YCH expands in China

China - YCH's new contract with Frasers Centrepoint's China subsidiary is expected to build the Singapore-based logistics and SCM company's footprint in China.

The memorandum of understanding (MOU) between YCH and Chengdu's Sino-Singapore South West Logistics, a subsidiary of Frasers centrepoint, was signed between David Hwang, deputy chairman of Frasers Property (China) and Robert Yap, chairman & CEO of YCH Group, at the Wu Hou District of Chengdu Municipality. The MOU includes plans to develop a world class ambient warehouse as well as chilled and frozen cold rooms to serve the needs of the emerging consumer market.

The facility spanning an area of almost 200,000 sq metres, will be optimised for both cold and dry chains, with a focus on FMCG goods such as F&B, consumer electronics and healthcare products, as well as frozen and chilled food.

YCH will be using the three-level ramp-up facility to provide end-to-end supply chain solutions including storage, distribution and other value-added services.

"The launch of our Logistics Park in Chengdu represents a strategic leap forward for YCH in our plans to further enhance our capabilities and network in China; it will enable us to provide the expertise and best practices to China to deepen the inland network further into these cities, for quicker and more efficient distribution," said Yap.

As one of China's key economic transportation and communications hubs, Chengdu has witnessed an economic boom with an annual average growth of 14.2% over the last few years and is fast becoming the economy super highway of South-West China.

The establishment of the logistics hub at the strategic location of Wu Hou District is expected to shorten lead time to end destinations and serve as an ideal connecting hub to receive the goods from other main cities.

"Through bringing in more efficient supply chain processes, YCH will help to improve general food safety and hygiene standards especially for the cold chain business in Chengdu, as well as optimise distribution routes and provide effective management of trucks in the city", said Chen Zhongwei, director of the Modern Logistics Development Panel of Chengdu city.