ALP investing US$1 bil to develop next-gen warehousing parks in Malaysia

TAIWAN’S largest warehousing infrastructure developer, ALP (Ally Logistic Property Co Ltd) is set to invest US$1 bil in Malaysia to develop smart warehousing solutions to boost the nation’s logistics industry.

Such plan is already underway with the development of the company’s first-of-its-kind US$180 mil 27-acre logistics park with smart warehousing facility called OMega in Bukit Raja, Selangor.

OMega is a multi-storey, technology integrated warehousing platform with hyper-automation built in.

It is designed to help not only Malaysian but also multinational brands and retailers achieve improvements in efficiency and greater accuracy in decision-making in response to the high volatility of e-commerce and vigorous development of digitalisation.

ALP Bukit Raja OMega is expected to generate an estimated 500 job opportunities.

According to ALP’s co-founder & CEO Charlie Chang, Malaysia’s supply chain industry represents vast opportunities that are yet untapped.

“The Malaysian market offers tremendous potential, and we are confident that our investment here will attract more regional players and other high-value investments to drive Malaysia’s aspirations towards becoming a regional e-commerce hub,” he pointed out.

“ALP’s OMega introduces collaborative operating models to unveil new economic opportunities and spur growth for the industry while empowering local brands in their digital transformation journey to reach new markets and unlock wealth.”

 

Artist impression of ALP Bukit Raja OMega

 

Malaysia continues to remain an attractive market for e-commerce with its gross merchandise value (GMV) projected to rise to US$30 bil by 2025. E-commerce income grew 23.3% year-on-year to RM267.6 mil in the 2Q 2021 driven mainly by the manufacturing and services sectors.

The economic spill-over from the OMega facility will see the creation of new growth drivers for the nation while supporting Malaysia’s Logistics 4.0 goals.

ALP Malaysia managing director Karen Liu noted that the smart warehousing model that ALP is introducing in Malaysia will provide greater momentum for Malaysian businesses to be part of the global supply chain.

“ALP’s investment will help to create more job opportunities in Malaysia,” she pointed out.

“With automation at the core of ALP’s offerings, we aim to enrich Malaysia’s warehousing infrastructure and advance convergence with global supply chains; this in turn will support Malaysia’s Logistics 4.0 ambition and strengthen its position as the preferred warehousing gateway in Asia.”

OMega’s construction is slated for completion in 1Q 2024. Intended as part of ALP’s regional chain of warehousing facility networks, OMega will capture the attention of multinational investors and brands looking to establish their regional distribution centres in Malaysia.

In 2019, ALP began its Southeast Asia market expansion with the first subsidiary office set up in Malaysia which will be followed by neighbouring countries including Vietnam, Thailand, the Philippines, and Indonesia.

Beyond Bukit Raja OMega, ALP is looking at complementary developments in Malaysia as part of its US$1 bil commitment. – Nov 5, 2021

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