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SINGAPORE: July 09, 2018. Panalpina has opened a 25,800 sq.mt. custom-built logistics facility in Singapore at a cost of CHF40 million for first customers Metro, a leading furniture brand from Korea, and Royal Dutch Shell’s local lubricants production facility.

Panalpina is providing Metro a range of services, from ocean airfreight to warehousing and distribution, including assembly services and last mile Singapore delivery for its iLoom furniture subsidiary.

Panalpina SINGShell Lubricants has awarded Panalpina a new warehouse management and freight deal the logistics company says will transform Shell’s supply chain in and out of Singapore “into a full end-to-end operation”.

Shell’s integrated lubricants and grease production facility in Tuas, West Singapore is the size of almost 25 football fields; it is the oil company’s third largest lubricants plant in the world and the second largest in Asia-Pacific, capable of producing up to 430 million liters of lubricants and greases every year – enough to change the engine oil of over 12,000 cars, every hour, every day.

“In a nutshell, what we do for Shell Lubricants is plant logistics in Tuas where we manage the internal movement of finished goods from the production line for dispatch to this facility which acts as a regional distribution center, and we manage transport between the plant and here and delivery to the end customer,” explained Panalpina president and CEO Stefan Karlen.

Last year Changi Airport’s airfreight volumes exceeded two million tons for the first time, while throughput at the port of Singapore reached 33.3 million TEU. With a fifth runway under construction at Changi and the sea port being relocated to Tuas from Keppel, Karlen said his company is positioning itself to offer value-added logistics services to the energy, healthcare, high tech, manufacturing and FMCG sectors.

Speaking at the opening of the new building, Panalpina’s largest warehouse investment outside Europe, Karlen said it celebrated 40 years of doing business in Singapore last year and assured his audience, including the Swiss ambassador to Singapore and representatives of the Singapore Economic Development Board, the company was “in for the long-haul”.

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