Korea to allow micro fulfillment centers in cities for robot, drone deliveries

[Photo of drone by Kim Ho-young, image source: Gettyimagesbank]

The Korean government plans to commercialize robot deliveries in 2026 and drone deliveries in 2027, while allowing micro fulfillment centers within cites to enable delivery within 30 minutes to an hour to bolster the country’s logistics industry.

The plan for building smart logistics infrastructure announced by the Ministry of Land, Infrastructure and Transport on Monday aims to increase the growth potential of the Korean logistics industry beyond a labor-intensive one to a new and advanced sector.

To realize the plan, the government has decided to support technology development and demonstration in the private sector to commercialize unmanned delivery using robots and drones, while creating a test bed dedicated to logistics.

An institutional base will also be prepared step by step, such as legislation for unmanned delivery and safety standards.

The ministry said it will form a public-private consultative body, made up of companies in logistics, platform and IT industries, in the first half of this year to explore a model for commercialization.

Micro fulfillment centers will be allowed to be built in the city center to enable ultra-fast delivery based on artificial intelligence and big data technology. The centers refer to facilities that can predict order demand, manage inventory and ship orders immediately.

The government will also seek technology development related to underground tunnels for logistic purposes.

Tax benefits will be given to the private sector for the development of a cold supply chain-based transportation technology for cargo that is sensitive to temperature and humidity.