food logistics june 2013

This year’s growing list of Top Green Providers

showcase the continuing evolution of sus-

tainability in the food and beverage supply

chain. From software and technology

that helps to optimize transportation

and logistics, to equipment and

products that reduce fuel costs while

simultaneously cutting emissions, as

well as developments in packaging,

pallets, renewable energy sources, and

food production itself—they all deserve to

be recognized and rewarded. Congratulations!

Food Logistics

Warehousing and Transportation Solutions for the Food and Beverage Supply Chain

W E B E X C L U S I V E S

The Week Ahead in 60 Secondsaudio blog

Daily updates on Sustainability, Software & Technology, and More

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W W W . F O O D L O G I S T I C S . C O M

Issue No. 147 June 2013

PLUS: SECTOR REPORTS

• ‘Green’ Lift Truck Technology

• CNG and LNG Powered Vehicles

Top Green Providersfor 2013

Pg. 16

Kroger Pioneers a Solution for

Food WastePg. 30

WeberLogistics

Sustainability Drives Service Offerings at

Weber Logistics’

David Cardadeiro

Pg. 12

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4 JUNE 2013 • FOOD LOGISTICS www.foodlogistics.com

JUNE 2013 • ISSUE NO. 147

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12

16

Sustainability Drives Service Offerings at Weber LogisticsConfectionary customers realize sweet savings with consolidated last-mile delivery.By Lara L. Sowinski

Food Logistics’ Top Green ProvidersEveryone is sustainable these days it seems, yet these leaders are the ‘green’ envy of their peers. By Lara L. Sowinski

Kroger Pioneers a Solution for Food WasteAnaerobic digester turns food waste into biofuel in Compton, California.By Lara L. Sowinski

12

30

SECTOR REPORTS

WAREHOUSING: The Use of Sustainable Technology in Lift TrucksManufacturers are rolling out new models with compelling features.By Lauren Levy

TRANSPORTATION: America’s New Highway is Powered by Natural GasCNG and LNG are becoming viable options for transportation companies.By Lauren Levy

COLUMNS

FOR STARTERS: Sustainability Takes Center StageGreen is where it’s at for today’s food supply chains.By Lara L. Sowinski

FOOD (AND MORE) FOR THOUGHT: The Cost of Modern Farming on the Global EcosystemHow early successes intended to feed growing populations are now wreaking havoc.By Lara L. Sowinski

DEPARTMENTS

8 Supply Scan • 10 Food on the Move • 38 Marketplace • 40 Ad Index

6

40

32

36

ON THE MENUCOVER STORY

FEATURES

16

Photo © Cynthia Y. McCann

30

Are you using conventional, manually operated fork trucks

for pallet storage? Or maybe, you have high reach and

very narrow aisle (VNA) fork trucks. Either way, it is time

to consider taking the next step, and automate the entire

process. Your warehouse metrics will look like this: labor costs,

product damage and errors . . . DOWN. Inventory accuracy,

productivity, and operational fexibility . . . UP.

It’s the automate the conventional solution from Dematic.

Automatic guided vehicle versions of high reach and VNA

fork trucks accommodate pallet storage and retrieval in your

existing pallet rack structure. You get all the benefts of ASRS

(automated storage and retrieval system) without the cost of

rearranging or re-installing the rack structure. Furthermore,

Dematic AGVs are more fexible since travel between aisles

is possible.

The fow of pallets in and out is directed by WCS software so

now you get real time control over the entire storage process.

Software directed put away and retrieval maximizes throughput

while providing accurate inventory control including system

monitoring and reporting capabilities.

And, Dematic AGV Systems are a portable, re-usable asset

that can be moved or reconfgured as your intra-logistics

requirements change.

Contact us for a free site analysis. For more

information visit www.dematic.com/AGV or contact

us at [email protected] or 1-877-725-7500.

Automate The Conventional

Storage and Staging with AGVs

http://www.dematic.com/agv

F R O M T H E E D I T O R ’ S D E S K

FOR STARTERS

To get an idea of how much “sustainability” has grown

in importance over the past year, consider that our Top

Green Providers list for 2012 profled 40 companies,

while this year it’s expanded to 65. Not every company

that applied made the cut, however. Te goal is to choose

a range of companies from the food and logistics sectors that are

advancing sustainability within their own operations and elevat-

ing best practices industry-wide.

With such a sizeable Top Green Providers list this year, the other editorial in this issue

had to be sized down. Nonetheless, there are some very interesting sustainability stories

to tell.

The subject of our cover story is Weber Logistics and their consolidated last-mile

delivery service. Weber truly has a comprehensive suite of transportation and distribution

services that appeal to the food and beverage sector. For confectionary companies though,

the consolidated last-mile offering is particularly beneficial in leaning—and greening—

these manufacturers’ operations. Sure, LED lighting projects and solar panel installations

may have more of a “wow” factor, but the simple yet elegant act of making more efficient

use of time and resources is no less satisfying when it’s all said, done and delivered.

If it’s “green” excitement you’re after, our report on the new Kroger Recovery System

in Southern California is the ticket. The system is comprised of an anaerobic digester,

designed by FEED Resource Recovery, which takes food waste from Ralphs and Food 4

Less grocery stores and turns it into renewable methane biogas that helps power Kroger’s

distribution center in Compton, California. With the new system, 150 tons of food

waste is diverted from landfills daily, while 500,000 truck miles are eliminated each

year. Previously, food waste from the two grocery stores was trucked 130 miles north, six

times a day, where it was processed at a facility in Bakersfield, California. The facility in

Compton is new, clean, and odor-free. It also gets 20 percent of its energy demand from

the anaerobic digester.

Our green streak continues next month with our July special edition, when we delve

deeper into sustainability and energy efficiency in the food supply chain. There’s so much

to cover when it comes to sustainability, we’re lucky to have an entire issue to bring you

the latest on what’s happening and how it could impact your company.

We’ll see you next month in print and every day in digital.

Enjoy the read.

CORRECTION: In an article in our May issue regarding sustainable pallets, we incorrectly attributed a comment by iGPS to the Reusable Packaging Association (RPA). In fact, the RPA (www.reusables.org) is material-agnostic. Its mission is to advance the adoption of reusable packaging in any form and systems throughout the supply chain. We regret the error.

LARA L. SOWINSKI,

EDITOR-IN-CHIEF

[email protected]

S O W I N S K I

W W W . F O O D L O G I S T I C S . C O M

Gloria Cosby, Executive Vice President,

Agriculture, Technology and Transportation Group

Jolene Gulley, Publisher

EDITORIAL

Lara L. Sowinski, Editor-in-Chief

262-443-5919; [email protected]

Lauren Levy, Assistant Editor

920-568-8680 x1680; [email protected]

John Sidor, Art Director

631-963-6362; [email protected]

Editorial office: 3 Huntington Quadrangle, Suite 301N,

Melville, NY 11747 Fax: 631-845-2723

EDITORIAL ADVISORY BOARD

Jaymie Forrest, managing director, Georgia Tech’s

Integrated Food Chain Center

Peter Mehring, CEO, Intelleflex

Kam Quarles, director, legislative affairs, McDermott

Will & Emery LLP

Pamela Erb, vice president of supply chain, Wegmans

ADVERTISING SALES

Judy Welp, East Coast Sales Manager

480-821-1093; Fax: 480-240-4897

[email protected]

Sharon Cordina, West Coast Sales Manager

847-454-2728;

[email protected]

Sara-Emily Steadman, Classified Sales Manager

800-547-7377, ext. 1344

[email protected]

PRODUCTION

Suzette Schear, Production Director

631-963-6260 Fax: 631-845-4069;

[email protected]

REPRINT SERVICES

For reprints and licensing please contact Nick

Iademarco at Wright’s Media 877-652-5295 ext. 102

or [email protected].

CIRCULATION

Tammy Steller, Audience Development Manager

For change of address or subscription information:

Toll Free — 877-382-9187, Local — 847-559-7598,

Email — [email protected]

LIST RENTALS

Elizabeth Jackson, List Rental Manager

847-492-1350 ext. 18; Fax: 866-596-0280

[email protected]

John French, CEO

Paul Bonaiuto, CFO

Gloria Cosby, E.V.P., Agriculture, Technology and

Transportation Group

Julie Nachtigal, V.P., Audience Development

Eric Kammerzelt, V.P., Technology

Rob Brice, S.V.P., Cygnus Expo

Curt Pordes, V.P., Production Operations

Ed Wood, V.P., Human Resources


Sustainability Takes Center Stage

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NEWS FROM ACROSS THE FOOD SUPPLY CHAIN

SUPPLY SCAN


Imagine H2O Addressing

Water Challenges in Food

Supply Chain

Agriculture is an extremely

water-intensive industry, account-

ing for anywhere from 70 percent

to 92 percent of all fresh water

usage on the planet each year,

which is why organizations like

non-profit Imagine H2O are busy

finding ways to overcome these and

other challenges related to global

water usage.

