Kagawa Matsushita Electric Starts Green Transport/Logistics Partnership to Combat Global Warming

Kagawa Matsushita Electric Works Ltd., a Japanese manufacturer of building and interior materials, announced on December 25, 2006, its plans to launch the Green Distribution Partnership in March 2007 with four of Japan's major transport logistics companies: Nippon Express Co., Japan Freight Railway Co., Asahi Tsushou Co., and Jumbo Ferry Co. This partnership is a result of efforts to streamline logistics, reduce costs and reduce carbon dioxide (CO2) emissions. It is expected to cut about 164 tons of CO2 emissions per year, a 52 percent decrease from the company's current level.

Kagawa Matsushita distributes materials and processed goods to Saitama, Kyoto, and Osaka Prefectures from its main manufacturing site in Kagawa Prefecture. Since the company switched from trucks to railway to transport goods, it has already succeeded in reducing CO2 emissions. To achieve further reductions, the company plans to fully utilize return trips, not only in rail but also in marine transport. In addition, some goods that in the past were purchased from suppliers will be produced in-house, in order to shorten the transport distance.

In addition, the company is promoting reforms to create a buyer-focused distribution system that addresses the need for frequent and small cargo deliveries. Under the new system, buyers will bear the distribution cost instead of sellers. Accordingly, buyers will be able to select efficient transportation modes, a market-based approach expected to help keep distribution costs down. Furthermore, these efforts are expected to help reduce traffic congestion, environmental burden, transport costs, and inventories.

http://panasonic-denko.co.jp/e/corp/about/
- Ministry Subsidizes 14 'Green Distribution' Model Projects (Related JFS article)
http://www.japanfs.org/db/1302-e

Posted: 2007/04/01 01:06:17 AM
Japanese version