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    Responsible Supply Chain

    Sustainable Freight

    We are committed to the safe, reliable and responsible shipping of agricultural goods

    Collaboration across the value chain, new technologies and digitalization are all key to meeting the ongoing challenge of reducing shipping emissions.

    The Challenge

    Although maritime shipping is rightfully regarded as the least environmentally damaging means of transporting goods around the world, decarbonization of the maritime sector does represent a huge challenge.

    International shipping emissions account for about 2% of global greenhouse gas (GHG) emissions. In addition, marine fuel oil exhaust accounts for a significant portion of nitrogen oxide (NOx) and complex particulate matter releases.

    As a key facilitator of world trade, representing around 80% of global flows, it is critical that the shipping industry addresses the climate impacts of its international activities.

    At LDC, we join forces with other maritime industry participants and stakeholders to encourage innovation, wider and closer cooperation through various forums, and greater engagement with governmental authorities. With every step we take, we drive maritime decarbonization forward.

    Technical and Operational Efficiency

    LDC is in constant dialogue with ship-owners, engineers and tech-innovative stakeholders, as we seek to push the efficiency envelope for the vessels we charter. By maximizing technical and operational efficiencies during voyages we reduce the fuel consumption – and therefore emissions – of our fleet.

    Technical efficiency stems from improved hydrodynamic designs, such as hull shape and propeller innovations, from alternative sources of energy, such as solar panels and wind propulsion, and from energy-saving devices such as low friction paints and air lubrication. Some of these technologies can be retrofitted during a vessel’s lifetime, allowing ageing conventional ships to attain 2030 emissions targets.

    Operational efficiency relates to the day-to-day sailing of a ship: optimal weather routing, speed adjustment and improved navigation, based on better understanding and forecast of maritime conditions.

    What do these endeavors have in common? Cooperation between operators and ship-owners, greater use of digitalization through quality of vessel data, integration and computer modelling, and seafarers’ strong commitment.

    The Sea Cargo Charter

    In October 2020, LDC became one of the founding signatories of the Sea Cargo Charter, a pioneering multi-stakeholder initiative that aims to champion responsible and sustainable shipping, transparent climate reporting and improved decision-making in line with the policies and decarbonization ambitions adopted by the International Maritime Organization (IMO).

    The Sea Cargo Charter establishes a common baseline for shipping industry leaders to quantitatively assess and disclose shipping activity alignment with climate goals, including an ambition to reduce total annual GHG emissions by at least 50% of 2008 levels by 2050, with a strong emphasis on targeting zero emissions.

    As a signatory, LDC commits to work toward accurately measuring the GHG emissions and operational efficiency of its chartering activities. Following stringent guidelines, we will assess our climate alignment relative to established decarbonization trajectories, and publicly report results on an annual basis along with other signatories.

    Seafarers’ Code of Conduct

    In 2020, around 300,000 seafarers were stranded at sea due to crew-change restrictions as a result of the Covid-19 pandemic, with some crews staying on board for over a year. This led to an industry-wide demand for the development of a dedicated code of conduct for actors across the shipping value chain, which recognizes seafarers as key workers and ensures their rights and wellbeing.

    Developed by the Sustainable Shipping Initiative, the Institute for Human Rights and Business and other maritime industry players, LDC among them, and published in 2021, this code of conduct is intended to be concrete and actionable, setting out in detail the responsibilities of supply chain actors and how the crew can seek support or initiate grievances.

    The sustainability of a supply chain necessarily includes the welfare of its workers. The ships of the future will rely extensively on our partners at sea and their ability to adapt to the upcoming digital and decarbonized shipping industry.

    We believe that proper regard for the well-being of these seafarers is central to the sustainability and decarbonization of the shipping industry.

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