UK retailer Tesco has unveiled plans to open a “green” distribution centre this summer.
The Teesport Distribution Centre in Middlesbrough will be Tesco’s first purpose-built import storage facility and represents an investment of GB130m.
Tesco said that the centre will take over 12,000 lorry journeys off the UK’s roads each year, as the port location means that goods arriving by sea will no longer be transported in-land. Additionally, when the goods are moved to various locations throughout the UK they will be transported by rail.
The company said that the move will create 800 jobs.
However, Tesco will close its existing distribution facility in Coventry with the loss of 200 jobs, a spokesperson for the company confirmed.
The spokesperson said the Coventry distribution site is no longer able to cope with the volume of goods that pass through it.
“We need to increase our storage capacity to deal with the increased levels of containerised goods and building a storage facility at the port delivers the facilities needed as well as jobs and environmental benefits,” UK retail operations director David Potts said.