Singapore Post Limited (SingPost) has announced a significant investment of S$30m in its Regional eCommerce Logistics Hub (eComm LogHub) to expand its eCommerce processing capacity. This move is set to increase the facility’s small parcel processing capability from 100,000 to 300,000 parcels per day, marking a substantial enhancement in its operational efficiency.
The investment will fund the installation of new sorting equipment, designed with a compact and modular structure, allowing for future expansions. Simon Israel, Chairman of the Board at SingPost, highlighted the strategic importance of this development, stating, “The investment in capacity building not only enhances operational efficiency but unlocks a pathway for growth.”
Launched in 2016, the eComm LogHub is a 553,000 square feet facility that currently processes larger parcels on its ground floor. With the new equipment, the hub will be able to handle a total of 400,000 parcels daily. Neo Su Yin, Group Chief Operating Officer, noted that the new sortation equipment would increase throughput by 300% whilst using less floor space.
SingPost also plans to consolidate its mail and parcel operations at the eComm LogHub, which will free up 83,000 square feet of lettable space at the SingPost Centre in Paya Lebar by mid-2026. This consolidation aims to improve efficiency and create more leasing opportunities.
In collaboration with the Government, SingPost is working on a sustainable business model for postal services. Neo stated, “Together with our investments in eCommerce logistics and consolidating our operations to improve efficiencies, we believe these measures will enable SingPost to focus on establishing pathways to growth.”
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