FedEx Express is investing over $70 million in a new temperature-controlled facility and heavyweight pickup and delivery operation at its World Hub in Memphis, USA, and in a new distribution
hub in Mexico.The 8,175 sqm facility in Memphis, which is reportedly valued at around $25 million, will bedirectly connected to the hub operations resulting in higher efficiency for shipments passingthrough the company’s network and improved handling of cold chain shipments.
Scheduled to become operational in autumn 2014, the state-of-the art facility offers severalunique features for cold chain shippers ensuring their shipments remain within their intendedtemperature range in case of delays. This is thanks to temperature-controlled rooms for -25°C to-10°C (frozen), 2°C to 8°C (cold) and 15°C to 25°C (controlled room temperature) products.
The facility’s cutting-edge technology includes flexible walls allowing precise temperaturecontrol and segregation of commodities while also monitoring real-time CO2, humidity andtemperature. Among other features, there is a staging area for shipments using the FedEx ThermalBlanket solution, designed to maintain controlled room temperature requirements during transit. Itis compliant with the European Union’s Transported Asset Protection Association (TAPA)requirements.
“At FedEx, we offer an outstanding customer experience for those shipping time andtemperature-sensitive goods,” Richard W. Smith, managing director, FedEx Express Life Sciences andSpecialty Services, said. “With our new, world-class cold chain facility, we will be able to bettermanage healthcare products and other perishables in the event of unforeseen delays, such asclearance holds or inclement weather, and give our customers the peace of mind they deserve whenshipping sensitive goods.”
In Mexico, FedEx Express is investing $48 million in the construction of a new nationaldistribution centre in Cuautitlán Izcalli, a city in the state of Mexico, aimed to improve transittimes, delivery and collection as well as geographical coverage.
The centre will have an area of 70,000 sqm, of which over 17,000 will be allocated for storage.The distribution facility is due to go into service later this year and will handle 90% of theshipments that FedEx delivers in the country. It is part of the $160 million investment programmein Mexico launched in 2011.
Jorge Torres, FedEx CEO in Mexico, said: “It will have the capacity to handle 12,000 parcels perhour to deliver them to the destination the next day in very competitive times.” He added that thecompany has been growing by 500% in Mexico creating 5,000 jobs in the country, of which 800 staffwill work at the new centre.
Meanwhile, FedEx is celebrating this month the first anniversary of its four weekly B777 flightsfrom Milan, Italy, to the Memphis hub. The service represents the fastest connection for packagesand heavy shipments weighing up to 1,000 kg from Milan to the USA. FedEx Express is expandingstrongly in Italy at present and has opened more 20 new stations in the past 18 months.