Inside Logistics

Kroger building another Ocado DC

Frederick, Maryland facility will serve Maryland, Pennsylvania and the District of Columbia


January 24, 2020
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Kroger and Ocado’s new customer fulfillment centre – an automated warehouse facility with digital and robotic capabilities, also known as a “shed”. (PRNewsfoto/The Kroger Co.)

FREDERICK, Maryland  – The Kroger Co. and Ocado have unveiled plans for a new fulfillment centre in Frederick, Maryland. The companies had suggested plans for a mid-Atlantic site in 2019, but until now the location was not specified.

“Kroger is incredibly excited to construct one of our industry-leading Customer Fulfillment Centers in Maryland in relationship with Ocado,” said Robert Clark, Kroger’s senior vice-president of supply chain, manufacturing and sourcing.

The CFC model – an automated warehouse facility with digital and robotic capabilities – will be used to serve customers across the region, including Maryland, Pennsylvania and the District of Columbia.

When complete the 350,000-square-foot CFC will create 400 new jobs, with up to 100 more added later as the service area expands. It is expected to become operational 24 months after ground is broken at the site.

The Maryland facility will be the sixth Ocado fulfillment centre for Kroger. The companies most recently announced a new facility in Wisconsin, last November.

“We are excited to bring Kroger and Ocado’s latest automated warehouse to Frederick. It will create job opportunities for engineers looking to work alongside state-of-the-art robotics and automation,” said Luke Jensen, CEO of Ocado Solutions.

“We are thrilled to welcome Kroger and Ocado. Their high-tech innovative business will bring life to a vacant distribution facility, will add hundreds of new jobs, and make an investment of tens of millions of dollars in our community,” said Frederick County executive Jan Gardner.

“County staff worked closely with the businesses for many months, facilitating a smooth process for permits, water and sewer, and other details. We were pleased to fast-track the project and want Kroger and Ocado to know our support will be ongoing. We are pleased to welcome them to our growing e-commerce business community. Frederick County is a great place to do business.”