How to combine sustainability and efficiency in freight transport

The documentary F reightened, the real price of shipping (2016) explains in a very eloquent way how it has been possible to buy a jacket for only 15 euros in a store in the center of Barcelona and that it is profitable for the merchant.

Thomas Osborne
Thomas Osborne
15 August 2022 Monday 01:00
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How to combine sustainability and efficiency in freight transport

The documentary F reightened, the real price of shipping (2016) explains in a very eloquent way how it has been possible to buy a jacket for only 15 euros in a store in the center of Barcelona and that it is profitable for the merchant.

It shows us how this garment is a kind of Frankenstein, with cotton from the United States, dye from India, plastic from China and labor from Bangladesh. More than 30,000 kilometers behind it, traveled mainly by maritime transport, capable of loading large quantities at very low unit costs. And this is how many supply chains have been built in the last 40 years: selecting the origins of each component, locating production in the cheapest factories and taking advantage of highly efficient global logistics. A model that, like it or not, has provided us with jackets for 15 euros in the center of Barcelona.

The big problem is the negative externalities. And it is that the aforementioned documentary makes a rigorous investigation to show the collateral damage caused by this commercial logic, too alien to its social and environmental responsibilities.

The report shows that some shipping companies choose the flag of their ships based on the labor legislation of the countries, always leaning towards the most lax, which allow them to have workers on the high seas for months, with low wages and terrible conditions. In fact, being a sailor has become one of the most dangerous professions, since they have a chilling figure of 2,000 deaths a year.

The documentary also shows that one way to save costs has been the type of fuel used by ships, equipped with engines with a high absorption capacity, which allows them to run on low-quality fuels. Taking into account that a large cargo ship can consume more than 200 tons of fuel per day, it has been calculated that a single ship can emit polluting particles equivalent to 50 million cars.

It is evident that ethical awareness, both among consumers and companies, has increased exponentially in recent years. And it is also a reality that the pandemic has shown the vulnerability of global supply chains, opening an in-depth debate on the most convenient economic system. In fact, dozens of studies show that the most resilient companies in the current context of difficulty are those that have more sustainable business models.

The problem is when these responsible models are opposed to economic efficiency. The mantra “sustainability is expensive” is often used to convey the idea that doing things right has to be more expensive than doing them wrong. But if this is true, we run the serious risk of not knowing how to give sustainability the boost it needs.

Because we must not forget what the Consumer Perception Survey report published last week: 64% of Spaniards consider that the most determining factor in their purchases is price, a percentage that has grown 10 points in recent years.

We are facing a reality that forces us to marry efficiency with sustainability, understanding that it is the only possible way to deal with the unsustainable. It is necessary to squeeze the potential of technology and take advantage of strategies such as proximity distribution, collaboration between actors or the circular economy. All the talent, effort and ingenuity of the organizations must be focused on creating jackets that combine ethics and competitiveness (and if possible, that are not worth more than 15 euros).