Parcel carrier DPD Ireland is to expand its facility in Co Westmeath, creating 50 jobs over the next 18 months.

The firm, which was founded in 1986, has grown from 10 depots to 38, and now employs more than 600 people. DPD carries about 8 million parcels a year and said it contributes an estimated €40 million to the economy.

The expansion will take place at its fulfilment and distribution facility in Athlone.

Chief executive Brendan O’Neill said the firm reflected the country’s changing economic environment.

“DPD’s customer base has become increasingly cost conscious - right across every sector. We’ve had to adapt quickly to that change,” he said.

The company said it has several large multimillion-euro contracts in the pipeline, and has seen an increase in importance in web tools that allow customers to gain access to real-time updates on deliveries and collections.

Minister for Jobs, Enterprise and Innovation, Richard Bruton described the announcement as “a great boost for the region”.

“This is a company expanding through increased use of technology, R&D and innovation, and through the Action Plan for Jobs we will be seeking to encourage more businesses to follow this path,” he said.