Tesco opens giant logistics centre

Tesco has opened a new giant new logistics centre and has announced plans for over 20 new stores this year.

The centre covers 240,000 m2 and is located in Jiashan on the outskirts of Shanghai. It will centralize all the distribution of food and non-food products to 53 hypermarkets and 12 express stores in the east of the country. It will also provide other regional distribution centres with Tesco branded products: Shenyang (north-east), Tianjin (central) and Guangzhou (south).

The aim is to ensure better control of product quality and reduce the total number of deliveries. The centre incorporates the latest green technology and should use 45% less energy, 40% less water and emit 35% less CO2 than traditional warehouses.

Tesco has announced plans to open over 20 new stores this year as well as an online grocery service for the Shanghai region as it aims to take advantage of the Chinese retail market, which grew 16.3% last year.

source : supply chain, ism, china daily