Coles to build a third automated distribution centre

Coles Group will spend $880 million on a third automated distribution centre, this time based at Truganina in Melbourne’s outer west.

The centre will use the same Witron supply chain automation technology as two existing distribution centres built in NSW and Queensland.

It opened the first centre in Queensland in April 2023, followed by the NSW facility in August this year.

Coles said in a statement that its “further investment in technology and automation is part of [a] strategy aimed at delivering a more efficient, safer and sustainable supply chain network.”

The Truganina centre is expected to have 15 percent more capacity than the existing two facilities, partly because it is anticipated to service more than one state.

“The Victorian [centre] is expected to service all stores in Victoria and Tasmania and will also integrate into Coles’ existing supply chain in South Australia and Western Australia, enabling improved availability for our customers in those states."

"This is another important step in Coles’ business transformation as we continue to invest in technology to enhance product availability for our customers and improve efficiency across our supply chain,” Coles managing director and CEO Leah Weckert said.