The Co-operative Food has opened a new £22m distribution centre in Avonmouth, Bristol.
The new 435,750sq ft multi-temperature depot will be fully operational by May 2013 and employ around 900 staff.
It will service almost 500 Co-operative stores in the South West and Wales.
The centre will operate 24 hours a day and will deliver around 1.2 million cases per week.
The new distribution centre is part of a major overhaul of its food logistics network following its acquisition of Somerfield in 2009.
The Co-operative Food chief executive Steve Murrells said: “Our new composite distribution centre is a major investment, which will provide significant employment locally and will boost the local economy.
“The new depot is vital in ensuring our food stores throughout the region continue to give Co-operative customers the high level of product availability and service they expect and I am delighted to be opening this new depot.”