Amazon offers seller storage service to address supply chain issues

Amazon Inc. is planning to introduce a new storage service for wholesalers. This tool will facilitate goods distribution, solving the problem of the supply chain, the company reports. 

According to the online retailer, the service will be released in 2023. Amazon Warehousing & Distribution (AWD) is expected to ship its own goods to any location, for both wholesalers and retailers. 

The pay-as-you-go service will also assist retail chains in reducing their shipping costs. 

“Amazon Warehousing & Distribution faces critical supply chain issues. Thus, entrepreneurs would manage their business while reducing logistics costs,” said Gopal Pillai, vice president of the company in his blog. The move comes after the online retailer's warehouse openings slowed due to rising maintenance expenses.