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Castorama, part of Kingfisher plc, entrusts Kuehne + Nagel with additional warehouse operations in Russia

Castorama, part of international home improvement company Kingfisher, has signed a 3 years agreement with Kuehne + Nagel for the logistics management of its distribution centre in Russia. 

Castorama, a brand of Kingfisher, operates 20 retail stores in Russia. Aiming to further increase distribution efficiency and to maximize product availability for its customers, the retailer has entrusted Kuehne + Nagel with the provision of handling services at its warehouse in Chekhov. 

The agreement leads to an extension of the existing cooperation between the two business partners, in which Kuehne + Nagel has been providing contract logistics and cross-docking services to Castorama in Russia since 2015. Under the new contract, Kuehne + Nagel is responsible for the entire logistics management of Castorama’s 63 000 sqm distribution centre holding up to 12 000 Stock Keeping Units (SKU). The comprehensive tailor-made solution includes value-added contract logistics services using state-of-the-art processes, such as pick-by-voice and other technologies, and is geared to maximize storage and handling efficiency. 

“The ever-expanding range of products, sizes, styles, weights, colours and other SKU variations, continually enlarges the inventory profile of retailers,” says Perry Neumann, President Cluster Russia + Belarus and General Director of Kuehne + Nagel LLC. “We are very happy to underline our long-standing contract logistics expertise by being able to support our important customer Castorama with a powerful integrated solution for a more efficient and cost-effective warehouse management.” 

“Professionalism and reactiveness of both Kuehne + Nagel operational team and project team were key contributor and facilitator of the successful starting of activity in a tight timing,” says Etienne de La Codre, Supply Chain Director of Castorama Russia.