Woolworths unveils plans for two new distribution centres in Sydney

Woolworths Group’s supply chain arm, Primary Connect, has revealed plans to build a fresh food distribution centre and a liquor distribution centre in Western Sydney.

The proposal for a new fresh food DC in Wetherill Park was lodged earlier this year and has received investment approval from the Woolworths Group Board. A separate planning proposal will be lodged for a new liquor DC in Kemps Creek this week.

Both are subject to NSW Department of Planning approval.

The new sites are the final step in a major transformation of Primary Connect’s NSW supply chain network, with the company’s Moorebank supply chain hub commencing construction in May this year.

The 76,000sqm multi-storey fresh distribution centre at Wetherill Park is set to service more than 280 Woolworths stores across NSW and will commence construction in 2023. The site is set to support up to 700 ongoing jobs and more than 500 jobs throughout construction.

At more than six times the size of Bankwest Stadium’s playing field, the temperature-controlled distribution centre will have the capacity to distribute more than 3,700 fresh produce and chilled lines.

“The development of the Wetherill Park facility will help us deliver high-quality fruit, vegetables and chilled goods to our customers fresher, faster and more efficiently than ever before,” said Brad Banducci, CEO of Woolworths Group.

“Wetherill Park is strategically located in close proximity to a large number of our stores, suppliers and transport providers, making it an ideal base for our fresh food distribution in NSW,” Banducci said.

“The co-location of fresh and chilled operations across a multi-storey site will also help remove more than 11,000 truck movements off Sydney roads each year – delivering environmental, traffic and road safety benefits to the community,” he said.

The Wetherill Park DC will replace the current fresh network in NSW, which is nearing capacity.

The 35,000sqm Kemps Creek Liquor DC will be managed by Primary Connect and service more than 400 Dan Murphy’s and BWS outlets across NSW under a partnership agreement with Endeavour Group from 2022.

Kemps Creek will provide ongoing employment for around 180 team members and a further 100 jobs will be supported during construction.

“We’re pleased to be partnering with Endeavour Group on the Kemps Creek development to deliver improved service to their store teams,” said Paul Graham, Managing Director at Primary Connect.

“It’s a major commercial agreement for Primary Connect, which recognises the scale and capability we can offer to external partners. Importantly, the project will also deliver hundreds of new jobs on the doorstep of the fast-growing Western Sydney Aerotropolis,” he said.

Primary Connect has agreed an initial five year lease on the site. It will replace the current Erskine Park Liquor DC, which will be converted into an ambient grocery facility to service Woolworths Supermarkets.

Primary Connect has signed a lease extension at Erskine Park through to 2028.

Source: Woolworths