Kuehne + Nagel to drive logistics expansion in Russia

Kuehne + Nagel has ambitious strategic development plans for Russia. Within the scope of its contract logistics growth policy in North-East Europe, the logistics provider aims to expand its warehouse space across the country to more than 300,000 sqm over the next three years.

In a move underlining the strategic importance and business potential of the Russian market, Kuehne + Nagel earlier this year relocated the regional headquarters for its North-East Europe region from Warsaw to Moscow; the region comprises Belarus, Bulgaria, Estonia, Latvia, Lithuania, Poland, Romania, Russia, and Ukraine.

Kuehne + Nagel, one of the world’s top-three contract logistics providers, entered the Russian market in 1992 and currently has 70,000 sqm of warehouse space under management at six sites in Moscow, St. Petersburg and Rostov-on-Don. Services in particular are dedicated to the requirements of the FMCG/retail and consumer goods/electronics industries. The company plans to significantly boost operations and expand its warehousing and logistics footprint in Russia to more than 300,000 sqm over the next three years. Before the end of 2007 alone, new facilities are scheduled to go into operation in St. Petersburg, Kazan, Yekaterinburg, Samara and Vladivostok.

Clemens Abt, who is responsible for Kuehne + Nagel’s North-East Europe region and National Manager for Russia since the beginning of the year, commented on Kuehne + Nagel’s expansion strategy: “With investments in facilities, technology and staff, we are developing high quality logistics operations in the country’s key consumer markets. For some time already we have been accompanying international companies and retail chains setting up activities in Russia. Our strategic expansion plans are a strong confirmation of our commitment to support customers develop and extend their business considerably further across Russia. Our medium-term objective is to position Kuehne + Nagel as one of the country’s leading contract logistics providers.”