In May, Imagine H2O launched

its 5th annual Food and Agricul-

ture Program to identify and sup-

port promising water innovations.

“This program will advance inno-

vations in how we use, supply and

treat water to improve our food

system,” explained the non-profit’s

COO, Scott Bryan. “Catalyzing

entrepreneurial water innovations

is an essential step toward securing

future food supply in a water-

constrained world.”

The program will begin accept-

ing entries starting in October with

the winners announced in March

2014. From there, the winning

companies will be introduced to

leading food businesses in Califor-

nia’s Central Valley, a major agricul-

tural region.

More information is available

online at www.imagineh2o.org.

MobBucket: A Clever

Smartphone App to

Reduce Food Waste

The creator of MobBucket, Ter-

ence Fitzpatrick, has developed a

revolutionary smartphone app to

reduce perishable food waste. Mob-

Bucket is a way for retailers to pro-

mote their perishable products in

real time to in-store shoppers, while

simultaneously reducing food waste

and saving consumers money.

Once a consumer enters the

market, their smartphone receives a

notification and electronic coupons

for perishable items, generated from

a cloud-based server. This allows on

the spot coupon redemption from

within the store.

The app is not intended as a way

for retailers to move less-than-fresh

produce, however. Rather, Mob-

Bucket helps retailers promote per-

ishable goods overstock at the store

level. Grocers have a financial incen-

tive to move perishables quickly and

shoppers benefit as well.

Currently, the MobBucket app

is still in production and looking

to complete financing before it

becomes available for general use.

That’s a Lot of Bacon…

The $4.7 billion acquisition of

global pork giant Smithfield Foods

by China’s Shuanghui International

Holdings Limited, announced in

May, will help meet “the grow-

ing demand in China for pork

by importing high-quality meat

products from the United States,

while continuing to serve markets

in the United States and around the

world,” said Shuanghui’s chairman

Wan Long.

China is the biggest consumer of

pork in the world, and the U.S. is

the biggest exporter. Last year, the

U.S. exported nearly a quarter of

its pork to China, the third-largest

buyer of American produced pork,

after Japan and Mexico.

While Smithfield Foods’ presi-

dent and CEO C. Larry Pope sug-

gested the deal is a boon for U.S.

pork exports, some producers aren’t

so sure. One Iowa hog farmer

told a Bloomberg reporter that he

is uncertain whether Shuanghui

intends to use Smithfield’s exper-

tise in genetics and processing to

produce more pork in China or to

produce more pork in the U.S. and

export to China.

Amazon.com’s Grocery

Business is Growing

Earlier this month, Amazon.com

expanded its AmazonFresh online

grocery business to metropolitan

Los Angeles, the first expansion

outside its Seattle home base, where

it has operated for almost six years.

Analysts say AmazonFresh prob-

ably hasn’t made a profit yet, but

that could change. “If Amazon

can bundle low-margin groceries

and other high-margin Amazon

items, it could make the econom-

ics much more compelling,” said

Fiona Dias, chief strategy officer for

e-commerce site ShopRunner, in a

Wall Street Journal article.

Meanwhile, it’s likely that future

expansion of AmazonFresh would

include locations such as San Fran-

cisco and Dallas-Fort Worth.

Fresh is always

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L O G I S T I C S T R E N D S I N O U R I N D U S T RY

FOOD ON THE MOVE


Singapore’s Changi Airport Posi-tioned for Perishable Shipment Expansion

Singapore’s Changi airport is hoping a

boost in high-value shipments of perishables,

including tuna and meat, can help offset

slowing trade volumes. To grease the wheels,

the airport is offering rebates for landing fees

and other incentives to further develop its

air cargo business, especially in the lucrative

perishable business.

Changi’s ability to handle perishables is a

major selling point and it has attracted sig-

nificant transshipments of seafood and meat

from Australia and New Zealand, which are

forward shipped to markets in northern Asia

and Europe.

The airport has the largest temperature-

controlled facilities in the region. Coolport@

Changi is an 86,000 square-foot facility oper-

ated by ground handler SATS Ltd., and fea-

tures rooms with temperatures ranging from

minus 28 degrees Celsius to plus 19 degrees.

A second temperature-controlled facility is

scheduled to begin operations later this year.

Railex Picks Jacksonville for Southeast US Hub

Railex, a refrigerated rail service that moves

perishable goods across the U.S., has chosen

Jacksonville, Florida for its Southeast U.S.

distribution center. The company’s Northeast

hub is located in Rotterdam, New York.

Paul Esposito, senior vice president with

Railex, said the strategic location in Jack-

sonville is intended to create an “I-95 cor-

ridor lane” connecting it to Rotterdam. The

Rotterdam facility will also be expanded to

handle the anticipated boost in refrigerated

rail traffic.

Currently, the Rotterdam facility handles

four trains weekly, two from its distribution

center in Wallula, Washington, and two from

Delano, California. During the fall season,

the schedule will shift to handle three trains

from California and one from Washington

State.

CSX and Union Pacific jointly operate

the weekly trains from the West Coast. In

addition, CSX would operate the train from

Jacksonville to Rotterdam.

Carrier Transicold Debuts Ultra-High Efficiency Refrigeration Units

Carrier Transicold’s latest series of ultra-

high efficiency trailer refrigeration units

offer “the highest refrigeration capacities ever

delivered” by the company, combining “lower

fuel consumption, lower maintenance costs,

lighter weight and quieter operation than our

prior platform,” says David Appel, president,

Carrier Transicold.

The ultra-high efficiency X4 Series for

North America also complies with the EPA’s

Tier 4 emis-

sions require-

ments.

Compared

to the Car-

rier Tran-

sicold X2

series that

they succeed,

the new X4

units weigh 30 pounds less; provide 3 to 10

percent higher cooling capacity (depending

on model); achieve up to 20 percent faster

pulldown; require 24 percent less refrigerant;

and operate at lower speeds, which improves

the life of the unit.

Lineage Breaking Ground on New Cold Storage Facility in Southern California

Cold storage provider Lineage Logistics is

breaking ground on a new 420,000 square-

foot multi-use cold storage warehouse in

Colton, California, that is expected to open

by May 2014.

The facility will be located in the Inland

Empire, east of the Los Angeles/Long Beach

port complex. It will have 130 loading dock

doors, over 390 additional trailer parking

positions, a refrigerated cross-dock area and

convertible freezer space, as well as 40,000

total pallet perishable positions.

This is the second cold storage facility that

Lineage plans to open in the Southern Cali-

fornia region next year. The other facility will

be built at the Port of Long Beach.

Cummins Westport received certifcation for its ISX12 G natural gas

engine from the U.S. Environmental Protection Agency (EPA), which meets

both 2013 regulations as well as the EPA’s greenhouse gas and fuel-

effciency standards that go into full effect in 2014.

The ISX12 G natural gas engine is well suited for a variety of feets and applications.

Illinois-based Dillon Transport is adding 25 Kenworth T800s powered by the

ISX12 G engines to its 450+ vehicle feet.

“We’re excited to expand our leadership in natural gas

trucks by becoming among the frst Kenworth customers to

select the Cummins Westport ISX12 G engine. The Kenworth

T800 is a high quality, rugged and reliable truck that fts well

into our green initiatives,” remarked Jeff Dillon, president and

owner of Dillon Transport.

The design of the ISX12 G allows drivers the fexibility

to use either manual or automatic transmission and feet

operators can choose between liquid natural gas (LNG) or

compressed natural gas (CNG) fuel types.

Cummins Westport Engine Gets EPA Certification

http://www.procatms.com

Temperature-controlled warehouses are likewise a requirement for handling most candy and chocolate products, and Weber operates one of the region’s largest networks of temperature-controlled, food grade ware-houses, says David Cardadeiro, vice president for transportation. In addition to its seven temperature-controlled warehouses, the 3PL is one of the few refrigerated LTL carriers on the West Coast. Weber also provides truck-load, intermodal, parcel, dedicated contract carriage, port drayage, and air cargo services.

Some of the big confectionary customers that rely on Weber for their logistics require-

ments, especially consolidated last-mile deliv-eries, include Hershey’s, Just Born, Nestle, Ghirardelli and Tootsie Roll. Typically, truck-load shipments from candy manufacturing plants in the Midwest and East Coast are shipped to Weber, then sorted by consignee. From there, Weber builds consolidated loads and delivers them to multiple retailers, explains Cardadeiro.

