Tesco Lotus (Bangkok, www.tescolotus.net) plans to build a 25,000-sq-m cross-docking facility at its Wang Noi distribution center in Thailand. The company will also convert its entire fleet of 400 diesel-powered lift trucks and other motorized equipment to use 5% biodiesel fuel.
The retailer claims its fleet is the first and largest in Thailand to make the conversion and expects carbon dioxide emissions reductions of three tonnes per year.
Mike Reid, distribution director of Ek-Chai Distribution System, the operator of Tesco Lotus stores, says the existing seven-year-old cross-docking facility had been running at 90% to 105% capacity. The distribution center handles 1.3 to 1.5 million cases per week, while the new cross-docking facility will handle up to 3 million cases per week. It will start operating next year, according to Reid.
Tesco Lotus operates 380 retail outlets in Thailand.