Amazon confirms plan for ‘fulfilment centre’ in Melbourne

Amazon has confirmed Melbourne as the site of its first “fulfilment centre” as it launches its Australian assault.

An Amazon fulfilment centre in Britain. Pic: Getty Images

Amazon has confirmed plans to set up a fulfilment centre in Melbourne’s southeastern suburbs as it pushes ahead with rolling out its full retail operation in Australia.

The retail giant also announced it will appoint an executive from its German operations to run Amazon Australia. Rocco Braeuniger, director of consumables at Amazon.de, will take up the role of country manager for Amazon.com.au in the coming months, a spokeswoman said.

The eCommerce juggernaut said today it will set up its first Australian fulfilment centre at the private Pellicano Property’s M2 Industry Park in Dandenong South - a move previously flagged by The Australian.

The planned 24,000 square metre warehouse is close to key roads including the South Gippsland Highway, Monash Highway and EastLink. The lease was brokered by CBRE’s Industrial and Logistics team.

Amazon’s looming rollout is set to add pressure on local retailers and retail landlords, already grappling with cautious consumers in an era of sluggish wages growth.

Amazon is recruiting for roles including operations managers, pickers, packers, systems technicians and HR staff.

Amazon’s director of operations for Australia said hundreds of new jobs would be created in Dandenong South.

“This is just the start,” Robert Bruce said.

“Over time, we will bring thousands of new jobs to Australia and millions of dollars of investment as well as opening up the opportunity for thousands of Australian businesses to sell at home and abroad through Amazon Marketplace.”

The centre will stock hundreds of thousands of products for delivery across Australia, he said, adding that offering low prices would be a focus.

Victorian Industry Minister Wade Noonan said the move would create retail opportunities for thousands of local businesses.