Foodstuffs North Island invests $340m in Palmerston North distribution upgrade

Foodstuffs North Island has launched ‘Project Fusion’, a NZD 340 million multi-year redevelopment of its distribution network in Palmerston North. The initiative aims to replace aging infrastructure, meet seismic requirements, and increase freight capacity to supply stores across the lower North Island.

The project includes the construction of a new 32,400-square-metre temperature-controlled distribution centre at Alderson Drive to handle fresh, chilled, and frozen goods, replacing the existing Mihaere Drive facility. Additionally, the Roberts Line ambient distribution centre will be expanded by 19,300 square metres and strengthened against earthquakes.

Chief Executive Chris Quin stated that the investment is designed to improve product availability and reduce the network’s vulnerability to disruption. The upgrades will support brands including New World, PAK’nSAVE, Four Square, and Gilmours.