Beam to develop new Kentucky distribution centre

Beam has revealed plans to open a 600,000sqft distribution centre in Frankfort, Kentucky to cope with increased demand for its spirits portfolio.

Beam is seeking ways to meet increasing demand for its spirits portfolio, in particular its Jim Beam whiskey

The centre, which will be wholly owned and operated by an as yet unnamed third party distribution provider – who will be revealed in 2014 – is expected to open in Q1 2015.

Set to be built from the ground up close to Beam’s existing Frankfort facility, which bottles 12 million of the 21 million cases produced by Beam annually, will aid the Illinois-based group’s supply chain in Kentucky as well as become a permanent warehouse for goods ready to ship around the rest of the US and the world.

David Hunter, vice president of global manufacturing for Beam, said the group’s volume in Frankfort has more than doubled in the past five years, with more than two-thirds of Beam’s annual global volume now produced in Kentucky.

“By having a third-party logistics provider operate this new distribution centre for us, we will be able to focus on our core competency of making the best spirits in the world and best meet the growing distribution needs of our business,” he said.

The announcement follows the opening of Beam’s new US$2.7m Global Business Services Centre in Louisville, Kentucky in July.