Saq center cost jumps to 300 million dollars in Montreal
The SAQ’s automated distribution center in Montreal now carries a 300 million dollar price tag, up from 48.5 million dollars when Quebec approved the saq project in 2021. The center, near Autoroute 25 beside the SAQ head office in eastern Montreal, is expected to enter into function next year.
The project includes a 200,000-square-foot expansion and automation of the warehouses and distribution center. The modernization will allow 24-hour delivery and expand SAQ.com to as many as 20,000 products available individually. At term, 75% of the volume going to SAQ stores will be automated.
Quebec approval in 2021
Quebec approved construction of the CAM in 2021 with an estimated cost of 48.5 million dollars. Two years later, the budget had risen to 137 million dollars under a new decree. The SAQ now places the CAM cost at 300 million dollars by adding the warehouse construction and the installation of automated equipment, which it values at 150 million dollars.
Luc Bourdeau, the SAQ vice-president for supply chain, said in March 2024 that factors had changed, including some City of Montreal standards and construction costs. The SAQ refuses to disclose the operating budget for the center, leaving the public with the construction total but not the ongoing cost of running the new system.
Alejandra Zaga Mendez on CAM
Alejandra Zaga Mendez, the Québec solidaire MNA for Verdun, questioned the jump in cost and said there was an unacceptable lack of transparency. She said, “C’est un manque de transparence inacceptable de la part d’une société d’État.”
She also said, “On a peu de redditions de compte,” and, “Pourquoi est-on rendu à 300 millions ?” Zaga Mendez added, “Il y a des craintes et des questionnements de gestion de l’argent, de fonds publics de notre société d’État.”
SAQ.com and store supply
The center’s launch next year will reshape how the SAQ moves product through its system, with more inventory flowing through automated handling and a larger online assortment on SAQ.com. For customers, the immediate change is not a new store or a different product line, but a distribution network that is supposed to move faster and carry more items individually.
Zaga Mendez said, “On est l’actionnaire principal, on devrait savoir ce qui est fait en notre nom.” The spending is now being judged against the promise of efficiency, and against the fact that the public still does not have the center’s operating budget in hand.