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Walmart goes ahead with huge new distribution center

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Walmart continues to invest in Yucatán. File photo

Walmart will spend 650 million pesos to build a new distribution center in the state of Yucatán, the company announced Monday.

This is part of the US$1.3 billion investment announcement made by the retailer in December 2016 to expand and strengthen its logistics infrastructure in Mexico over the next three years.

The distribution center will generate at least 500 direct and 250 indirect jobs, while allowing the expansion of the supply network in Campeche and Quintana Roo.

“Walmart de México y Centroamérica has been a pioneer in integrating logistics into its business model, looking for the best places and conditions to invest,” said Miguel Cavazza, vice president of logistics for the company. “This has resulted in significant growth, accompanied by unprecedented productivity rates in the commerce industry.”

The big-box company has 36 stores in Yucatan: 10 Bodega Aurrerá stores, 11 Mi Bodegas Aurrerás, five Bodegas Aurrerá Express, three Sam’s Club, a Superama and six Walmart Supercenters.

The firm has generated 3,457 permanent jobs in Mérida, Halacho, Hunucma, Izamal, Motul, Kanasin, Oxkutzcab, Tekax, Tixkokob, Tizimín, Ticul, Uman, Valladolid and Progreso.

The precise location of the distribution center was not detailed, but it is certain to be an enormous facility. When Walmart built a similar complex near Monterrey two years ago, their 32,000-square-meter facility started off with the capacity to handle goods from 107 suppliers every day, and then truck them to 442 stores.

Walmart’s presence in Yucatan dates to 1995 with the opening of its first price club. Over the years, Walmart has invested over 3 billion pesos in Yucatán, reports Forbes Mexico.

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