Amazon launches new fulfillment centre in Riyadh

Amazon’s launched its latest fulfillment centre in Riyadh, Saudi Arabia.

The new centre is Amazon’s most advanced in Saudi Arabia and aims to position the kingdom as the go-to logistics hub for the region.

The new facility incorporates solutions powered by artificial intelligence and machine learning in its operations and more than two and a half kilometres of conveyance equipment to ensure seamless fulfillment operations.

The company’s network in the country comprises two fulfillment centres, three sort centres, a footprint of over 25 owned and third-party delivery stations, and a network of small and medium businesses working as delivery service partners across the kingdom.

To ensure local talent is able to grow and advance their careers, Amazon offers training, upskilling and mentoring programmes that empower employees to reach their full potential.

As part of its commitment to be net-zero carbon across its business by 2040, the facility is powered 100 per cent by electricity, including its heating and hot water systems, avoiding the use of fossil fuel combustibles and with energy efficiency as a top priority.

Heating, ventilation and air conditioning is controlled by a building management system that ensures a comfortable working environment for employees while reducing unnecessary energy consumption. In addition, LED lighting adjusts according to natural light availability and building occupancy, and indoor air quality is constantly monitored.

Speaking at the launch, CEO of Saudi’s National Industrial Development and Logistics Program (NIDLP), Engineer Suliman Almazroua commented, “Saudi Arabia has made remarkable progress in developing world-class infrastructure and business-enabling policies that aim to place the kingdom at the forefront of investor attractiveness. Amazon’s expansion supports Saudi Arabia’s logistics sector – one of NIDLP’s four key sectors – bringing the latest innovations and technologies in ecommerce operations to the country. The new fulfillment centre in Riyadh will further unlock the value of the kingdom’s resources by empowering local startups and entrepreneurs with improved global connectivity and access to new markets.”

Amazon doubles storage capacity in Saudi Arabia

The new centre will double Amazon’s total storage capacity in Saudi Arabia. The facility spans 390,000 square feet across five floors – approximately the size of five football fields. It will be able to store over nine million products such as electronics, appliances, groceries, fashion, books, and more.

Abdo Chlala, country manager, Amazon Saudi Arabia, said, “Our expansion and investment in our network underscores our commitment to delivering an enhanced shopping experience for customers, providing Saudi businesses with greater access to Amazon’s expertise in fulfillment, reliable countrywide delivery, and customer service, and unlocking opportunities for local talent.Led by a diverse cohort of talented Saudi nationals in managerial positions, we expect this fulfillment center to support the kingdom’s digital economy goals.”

The company has been working closely with Monsha’at, Saudi Arabia’s General Authority for Small and Medium Enterprises, to empower this segment of the economy, with an aim to host 40,000 Saudi sellers by 2025 on Amazon.sa.

Saudi sellers can take use the Fulfilled by Amazon (FBA) offering that allows them to store, pick, pack and ship customer orders through Amazon.