Associated Wholesale Grocers (AWG) will invest $110 million to modernize its Gulf Coast Division Support Center in Pearl River, Louisiana, installing advanced automation in the facility’s ambient section to improve order accuracy and service reliability for independent grocery retailers across the Southeast. Construction begins in January, with automation installation in April 2027 and full operations expected by November 2027.
The facility is AWG’s largest conventional grocery division and serves as a critical supply chain node for independent grocery stores across the Gulf Coast region. The investment will retain 334 positions at the facility, with average annual salaries about 9 percent above the St. Tammany Parish average wage.
Why Pearl River
AWG EVP of Distribution and Logistics Richard Kearns said the investment reflects both confidence in the location and the support of local and state partners.
“AWG is excited to partner once again with St. Tammany Parish and LED on this exciting new project within our Gulf Coast Division Support Center — our network’s largest conventional grocery division. With the assistance of St. Tammany and LED, AWG has chosen to make a strategic investment of over $110 million in our current Gulf Coast facility,” Kearns said.
The state of Louisiana offered AWG an incentives package including a $500,000 performance-based grant to support retention of the facility through infrastructure updates and equipment modernization.
What the automation does
The project will install advanced automation systems within the facility’s ambient grocery section, targeting improvements in product selection, order movement and accuracy. The upgrades are also designed to strengthen the facility’s resilience during severe weather events — a key operational consideration along the Gulf Coast — while supporting future volume growth.
Louisiana Economic Development Secretary Susan B. Bourgeois framed the project within the state’s broader industrial modernization strategy. “By integrating advanced systems into a key food distribution operation, the company is improving how essential goods move through the region while creating upskilling pathways for their workers to grow alongside industry advancements,” Bourgeois said.
Local and regional support
Pearl River Mayor Joe Lee, St. Tammany Parish President Mike Cooper and Greater New Orleans Inc. President and CEO Michael Hecht all expressed support for the investment. Cooper noted that the facility serves 3,500 grocery store locations nationwide, while Hecht cited the project’s role in reinforcing the parish’s growing distribution corridor.
Russell Richardson, president and CEO of the St. Tammany Economic Development Corporation, said the investment positions the region for long-term supply chain growth. “This investment strengthens our region’s supply chain capabilities while creating high-wage, STEM-related jobs and advancing a safer, more resilient distribution environment for the future,” Richardson said.
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