Carpathian Springs introduces the circular CHEP distribution model

Carpathian Springs introduces the circular CHEP distribution model

The partnership between the two companies is based on common values in the area of efficiency and of responsible resource management

CHEP Romania, the subsidiary of the global leader in solutions for the logistics chain, enters into a partnership with Carpathian Springs, a member of Valvis Holding, to increase the efficiency and sustainability of the operations of the producer positioned in the top players in the mineral water market.

CHEP will provide pallet management at national and UK level for the annual distribution of the AQUA Carpatica range, in the context of the growing demand generated by the brand's development on a premium position on the domestic and foreign market.

AQUA Carpatica products will arrive on reusable pallets rented from CHEP in 300 delivery points, to be distributed to 40.000 stores in the country, respectively in 1,300 stores belonging to large retail chains, supermarkets and shopping centers in the UK and Northern Ireland.

"We are simplifying the distribution model to respond faster to the demand, but also more efficiently in terms of resource consumption," said Dan Ghejan, Carpathian Springs Commercial Director. "AQUA Carpatica is an international brand, appreciated on four continents, and through the partnership with CHEP it also becomes one of the brands that will accelerate the market transition to the circular and collaborative economy, the only direction of sustainable economic development."

"The partnership with Carpathian Springs reinforces the orientation of the Romanian FMCG operators towards sustainable operational management, which will have a national impact on the development of a circular supply chain, thus of a minimum consumption of resources throughout the industry," said Gabriel Ivan, Country General Manager CHEP Romania. "We are pleased that AQUA Carpatica will reach the shelves on blue pallets, with the smallest possible environmental impact."

In the classic linear distribution system, Carpathian Springs encountered specific difficulties throughout the sector, such as the annual delivery of a huge volume of goods with a small unit value relative to transportation costs and, in general, compared to the total costs in the pallet management. The highly fragmented national distribution network made it difficult to recover the equipment and increased, from year to year, the fiscal exposure of the company, in proportion to the quantity of packaging put into circulation. Since 2015, when AQUA Carpatica entered the British market, the first market on which the manufacturer started its export activity, higher costs and risks were added to the transport unit.

The logistics partnership simplifies the distribution flow of the company, generating cost reductions, minimizing the consumption of natural resources and the operational impact on the environment.

Based on the annual volume of production, the circular solutions implemented will bring to Carpathian Springs economies in the distribution chain estimated at about 600 tons CO2 emissions, (the equivalent of approx. 650,000 km traveled by truck), 520,000 dm3 of wood (representing over 500 saved trees) and almost 50,000 kg of solid waste per year.

CHEP is a pioneer of circular logistics, a model in which pallet equipment is used jointly and reused throughout the distribution chain. In the circular system, the producers reduce to zero the costs of acquisition, storage, collection from the market, inspection and repair, respectively recycling of waste, being exempted from reporting to the environmental authorities on the flows of rented pallets.

CHEP Romania has entered the mineral water market since 2014 and today holds a majority market share in this sector.

About Carpathian Springs

Carpathian Springs SA is a member company of VALVIS Holding since 2005. The company has as activity the bottling and distribution of natural mineral water AQUA Carpatica and was founded by Jean Valvis, the creator of the Dorna and LaDorna brands. Since its launch on the market, AQUA Carpatica has been a real success, and today it is an international brand, present on the shelves of big stores in the USA, Great Britain and Northern Ireland, Germany, France, Spain, Italy, Israel, the United Arab Emirates. United, Qatar, Saudi Arabia, Australia, China and Taiwan.

The following products are part of the AQUA Carpatica portfolio:

• AQUA Natural Carpathian mineral, naturally carbonated (0.33 L, 0.5 L 0.75 L, 1.5 L)

• AQUA Carpatica Forte (0.5 L, 0.75 L, 1.5 L)

• AQUA Non-carbonated natural mineral capate (0.33 L, 0.25 L, 0.5 L 0.75 L, 1 L, 1.5 L, 2 L and 5 L)

• AQUA Carpatica Kids (0.25 L)

• AQUA Carpatica Sport Cap (0.75 L)

About CHEP Romania

CHEP Pooling Services Romania is a subsidiary of the world leader in pallet and container rental services and part of the Brambles group. Since 2012, the company has been serving both international clients and local producers, mainly in the field of consumer goods such as: cleaning and personal hygiene products, beverages, fresh and dried food products, oil and paper consumables. CHEP Pooling Services Romania offers a range of consulting solutions and services that increase the performance of logistics activities. The CHEP model is essentially sustainable, reducing operational risks, deterioration of products and consuming natural resources.