It’s not just domestic origin shipments that are handled by Weber. For German candy maker Storck (which makes brands like Werther’s Original), Weber handles all aspects of transportation and distribution from the Port of Oakland in northern California to final retail delivery. Storck sells more than one million cases of product annually in the west-ern U.S. alone, and Weber’s consolidation program helped the company save 42 percent in supply chain costs versus non-consolidated loads.

First-rate facilities and equipment Weber’s Rancho I facility in Rancho

Cucamonga, CA is just one of the company’s

C O V E R S T O R Y

Confectionary customers realize sweet savings with

consolidated last-mile delivery. B y L A R A L . S O W I N S K I

Sustainability Drives Service Offerings at

12 MAY 2013 • FOOD LOGISTICS www.foodlogistics.com

eber Logistics is a prominent player in the U.S. West Coast logistics market and their extensive service offerings, includ-ing consolidated last-mile distribution, are a key component of many confectionary customers’ sustainable supply chain

initiatives.


Weber Logistics

W

Photos © Cynthia Y. McCann

http://www.camspro.com


16 food grade warehouses located through-out California, Arizona and Nevada. The facility handles a variety of grocery products, dry food products, confectionary and CPG products. Value-added services include rework projects, FDA inspections, USDA, time-sensitive projects and repackaging. Ran-cho I also operates a pick-up and delivery operation covering the Los Angeles basin with direct line-hauls to Hayward, CA, Las Vegas and Phoenix.

During a recent visit by Food Logistics, Cardadeiro provided a tour of the facility and discussed how Weber was helping sup-port their customers’ sustainability efforts by streamlining and optimizing the transporta-tion and distribution functions.

Rancho I is an “RFID-driven warehouse,” says Cardadeiro, “and everything is scanned into a WMS.” Weber uses Zethcon’s Synapse WMS solution. In addition, several forklift manufacturers are represented inside the facility, and the forklifts are both electric and propane-powered.

Weber’s entire fleet is equipped and monitored with Fleetmatics’ GPS Tracking solutions. “We use both the hardware and software,” says Cardadeiro. Fleet manage-ment is very important to Weber and other refrigerated transportation carriers who oper-ate in California, which is known for some of the most stringent emissions regulations in the country.

More than 40 power units and 85 trailers

make up Weber’s truck fleet, which boasts late model tractors and the newest generation of Thermo King SB210 Whisper units.

A commitment to sustainabilityWeber has been focused on sustain-

ability for years, says Cardadeiro. The 3PL continually looks for new opportunities to raise the bar, whether it’s through improving

operational efficiencies internally or helping shipper customers reach their goals with new service offerings.

Some highlights of Weber’s sustainability achievements include:

• Since 2009, Weber has reduced its fleet

carbon emissions by 37 percent—the equiva-lent of taking 2,047 cars off the road.

• The 3PL was one of the first members

of the EPA SmartWay emissions reductions program. Since joining, Weber’s fleet has maintained the highest EPA rating available.

• Weber’s drayage solution uses only clean

certified trucks at the ports and rail yards, meeting EPA standards for 2007 model clean-diesel trucks.

• Innovative lighting solutions in Weber

warehouses have reduced electricity use. A combination of natural light and replacing old fixtures and bulbs with new T5 and T8 lighting has resulted in reduced electricity use in Weber’s facilities by up to 30 percent, cutting costs for customers and reducing Weber’s carbon footprint.

• Weber has purchased machinery that

recycles dunnage into packing material to be used as protective filler during shipping, which greatly reduces the use of plastic filler.

• To reduce empty miles, the last mile

logistics program is continuously optimized and partner carriers are used in some areas to reduce travel.

• Gas-powered forklifts have been replaced

with battery-powered units. ◆

C O V E R S T O R Y

ransportation

Management

Systems (TMS)

continue to evolve

to meet shippers’ demands for

planning and executing inbound

and outbound shipments, which

ultimately result in more effcient

and sustainable operations.

The solutions offered by two

major providers, TMW Systems

and CAMS Software, are a good

indication of what features

shippers are looking for, how

TMS solutions are impacting the

transportation sector, and what

new developments are in store

for the future.

Grocery distribution is unique

and characterized by numerous

short distance trips to/from the

same location. It’s a key sector for

CAMS Software and the company

has deployed its TMS solutions to

over 85 major grocery DCs across

North America since 1998.

Prospero is CAMS Software’s

latest offering. “It represents years

of research and development

working in concert with several

of the largest grocery retailers

and wholesalers in the country,”

states the company. “Prospero

is the only transportation

software suite designed and

developed exclusively to meet

the specifc needs of the

grocery industry,” with modules

for routing, dispatch, payroll,

backhaul optimization, salvage

optimization, tour builder (driver

resource optimization), multi-

site optimization, centralized

dispatch, enterprise reporting,

and analytics.

At TMW Systems, it’s about

enterprise-ready transportation

management software, which

is key for private feet operators

who often have to integrate

within a larger corporation’s

ERP and fnancial systems—

“systems usually designed for

manufacturing or retail business

processes,” according to TMW.

The company’s TMS offerings

include TMWSuite, TruckMate,

TL2000, and Innovative IES.

When it comes to what’s

next in TMS, a few notable

developments refect emerging

demands, like “going global.”

According to one industry

analyst, “As the TMS market

continues to expand beyond

North America and Western

Europe, software vendors will

have to confgure their solutions

to meet the local requirements of

different countries. While there

will be some common threads

between them, a TMS in Africa,

for example, will look and operate

differently than one in Russia.”

Cloud-based TMS is another

concept gaining ground, and

small shippers, in particular, stand

to beneft from this development.

T

The Role of TMS

David Cardadeiro

http://www.crowley.com/partner


AFS Technologies

(www.afsi.com)

The food/bev and CPG retail industries are the focus of AFS Technologies, whose data synchronization solutions are designed to eliminate paper-based transactions. In addition, the company’s Warehouse Management System solution boosts clients’ transportation efficiencies with fewer truck movements and optimized fuel utilization, along with more

efficient and leaner operations within the warehouse.

ArrowStream (www.arrowstream.com)

ArrowStream’s Crossbow solution provides collaboration between food/bev companies’ purchasing and logistics, mak-ing it possible to proactively plan the optimal product flow into distribution facilities, increasing truck utilization, and dramatically reducing the miles driven. On average, compa-nies have achieved a 10 percent reduction in miles driven with the implementation of Crossbow.

Associated Grocers of New England (www.agne.com)

AGNE makes this year’s list with an impressive LED lighting project that will save the company over $221,000 in energy costs and approximately 1.4 million kWh in energy consumption annually—reducing the carbon footprint by 2.16 million pounds per year as well. Overall, AGNE will reduce energy consumption at its Pembroke, NH facility by 85 percent.

Avalon International LLC

(www.avalonbreads.net)

This Detroit-based company provides the “daily dough” for over 1,000 retail customers along with 40+ restaurants and grocery markets in nearby cities. Avalon’s commitment to the “Triple Bottom Line: Earth, Community, Employees,” inter-prets sustainability broadly, from 100 percent organic flour in all of its products, to community engagement, to providing employees with fair wages and good benefits. It’s worth not-ing that Avalon has become the biggest organic bread flour purchaser in Michigan.

BrightFarms

(www.brightfarms.com)Consider this: 96 percent of all supermarket lettuce in the

FOOD LOGISTICS’

Everyone is sustainable these days it seems, yet these leaders are the ‘green’ envy of their peers.

B y L A R A L . S O W I N S K I

Top GreenTop GreenPROVIDERS

This year’s Top Green Providers is signifcantly

larger than 2012’s list, which is an indication of

just how important sustainability has become

to supply chains today. Each of the companies

profled submitted a comprehensive applica-

tion detailing their own operations as well as the

products and services they offer to customers. Many went

the extra step and included a case study to help give us a

better picture of their contributions. We’ve included food

producers and manufacturers, 3PLs and transportation

and logistics providers, equipment manufacturers, soft-

ware and technolgy companies and others who are driving

sustainability from farm to fork.

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>> Compare reusable and single-use pallets

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>> Optimize supply chain performance

>> Standardize shipments

>> Improve plant cleanliness

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U.S. and Puerto Rico comes from two places—Yuma, Arizona and Salinas, California. It’s no surprise then that shrink rates for conventional produce can be roughly 25 percent, in part because of long distance supply chains for fresh produce. BrightFarms’ mission is both simple and highly sustainable. The company finances, designs, builds and operates greenhouse farms at or near supermarkets, which not only reduces or eliminates transportation, but results in fresher, tastier produce.

