Spinneys Abu Dhabi to build logistics facility in Kizad

Firm will invest $14.98m in dedicated cold storage facility.
Logistics, NEWS


Spinneys Abu Dhabi LLC will build a Dh55 million (US$14.98) dedicated cold storage facility in the logistics cluster of the Khalifa Industrial Zone Abu Dhabi (Kizad), it was announced recently.

A 50-year Musataha Agreement was signed between Engineer Khaled Salmeen, CEO and managing director of Kizad, and Tony Fernandes, director of Spinneys Abu Dhabi.

A 284,688 square feet plot of land has been allocated in the logistics cluster of Kizad Area A, in the non-free zone, where the company will set up a temperature-controlled distribution centre to store products from multinational consumer goods manufacturers. The facility will also be used to store food and non-food products that will then be distributed to various retail outlets across Abu Dhabi and Al Ain.

With this investment, Spinneys Abu Dhabi will benefit from access and distribution to local markets in a faster, more cost effective way making the most of Kizad’s world class transportation infrastructure and low utilities costs, deemed of great importance for operating cold stores.

“It gives us great pleasure to welcome one of the premier FMCG distribution companies in the Emirate of Abu Dhabi, Agencies and Trading division of Spinneys Abu Dhabi LLC, to Kizad’s logistics cluster. Kizad aims to establish long term relationships throughout the industrial zone through what it has to offer of business efficiencies, market access, low cost operating environment and the essential support for long term competitive advantage. Spinneys have had five decades of success and we look forward to seeing more success in the years to come with the support of Kizad,” said Engineer Khaled Salmeen.

Tony Fernandes added: “Our strategic agreement with Kizad is one that will support the growth of both parties backed by the creative business model that Kizad provides to its customers. Our decision to set up distribution facilities in Kizad is spurred by our strategy to deliver high quality products and we believe that the business environment at Kizad offers the perfect setting to help us achieve our goal.”

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