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CJ Logistics plans Thai expansion

CJ Logistics plans Thai expansion

SUNDAY, September 30, 2018

CJ LOGISTICS, the sector leader in South Korea, aims to be the leader in logistics in Thailand by 2020, the company’s managing director, Chung Chan Kyo, said.

The company entered the Kingdom in 1988 and has been involved in parcel delivery service since 2012. 
“For CJ Logistics, Thailand is the most important country in Southeast Asia as it is geographically located at the region’s centre,” said Cha Dong Ho, senior executive vice president/Parcel Biz Unit, CJ Logistics.
“The Thai e-commerce market has been growing continually for 10 years. Given the market opportunity, we plan to invest up to Bt5 billion in Thailand by 2020,” Cha said.
The new investment from CJ Logistics will be for the construction of more distribution hubs, internal system development and the launch of a mobile application, Cha said.
As the pioneer in the logistics industry in South Korea, the company now boasts of four core businesses since its establishment in 1930 – food and food services, entertainment and media, logistics and retail, and bio and pharma.
“We are now the No 1 parcel-delivery company in South Korea with the highest market share in the country,” says Cha.
The company currently has 74 service points throughout the country, aiming to increase to 200 by 2020. CJ Logistics now delivers 20,000 boxes per day, four times higher than the volume in 2014 while its workforce has also doubled in the same period. Currently, it employs 650 drivers and has set a target of 4,249 by 2020, Cha said.

88 years of experience 
“CJ Logistics has over 88 years of experience in the logistics sector, with a strong global network of comprehensive services. Present in Thailand since 1998, we are currently focused on helping to drive the growth potential of the e-commerce market in Thailand,” Cha said, adding, “from a long-term business perspective, this is a key factor in the growth of the logistics industry. Our goal is to help provide value to Thai companies and consumers with our service.”
In most countries where it has a presence, the company teams up with a local company for expansion of service. However, in the case of Thailand, the investment capital will solely come from the parent company in South Korea, said Cha. 
The company is committed to become the leader in the Thai parcel-delivery market through the introduction of new technologies from South Korea, he added. 
CJ Logistics (Thailand) Ltd plans to develop a 71,900-square-metre central logistics centre, Bangna Mega Hub, in the border area between Bang Na-Trat Road and Samut Prakan at an investment of Bt581 million. The new facility will be equipped with state-of-the art technologies and is scheduled to start operations in May next year.