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Amazon opens new fulfillment center outside of Edmonton
[ July 2, 2021 // Gary G Burrows ]On June 28, Amazon announced plans to establish a new fulfillment center in Ascheson, Parkland County, some 25 miles west of Edmonton, Alberta. The facility will support Amazon fulfillment/distribution needs across Western Canada.
The more than 600,000 square foot Parkland location will be its first robotics facility in Alberta. Despite the warehouse’s use of robots, Amazon will hire more than 1,000 full- and part-time staff to work at the facility, which is expected to open in 2022.
“Parkland County is an ideal location for fulfillment centers. Its close proximity to a major population center, it is part of the Edmonton Metropolitan Region, offers easy access to 1.4 million customers. Its strategic location along the CANAMEX corridor and the Trans-Canadian highway, allows companies to cover via truck all of Western Canada within 1 day drive.” said Rod Shaigec, Mayor of Town of Acheson, Alberta.
Market conditions for logistic/distribution companies could not be better. Post COVID-19, the global logistics market size is projected to grow from USD 2,734 billion in 2020 to USD 3,215 billion by 2021, at a Y-O-Y of 17.6%. The major drivers of this market are increased focus on the continued supply of essential commodities and online purchases, the creation of supply chain stabilization task forces to fight COVID-19, and the growing demand and distribution of personal protective equipment.
As companies look to reshape their logistics operating model to increase effectiveness, efficiency, and resilience they should remember that Canada’s borders are very much open and provide and excellent conduit for the flow of goods and products between Canada, the United States and the world.” said Robert Fernandez, Director of Economic Diversification, Parkland County. “Canada also gives investors preferential market access through 14 trade agreements to 51 countries with nearly 1.5 billion consumers and a combined GDP of US$49.3 trillion.”
Other logistic assets include a Foreign Trade Zone, 24/7 air cargo services at the Edmonton International Airport (EIA), which offers the shortest flight distance between North America and Asia (via the North Pole), 2 Class 1 transcontinental rail carriers with intermodal terminal, and access to western Canadian ports via road and rail, offering easy access to Asian markets.
In addition to locating in Parkland County, Amazon will be donating more than 200 build-your-own robot kits to community groups in the Parkland County area with the goal of providing the resources necessary to introduce local youth to the world of robotics, unlock their imagination and explore a new challenge. The project is being developed in partnership with Parkland County, Panattoni Development Company and QuadReal.