Palletline has opened a secondary hub in Coventry, a large proportion of which will provide a dedicated processing centre for Amazon, to help fulfill demand created by the online retail giant as part of the ongoing strategic partnership between the two companies.
The new location - at Siskin Parkway West, Middlemarch Business Park, Coventry - was officially opened on April 30th by former Top Gear presenter Tiff Needell and has already created 20 newbs in its first phase. They will join more than 30 existing employees of Palletline member Reason Transport which will relocate its depot to the new hub as well as servicing Amazon’s Daventry fulfillment centre from the brand new location.
Palletline is the only pallet network to hold Amazon’s preferred carrier status for inbound deliveries. It handles the bookings and administration for its members, who then run into Amazon’s 22 fulfilment centres around the UK.
The new 180,000sq ft hub includes 138,000 sq ft of warehouse space, 28,000 sq ft of exterior canopied area and 14 000 sq ft of offices set in an 11 ½ acre site.
It is a response to the ongoing growth commitment to Amazon over the next five years and initially is expected to move around 4,000 pallets on a daily basis. The new facility will be for Palletline members delivering on behalf of Amazon from a central hub as the relationship continues to yield significant volume increases throughout the year. During November 2017 inbound peak for Amazon represented 10% of Palletline’s network volume, a figure that is destined to grow.
Operations Director Richard Gutsell, said: “The new facility will replace Palletline’s Warwickshire hub near Rugby which is scheduled to close in May. The ongoing transfer is going to be done in a number of phases, but we have already started the process.”
Once the closure of the Warwickshire hub is complete, Palletline’s other customers located there will transfer to the new secondary facility.
Gutsell added: “As a separate sortation facility for Amazon freight, it will have the added benefit of relieving pressure and freeing up capacity for the standard freight moving through the network.
“It has not only secured employment in Coventry, but added to it with 20 new positions already created at the new hub, a situation I see as developing further as the relationship with Amazon and the consolidation of our other customers at the hub, continues to develop.”
Palletline Managing Director Graham Leitch said: “The opening of a secondary hub in Coventry is a further example of Palletline investing in the future of its UK business through strategic growth and the vision and faith of its customers and member companies who recognise the transformative power of partnership and the mutual benefits that it delivers.”