Financial Wire

Market Chatter: Japan Wholesalers Form Data Alliance to Tackle Delivery Strain

-- A group of nine major Japanese wholesalers is building a shared logistics network to improve delivery efficiency, responding to a tightening driver pool and rising transport costs, Nikkei reported Tuesday.

The partnership spans consumer goods, food, pharmaceuticals and publishing distributors, including Kao Group Customer Marketing, Mitsubishi Shokuhin (TYO:7451) and Mediceo, among others. It marks a rare alignment across sectors that typically run separate delivery systems, according to the report.

Instead of operating in silos, the companies will combine shipment data and coordinate routes through a common optimization system. The approach allows trucks to carry mixed loads across categories and fill unused capacity during different times of day, reducing empty runs, the report said.

Early trials between Kao and Mitsubishi Shokuhin indicated sizable gains, cutting truck demand and improving route efficiency. A broader rollout later this year aims to raise overall vehicle utilization by around 16%, according to the report.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

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