Butterball LLC (www.butterballcorp.com)

Starting in 2012, Butterball’s use of lighter weight tractors and trailers allowed the company to increase shipment payloads, resulting in 52 fewer loads per year, 13,884 fewer miles driven, and 2,777 less gallons of fuel burned annually. That’s not all. Butterball is now using its boiler flue gas to cut down on natural gas usage, while new packaging designs are reducing material use by half. Last year, the company reduced its carbon footprint by 3 percent even though volume increased by over 3 percent.

C.R. England (www.crengland.com)

As the world’s largest refrigerated trucking company, C.R. England is clearly incentivized to pioneer sustainable transporta-tion solutions. On the trucking side, the company is pursuing both CNG and LNG solutions, while its TempStack rail service double-stacks 53-foot reefers on a flatcar, which offers substan-tial savings and a reduced carbon footprint to perishable cargo shippers.

Cadec Global

(www.cadec.com)

Foodservice is a primary customer vertical for Cadec, which is laser-focused on fleet management solutions that reduce fuel costs and improve sustainability. On-board computers auto-matically collect data that’s used to monitor and improve driver

and truck performance, all the while eliminating paper and paperwork processing. The company’s TempTracker application provides wireless temperature tracking for up to three separate trailer units.

CAPS (www.usecaps.com)

CAPS (Container and Pooling Solutions) has a long history of working with companies in the food and beverage space to reduce supply chain waste by implementing reusable containers. The benefits are not only realized by individual companies who see reduced material and packing costs, but the larger social and environmental impacts of using less natural resources and energy is commendable.

Cat Lift Trucks (www.mcfa.com)

Cat’s electric lift trucks are well suited for food warehouse and distribution environments, which dominate the grocery indus-try, because toxic emissions like carbon monoxide are eliminated while other fumes and odors are reduced significantly. Further-more, AC electric lift trucks are typically one quarter of the cost to operate compared to internal combustion (IC) forklifts. MCFA converted its own IC forklift fleet to electric in 2011 as part of its corporate sustainability initiatives.

CHEP (www.chep.com)

CHEP is aggressively pursuing ‘green goals’ with several five-year targets. Specifically, the company aims to reduce greenhouse gas emissions by 20 percent from a 2010 baseline, source 100 percent of lumber for CHEP wooden pallets from certified sources by 2015, send zero lumber waste to landfill by 2015, and achieve year-over-year reductions in water consump-tion and general waste generation. CHEP USA has also joined the Supplier Ethical Data Exchange (SEDEX), a not for profit membership organization dedicated to driving improvements in responsible and ethical business practices in global supply chains.

Top Green PROVIDERS

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Clean Energy Fuels (www.cleanenergyfuels.com)

Trucking fleets across the country are discovering the benefits of natural gas fuel, states Clean Energy Fuels ("Clean Energy"). As North America’s largest provider of natural gas fuel for transportation, the company consults with various industries, including food/bev, as they continue to strategically build out the nation’s natural gas highway with CNG and LNG fueling stations. Clean Energy Fuels also tracks every gallon dispensed to its 2,000+ fleet customers to measure its sustainability progress.

Columbian Logistics Network

(www.columbianlogistics.com)

Columbian Logistics maintains over one million square feet of ambient food grade and temp-controlled warehousing in nine locations throughout Michigan and is a certified EPA Smart-Way partner. Its dedication to sustainability includes reducing waste, emissions and energy usage in a variety of ways, including motion detection lighting and using white paint on warehouse roofs to reduce heat transfer.

Coyote Logistics

(www.coyote.com)

Empty backhauls are a huge area of waste in the transporta-tion world. Coyote’s award winning Private Fleet collaboration tool eliminated over 7.5 million empty miles from U.S. high-ways last year and reduced 13,000 tons of carbon emissions. Coyote’s Green Calculator measures and verifies the savings, while shippers and carriers have access to analytics reporting that allow them to view all of their data.

Crown Equipment Corporation

(www.crown.com)

Sustainability is a market differentiator for Crown, starting from the conceptual stage of design through the product’s end of life. This boosts their customers’ overall savings in equip-ment costs and energy use, while simultaneously reducing waste and streamlining operations. Crown has won more Industrial

Designers Society of America (IDSA) awards in the past 11 years than any other company. It’s Ecologic Report is available for download at Crown.com.

Cryo-Trans (www.mhwgroup.com)

Cryo-Trans is one of four companies comprising the MHW Group. For food shippers, converting truck freight to rail yields massive sustainability results, starting with a 70 percent reduc-tion in diesel fuel and greenhouse gas emissions. The company is continually rolling out new reefer technology into the rail marketplace, including the use of hybrid reefer units that are powered by electricity as well as diesel.

Dole Refrigerating Company

(www.doleref.com)

Dole has been an all-electric truck refrigeration company since the early 1930’s, manufacturing some of the most depend-able, long lasting systems on the market today. Its Eutectic Cold Plates only require shore power at night to recharge, compared to mechanical refrigeration systems that burn 4-6 gallons of fossil fuel daily when operating.

Dot Foods

(www.dotfoods.com)

Dot Foods ranks as one of the nation’s largest food redistribu-tors, offering more than 100,000 products through all 50 states. When it comes to cold storage facilities, refrigeration and light-ing are the two biggest areas to reduce energy use and improve sustainability. The company’s Cambridge City, Indiana DC alone has slashed energy usage by 15 percent over the past two

years with lighting upgrades, insulated freezer doors and refrigeration technol-ogy, earning nearly $40,000 in energy incentives.

DSC Logistics

(www.dsclogistics.com)

Not only has DSC Logistics imple-mented multiple sustainability initia-tives internally, the EPA SmartWay certified Transport Partner (both as a carrier and logistics provider) is com-mitted to eliminating waste and costs for its customers’ supply chains in three strategic areas: Supply Chain Network Modeling and Design, Logistics Center

Top Green PROVIDERS

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Management, and Transportation Management Services. This approach allowed one food processing customer to save an esti-mated $1 million in transportation costs on their international shipments.

England Logistics (www.englandlogistics. com)

Food and beverage companies comprise a significant portion of England Logistics’ portfolio. Applying EPA SmartWay Trans-port Partner principles and internally developed sustainability best practices to its customers’ supply chains has resulted in reduced carbon emissions and improved supply chain processes. Within its organization, England Logistics has reduced paper use, improved recycling efforts, and even implemented carpool programs for employees.

Envision Plastics

(www.envisionplastics.com)

Envision Plastics is the only producer of food grade high-density polyethylene (HDPE) in North America. The company partnered with Method to help create their unique Ocean Plastic

packaging, made from plastic litter recovered from the ocean and beaches. Envision also conducts Life Cycle Inventory Analyses for companies to help them see how using recycled HDPE can reduce greenhouse gas emissions in production.

enVista

(www.envistacorp.com)

With a mission to “reduce waste and cost from clients’ supply chains from source to consumption,” enVista looks at various facets of a supply chain network to determine how and where to improve sustainability. Whether it’s the location of a cold stor-age facility, inventory optimization, transportation, warehouse operations, or labor, enVista is keen on helping clients operate leaner, greener and more profitably.

Fabri-Form

(www.fabri-form.com)

Ohio-based plastics fabricator Fabri-Form is a leader in its industry and continuously designs and develops recyclable/reus-able trays, pallets and totes to provide businesses with a more sustainable solution. One example includes a partnership with a leading grocery chain, which is using Fabri-Form’s recyclable/reusable pallets to provide a “looping” system in their network.

FST Logistics (www.fstusa.com)

Aside from its array of sustainability efforts in the areas of lighting and energy use, FST Logistics' program to recycle used oil from its truck fleet to power heaters in the maintenance garage was a particular standout. In addition, the company participates in both the EPA’s SmartWay and Green Power Part-nership programs. The EPA defines green power as electricity produced from solar, wind, geothermal, biogas, eligible biomass and low impact hydroelectric sources.

GENCO (www.genco.com)

GENCO’s sustainability operations in the food/bev industry

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Top Green PROVIDERS

More providers are offering solutions to keep food out of landfills.

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focuses on three key areas: energy reduction, waste reduction and recycling. The 3PL is focused on reducing its electricity consumption as well as waste, both physical waste (trash) and operational waste (process). GENCO was also awarded a $6.1 million grant from the Department of Energy for the deployment of hydrogen fuel cell fork-lifts in one of its operations.

Great Dane Trailers

(www.greatdanetrailers.com)

Great Dane’s patented ThermoGuard liner has made a significant contribution to refrigerated trailer technology, helping slow the degradation of foam insulation and extending the life of the refriger-ated technology. While all refrigerated carriers can realize savings with ThermoGuard, long-haul, low-temperature carriers can easily realize fuel cost savings in excess of $5,000 or more over the life of the trailer, as well as extended trailer or container lifespan and reduced cooling unit purchase costs.

