft. of warehousing space provided by this new facility, Kuehne + Nagel has now a total of 350,000 sq. ft. under management in Hong Kong.

Star Cool number 100,000 rolls off Maersk production line

Having experienced almost exponential sales growth, Maersk Container Industry (MCI) has announced that it has produced number 100,000 of its Star Cool refrigeration containers.

The company attributed this increase in production to unabated demand for frozen and chilled foods, and an acute need for energy savings in global transportation.

With the 50,000th Star Cool unit having been produced just over a year ago, Chief Commercial Officer at MCI, Soren Leth Johannsen, commented that the company's focus on energy savings was clearly the right way to go.

"Bunker fuel prices have more than doubled since 2005 so we can help customers offset part of the additional bunker cost," he added.

Meanwhile, MCI is continuing its research and development in Tinglev, Denmark.

Johannsen confirmed that the company has more innovation on the way that is intended to make global trade ever more efficient, noting that "MCI's controlled atmosphere, for example, now lets customers increase transportation time in some cases from 30 to 45 days without compromising quality."

ALC welcomes change to Coastal Trading Bill

The Australian Logistics Council (ALC) has welcomed an amendment to the Coastal Trading Bill 2012 agreed to on May 31st in the House of Representatives that recognises the importance of the efficient movement of freight.

The amendment means the Minister for Infrastructure and Transport may take into account the efficient movement of cargo between Australian ports when considering whether to grant a temporary licence to a foreign flagged vessel to engage in coastal trading.

ALC Managing Director Michael Kilgariff said that the ALC welcomed the amendment as it puts the efficient movement of freight on an equal policy footing to the maintenance of an Australian coastal fleet.

"ALC highlighted this important point in its submission to the House of Representatives Standing Committee on Infrastructure and Communications to avoid the legislation potentially distorting the choice of how freight is moved," he added.

Mr Kilgariff noted that the amendment was particularly important in the context of a large and growing freight task, which is set to double by 2030 and to almost triple by 2050.

Photo: a Creative Commons Attribution (2.0) image from Skellig2008's Flickr photo stream.

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