The Hon Jacinta Allan - Premier of Victoria - Home

Bringing Jobs And German Ingenuity To Supermarket Shopping

07 March 2019

The Andrews Labor Government has helped bring one of the world’s largest retailers to Victoria, in a move that will create more than 1500 jobs and inject almost half a billion dollars into the state’s economy.

German supermarket giant Kaufland today announced an initial $459 million investment to bring their stores to Victoria, with three stores in Dandenong, Chirnside Park and Epping having received planning approval.

A further three stores are subject to an independent advisory committee planning approval process.

A massive new distribution centre will also be built in Melbourne’s north – and at 115,000 square metres, or the equivalent of almost six MCGs, it will be the largest distribution centre in the country.

Minister for Economic Development Tim Pallas joined Kaufland Australia Managing Director Julia Kern at the site in Mickleham to turn the first sod and mark the start of its construction.

Kaufland will also establish its Australian headquarters in Melbourne, leading to the creation of 1600 jobs all up. It is also looking to open stores across Australia over the coming years, including additional stores in Victoria, creating even more local jobs.

Kaufland is already engaging with Victorian suppliers, so it can source products locally where possible and will provide opportunities for complementary independent retailers such as cafes within the specialty tenant spaces in stores.

This investment will also benefit the construction industry, with the boom from building the distribution centre and stores set to create hundreds of opportunities for local construction businesses, workers and apprentices.

The company, which has more than 1,230 stores and 150,000 employees across Europe, is one of a growing list of global retail giants who have chosen Victoria as their entry point into the Australian market, including Costco, Aldi, Uniqlo, H&M and MUJI.

Quotes attributable to Minister for Economic Development Tim Pallas

“This is a huge notch on Victoria’s belt – Kaufland’s investment will boost our economy, create jobs and provide opportunities for local businesses, not to mention open up a whole new world of supermarket shopping for Victorian families.”

“Securing the investment of one of the world’s largest grocery retailers in Victoria is a clear vote of confidence in our economy, our world-class infrastructure, retail talent and retail trade growth.”

Quotes attributable to Minister for Jobs, Innovation and Trade Martin Pakula

Kaufland’s arrival is great news for Victoria, with 1,600 jobs to be created through this investment and the potential for further expansion in the future.”

“Under our watch, Victoria is leading the nation in job creation – over the last four years more than 440,000 jobs have been created in our state.”

Reviewed 19 August 2020

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