This post is a part of DIL Intelligence series from Energy Alternatives India (EAI), India’s leading climate-tech consulting firm.
DIL stands for Decarbonization for India’s Leaders and provides comprehensive market intelligence and updates to Indian corporate leaders on prominent decarbonization efforts across the Indian industrial ecosystem. DIL is provided by EAI’s strategy consulting team. More about our consulting from here.
The Fast-Moving Consumer Goods (FMCG) industry is witnessing a significant transformation as leading companies like Dabur India, Nestlé, and Unilever embark on ambitious initiatives to decarbonize their supply chains. These efforts are not just about reducing carbon footprints; they represent a broader commitment to sustainability, innovation, and long-term environmental stewardship. By focusing on collaboration, technological innovation, and strategic investments, these corporations are setting new benchmarks for the sector and highlighting the path toward a more sustainable future.
Dabur India’s strategic move to replace 80-90% of its last-mile distribution fleet with electric vehicles (EVs) over five years is a bold step towards reducing carbon emissions. With an initial induction of 100 EVs covering 20 cities, Dabur is leveraging the lower running costs of EVs against their higher acquisition costs to create a sustainable distribution model. This initiative, aimed at becoming a carbon-neutral enterprise by 2050, showcases the company’s commitment to environmental responsibility and its readiness to invest in future-ready technologies.
Nestlé’s approach towards achieving a deforestation-free supply chain by 2025 underscores the importance of transparency and risk management in sustainability efforts. By mapping supply chains and using risk assessments, Nestlé has made significant progress towards sourcing raw materials sustainably. Their focus on palm oil, coffee, and cocoa supply chains demonstrates a nuanced understanding of their environmental impact and a commitment to addressing the most pressing challenges.
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Unilever’s comprehensive strategy encompasses radical product innovation and deep partnerships with suppliers to reduce carbon emissions across its value chain. Through initiatives like the Unilever Climate Promise and the Supplier Climate Programme, Unilever is not only setting ambitious targets but also fostering a culture of accountability and collaboration. The investment in the Climate & Nature Fund further illustrates Unilever’s proactive approach to financing sustainable solutions globally.
The journey towards decarbonizing the supply chain encompasses both short-term wins, like optimizing logistics and reducing packaging waste, and long-term strategies, such as investing in electric vehicles and collaborating with suppliers on sustainability. These efforts reflect a comprehensive view of sustainability that encompasses immediate actions and visionary goals, aiming not only to mitigate environmental impacts but also to build resilience and adaptability into the supply chain.
The initiatives by Dabur, Nestlé, and Unilever in decarbonizing their supply chains mark a critical shift towards sustainability in the FMCG sector. By integrating environmental considerations into every aspect of their operations, these companies are not only contributing to their sustainability goals but also leading by example. Their collective efforts underscore the importance of innovation, collaboration, and strategic investment in achieving long-term environmental objectives. As the industry continues to navigate the uncertainties of global markets, the pioneering work of these companies offers valuable insights and a blueprint for others to follow, reinforcing the role of the FMCG sector in driving positive environmental change.
This post is a part of DIL Intelligence series from Energy Alternatives India (EAI), India’s leading climate-tech consulting firm.
DIL stands for Decarbonization for India’s Leaders and provides comprehensive market intelligence and updates to Indian corporate leaders on prominent decarbonization efforts across the Indian industrial ecosystem. DIL is provided by EAI’s strategy consulting team. More about our consulting from here.