Hyster Company

(www.hyster.com)

Hyster Company provides a wide range of environmentally friendly lift trucks—from zero emission electric models to internal combus-tion engine (ICE) lift trucks. The company can deliver its lift trucks to customers with power sources that include conventional and fast-charge lead acid batteries, hydrogen fuel cells, liquid propane (LP), compressed natural gas (CNG) and diesel. Hyster’s lift truck emissions are among the lowest of any truck in the industry, according to EPA and California Air Resources Board (CARB) standards.

iGPS

(www.igps.net)

iGPS plastic pallets are 100 percent recyclable and can be molded into new pallets when damaged. While obviously saving tress, the

www.foodlogistics.com FOOD LOGISTICS • JUNE 2013 23

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iGPS plastic pallets are also 30 percent lighter than typical wood pallets, which mean fuel costs are reduced too. Plastic pallets also help food shippers reduce the risk of contamination.

iLogic (www.ilogic.com)

iLogic’s mobile asset solution, masLogic, allows customers to track and trace containers, pallets, bulk bags, and similar assets. The masLogic solution is offered via platform-as-a-service (PaaS), which eliminates costly software purchases or installa-tions. Furthermore, customers benefit from moving fewer assets, and moving them shorter distances.

Inmar

(www.inmar.com)

The numbers tell the story: In one year’s time, Inmar’s remar-keting service kept 117 million pounds of grocery and consumer goods out of landfills. Moreover, the donation program Inmar runs on behalf of its clients provided 1.8 million boxes of food product that were used to create 5.5 million meals for the needy. “Sustainability has been at the heart of our value proposition throughout our history,” emphasizes a company executive.

InMotion Global

(www.interstateLG.com)

inMotion Global’s TMS is the world’s only totally free, and fully patented, Transportation Management System (TMS). The software helps shippers move freight more efficiently, route and optimize trucks and orders, and reduce miles driven and the equipment needed to do it. In the first quarter of this year alone nearly 350 new shippers started using inMotion Global TMS.

INSIGHT, Inc.

(www.insightoutsmart.com)

INSIGHT’s proprietary optimization technology helps clients from a variety of industries solve problems, automate processes, uncover value and boost sustainability. Key clients include Kel-logg’s North American plants, which use INSIGHT’s master production planning component, and Anheuser-Busch, which relies on the technology to plan all packaging and distribution from breweries to over 900 North American distributors.

Intelleflex

(www.intelleflex.com)

It’s estimated that $35 billion in perishable food is wasted each year, half of it because of improper temperature management. Intelleflex’s ZEST Data Services together with RFID readers and tags combined with intelligent Returnable Transport Items (iRTIs) play a key role in tracking and tracing product in the food supply chain and reducing unnecessary waste due to lack of visibility or improper handling.

Jane’s Dough Foods (www.janesdoughfoods.com)

Jane’s Dough Foods makes premium quality dough and pizza products. Last summer, the company transitioned from tradi-tional pizza boxes to eco-friendly sleeves, reducing cardboard by 24 percent in both size and weight. With 2.2 million pizzas expected to be sold, this seemingly simple switch has eliminated over 280,000 pounds of cardboard. The smaller format sleeves have also reduced 58 truck shipments annually.

Jungheinrich (www.mcfa.com)

In the food/bev business, it’s all about speed. Jungheinrich’s lift trucks and equipment have a longer run time from a single battery, which helps reduce hydrogen gas emissions (occurs when an electrical battery is charged) and keeps a warehouse operation running more efficiently. The company was the first to develop its proprietary 3-phase AC technology, used to capture wasted mechanical energy and convert it to electrical energy.

JustFoodERP (www.justfooderp.com)

JustFoodERP understands the unique requirements of its food and food-related customers, many of whom are looking for solutions to reduce paper and manually intensive functions with automated processes. The result is real time information, increased visibility, and improved tracking and tracing capabili-ties, which translates to reduced waste and more sustainability. JustFoodERP prides itself in matching up the best software technology with the best business practices.

Kane is Able

(www.kaneisable.com)

Collaborative Distribution, or the sharing of transportation

Top Green PROVIDERS

Intelleflex

provides

solutions to

track and

trace perish-

ables.

among various shippers, is not a new concept, but KANE has been at the forefront. One of its customers, Sun-Maid, saw a 62 percent reduction in cost per hundredweight using KANE’s consolidation program. Sun-Maid now consolidates close to half of its orders and plans to grow that number.

Kenco

(www.kencogroup.com)

Recently, Kenco introduced new sustainability dashboards that bring together 13 metrics to provide “a good assessment of site-specific sustainability,” said the company’s leader of sustainability, Deni Albrecht. The dashboard tracks metrics such as electricity, natural gas and water usage, as well as labor costs and other inputs. Kenco advises customers to start with the easiest things first, like simply turning out lights that aren't in use, then building a sus-tainability program from there.

Murphy Warehouse Company

(www.murphywarehouse.com)

Over the past year, Murphy Warehouse Company continued its ongoing sustainability initiatives, which include native prairie and tree plantings, rain gardens and storm water retention ponds, as well as solar installations and LEED and Energy Star certifications. Its new 350,000 square foot Eagan, MN campus is the largest building in the Midwest with an LED lighting system of its kind, which includes LED fixtures outfitted with motion detectors.

Next Generation Logistics (www.nextgeneration.com)

Inverness, Illinois-based Next Generation Logistics’ FreightMas-ter TMS offers sophisticated functionality to minimize a shipper’s carbon footprint and leverage alternative modes of transportation, such as rail and intermodal. KPI’s validate the transportation cost savings and deliver “green results.”

Paragon Software Systems

(www.paragonrouting.com)

Paragon’s advanced routing and scheduling solutions are used by a wide range of food/bev companies, and their flexibility and scalability are two key selling points. Fleet operators can typically reduce the size of their truck fleet by 20 percent with Paragon’s solutions, which benefits individual organizations and the envi-ronment as a whole. National foodservice distributor McLane Company uses six Paragon systems to plan delivery routes for is U.S.-wide operations.

Paylode

(www.paylode.com)

MillerCoors saved $8 million by using Paylode’s reusable cargo protection systems. Instead of using disposable corrugated dunnage to protect cans and bottles during transit in trucks and rail cars, the reusable and recyclable plastic-based systems from Paylode offered superior protection and boosted sustainability at the same time.


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Randall Manufacturing (www.randallmfg.com)

The GREEN InsulWall is the only flexible curtain wall made from recycled insulation. It provides food/bev facilities with a LEED contributing, energy-saving modular wall system that minimizes a company’s environmental footprint by conserving energy and lowering operating costs. The insulated curtain wall also features an ASTM E84 Class A fire rating.

Raymond Corporation (www.raymondcorp.com)

Raymond’s Eco-Performance design philosophy is an indicator of how the company approaches the material handling needs of its customers, including those in the food/bev space. The idea is to move more product and pallets in a shorter time frame, using the least amount of energy as possible, attainable by usingRaymond's ACR System technology. One customer expects to get 20 percent more lifts per battery charge with Raymond’s proprietary system.

Retail Handling Solutions

(www.retailhandlingsolutions.com)

Retail Handling Solutions’ ADS Box provides grocery retailers with a flexible and reusable solution for displaying and promoting palletized products. The four-sided customizable “billboard” wraps around and conceals the pallet while delivering products at a comfortable height to shoppers. The ADS Box helps reduce discarded display material and is built to last for years.

Retalix

(www.retalix.com)

Retalix (now a division of NCR), is focused on automating processes and reducing paperwork. For example, its Power Deliv-ery proof of delivery system increases successful deliveries while cutting down on manual processes and paper. Retalix offers its solutions via SaaS, making them more affordable and scalable.

ReTrans

(www.re-trans.com)

Confectionary manufacturers are a strong customer base for Memphis, Tennessee-based ReTrans, and they’ve worked with one

in particular to shift truckload reefer shipments to intermodal rail where possible, dramatically reducing greenhouse gas emissions and driving supply chain cost savings. Secondary benefits include reduced truck and dock congestion.

Retrotech, Inc.

(www.retrotech.com)

Retrofitting and modernizing an existing facility is a true expression of sustainability—waste is reduced, energy saved, and downtime minimized. Retrotech can seamlessly upgrade existing automated or manual material handling systems with best-in-class components and non-proprietary software to help a client’s opera-tions maintain a competitive edge. Earlier this year, Retrotech worked with a Cargill facility in Alberta, Canada to design and install an improved process.

Reverse Solutions

(www.reversesolutions.com)

Reverse Solutions, and its division Reverse Recycling, provide waste and diversion management for large food DCs in the Northeast. They start by analyzing current processes and imple-menting more sustainable solutions that keep food and packaging out of landfills. The company also provides services such as return management, asset recovery and liquidation.

