Finland Post Logistics to start Moscow Operations ahead of time

Finland Post’s first logistics centre will start operating in Moscow in February 2007, earlier than planned. The new logistics centre and Russia’s strong economic growth will enable Finland Post Logistics’ development and expansion in western Russia in the next few years.

Used by Finland Post Logistics, the logistics centre has an area of some 20,000 square metres. It will provide contract logistics services, including finishing services such as preparing goods for delivery in Russia, service warehousing and delivery services, as well as transport and forwarding services in the growing Russian market. The centre has paid special attention to security requested by customers, which meets the highest international standards.

The first customers in need of contract logistics services include international electronics and IT corporations, such as Canon and Brightpoint, but the centre also expects Finnish grocery companies and specialty goods companies to number among its customers.

The logistics centre has good connections, being located north of Moscowclose to the Sheremetjevo Airport and free of downtown congestion, providing excellent opportunities for efficient transport and delivery management. The local delivery network will be based on partnerships.

Both Finnish and non-Finnish companies are interested in expanding in Russian markets, which has been reflected in strong growth in demand for logistics services for Russia. Finland Post Logistics’ strengths in the industry include sophisticated information system solutions localised into Russian and according to local needs, with Logia Software Oy, a Finland Post Group subsidiary, being responsible for the system’s development.

Logia Oü, a Logia Oy subsidiary, has operated in Estonia since 2002. In line with the strategy, Finland Post Logistics will extend its operations to cover the Baltic market while creating shared service packages throughout the Baltic Rim. April 2007 will see the opening of a 13,000-m2 logistics centre in Kaunas, Lithuania, which will operate as a provider of contract logistics services and a terminal for ever-increasing freight services. Finland Post’s network of subsidiaries currently covers all of the Baltic countries and Scandinavia.

The strong network throughout the Baltic Rim will contribute to providing customers with the opportunity to plan and implement effective solutions alongside Finland Post Logistics for the Russian market. Some of the goods can be stored in bonded warehouses based in Finland or Estonia, from where they are transported to Russian logistics centres for finishing and delivery in Russia.

Finland Post Logistics plans to expand its operations into Russia as early as 2007 and to increase its contract logistics capacity in Moscow. It should prove feasible to raise storage capacity in Russia to around 200,000 square metres within the next few years.

FOR FURTHER INFORMATION, PLEASE CONTACT:
Vesa Vertanen, Senior Vice President, Logistics, tel. +358 (0)20 451 5073, [email protected]

Aki Ojanen, Director, Contract Logistics, tel. +358 (0)20 451 8683, [email protected]

Corporate Communications:
Tuomo Antikainen, Information Officer, tel. +358 (0)20 451 4754, [email protected]

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