SOUTH AFRICA – DHL Global Forwarding is investing US$8.3 million into a new facility in Johannesburg as it aims to cement its market-leading position in South Africa.
The new 13,000m2 facility will be located within the bonded zone at Skyparks Business Estate, a short distance from the O.R. Tambo International Airport.
“While it is too early to fully grasp the economic impact of the current pandemic, our confidence in investing ahead of the curve is abetted by our diverse service portfolio and long-established foothold in Africa. As the world’s largest free trade area moves toward economic integration, our five-year strategy to sharpen our core business offerings and accelerate digitalization will further our growth in the region and specifically, in South Africa,” Clement Blanc, Managing Director, DHL Global Forwarding, South Africa said.
Twice the size of its current set-up, this new facility will consist of a 10,000m2 warehouse that enables the leading forwarder to consolidate all its customers’ warehousing requirements.
There will be an exclusive and specialized cold chain facility that consists of three adjustable temperature-controlled refrigerators geared to handle the life science and healthcare products in and out of South Africa.
“As the world’s largest free trade area moves toward economic integration, our five-year strategy to sharpen our core business offerings and accelerate digitalization will further our growth in the region and specifically, in South Africa”Clement Blanc – Managing Director DHL Global Forwarding , South Africa
The warehouse will also support other value-added services including cross-docking, storage for air, ocean and road freight services, and a platform for breakbulk cargo.
“Custom-built to our world-class specifications and located in proximity to the airport, arterial thoroughfares and upcoming industrial parks, this new facility will be the game-changer for DHL in the country. We are well-poised to focus on delivering excellence to our customers as we surround ourselves with the critical infrastructure that is needed to enhance our productivity and efficiency,” added Blanc,” added Blanc.
Even as the South African economy is expected to inch forward by about 1-2% in the next two years, industry observers are optimistic that the government’s commitment to improve investment and efforts to revitalize townships and industrial parks will reap much-needed benefits.
Similarly, a flourishing e-commerce sector will drive greater demand for retail warehousing and distribution space, especially for perishables and fast-moving consumer goods
Liked this article? Subscribe to DealStreet Africa News, our regular email newsletter with the latest news, deals and insights from Africa’s business, economy and more. SUBSCRIBE