Could shared shipping help in the quest to reduce carbon emissions?

AMG Logistics

Companies save money and time when they do “competition on the shelf and work together at the back of the truck.”

The question of how to build trust between companies will always come up, but companies that already work together on shipping, are already saving money and cutting their carbon footprints.

Global shipping is a multi-billion dollar a year industry that makes it possible for companies of about all sizes, from the small-hold cocoa farmer in Nigeria to a multinational e-commerce chain like Amazon to move between countries and continents with amazing speed and at considerably low expense.

The system however is faced with inefficiencies that cost producers and consumers lots of money, waste fuel and dump planet-warming emissions into the atmosphere.

According to an analysis of the subject matter, road freight carried by medium and heavy-duty trucks creates nearly 6% of all global greenhouse gas emissions.

In the United States, 15% of those trucks run empty while the 85% that is left run on average of only 64% capacity, according to Jason Mathers of the nonprofit Environmental Defense Fund (EDF).

Why don’t we consider shared or collaborative shipping to lower costs, save fuel and reduce carbon out of supply chains drastically if not entirely?

If we could only seize half of that unused capacity, we are talking about 100M metric tons of carbon out of supply chains.

Collaboration in shipping faces some of the same barriers confronting most ideas that challenge convention: inertia, tradition and risk aversion. With the economy still recovering “the temperature of the business world is such that people don’t want to take risks.

It has been posited that companies with products to ship usually fail to consider collaborative opportunities. They are typically interested only in their own supply lines to retailers. Current shipping practices have been likened to “taking a taxi to the airport, only to discover that five of your friends were going at the same time, and you could have paid less and burned less fuel to ride a shared shuttle bus.”

It goes without saying that shared shipping can be very beneficial. Not only will it potentially help to reduce carbon emissions, but it will also help to save time and resources.

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AMG Logistics is a Lagos-based TRACE certified logistics company. Our services include Freight Forwarding, Customs Clearance, Trucking, Distribution, and Warehousing within Nigeria.

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