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Walmart Mexico Announces New $36 Million Distribution Center in Yucatán

Walmart Mexico Announces New $36 Million Distribution Center in Yucatán

Wednesday, July 5th, 2017

Walmart is ramping up its operations in Mexico, looking to strategically boost its distribution in the state of Yucatán. The company announced a $36 million USD (or 650 million pesos) investment into its logistics network for its Mexico and Central America operations based in the state.

Miguel Cavazza, Vice President of Logistics for Mexico and Central America, Walmart“Walmart de México y Centroamérica has been a pioneer in integrating logistics into its business model, looking for the best places and conditions to invest,” said Miguel Cavazza, Walmart Vice President of Logistics for Mexico and Central America, according to Milenio News. “For Yucatán, it is a reason for more satisfaction and gratitude, that big companies trust in investing in the state, for our people, the conditions to do business, and infrastructure.” 

With this newest distribution center, Walmart’s investment into Yucatán will now amount to around USD $171 billion (over 3.138 trillion pesos). Walmart has operations spanning 14 municipalities of the state of Yucatán including Mérida, Halacho, Hunucma, Izamal, Motul, Kanasin, Oxkutzcab, Tekax, Tixkokob, Tizimín, Ticul, Uman, Valladolid, and Progreso. This amounts to 3,457 permanent jobs. 

Walmart's current distribution locations in Mexico and Central America

“This new business unit will positively impact the state’s production infrastructure, since it will not only generate more than 500 direct and 250 indirect jobs, but it will also expand its supply network to the states of Campeche and Quintana Roo. This will reach more places in less time, which will eventually boost the investment made and attract more local suppliers,” Walmart’s executives stated, according to The Yucatán Times.

The company stated that this move will allow it to strengthen and expand its logistics network in Mexico. The Yucatán Times noted that Walmart Mexico and Central America has 36 business units and stores to support in Yucatán, which include the following:

  • 10 Bodega Aurrera
  • 11 Mi Bodegas Aurrera
  • 5 Bodegas Aurrera Express
  • 3 Sam’s Club
  • 1 Superama
  • 6 Walmarts

The new facility, and Walmart’s continued investment into the area, has also gained accolades from political figures in the state. 

Rolando Zapata Bello, Governor, Yucatán“The investment of Walmart de México and Central America confirms the good economic direction of Yucatán and new opportunities for quality employments,” said Rolando Zapata Bello, Yucatán Governor.

As Walmart continues to invest in Mexico’s prodigious grocery operations, will other retailers follow suit? Deli Market News will report.