Shopee hikes capacity in Brazil by 60% in one year, awaits regulation on medicine sales

By Reuters News

By Andre Romani

- Shopee, the e-commerce arm of Singapore's Sea SE.N, has opened four more distribution centers in Brazil and increased the area of an existing facility, part of a move that expanded its local capacity by 60% in the past year, it said on Tuesday.

During an event near Sao Paulo, Shopee said it has opened four cross-docking centers in Recife, Rio de Janeiro, Vitoria and Blumenau, and tripled the operational area of its cross-docking facility in Piracicaba.

  • The openings and the Piracicaba expansion added processing capacity for 2.4 million orders per day, Shopee said, without disclosing its total order capacity in Brazil

  • The move brings Shopee's distribution centers in Brazil to 30 -- 25 cross-docking facilities and five fulfillment centers -- up from 16 a year ago

  • Shopee entered Brazil in 2020 and is now one of the leading e-commerce players in the country, competing with Amazon AMZN.O and MercadoLibre MELI.O

  • Shopee will wait for health regulator Anvisa to finalize regulations before potentially allowing pharmacies to sell medications on its platform, said Felipe Lima, director of business development and fulfillment operations

  • A law approved by Congress this year authorized the sale of medications through online marketplaces in Brazil, but Anvisa is still preparing its own regulations on the matter

  • "We have been closely following the regulatory process, including talks with Anvisa, and we believe we still need greater clarity over the legislation before making any move," he said

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