Royal Cargo responds to Philippines’ growing food sector with new facility in Bulacan

July 25, 2018: Leading end-to-end logistics solutions provider Royal Cargo has inaugurated its 2 billion state-of-the-art facility - Cargo City North Hub in Bulacan, Philippines.

This new facility, which is by far the company’s largest and most-modern distribution hub, is built to serve the Philippines’ food and beverage industry as well as other industries that require efficient storage and distribution, from FMCG-type industries up to ready to eat products.

Part of the company’s expansion plan to provide efficient distribution channels in Northern Luzon, the hub is located along the Plaridel Bypass Road in Bulacan.

Royal Cargo now operates a string of warehouses in major growth areas such Cavite, Laguna, Cebu, Davao, Iloilo, Bacolod, Cagayan, Mega Manila and now in Central and Northern Luzon.

The Cargo City North Hub spans 6.6 hectares, with a 12,760 square metre cold chain facility, a 1.7 hectare container freight station, an 8,000 square metre dry warehouse and its own wastewater treatment facility.

The cold storage warehouse, considered the largest in the country, consists of 14 expansive temperature-controlled rooms, which have two blast-freezing rooms and an 800 square metre food processing area, and 18 loading bays, including two halal loading bays. With the Cargo City North Hub now in operation, Royal Cargo has in total four fully operational cold chain facilities, including two in Biñan, Laguna and one in Dasmariñas, Cavite.

“The growing trend for food, beverage and social entertainment spending has brought tremendous opportunities to the cold chain industry. This Cargo City North Hub is our answer to the increasing demands in the food sector, particularly in Mega Manila, Northern and Central Luzon, Clark and Subic. We see better years ahead in the industry, and opening the North Hub is our way of gearing up to sustain our supply chain operations for the long term,” said Michael Raeuber, Group CEO, Royal Cargo.

The warehouse was built using eco-friendly construction materials and has a solar panel-ready roof deck. The solar panels are scheduled to be installed by September this year.

“Philippines has a huge potential to become a major logistics hub by 2020. We believe that this new hub will take us one step closer to helping companies across the country achieve growth and expand to new markets such as the Asia-Pacific region,” said Elmer Sarmiento, president, Royal Cargo.

Royal Cargo’s next expansion efforts include the ground-breaking on its 3.6-hectare property in Cordova, Cebu, which has a 9,000sqm covered warehouse, and a 12-hectare South Luzon Hub. Growth hubs are likewise being planned in Davao, Iloilo and Bacolod.

In line with boosting its supply chain business, Royal Cargo now operates two CV 1100 vessels. The company bought more than 1,200 brand-new container vans, ISO tanks and reefer containers. More acquisitions are in the pipeline this year.