SHIPPING FIRM A.P. Moller-Maersk is set to expand its warehousing footprint in the Philippines after the groundbreaking of a new warehouse in Laguna.
The company said in a statement on Thursday that the construction of its new 100,000-square-meter warehouse in Calamba is expected to be finished by the end of 2023.
According to Maersk, the facility will be operated by its newly created omnichannel-fulfillment team after it acquired contract logistics firm LF Logistics.
“The total area is equivalent to almost three times of LF Logistics’ current multi-service distribution center in the province of Rizal and will enhance the overall warehouse and distribution footprint further in the Philippines,” the firm said.
Maersk said that the facility will have a 75,000-pallet storage capacity with distribution center technologies such as pallet shuttles, automated sortation, put-to-light, yard management systems, and track-and-trace capabilities.
The firm added that the facility is primed to meet the needs of retail, pharmaceutical, and e-commerce customers.
“The facility will integrate LF Logistics’ key service offerings into Maersk’s product portfolios, including value-added services, distribution services, order management, and end-to-end e-commerce,” it added.
Maersk said that the build-to-specification agreement has been signed with local developer Precos, Inc., which is a unit of Solid Group, Inc., guaranteeing a 15-year lease.
“Maersk’s strategic ambition is to connect and simplify our customers’ supply chains. With combining LF Logistics’ strength in the Philippines and strong expertise in our omnichannel-fulfillment operations, we will extend the scope of our logistics offerings closer to the end-consumers. Expanding the warehousing footprint and omnichannel-fulfillment competence is crucial to our strategic growth,” Maersk Indonesia and Philippines Area Managing Director Erry Hardianto said.
With the acquisition of LF Logistics, Maersk currently operates 96 warehouses in the Philippines.
“Building this mega facility in South Luzon enables us to provide a more agile, resilient, and more flexible end-to-end supply chain, complementing the infrastructure and network we have built and sustained over the past two decades in the Philippines. This project will also help create 800 job opportunities for the surrounding communities, aligned with our corporate social responsibility,” LF Logistics Senior Vice President and Head of Country and Business Development Jocelyn O. Ramos said. — Revin Mikhael D. Ochave