RLS Logistics (www.rlslogistics.com)

As a follow-up to a solar project at RLS Logistics’ headquarters in Newfield, NJ, the company embarked on an LED lighting ret-rofit project that will potentially save RLS Logistics 80-90 percent in lighting costs annually. The company’s goal is to generate 50 percent of its total energy requirements. RLS Logistics specializes in temperature-controlled logistics services.

ROOFLIFTERS USA (www.rooflifters.com)

This company’s approach is to think “above the box,” and raise the existing roof of a building to increase clear height. The lessened impact on the environment is “fairly obvious,” says the

Randall Manufacturing

(www.randallmfg.com)

The GREEN InsulWall is the only flexible curtain wall madefrom recycled insulation. It provides food/bev facilities with a

Top Green PROVIDERS

ROOFLIFTERS USA expands the clear height and cubic feet of a structure.

Randall Manufacturing's modular GREEN InsulWall helps reduce energy

demands associated with heating and cooling a facility.

company, which has completed several projects for food distribution and manufacturing clients. A project for Fiera Foods in Toronto, Canada included raising the clear height from 12 feet to 21 feet and expanding the cubic feet of the facility from 504,000 to 882,000.

Ryder

(www.ryder.com)

Ryder is on the front lines in the development of natural gas vehicle operations and maintenance with over 250 vehicles currently deployed in customer operations, including many in the food/bev space. The company’s natural gas offerings started in Southern Cali-fornia in 2011 and have expanded to Arizona, Michigan, and Loui-siana. When it comes to helping food/bev companies improve their sustainability, Ryder starts by assessing three key areas: transportation, facilities/buildings, and network design.

S4i Systems

(www.s4isystems.com)

The grocery and foodservice sectors are notorious for tight operat-ing margins, which makes the migration from paper intensive work to electronic documents highly desirable. Increased sustainability, reporting, and tracking and tracing add to the value proposition offered by San Clemente, California-based S4iSystems.

Saddle Creek Logistics Services

(www.sclogistics.com)

Saddle Creek’s CNG fleet has grown to more than 100 trucks over the past year and has already surpassed 3 million miles, which in turn supports their customers’ corporate sustainability initiatives. CNG trucks offer one of the cleanest burning alternatives to diesel trucks and boast near zero emissions. They are also significantly quieter. In April, TalkingRain beverage company announced it had chosen Saddle Creek to handle its nationwide supply chain management.

Schneider National

(www.schneider.com)

Given its rank as one of the nation’s largest truckload carriers, Schneider National has a vested interest in aggressively pursuing a sustainable future and has been doing so for over 30 years. Efforts to improve fuel efficiency have resulted in best practices and applications that have raised the bar for the entire transportation industry. All three of Schneider's business sectors, including truckload, intermodal and logistics, are SmartWay Transport partners.

Supply Chain Optimizers

(www.supplychainoptimizers.com)

Among its suite of services, Supply Chain Optimizers specializes in packaging optimization, reducing the use of board and cardboard material and creating more efficient pallet configurations for clients such as Nestle and Heinz.

Telogis

(www.telogis. com)

The launch of cloud-based Telogis for Food & Beverage in April


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targets the specific needs of this sector and, specifically the transportation of time- and temperature-sensitive freight. Telo-gis helps customers monitor greenhouse gas output and make improvements in their operations, including emissions compli-ance, cutting idling by over 25 percent, and reducing out-of-route miles by 30 percent.

The Kennedy Group

(www.kennedygrp.com)

Even smart and easy to use labeling solutions play an impor-tant part in sustainability. The Kennedy Group’s patented plac-ard label holder is designed to work with sustainable packaging in the food industry, including pallets and containers. Because it adheres permanently to reusable packaging, other labels can be applied and removed as often as necessary.

United Natural Foods, Inc.

(www.unfi.com)

UNFI has achieved sustainability success in many areas—LEED certified facilities, a partner in EPA’s SmartWay, sup-porting the Organic Seed Alliance and similar organizations, and bringing Fair Trade to small banana growers in Ecuador and Peru. Currently, UNFI is installing solar electric systems on the rooftops of three of its warehouses. The company pledged in 2010 to reduce its carbon emissions by 5 percent from 2009 levels over five years.

US Perishables (www.usperishables.com)

Oakland, CA-based US Perishables uses its supply chain expertise to provide faster, more reliable deliveries that reduce

waste and damage to perishable shipments, consequently reduc-ing inventory levels and saving energy and resources. The com-pany also has access to cold storage facilities in major hub cities throughout the continental U.S.

Veracity Logistics (www.veracitylogistics.com)

In addition to running clean, efficient operations that boost their customers’ sustainability, Veracity Logistics has embraced a recycling program for plastic, paper and wood that captures up to 10 tons of shipping waste every month.

Werner Enterprises

(www.werner.com)

Werner is an undisputed leader among best-in-class green providers. Through its participation in the EPA's SmartWay, the company has earned a ShipperIndex Factor (SIF) of 1.25, the highest score possible. An SIF of 1.25 represents outstanding environmental performance and is an example of how commit-ted Werner is to sustainability. For instance, the company's bev-erage trailers are equipped with wide base tires and lightweight trailers that help transport more payload with less equipment, and is just one way Werner has managed to save 58 million gal-lons of fuel since 2007.

Westfalia Technologies

(www.westfaliausa.com)

Westfalia’s “Go Green With High Density AS/RS” Design lets food/bev clients store pallets or containers up to 12 deep, using 40 percent less space and allowing for a smaller building footprint. Energy costs, especially in cold storage environments, are positively impacted. Even facilities with ceilings as low as 20 feet can benefit from Westfalia's solutions.

Witte Bros. Exchange

(www.wittebros.com)

Witte Bros. has deployed numerous sustainability initiatives throughout its operations, including the use of electric plug-ins for its reefer units to eliminate idling and emissions. On the road, the company uses APUs and Temp-A-Start units to reduce idling. Witte Bros. has been a strong supporter for the implementation of electrification (aka “shore power”) units throughout the nation’s truck stops.

Yale Material Handling Corporation

(www.yale.com)

Yale features innovative transmission designs that reduce tire and brake wear in the company’s internal combustion (IC) trucks. The company’s electric lift trucks are especially ideal for the food/bev industry and customers like McCain Foods. Yale’s Veracitor product offers the best energy efficiency of any lift truck in its class in North America. ◆


Top Green PROVIDERS

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At the heart of the Kroger Recovery Sys-tem is an anaerobic digester. Anaerobic diges-tion is a naturally occurring process that’s used to transform organic food waste into renewable methane biogas. FEED’s system operates in an enclosed oxygen-free environ-ment, which means the anaerobic digestion process generates no odors.

Through its relationship with FEED, Kroger has emerged as the first national gro-cery chain to successfully profit from food waste. The company has not released the

project cost, but does expect an 18.5 percent return on their sizeable investment.

Sustainability gains on multiple fronts

The Kroger Recovery System hits sev-eral high notes on the sustainability front, starting with food waste. According to an August 2012 report by the Natural Resources Defense Council, food waste at the retail level in the supply chain is considered a “cost of doing business.” The report highlights spe-

Anaerobic digester turns food waste into biofuel

in Compton, California. By LARA L . SOWINSKI

Kroger Pioneers a Solution for Food Waste

The Kroger Co. is pioneering a solution to take a bite out of the estimated $15 billion the USDA says supermarkets lose annually in unsold fruits and vegetables, let alone other organic materials. Recently, the grocery chain worked with FEED Resource Recovery, Inc. (FEED), a clean technology

company, to implement a zero waste system called the Kroger Recovery Sys-tem, where food that cannot be sold or donated (a value fostered by Kroger) is converted into clean energy and used to help power its 59-acre Ralphs/

Food 4 Less distribution center in Compton, California.

R E V E R S E L O G I S T I C S

The Kroger Recover

System anaerobic digester

in Compton, California.

cific contributing issues such as: overstocked products, unregulated sell/use/best by dates, and lot or “pack” size purchasing decisions.

In the U.S. alone, 66 billion pounds of food waste end up in landfills each year. The Kroger Recovery System will divert 150 tons of food waste from landfills each day.

Equally impressive are the benefits on the transportation and energy side. Previ-ously, food waste from Ralphs and Food 4 Less stores was trucked six times a day to a processing facility in Bakersfield, CA, about 130 miles north of Los Angeles. By relocat-ing the food waste processing function to the Compton, CA distribution center (near the Los Angeles-Long Beach port complex), Kroger is eliminating roughly 500,000 truck miles annually, and the effort supports the company’s plan to decrease its “empty miles” cost by 10 percent by 2014, as stated in their 2012 sustainability report

Not only are greenhouse gas emissions reduced, but high fuel costs, too. According to the U.S. Energy Information Administra-tion, the West Coast region has the highest U.S. on-highway diesel fuel prices at $3.945 per gallon (as of 6/10/13).

