FedEx Express Transforms Domestic Trade With its Distribution Center
OREANDA-NEWS. With an investment of USD 48 million, FedEx Express, a subsidiary of FedEx Corp. and the world's largest express transportation company, has opened FedEx Hub Nacional Mexico in the State of Mexico. This distribution center officially began operations today after being inaugurated in a special ceremony.
The new hub will become the centerpiece of domestic operations and will enable reductions in transit times, improved pick-ups, and more efficient deliveries throughout the country. The growth strategy for FedEx Express in Mexico expands the range of domestic and international solutions offered to all companies at competitive prices.
"While growing the international market, we have focused in recent years on developing equipment and infrastructure to support business between states and cities within Mexico by providing solutions that meet the needs of customers," said Jorge L. Torres, president of FedEx Express Mexico.
FedEx developed every aspect of the facility with the idea of making shipments to any part of Mexico easier. Thanks to its location, the 70,000 square feet of space, its 53 platforms for loading and unloading, the implementation of the latest technology, and the support of nearly 800 employees, the FedEx Hub Nacional Mexico will enable operations to improve transit times and extend pick-up schedules throughout the country.
The construction of the new Hub is a major commitment from FedEx to boost the economies of steadily-growing regions such as the state of Guanajuato (which contributes 3.9% to the National GDP), the state of Queretaro (which contributes 2% to the National GDP) and the State of Mexico, which, according to the National Institute of Statistics and Geography (INEGI), generates almost 10 percent of national GDP, among others.
This investment from FedEx Express aligns with the federal government's National Infrastructure Program, which aims to make Mexico a focal point for the sector, and infuses more vitality into domestic trade. The program seeks to promote regional development across the Republic through logistics connectivity to improve the country’s productivity.
According to the World Economic Forum, Mexico ranks 68 among 144 countries in the Infrastructure Competitiveness Index 2012-2013. In addition, the World Bank ranks Mexico 47 out of 155 countries in the Logistics Performance Index 2012. These figures indicate challenges that Mexico faces to fully develop its commercial role both domestically and internationally.
"FedEx sees the potential that Mexico offers for our business and has invested nearly USD 160 million since 2011. If Mexican businesses increase their competitiveness and reach more markets, FedEx and its employees will benefit. It's a win-win scenario and therefore, the company will continue to work and invest to accelerate trade in Mexico," said Michael L. Ducker, COO and president, International, FedEx Express. Today we have more than 300,000 team members in 220 countries and territories where we operate, plus 40 years in the industry. With this distribution center and the experience behind our brand, Mexican companies have the means to access markets globally," he added.
As of late 2013, Mexican businesses have more access points for their shipments through FedEx, thanks to more than 800 retail locations and the website that allows them to open accounts and request pick-ups. Domestic shipments made through these touch points will pass through the FedEx Hub Nacional Mexico before arriving at their final destination and customers will be able, as always, to track their packages through the FedEx webpage or mobile apps.
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