Walmart opens high-tech fresh food distribution center in south Dallas » Dallas Innovates

Walmart's new high-tech fresh food distribution center in Lancaster [Photo: Business Wire]

Retail giant Walmart has opened a new 730,000-square-foot produce distribution center (PDC) in Lancaster where fresh produce, eggs, dairy, flowers and frozen foods will be delivered, processed and distributed to nearby Walmart stores.

The new facility, 15 miles south of Dallas, is Walmart's second Lancaster-based facility, following the 1.5 million-square-foot next-generation fulfillment center opening in 2023. The new PDC, located at 940 East Pleasant Run Road, will be home to more than 500 full-time Walmart associates.

“South Dallas County is now home to two state-of-the-art Walmart facilities,” Dallas County Commissioner John Wiley Price said in a statement. “Walmart's investment validates that Dallas County and the Dallas-Fort Worth region are open for business.”

Streamlining the fresh food supply chain

Walmart said the fresh produce distribution centers are a strategic part of its supply chain transformation, stocking more than 4,600 stores with fresh and frozen foods. It said the Lancaster facility is the second of five new high-tech fresh produce distribution centers.

Walmart says the “cutting-edge” technology allows it to handle more than double the volume of shipments than traditional distribution centers, getting products to stores faster than ever before.

Workers are using a high-tech system to create “perfect pallets” with fragile items like eggs or yogurt stacked on top, reducing the number of boxes workers have to stack by hand. The store-ready pallets are made by department and are easier to unload in stores, the company said.

This maximizes truck space and reduces transportation costs, allowing us to pass the savings on to our customers.

Creating jobs and supporting local communities

“This is a milestone for our city, combining a skilled workforce with cutting-edge technology to provide fresh, high-quality food,” Lancaster Mayor Clyde C. Hairston said in a statement. “More than innovation, this center will create sustainable jobs in our community and increase access to nutritious food.”

The center also represents an economic opportunity for the city.

“With our Lancaster fresh produce distribution center, Walmart is opening the door to good jobs and great careers in this region,” Tim Cooper, senior vice president of grocery network operations at Walmart's U.S. headquarters, said in a statement. “This is more than just an investment, it's a commitment to our employees, our community and our future.”

Walmart said it is hiring for a variety of technology-focused roles, including automated equipment operators.

“We are proud to create new opportunities for our employees as we equip them with the skills to manage the advanced robotics technology that is transforming our business,” Irvin Goad, general manager of the new facility, said in a statement. “Associates at our Lancaster facility will play a vital role in ensuring customers get the products they want, when they want them.”

During the recent grand opening ceremony, Walmart donated $5,000 to Concord and $2,500 each to the Lancaster Police and Fire Departments. The company said the donations reflect Walmart's commitment to the community. In fiscal year 2024, Walmart and the Walmart Foundation contributed more than $159 million in cash and in-kind to Texas nonprofits.

Walmart said it serves customers in Texas at 590 retail stores and online through Walmart.com. The company employs more than 176,000 associates in Texas and supports local businesses across the state, spending $100.8 billion with suppliers in fiscal year 2024 and supporting 300,015 supplier jobs.

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