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PETALING JAYA: Integrated logistics services provider Xin Hwa Holdings Bhd today opened its Shah Alam E-Fufilment Centre, riding on the warehousing boom.

Located along Elite Highway less than 30km to Port Klang, the centre is designed to facilitate e-commerce logistics. It comprises a seven-storey office and a three-storey warehouse with a total built-up of 300,000 square feet.

Managing director Ng Aik Chuan said it has been a rewarding journey for Xin Hwa since its venture into the warehousing and distribution business in 2007, as it grows together with its customers.

“With the addition of this facility, not only does it expand our warehousing services, but it also enables Xin Hwa to extend our land transportation services to customers of E-Fulfilment Centre.”

E-Fulfilment Centre has the ability to cater to high volume and smaller-sized packages to be delivered by trucks, which is critical in fulfilling the surging volume in e-commerce activities. In addition, this facility has several built-in conveyor elevators to transport items between floors, which speeds up goods mobility within the warehouse.

“It has opened doors to a whole new customer segment for Xin Hwa. In fact, at this E-Fulfilment Centre, we now serve leading online shopping platforms in Malaysia and even foreign e-commerce logistics companies, including one of the largest unicorns in China,” Ng said.

Ng said the timing of this facility is perfect as it can capitalise on the robust demand for warehousing space stemming from the prevailing supply chain bottlenecks and growing e-commerce market spurred by the Covid-19 pandemic.

“In fact, the response for this facility has been encouraging as we have already secured several high-profile tenants which fully occupy our ground floor and 80% of the first floor. Meanwhile, the second floor has been partially occupied and we are now in negotiations with prospective tenants to take up the remaining space by end of April.

“We are confident that this new facility will bring the group to greater heights while generating positive value for both our shareholders and stakeholders. Meanwhile, we are also experiencing pickup in demand for our logistics services. With the imminent progression towards endemicity and reopening of international borders by April 1, 2022, we expect the demand uptrend to sustain. Xin Hwa is poised to ride on this positive trajectory and we certainly look forward to much better performance in the coming year,” Ng said.