China’s Online Retail Boost To Jobs And Victoria’s Economy

22 September 2015

Premier Daniel Andrews today welcomed Chemist Warehouse’s new agreement with Chinese company Alibaba to host an e-commerce site for the company to sell direct to China.

Chemist Warehouse will establish a new entity to manage the China e-commerce arm of its business, which will be headquartered in Melbourne.

The Chemist Warehouse agreement will enable the company to commence selling products on Alibaba’s Tmall site. Tmall Global is a business to consumer site for retailers selling directly to consumers in China.

As a result of the agreement, Chemist Warehouse is projecting sales of $22 million in the first year and $88 million the following year.

The company expects to create 50 new jobs in Melbourne to service these increased sales. The number of jobs will continue to rise in line with the projected rise in sales.

Chemist Warehouse is part of the My Chemist/Chemist Warehouse Group which has more than 300 stores throughout Australia employing just under 11,000 people. Just under half of these stores and FTE are located in Victoria.

China’s online retail economy is booming and is already larger than that of the United States with increasing demand for high-quality products.

The Victorian Government has provided advice and guidance on the e-commerce sector and production selection to Chemist Warehouse in the lead up to this announcement.

The Victorian Government recently partnered with Austrade in delivering an e-commerce briefing in Melbourne which involved four of the largest e-commerce platforms including Alibaba.

Quotes attributable to Premier of Victoria, Daniel Andrews

“This exciting new deal between Chemist Warehouse and Alibaba will boost the Victorian economy and provide 50 new jobs at the expanded headquarters in Melbourne.”

“Online retail is an important part of our growing economy. The Victorian Government continues to actively pave the way for more access to e-commerce with China for Victorian businesses and manufacturers.”

Reviewed 19 August 2020

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