Cainiao Network (“Cainiao”), Alibaba Group’s logistics arm, and Daraz, South Asia’s leading eCommerce platform, announced today’s plans to automate Daraz’s two distribution centers in Pakistan, South Asia’s leading eCommerce platform.
The distribution centers will be outfitted with cutting-edge innovative technology, including an automated assembly line and smart distribution setup. Cainiao’s patented technologies, such as e-PLC, control algorithm, and WCS, will be used to assure operational quality and stability.
Cainiao’s first extensively integrated network of distribution centers in South Asia marks a new milestone for the company. Cainiao has constructed hundreds of automated distribution centers of varied sizes on the Chinese mainland and ten smart distribution hubs throughout Europe, Asia, and America.
“We are dedicated to strengthening Daraz’s logistics capabilities throughout the area as its official logistics partner. We hope that by extending our technology to the logistics ecosystem in South Asia and beyond, we will raise awareness of our intelligent logistics offerings and technology applications, which will assist the industry and our overseas partners in closing the digitalization gap, becoming more competitive, and meeting the growing demand for eCommerce.” Dr. Ding Hongwei, General Manager of Cainiao Technology, stated.
With over 500 million people and tremendous economic potential, South Asia is one of the fascinating areas. Strong consumer momentum in South Asia, a growing market for eCommerce, has fueled the company’s rapid expansion. Over the last two years, the company’s GMV increased by 85 percent, including sales spikes during the 11.11 worldwide shopping festival.
The movement in customer behavior toward online buying creates enormous prospects for regional eCommerce firms. Cainiao’s modernization of logistics distribution will not only promote Daraz’s business growth. Still, it will ease the industry’s substantial logistical burden and usher in a new era of intelligent logistics.
“In order to scale our activities in Pakistan, we must improve our logistical infrastructure and technology. Daraz is able to improve our clients’ experiences by delivering more effective logistics distribution by leveraging smart technologies. We are excited to continue working with Cainiao to expand our logistics capabilities.” Mr. Bjarke Mikkelsen, Chief Executive Officer and Founder of Daraz Group said.
“This type of technology is being introduced to Pakistan for the first time; the collaboration with Cainiao will result in significant information exchange for the sector and will aid Pakistan’s push toward digitalization. Furthermore, this technology will more than quadruple Daraz’s sorting capacity while reducing manual mistakes by 90%. We are thrilled to welcome Cainiao and look forward to collaborating with them to offer world-class technology and logistics solutions to Pakistan.”, Mr. Ahmed Tanveer, Daraz Pakistan’s Chief Operating Officer, stated.
Cainiao is ceasing its efforts to create a resilient and robust global logistics and supply chain ecosystem. After successfully digitizing its supply chain operations, it is now assisting the industry in accelerating warehouse digitalization by deploying innovative warehouse technologies.
Cainiao has also teamed with Flash Express, one of Thailand’s premier logistics businesses, to develop Southeast Asia’s giant smart warehouse last year, ahead of the 11.11 global shopping festival.