Press Release: New Shipping Company Cuts Carbon Emissions by 30%

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Update Nov 24, 2008 - Read the Interview with the CEO here.

New York, NY [Oct. 30, 2008] – New York-based international shipping company First Global Xpress (FGX) has applied green business practices to the shipping industry and ended up with a faster, cheaper, greener solution to shipping a package.

By avoiding the traditional hub-and-spoke method used by large shippers like UPS, FedEx and DHL, FGX is cutting shipping time by as much as 24 hours, shipping costs up to 20% and carbon emissions by at least 30% per package. The concept has caught on, which is why FGX has become a $10 million company in just six years, shipping more than 250,000 packages per year.

Traditional shipping companies rely on an inefficient hub-and-spoke system to send packages to their final destinations. This means that a package is routed through a shippers’ “hub,” such as FedEx’s hub in Memphis, before being sent on to its final destination.  In doing so, additional flights are needed, and a great deal of energy is wasted by the extra miles needed to travel to and from each hub.

FGX bypasses the hub-and-spoke system with a direct model. By partnering with over 100 commercial airlines that serve as third party carriers, FGX is able to ship packages directly to their destinations—no hubs or spokes involved. Cutting carbon emissions by at least 30% when using this method is a significant improvement to the shipping industry, since shipping by air creates a much larger carbon footprint than shipping by ground or sea. Furthermore, fuel usage and costs are both diminished, since the package travels by only one flight.

In addition to their green method of shipping, FGX is making their day-to-day business greener as well. All of the boxes and envelopes used in shipping are made from recycled materials. Additionally, vegetable-based inks are used for all printing done in the office. The company has signed on with East Coast Limousine, a hybrid car service, to use for business travel around New York City. All of these efforts on top of FGX’s package delivery system are establishing the company as an efficient, green alternative to their larger competitors. The green business model that FGX has established has proven successful thus far, and the company plans to continue its rapid growth, committing to further green shipping practices over the next five years.

About FGX

First Global Xpress is revolutionizing the way businesses ship internationally. FGX does this by shipping direct all over the world, and in turn, by reducing the carbon released by 25%. Every day, FGX offers you the chance to save 20% on your international shipping, cut 24 hours off of your deliveries, and reduce your carbon footprint by 25% or more—all through the simple solution of shipping direct.  For more information, visit www.fgxusa.com.