AVG Logistics, Nestlé India and Ashok Leyland launch India’s CNG green transport corridor to cut emissions and boost sustainable supply chain performance.
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AVG Logistics, Nestlé India & Ashok Leyland launch eco-friendly freight route to cut emissions and boost supply chain efficiency.

AVG Logistics has teamed with Nestlé India and Ashok Leyland to establish a dedicated green transport corridor powered by compressed natural gas (CNG) trucks, marking a strategic push toward sustainable logistics in India. The initiative deploys 50 CNG-powered vehicles to serve Nestlé India’s supply chain needs, reflecting a shared commitment to lower-emission freight operations and cleaner transportation practices.

The green corridor is designed to significantly reduce carbon emissions while maintaining operational performance, with the new CNG fleet expected to travel an estimated 2.75 lakh kilometres each month. This deployment is projected to cut nearly 110,000 kilograms of CO₂ annually, underscoring how alternate fuel adoption can support environmental goals without compromising network reliability.

Beyond emissions reductions, the initiative seeks to improve fuel efficiency and reduce dependence on conventional fossil fuels across the logistics network. By integrating CNG vehicles at scale, AVG Logistics aims to align supply chain operations with broader sustainability benchmarks while enhancing cost effectiveness and operational agility for key clients such as Nestlé India.

Industry collaboration was central to the project’s success, with Nestlé India’s supply chain teams and Ashok Leyland’s provision of CNG trucks helping drive implementation. This partnership highlights how multinational consumer goods companies and leading commercial vehicle manufacturers are aligning incentives to push the Indian logistics sector toward cleaner transport solutions.

For the dairy and broader food sectors, the rollout of the green corridor showcases how sustainability and supply chain performance can advance together. As FMCG producers and logistics providers pursue lower-carbon strategies to meet ESG targets, initiatives like this establish scalable models for transitioning to alternative fuels and reducing the environmental footprint of distribution networks.

Source: Machine Makerhttps://themachinemaker.com/news/avg-logistics-nestle-india-and-ashok-leyland-launch-green-transport-corridor-using-cng-trucks/

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