Alibaba, the e-commerce behemoth, will be expanding its operations into Pakistan for the first time. Cainiao, the company’s logistics business, is building two automated distribution centers in Karachi and Lahore as part of this expansion.
The smart distribution centers, according to TechCrunch, would include a suite of Cainiao’s in-house technologies, including electric control units, software-based PLCs, and a computer solution that intends to employ cloud computing and super-fast runtimes on the edge.
This warehouse technology, according to Cainiao, can cut physical labor in half while enhancing human productivity by 100%.
Cainiao, like its parent firm, is committed to growing its worldwide footprint as much as feasible. It now has nine huge distribution facilities spread across Europe, Asia, and the Americas, and it hopes to expand its operations in Southeast Asia, South Asia, and Europe.
The establishment of distribution facilities in Karachi and Lahore looks to be a key component of that strategy.
Alibaba CEO Daniel Zhang noted, “Logistic network expansion is a priority in our globalization plan since logistics is the core infrastructure enabling a high-quality customer experience based on integrated product supply from cross-border and locally.”
“Cainiao has been expanding its logistics network in Southeast Asia and Europe, using the commerce use cases given by Lazada, AliExpress, and Trendyol,” the executive continued.
This isn’t the first time Alibaba has used a combination of investment and integration to grow into Pakistan and other Asian nations. It bought Daraz, a Pakistani e-commerce company that now ships to Bangladesh, Sri Lanka, Nepal, and Myanmar, in 2018.
In 2016, the Chinese powerhouse purchased Southeast Asian e-commerce site Lazada, and it now owns a stake in Trendyol in Turkey and Tokopedia in Indonesia.