Tesco has announced a multi-million-pound investment in a new distribution centre at DP World London Gateway.
The new distribution centre is expected to open in 2029, and Tesco said it represented its “continued commitment to ensuring its distribution network remains fit for the future”. It said this was “critical” to the business’s success and to ensuring it can continue to meet the demands of its growing store network.
The centre will reportedly be a modern, energy-efficient site, equipped with the latest technology to support Tesco’s growth. The retailer expects the centre to achieve a Building Research Establishment Environmental Assessment Method (BREEAM) Outstanding certification.
Tesco will collaborate with logistics company Witron in order to “bolster its network capacity” at the site.
Andrew Woolfenden, Tesco UK distribution and fulfilment director, said: “Our distribution network is vital for ensuring customers receive products at the right place, time and condition. As demand grows across our store network, we’re excited to partner with Witron and DP World to develop a distribution centre that leverages the latest technology, enhancing our supply chain and supporting our decarbonisation goals. By locating at London Gateway, we can also take full advantage of the seaport and rail infrastructure.”
Helmut Prieschenk, CEO at Witron, stated: “It’s an honour and pleasure for us to be part of this outstanding logistics initiative, which represents the introduction of more intelligent logistics production. With the latest technology and machinery, once fully operational, this represents a large-scale project for dry grocery distribution. In terms of end-to-end integration this is a lighthouse project for Witron – which ensures premium store service, an ergonomic, safe and sustainable environment and benefits the whole value chain.”
Sultan Ahmed bin Sulayem, DP World group chairman and chief executive officer, added: “DP World London Gateway is helping to make Britain’s trade flow by sea, road and rail, connecting businesses across the UK with global markets and boosting the resilience of national supply chains.
“The significant investment announced today by Tesco, one of the world’s leading retailers, is a proud moment for DP World and a vote of confidence in the growing role London Gateway plays in the UK economy.”