Meanwhile, the renewable methane biogas produced at the Ralphs/Food 4 Less DC will be used to offset 20 percent of the energy costs at the 650,000 square-foot facility, which also boasts over 150 zero emission fuel cell forklifts.

Kendra Doyle, group vice president, pub-lic relations & government affairs, for Ralphs, told Food Logistics that she expects similar projects to be rolled out at other Kroger loca-tions throughout the U.S. ◆

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SECTOR REPORTS WAREHOUSING: LIFT TRUCKS

The Use of Sustainable Technology in Lift TrucksManufacturers are rolling out new models with compelling features. By Lauren Levy


Figures from the Industrial Truck

AssociationÕs ÒUS Factory Ship-

ments Through 2012Ó report show

steady growth for electric lift truck

orders and declining purchases of

lift trucks powered by internal combustion

(IC) engines.

These changes in purchasing patterns as

well as increasing government regulations

on emission controls are spurring lift truck

manufacturers to improve and develop new

technologies such as propane, hydrogen,

hybrid fuel and natural gas. Companies such

as Crown, Hyster, Jungheinrich, Raymond,

Toyota and Yale are offering products and

equipment that are environmentally friendly,

improve warehouse productivity, and repre-

sent a good value for the investment.

CrownAndy Smith, senior marketing manager

with Crown, explains the companyÕs use of

regenerative technology for their lift trucks.

ÒBoth Crown TSP Series and Crown RM

Series feature regenerative braking and low-

ering systems that capture lost energy and

return it to the battery. Crown offers a larger

battery option, which together with their

regenerative technology allows for an increase

in time efficiency.Ó

One of CrownÕs newest battery-powered

lift trucks is the Crown RM 6000. This lift

truck is the industryÕs first narrow aisle reach

truck with a MonoLift mast, which gives the

operator improved visibility and performance.

According to Smith, it is also the industryÕs

first pantograph reach truck that can reach

505 inches and deliver up to 1,000 pounds

more capacity at height.

Admittedly, one limitation to battery-

powered technology, says Smith, is that it

requires strict maintenance, including water-

ing to retain a full charge. ÒAdvances in

some types of batteries remove the need to

vigilantly check water and electrolyte levels,

but regular maintenance is key to ensuring

battery-powered fleets operate at optimum

efficiency,Ó he advises.

Crown also offers customers its Encore

remanufacturing program. The program

recycles up to 99 percent of used forklift

components.

HysterHyster is also focused on sustainability,

offering zero-emission lift truck models along

with traditional internal combustion engine

models. All of HysterÕs lift trucks meet or

exceed the California Air Resources Board

(CARB) requirements.

Customers can choose models whose

power sources range from conventional

fast-charge lead acid batteries, to hydrogen

fuel cells, liquid propane (LP), Compressed

Natural Gas (CNG) or diesel. Hyster is also

exploring the future use of hydrogen-powered

fuel cell trucks that may one day replace or

work alongside electric ones.

A new product in HysterÕs electric line-

up is the LO2.5 center rider lift truck.

This truck Òeases second level order picking

through a raising operator platform and the

unitÕs adjustable electronic power steering,

automatic speed reduction in cornering and

its suspended platform with an operator sens-

ing floor mat,Ó states a press release.

Hyster also offers an Environmental Pack-

age that equips lift trucks to work outside

of a plant. Specifically, ÒThe Environmental

Package prepares electric trucks to handle

notoriously heavy-duty industries, such as

lumber, dock yards, masonry, food prepara-

tion and handling heavy manufacturing and

recycling,Ó states the company.

JungheinrichJungheinrich realizes that different power

sources work more efficiently depending on

the application required. According to Perry

Ardito, general manager of Jungheinrigh

Warehouse Products Group at MCFA, ÒEach

source offers a varying degree of performance

and reliability.Ó

Yale’s MO25 lift truck eases second level order picking through its fully adjustable

electronic power steering, automatic speed reduction in cornering and enhanced

suspended platform.

ECO-PERFORM.

DON’T JUSTPERFORM.

Eco-Performance is Raymond’s unique design philosophy that increases

productivity and effciency on every truck. With Raymond’s exclusive ACR

System™, Eco-Performance means up to a 33% energy effciency boost.

It delivers quicker acceleration and smoother control. That gets you up

to 9% faster cycle times. And a lower cost per pallet moved. No matter

what the operational limitations are on space, personnel, and budget. It’s

how Raymond maximizes effciency and productivity. Don’t just perform.

Eco-perform. Contact a Raymond Sales and Service Center near you to

see how our Eco-Performance - engineered lift trucks ft into your feet or

learn more online at raymondcorp.com/eco-performance.

Testing conducted by PosiCharge. Comparative data overseen

and compiled by the United States Auto Club Properties, Inc.

http://www.raymondcorp.com/eco-performance


The company has worked to reduce CO2

emissions across their range of lift trucks. For

example, with their line of electric and diesel/

LPG forklifts they have reduced CO2 emis-

sions by over 25 percent

In addition, Jungheinrich developed and

introduced the “first lithium-ion battery for

their electric pallet trucks,” says Ardito, add-

ing that the battery is smaller than “conven-

tional lead acid batteries,” which makes it eas-

ier to handle while also shortening the overall

length of the truck and improving maneuver-

ability. This battery is also maintenance-free,

which reduces labor time and costs.

Jungheinrich was the first to introduce

the electric forklift over 60 years ago, while

in 1996 they introduced proprietary AC

technology trucks. AC technology trucks are

more reliable, require fewer battery changes,

have fewer greenhouse gas emissions and

are generally considered “cleaner” lift trucks,

which is especially desirable in food/bev envi-

ronments.

Limitations do exist with some of the

higher capacity units at 15,000 pounds or

more, however. At this level, the power of a

diesel or gas unit may be required.

RaymondAccording to Jim Hess, national accounts

manager for the Raymond Corporation, the

company turned to electric lift trucks for

their space saving benefits, especially when

compared to gas- or propane-powered trucks.

Electric powered trucks allowed Raymond to

reduce required aisle space from 12 to 7 feet.

They can also travel greater distances than

traditional gas-powered units.

The Raymond 8000 Series pallet trucks

are one of their newest electric powered lift

trucks on the market. They are designed for

strength and durability, and the “undercar-

riage components [are] designed for reduced

wear and maintainability,” according to a

press release.

In addition, the control system has been

designed to handle “wet and cold” environ-

ments, which is an attractive feature for many

food/bev facilities. The grab bar and elec-

tronic controls are “sealed and waterproofed

for wet environments and wash-downs, and

a one-piece rubber cover replaces individual

plastic buttons for a longer component life,”

as well.

The one limitation though, according to

Hess, is that the sophisticated electronics

make the truck specific to indoor operations

only and “not recommended” for use in out-

door climates.

Meanwhile, Raymond has been test-

ing hydrogen fuel cells in lift trucks for the

past six years. Among the features they’ve

developed, according to Hess, is a “fuel-dis-

pensing system that allows for a two-minute

recharge.”

ToyotaToyota offers a range of environmentally

friendly lift trucks that are UL-listed, EPA

and California Air Resource Board certified,

and run on compressed natural gas and AC

power.

The food and beverage industry, in partic-

ular, represents a key customer group for elec-

tric lift trucks because of “growing environ-

mental concerns, fuel prices and regulations

for lower emission equipment,” points out

Kenro Okamoto, product support specialist

for Toyota Material Handling U.S.A.

Okamoto discussed Toyota Material Han-

dling’s switch from DC to AC motors. “Prior

to this change, 60 percent of lift trucks were

gas-powered, and 40 percent were electric.

Today, 65 percent are electric and 35 percent

are gas-powered.”

One of Toyota’s new features is the Com-

pact Battery Compartment Option, which is

available on the 8-Series 4-Wheel AC electric

4,000- and 5,000-pound models. This option

is suited to customers that have narrow aisles

and those that demand shorter, more com-

pact lift trucks to increase their productivity.

According to Okamoto, stricter emissions

standards are prompting more food/bev

companies to convert their lift truck fleets

from internal combustion powered engines to

battery-powered trucks. Nonetheless, Toyota

“offers both types of products to address the

customer’s need and preferences.”

While electric-powered trucks are decid-

edly more sustainable, one limitation is that

they travel slightly slower than their internal

combustion engine counterparts. But, con-

tinued improvements in AC technology and

high voltage batteries are helping bridge the

performance gap.

YaleZero emission lift trucks play a key role in

the sustainability offerings from Yale Materi-

als Handling, and the company is one of the

largest volume producers of zero emissions

lift trucks in the North American market.

