AirX Carbon – Action on Poverty
About
The AirX Carbon – Action on Poverty partnership will scale the NetZero Pallet, a sustainable and cost-effective packaging alternative that is made from agricultural and forestry waste such as coconut husks.
Investing in Impact
P4G has awarded the partnership with US $350,000 in grant funding.
Traditional pallets are typically made from wood, which contributes to deforestation, or plastic which generates carbon emissions during the manufacturing process and can end up in landfills at the end of its life. Wooden pallets are susceptible to price fluctuations as the price of lumber rises and also pose a contamination risk because of its porous nature.
AirX is a Vietnamese startup repurposing agricultural waste to make sustainable and cost-effective pallets. The startup repurposes coconut and rice husks from the Mekong Delta to make sturdy, sanitary stackable pallets that can be used by a diverse set of companies from food and beverage to pharmaceutical.
An environmental advantage to using coconut husks is that coconuts tend to be adaptable and climate resilient crops that also make effective carbon sinks. The startup is providing a scalable solution to repurpose 1 million tons of agricultural waste produced by coconut and rice farms in the Mekong Delta. Much of this waste is either burned or needs to be disposed adding to the strain of waste management in the delta.
To ensure a steady supply of raw materials, AirX has negotiated long-term commitments with around 10 suppliers in the region leading to stable and favorable prices for both farmers and the company for the next three years. These contracts also allow farmers to earn additional income from waste they would have otherwise needed to dispose.
Action on Poverty will support AirX develop a robust Environmental – Social – Governance strategy and secure capital for scaling its operations.
During the partnership period, AirX aims to raise US $500,000 in investment. The startup will also repurpose 9,000 metric tons of agricultural waste into pallets and avoid 53,000 metric tons of carbon emissions.
The partnership comprises the following partners: AirX Carbon (lead business partner); Action on Poverty (lead administrative partner).
Partners
