Distribution centers in Hurricane Milton’s path recalibrate ahead of landfall

As of Wednesday afternoon, 230 Walmart and Sam’s Club locations were closed across Florida. Distribution centers in Milton’s projected path were closed Wednesday, a spokeswoman said. The company has halted inbound and outbound orders in this area to prioritize associate and driver safety.

Critical distribution centers for Walmart and Sam’s Club have generators and backup generators, the spokeswoman said.

Amazon is tracking the storm and adjusting operations as needed, a spokesman said. The company has closed facilities in the region and is using its national fulfillment network to complete customer orders. 

The company was mobilizing its global logistics infrastructure and inventory to assist as needed in affected areas. Amazon was fulfilling requests out of its disaster relief hub in Atlanta.

Doug Baker, vice president of industry relations for the Food Industry Association, a national trade group, provided a glimpse into how grocery giants prepare for potential disasters.

“A grocery store is the center of the community in a lot of towns,” he said.

Companies will restage supplies from areas expected to be impacted to centers out of the impact zone and then redistribute them back to the affected area, he said. Stores outside evacuation zones experiencing a swell of people will also boost their inventory to meet the increased need due to the temporary population increase.

Distribution centers and retail locations will prioritize a quick return to operations to provide a sense of normalcy, which Baker said is important in times of crisis. 

It is unclear how Milton could impact food distribution in Florida. This will depend on access, power and fuel, which Baker calls the “three key ingredients in how quickly you can respond.” Companies won’t know if their distribution hubs are damaged until they can access them.

If warehouses are impacted, Baker said companies will send supplies from unaffected distribution centers to meet needs. 

“Damage assessment and relief and recovery operations won’t be able to begin until Friday, once the storm has passed,” David Spencer, market intelligence vice president at Arrive Logistics, said in a statement. “Widespread power outages and road closures will likely last all weekend. As a result, cost volatility and regional demand fluctuations will likely be felt throughout the next week.”

The hurricane center has said Milton has the potential to be one of the worst storms ever seen in west-central Florida. The National Weather Service in Tampa advised residents to prepare for lengthy power outages. Nearly a quarter of gas stations in the state were out of fuel.