Logistics optimisation enables us to minimise emissions caused by transportation.
Focus on logistics optimisation
Responsible logistics planning and optimisation
The transportation of raw materials and finished products places a stress on the environment. The impacts can be reduced through optimised routing and by favouring rail and sea transportation and low-emission fuels.
Each year our mills receive several million tonnes of raw materials, additives and operational supplies. Delivering end products to customers also results in a high traffic volume. Furthermore, solid waste needs to be transported to recovery and disposal facilities. In total, UPM delivers approximately 1.4 million truckloads of products and raw materials around the world every year; that is, one load every 22 seconds.
UPM uses road, rail or sea transport – depending on distance, connection and delivery time. Of all our deliveries, 68% are transported by rail and road and 32% by sea (2019).
The majority of UPM’s haulage is handled by contract partners who are required to comply with UPM’s Cargo Handling Manual which includes instructions for cargo handling, storage, transportation and occupational health and safety.
Logistics offer job opportunities in rural areas
In addition to wood sourcing, transportation and logistics have a significant socio-economic impact on rural areas around the UPM mill sites.
The total external workforce includes 6,118 harvester drivers, 3,461 truck drivers and 445 railroad workers (2019). This means hundreds of entrepreneurs and companies locally. Looking at UPM global scale, this – together with purchases from the forest owners – results in significant support for local livelihoods in rural Europe, USA and Uruguay.
State-of-the-art vessels for sustainable sea transportation
In 2019 we announced about entering a long-term charter agreement with the Finnish Bore Ltd and the Dutch Wijnne Barends, both affiliates of the Dutch Spliethoff Group. We will desing and build together seven state-of-the-art vessels for sustainable sea transportation for UPM in Europe.
The vessels are scheduled to be delivered in 2021 and 2022. When taken into service, the vessels will employ approximately 60 maritime transportation professionals.
All vessels will be ice-strengthened and meet the latest technological, operational and environmental standards. They will be fueled with liquid natural gas (LNG) which results in a significant (approximately 25%) reduction of CO2 emissions compared with commonly used marine gas oil. In addition, nitrogen oxides (NOx) and sulphur oxides (SOx) emissions will decrease approximately 85% and 99%, respectively. The emissions of soot particles will also decrease by 99%.