In addition, Yale’s lift trucks use an innova-

tive transmission design that reduces brake

and tire wear in internal combustion engine

trucks. Yale also reduces energy consumption

through weight reduction and drive train

efficiency.

Recently, Yale introduced the MO25 low

level order picker to its line of electric trucks.

The model features a range of ergonomic and

productivity features, including fully adjust-

able electronic power steering that reduces

steer effort by 90 percent.

The company has also been experimenting

with fuel cell technology and was one of the

first manufacturers to introduce hydrogen-

powered fuel cell trucks.

During ProMat 2013 in January, Yale

launched its factory-backed Certified Reman-

ufactured Program. The factory-backed

program comes with a one year, 2,000-hour

warranty. ◆

Raymond’s Eco-Performance designs

boost productivity and reduce fuel

consumption.

Toyota’s 8-Series 4-Wheel electric forklift

features the AC drive system.

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SECTOR REPORTS TRANSPORTAT ION: ALTERNATIVE FUEL


The growth of the natural gas

industry is due to a convergence

of multiple factors. According to

Jim Arthurs, president of engine

manufacturer Cummins Westport

(a joint venture between Cummins

Inc. and Westport Innovations), the energy

sector has been developing new and more

efective methods of extracting natural gas,

while at the same time, discoveries of huge

gas reserves across the U.S. have been made

in recent years. Tese large reserves, along

with the relative ease of access, is allowing the

energy industry to separate from petroleum-

based products.

In addition, economic forecasts put natural

gas prices much lower than petroleum-based

fuels for the foreseeable future, and they’re

less volatile on commodity markets, which

make them a particularly attractive invest-

ment. Overall, the fact that such a large

amount of natural gas can be produced

domestically is a huge incentive for many

companies to begin investing in natural gas

fleets.

Comparing CNG to LNGOne key difference between CNG (com-

pressed natural gas) and LNG (liquid natural

gas) is the method of storage. CNG as a com-

pressed gas is typically stored at a high pres-

sure in tanks with reinforced carbon fiber and

in gaseous form. LNG is a cryogenic fuel,

which is stored in dual-celled tanks with a

vacuum space in between. This fuel is stored

at very low pressure.

A major concern with natural gas has been

safety. However, according to Matt Campbell,

product manager for Westport Innovations,

“Natural gas is extremely safe.” It has “a very

narrow window for combustion so it’s not

a fuel that is volatile like gasoline or diesel.”

Furthermore, natural gas is also a non-toxic

substance and unlike diesel fuel, which is a

known carcinogen, natural gas has no toxic

properties.

LNG is a cryogenic fuel, which at its cold-

est is -260 degrees Fahrenheit. From a safety

perspective, there is the potential for freeze

burn if precautions are not taken, says Camp-

bell. Along with adequate training, anyone

filling at an LNG station would typically

wear protective items when dispensing the

gas, including gloves, a long apron or cover-

alls, and a face shield.

Campbell acknowledges the concern that

some have about the potential volatility of

LNG, which some people incorrectly liken

to a “rolling bomb” when referring to LNG-

powered vehicles, he says. But, “that’s just not

one of the properties of natural gas.”

Meanwhile, in the event of a spill, natural

gas will not pool on the ground like other

fuels, explains Chad Lindholm, vice presi-

dent, western region, for Clean Energy Fuels

(“Clean Energy”). Instead, it converts to a

gaseous form and rises up into the atmo-

sphere where it will not be a danger.

Making natural gas more availableThe single largest disadvantage of alterna-

tive fuels at the moment is availability. LNG

filling stations are difficult to find, but that’s

changing fast. Companies like Clean Energy,

the largest provider of natural gas fuel for

transportation in North America, are work-

ing quickly to build up the infrastructure.

According to the company’s Web site, there

are currently about 360 fueling stations

throughout the U.S. and Canada. By the end

of 2013, it’s expected

that another 30 to 50

stations will be com-

pleted. Clean Energy

stations are also the only

ones that offer both

CNG and LNG.

Another major

impediment for fleets

considering making the

switch to natural gas is

the ‘sticker shock’ asso-

ciated with the initial

cost of the vehicles.

Nonetheless, the cost can be mitigated

through government incentives and fleets will

generally see a return on investment within 2

to 3 years.

Cummins Westport’s Arthurs knows that

making a smart financial decision will be

the major deciding factor for a company in

choosing natural gas over diesel.

“In the end you really have to look at the

overall business case, what you are going to

save [in fuel costs]…It’s a two year payback;

you are going to save money over the life of

the truck.”

While it appears many factors are falling

into place for the future of natural gas in the

transportation industry, the questions remain

as to who is going to make the initial invest-

ments to advance its expansion. For example,

will companies risk investing in natural gas

fleets only to have limited fueling stations?

Would a network of fueling stations be built

only to lose money waiting for vehicles to

show up?

For its part, Clean Energy has decided to

take on the risk. We are “confident in the

growth of the market place,” asserts Lind-

holm. “We have gone out and built stations

ahead of the trucks.”

Cummins Westport’s Arthurs views it as

more of an industry-wide adoption process.

In other words, when companies are ready to

invest in natural gas fleets, the fueling stations

will be built and ready for them. ◆

AmericaÕs New Highway is Powered by Natural GasCNG and LNG are becoming viable options for transportation companies. By Lauren Levy

Refueling an LNG storage tank on a class 8 heavy-duty truck.

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B Y L A R A L . S O W I N S K IFOOD (and More) FOR THOUGHT


A recent article on the link between modern farming and its

detrimental effect on the ecosystem of the Indian state of

Punjab, and by extension the rest of the world, really caught

my attention. I’ve been reading more about food security

lately and trying to keep up with anything new that might

offer a solution to how we’re going to feed a world popula-

tion of 9 billion people by 2050.

In the article entitled, “Food Security and Sustainable Farming

are Two Sides of the Same Coin,” authors Nachiketa Das and Sanjib

Kumar Jha, associates with the environmental consultancy firm GIST

Advisory, write: “India is not new

to hunger. Post-independence,

in 1961, the nation stood poised

on the brink of mass famines. To

combat this, by mid-1960’s, a

new agricultural policy of inten-

sification, predominated by use

of chemical fertilizers, high-yield

IR8 variety rice and irrigation, was

implemented, starting with the

state of Punjab. To say that this

‘Green Revolution’ was successful

is an understatement. Accord-

ing to official estimates, total

foodgrain production in India in

2011-12 stood at 252.56 million tonnes; reaffirming India’s position as

a self-sufficient nation in foodgrain. The question is: at what cost?”

The answer to that question is rather grim when you consider that

“while area under foodgrains cultivation has doubled in the past five

decades (with area under rice increasing by 1,146%), total fertilizer

consumption in the state has increased six times over and around 7%

of total area in the state suffers from soil erosion of more than 10

tonnes per hectare,” explain the authors.

In other words, modern farming practices,

while initially believed to provide a long-term

solution to India’s hunger problems, have

actually contributed significantly to deplet-

ing the country’s underground water sources,

increasing soil salinity, and causing higher

rates of pest infestation and disease in crops.

According to the authors, “Despite sig-

nificant subsidies, the incidence of poverty

among farmers in Punjab has increased from

8.65% in 1995-96 to 11.36% in 2005-06,

raising questions on effectiveness of policy. There is an urgent need

for policymakers to rethink current practices in order to curtain the

impacts of the food-water-energy nexus affecting ecological sustain-

ability.”

The takeaway is relevant to other key agricultural regions of the

world, that like Punjab, are experiencing negative effects to ecosystems.

But governments and policymakers have to act fast, warn the authors,

who say that, “Punjab today stands at a critical juncture, with ecologi-

cal thresholds for soil fertility and water availability nearing their tip-

ping points. There is still time—provided action is taken—to change

current trends via use of sustainable practices, better technology and

prudent policy; to mitigate losses in ecosystem services, volatility in

foodgrain production and threats to food security.”

Das and Kumar Jha conclude that, “It is necessary to remember that

the root cause of hunger is the inability of the poor to gain access to

resources they need to feed themselves—resources such as fuelwood for

energy; fruit availed freely and abundantly from nature; availability of

raw materials to build homes, craft a living and earn their daily bread;

regular rainfall, fertile soil and healthy seed to reap bountiful crops; and

fresh water to irrigate and drink. All availed by nature for free. Unless

we rethink our historical disregard for cost to ecosystems, we shall con-

tinue to relinquish many of these—starting with our soil and water.” ◆

The Cost of Modern Farming on the Global Ecosystem

SOW INSK I

Agricultural systems will need to increase food production by 70 percent to meet growing demand for food by 2050.

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food logistics june 2013

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