Nestlé Mexico, green fleet pioneer of Latin America

With 70% of its fleet already hybrid, the fleet of international food and beverages company Nestlé in Mexico is the pioneer of the company’s environmentally friendly policy in Latin America.

“We have not reached 100% and that’s because that there just aren’t enough vehicle models in the market,” Jr. Fleet & Facilities Manager Alberto Arellano (pictured top - right) told Fleet LatAm, explaining that there is a lack of hybrid trucks and vans in the country.

OEMs are not offering what Nestlé needs, and it is a bit of a struggle, according to Polo Palmen (pictured top - left) who is the company's Regional Procurement Manager for the Americas. 

“Our biggest business partner in Mexico is Toyota. We are always pushing for more hybrids, but it is just not happening right now. Toyota is ahead of the game in the country with others trailing behind,” Mr. Palmen told Fleet LatAm.

2020 Toyota Prius hybrid sedan (source: Toyota) 
 

Much of the push for hybrids in the company is stemming from Mexico City’s environmental program “Hoy No Circula” [no circulating today] which restricts cars from driving in some parts of Mexico City for up to two days per week. Hybrids and full electric cars are exempt.

In Mexico, 85% of Nestlé’s fleet is made up of tool cars (e.g. operational vehicles such as cars, trucks, and vans for salespeople and technicians) and the remaining 15% are benefit cars. While Mr. Arellano manages a fleet of some 1,500 vehicles in Mexico, Mr. Palmen is responsible for approximately 7,500 throughout the Americas.  

Meanwhile, according to Willis Towers Watson associate director and senior consultant Javier Brasser, there are quite a few companies making the transition to hybrid vehicles in the country. 

“I am impressed with the transition to hybrid cars taking place in pharmaceutical companies for sales representatives in Mexico. In the last two years, I have seen six companies moving toward hybrid vehicles,” the consultant told Fleet LatAm.

For more on the fleet management policy of Nestlé and other multinational companies, keep an eye out for the next edition of the Fleet LatAm magazine “Directory, Fleet LatAm 2020”. It will be launched in December.