Mercadona to invest 35 million euros in the expansion of its logistics block in Huévar

Mercadona to invest 35 million euros in the expansion of its logistics block in Huévar
  • The supermarket chain begins work on the construction of a new storage warehouse facility of 36,700 m2 on a parcel with more than 88,000 m2 of surface area.
  • The objective is to implement an innovative system for storage and preparation of fresh products in order to prevent overexertion of employees while increasing efficiency for logistics processes.

Mercadona has begun works for the expansion of its logistics block in the municipality of Huévar del Aljarafe in Seville, where it plans to construct a new storage warehouse facility of 36,700 m2 on a parcel of more than 88,000 m2 of surface area. Some 150 companies will participate in the construction, most being Andalusian SMEs. This activity will require an investment by the company of 35 million euros, executed throughout several phases, with the new warehouse facility, dedicated to storage, preparation and shipment of fresh products, anticipated to be operational in the year 2021.

The new Mercadona facilities will be equipped with a picking overhead crane (PPG), an innovative system for storage and automatic preparation of pallets for meat, fruit and vegetables. The primary part shall be a robotic system responsible for the execution of heavy work throughout the process, from reception of merchandise to the formation of pallets to be delivered to stores, in order to prevent overexertion of employees. Additionally, it shall ensure greater process efficiency, essential to achieve the company´s objective of guaranteeing maximum quality and freshness to customers.

This new storage warehouse facility shall be added to existing operational facilities in Huévar del Aljarafe, where the company has more than 83,000 m2 of constructed surface area. This logistics block, with a workforce of more than 800 employees with stable quality employment, currently supplies 167 supermarkets in the provinces of Seville, Cádiz, Huelva, Badajoz and the Canary Islands.

Mercadona implemented this innovative system (PPG) for the first time in its logistic block in Guadix (Granada), which began activity in October 2013. By that time, the company already had two logistics blocks in Andalusia, located in Antequera (Malaga, 2000) and Huévar del Aljarafe (Seville, 2004). Mercadona’s commitment is the prevention of overexertion in its Andalusian logistics network. In 2017 alone, the company allocated more than 13.6 million euros to improvements in its Andalusian logistics blocks.

Mercadona in Andalusia

The supermarket chain has 350 stores in Andalusia and a workforce exceeding 18,280 workers with stable quality employment. Purchases by Mercadona from Andalusian suppliers amounted to 2.86 billion euros in 2017, 36 million euros more than in 2016, a figure that reflects the company’s commitment to the Andalusian agri-food sector.

To promote the investment strategy to transform the company, Mercadona has addressed different aspects. As regards innovation in stores, particularly in the case of Andalusia, in 2017 more than 88.5 million euros were allocated to the opening of 4 new supermarkets (2 due to the closing of stores that did not meet required company standards) and the remodelling of 29 other establishments, all under the new Efficient Store Model, which in addition to reducing energy consumption, enables optimisation of customer purchases while facilitating daily tasks of employees. In the province of Seville, where Mercadona currently has 69 supermarkets, the company will invest 27 million euros this year to remodel twelve supermarkets. Thus, by the end of 2018, it will have 15 stores adapted to its new Efficient Model.

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