AVG Logistics Limited
Climate Impact & Sustainability Data (2023-04 to 2024-03)
Reporting Period: 2023-04 to 2024-03
Environmental Metrics
ESG Focus Areas
- Sustainability
- Green Logistics
- Multimodal Transportation
Environmental Achievements
- Shifted 15% of operations from road to rail, significantly reducing carbon emissions
- Implemented energy-efficient lighting and heating systems in warehouses, decreasing energy consumption
- Comprehensive recycling programs for packaging materials, substantially reducing waste generation
- Integrated LNG-powered and electric vehicles into the fleet to reduce carbon emissions
Social Achievements
- Maintained a 95% customer retention rate over the past seven years
- Launched GALAXY Packers and Movers to tap into the growing packers and movers industry
Governance Achievements
- Implemented comprehensive risk management practices to identify, assess, and mitigate potential risks
Climate Goals & Targets
Long-term Goals:
- Achieve a top line of INR 1,000 crore within the next 3-4 years (approximate year-on-year growth target of 15%-20%)
Medium-term Goals:
- Expand services, integrate advanced technologies, and strengthen strategic partnerships to meet India’s evolving logistics needs
- Significantly expand cold chain logistics
- Increase presence across India, particularly in underserved regions
- Explore new opportunities through strategic joint ventures
- Expand authorized partnership with UPSRTC for express parcel services
Short-term Goals:
- Achieve even greater reductions in emissions and make substantial investments in green technologies
- Expand the use of LNG-powered vehicles
- Enhance rail transportation network
Environmental Challenges
- Infrastructural and transportation challenges
- High transportation costs and fluctuating fuel prices
- Highly fragmented industry leading to coordination issues and inefficiencies
- Regulatory and economic fluctuations
- Workforce and skill shortages
- Technological adoption challenges
- Ensuring a seamless customer experience
- Environmental challenges and the push towards sustainability
Mitigation Strategies
- Developed a fuel surcharge system to offset increases in fuel costs
- Revised freight rates frequently and used contractual transportation arrangements
- Implemented advanced technology and information security policies to protect customer data
- Maintained regular backups and contingency plans for technological outages
- Aligned infrastructure strategy with national development programs and constructed state-of-the-art warehouses
- Leveraged experience and brand image to maintain a strong market position
- Committed to sustainable practices and complied with all relevant laws
- Developed eco-friendly vehicles and conducted regular audits to ensure regulatory adherence
Climate-Related Risks & Opportunities
Sustainable Products & Innovation
- Developed a new 45-ft temperature-controlled reefer van designed to optimise costs and move towards sustainable transportation