BW Industrial Development JSC provides warehouses for Shopee and BEST Inc, with a total area of ​​up to five hectares in HCM City. — Photo vir.com.vn

BW Industrial Development JSC will provide warehouse space for Shopee and BEST Inc, with a total area of ​​up to five hectares in HCM City, to promote the two companies’ development in e-commerce activities, local media reported.

This will be the third fulfilment and distribution centre of Shopee, an e-commerce platform, in Viet Nam and the first automated warehouse of BEST Inc Viet Nam, a logistic service provider.

BW Industrial, a joint venture between global private equity fund Warburg Pincus and Becamex IDC Corp, has completed a strategic cooperation agreement with the two companies to develop the warehouses. This will promote development of logistics activities for e-commerce in Viet Nam.

Speaking at the signing ceremony, CKTong, BW Industrial CEO said with the two warehouse of Shopee and BEST Inc, his company expects to create "smart logistics" for customers in Viet Nam, adding they can create new standards to meet growing demand.

Tran Tuan Anh, Managing Director of Shopee Vietnam was quoted by Dau tu (investment) newspaper as saying that investment in logistics is one of basic factors for sustainable development of the domestic e-commerce activities. Cooperation between Shopee and BW will provide a better service for customers.

Nelson Wu, CEO of BEST Inc Vietnam, said Viet Nam's express delivery industry has had a strong upward trend. To seize this opportunity, BEST has chosen BW Industrial to deploy modern technology and software solutions to help customers have better management for their forwarding and business activities in Viet Nam and Southeast Asia.

Leading companies have expanded operations in Viet Nam, increasing demand for logistics real estate and real estate products.

In recent years, with an annual growth rate of 12-14 per cent, logistics is one of the most steadily growing services industries in Viet Nam. — VNS