"ITC Plans Expansion of Green Logistics Program for FMCG Last-Mile Delivery in FY24"

ITC, a prominent player in the Fast-Moving Consumer Goods (FMCG) sector, is intensifying its commitment to environmentally friendly logistics by introducing electric vehicles (EVs) for its last-mile delivery operations. The company has set a bold target to more than double its EV deployment, covering over 75,000 trips in the fiscal year 2024.

At present, ITC's EV program is operational in key metropolitan areas across India, including Delhi, Kolkata, Bangalore, Mumbai, Hyderabad, Pune, Siliguri, and Patna. The program currently facilitates over 30,000 trips annually through these EVs and is steadily expanding its reach.

The decision to prioritize EVs for last-mile deliveries stems from the need for smaller vehicles to cover shorter travel distances efficiently.

B Sumant, Executive Director at ITC Ltd, emphasized the company's commitment to sustainability, stating, "ITC embarked on its sustainability journey a few decades ago and today, we stand at the forefront of the movement to integrate sustainability into every facet of business operations. The introduction of electric vehicles is yet another pivotal step in greening our value chain."

Sumant continued, "Moreover, it serves as a catalyst for promoting planet-friendly interventions aimed at transitioning to a net-zero economy. As we move ahead, we are committed to scaling up our Green Logistics efforts significantly in line with our bold and ambitious Sustainability 2.0 Vision in order to contribute to a greener and cleaner earth."

This initiative aligns with the Indian government's net-zero emission commitments and its Gati Shakti master plan, which encourages the adoption of green logistics practices.

As part of its Sustainability 2.0 agenda, ITC has set a goal to meet 50 percent of its total energy needs through renewable sources by 2030. Currently, 43 percent of the company's energy requirements are fulfilled by renewables.

ITC is collaborating with various EV aggregators and original equipment manufacturers (OEMs) to execute its green logistics programs. The integration of electric vehicles into the company's value chain's final leg is expected to significantly reduce its carbon footprint while enhancing cost competitiveness. This shift toward EVs will result in annual savings on fuel expenditures, further reinforcing ITC's commitment to sustainability and environmental responsibility.

HBL