Continued Investment in Florida Infrastructure and Capacity Expansion

From seaports to inland hubs, Florida continues to strategically expand logistics routes and modes, reducing congestion and increasing capacity. JAXPORT and PortMiami are expanding terminals and investing in deeper channels to accommodate larger container ships to attract and support global trade. Continued investment in infrastructure, including that in rural areas and inland ports, helps to connect urban areas to outlying regions to support freight flow statewide. This effort also enhances rural connectivity and improves supply reliability for consumer products, as well as food and medical goods.

Tampa, Orlando and Lakeland are benefitting from dense, in-fill hubs near ports and major highways. This is designed to help alleviate congestion and facilitate faster e-commerce and grocery delivery across metropolitan regions.

Florida continues to experience a surge in expanding and developing distribution and fulfillment centers including:

• UNFI: 1 million sf automated DC in Sarasota
• Walmart/Sam’s Club: 1 million sf DC in Jacksonville
• South Florida Gateway Distribution Center: 1.2 million sf across four buildings in Stuart
• Coke Florida: 800,000 + 250.000 sf Tampa
• Amazon: 750,000 sf warehouse in Fort Myers
• Ben E. Keith Foods: 707,000 sf regional food service project in Alachua
• KeHe Distributors: 530,000 sf DC in Elkton
• Sysco Tampa Bay: 517,000 sf DC in Plant City
• RealCold: 386,000 sf in Lakeland
• Publix: $136 million frozen foods warehouse in Jacksonville
• Detwiler’s Farm Market: 133,000 sf distribution in Palmetto
• G&C Foods: 254,000 sf distribution center in Alachua
• NXTPoint Logistics: 193,000 sf 3PL facility in Tampa

Technology Helps Boost Growth in Florida E-Commerce and Last Mile

With the advent of AI, robotics, electronic vehicles and other advances, Florida companies are extending growth by improving accuracy and speed of deliveries.

Florida companies have reported increased adoption of electric trucks as well as the establishment of micro-fulfillment centers. In addition, Florida supply chain businesses have increased adoption of automated sorting and real-time delivery tracking. This helps to reduce costs and emissions and accelerates order turnaround.

Major Florida retailers including Walmart are conducting pilot drone deliveries in Tampa and Orlando. This effort is focused on achieving successful deliveries in under 30 minutes of packages under 10 pounds. Miami has launched autonomous delivery vehicles, including sidewalk robots and self-driving vans to streamline deliveries in heavily trafficked areas.

The Impact of the Nearshoring Trend on the Florida Supply Chain

Nearshoring from Asia to Mexico and LATAM has had a significant impact on Florida. Mexican companies have continued to expand their logistics, warehousing, and manufacturing in Florida. Cross border supply chains have been bolstered by the acquisition of Florida East Coast Railway by the major Mexican company Grupo Mexico. This acquisition has fueled direct freight movement from Mexico’s robust manufacturing clusters to ports and distribution centers in Florida.

Miami has become a significant entry point, especially for high value cargo, time sensitive goods, and digital services, not just for traditional exports such as electronics, auto parts, and beer. South Florida has seen a flurry of growth as many Mexican businesses have expanded or relocated to this area of the state due to its business connectivity and logistical advantages.

In addition, relocation of some global companies, including some Chinese-backed firms to Mexico now provides Florida with more opportunity to gain a larger share of trans-shipped imports and exports. Florida is also a preferred link between U.S./Caribbean markets and nearshored manufacturers.

Summary

Florida continues to grow its economy, exports, and successful reputation in global trade powered by continued strategic investment in infrastructure. Nearshoring from Asia to Mexico and LATAM has bolstered supply chain growth and attracted manufacturing and logistics companies to Florida.

The use of modern and advanced technologies continues to aid Florida businesses, helping to expedite deliveries, streamline communications and provide proof of delivery. Technology has proven essential to the Florida supply chain industry, enabling it to reduce operating costs, provide visibility, and link operations across the globe.