REWE Group has inaugurated a new distribution centre at its Magdeburg Rothensee industrial and logistics centre, three years after construction commenced at the site.
The German retailer has invested around €250 million in the new building, spanning approximately 49,500 square metres, it added.
REWE teamed up with warehouse automation solutions provider Swisslog to implement automation technology at the facility.
Peter Maly, chief operating officer of logistics and supply chain management at REWE Group, stated, "With this high-tech warehouse in Magdeburg, we are not only securing the supply of goods to our markets in the north and east, we are also entering new dimensions in terms of the level of automation and the performance of this second central warehouse. [...]
"With 50% full automation, the RE D 39 [the new facility] is now the next evolutionary step in central logistics and makes Magdeburg one of the most modern logistics locations - not just for us in the REWE Group, but in all of Europe."
In 2014, REWE Group opened its first partially automated central warehouse in Neu-Isenburg. It opened its second partially automated warehouse in Henstedt-Ulzburg in 2022.
Distribution Centre
In due course, RE D 39 will supply food items to nine regional warehouses in the REWE East and North regions and 1,900 stores.
In addition to REWE, the customers of the new logistics centre include stores from Nahkauf and other trading partners of the REWE Group.
The logistics centre has space for 20,000 dry goods items, and on peak days, up to 286,000 packages can leave the distribution centre per day via 53 outgates for goods.
When fully operational, the facility will employ 270 people, the company added.
The products that will be manually packed include light and small goods.
Lars Siebel, executive director of logistics explained, "Modern food retail with store opening hours of up to 17 hours places enormous demands on logistics. With the opening of our new central warehouse, we have reached a major milestone in the implementation of our logistics strategy and can react to future growth in sales, volumes and items.
"The RE D 39 enables us to further optimise the distribution of goods in the REWE full-range area by significantly increasing flexibility, with improved delivery frequencies and delivery bundling as well as competitive logistics costs."
Sustainability Focus
The facility will have a positive impact on the REWE Group's climate goal as it will save approximately four million kilometres of transport distance every year.
Moreover, the building has earned 'Gold' status from the German Sustainable Building Council (DGNB).
The facility has been designed as a multi-storey structure to limit soil sealing.
Other sustainability measures include the use of regional building materials, LED lighting, photovoltaic systems, green roofs, and e-charging stations for cars and bicycles, among others.
