Rather than focusing solely on reducing “food miles,” we are evaluating distance traveled in conjunction with the mode of transportation used. For instance, we are optimizing our logistics to keep the product on container ships for more of the distance to market. Of the major transport modes — ocean freight, air freight, truck, and rail — ocean freight is the most fuel-efficient and produces the fewest emissions per ton carried and distance traveled. Transport mode decisions have a big impact on emissions, as shown in these two routes for sending FIJI Water to New York City. While the route through the Panama Canal takes about three times as long to get to New York City, it results in 55% fewer greenhouse gas emissions.
We are also improving inventory planning so that we can deliver distributor orders from the nearest warehouse more often. Additionally, we are opening new warehouses located closer to our customer base in key markets, which will reduce the need for more emissions-intensive overland transportation.