Peel Ports is creating more than one million square feet of a Grade A warehousing space across its network at a time when demand continues to outpace supply.
The UK’s second-largest port operator cited a report by Savills, which suggested the country could be facing a major shortage of warehousing amid increasing demand and it was investing to provide customers with the storage facilities they needed.
The initial phase of investment will focus on the Port of Liverpool, where a new 900,000sq ft warehouse and upgrades to existing facilities will support customer operations.
An additional 100,000sq ft facility will also be developed at King George V Dock in Glasgow.
The port group said businesses were reviewing their supply chain strategies as global trade patterns changed and more organisations were seeking port-centric warehousing solutions to reduce and improve efficiencies.
It added that demand was being driven in particular by fertiliser, chemicals, defence, manufacturing and other bulk commodity markets.
Peel Ports said it had recorded a significant increase in fertiliser-related enquiries in recent months as importers and distributors sought reliable, accredited storage solutions to support agricultural supply chains and help maintain product availability across the UK.
David Huck, COO ports and marine at Peel Ports Group, said: “While economic conditions remain challenging, the strength of demand, particularly in Liverpool and across the wider North of England and West Coast of Scotland, gives us confidence to make this significant investment.
“Having warehousing located close to the quayside enables customers to streamline operations, reduce transport movements, improve speed to market and enhance supply chain resilience.”
