SCGJWD Logistics Public Company Limited (SJWD) is set to further expand "Bangna Logistics Cluster" to support strong demand in the area of kilometer markers 19 to 23 on Bangna-Trat Highway, which is considered to be a strategic location for goods transport and distribution. Most recently, the new general warehouse covering an area of 18,000 square meters has opened and has already received full 100 percent advance booking of warehouse space. This new facility has pushed the Company's total service area in this location up to nearly 140,000 square meters at eight projects offering a variety of services, including "multiple temperature" cold storage warehouses, general warehouses, vehicle storage and management, and shipping services. This new development reinforces the Company's strategy to collaborate between businesses to make use of available assets for maximum efficiency.
Mr. Charvanin Bunditkitsada, Co-Chief Executive Officer of SCGJWD Logistics Public Company Limited (SJWD), the largest integrated logistics and supply chain service provider in ASEAN, announced that the Company recognized the potential of the Bangna location which is a crucially strategic area for logistics and supply chain services with continuous demand. This is especially true for the area around kilometer markers 19 and 23 on Bangna-Trat Highway, which has been designated as an industrial area suitable for the development of warehouse projects and businesses relating to logistics. Therefore, at current, the Company has decided to develop in this zone as the "Bangna Logistics Cluster" which is a project consisting of "multiple temperature" cold storage warehouses, general warehouses, areas for vehicle storage and management and areas for shipping services. Most recently, another new general warehouse project has been inaugurated. This has been developed by Alpha Industrial Solutions Company Limited, which is a joint venture between SCGJWD and Origin Property Public Company Limited (ORI). The new facility has a rentable space of 18,000 square meters of which a full 100 percent of the space have been reserved in advance. This new facility is expected to generate an annual income of more than 50 million baht.
"The new general warehouse project will become a transport and storage hub for a wide range of products including spare parts for the automotive and electric vehicle (EV) industries that are rapidly growing in Thailand. We are doing this by combining services with the businesses of the SJWD Group that provide Customs clearance services for goods entering and exiting the Laem Chabang Sea Port, as well as providing services to other industries. We have continuously expanded our investment in the Bangna District and we are proud to have been considered a leading logistics and supply chain service provider in this area, and being able to provide diverse and comprehensive services to customers," Mr. Charvanin said.
SJWD Co-CEO further said that following the opening of this new general warehouse project, the service potential for customers will increase significantly, while also resulting in the Company having a total service area of approximately 140,000 square meters at eight projects that have already been developed in the "Bangna Logistics Cluster" area around Bangna-Trat kilometer markers 19 to 23 on Bangna-Trat Highway. With this enormous capability, the Company will be able to meet the needs of customers from a wide range of industries such as food, automobile and automotive parts, industrial products, healthcare, etc. As of November 2023, the average space occupancy rate at all projects was 88 percent, with projected annual revenue of no less than 1 billion baht.
The "Bangna Logistics Cluster" consists of (1) Three cold storage warehouse projects around Km. 19 and Km. 22 on Bangna-Trat Highway. The significance of these cold storage facilities is that they are multiple-temperature cold storage warehouses - meaning that in one single warehouse, different temperatures may be set and maintained, for example - from 20 to 25 degrees Celsius, 0 to -10 degrees Celsius, and even -18 to -25 degrees Celsius. The project in the Bangna Km. 22 area was open for service in July 2023, utilizing robotic ASRS (Automated Storage & Retrieval System) to accurately store and retrieve products quickly and precisely while also reducing energy consumption. Currently, the average space occupancy rate is approximately 53 percent while the facility is being prepared and to expand the scope of service to cover healthcare products that are certified with GMP and ISO13485 standards - another first for the Company. (2) Two general warehouse projects, providing storage services for automotive spare parts, retail and e-commerce industries. And (3) Automotive spare parts storage area and vehicle management, and providing transport and distribution services for leading operators in the growing Chinese electric vehicle industry as well as automotive assembly operators from Europe and Japan.
"The development of the Bangna Logistics Cluster in the area around kilometer markers19 to 23 is in line with the Company's strategic direction following the merger of JWD and SCGL, with the focus on combining the collaboration among affiliated businesses to ensure the most efficient use of assets through cross-sale and up-sale strategies and to offer other services to customers to create more revenue streams," Mr. Charvanin added.
For more information on logistics operations: https://www.scgjwd.com/th.