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The total distance formula consists of three parts:  
 
The total distance formula consists of three parts:  
 
* ingredients: the transportation of the ingredients to the production site;
 
* ingredients: the transportation of the ingredients to the production site;
* wholesale: the transportation of the finished product to the seller;
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* wholesale: the transportation of the finished product to the reseller;
 
* distribution: the transportation from the reseller to the consumer;
 
* distribution: the transportation from the reseller to the consumer;
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==== Wholesale ====
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The part of the distance concerns the transport from the production location to the reseller warehouse. This might involve the transport between two countries.
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Distance<sub>wholesale</sub> = Distance<sub>producer</sub> + Distance<sub>inter-country</sub> + Distance<sub>warehouse</sub>
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==== Distribution ====
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The distribution part of the formula concern only transport within a single country. It concerns the transportation from a wholesale warehouse of the reseller to the consumer. For this we should know the location of the warehouse and consumer to the NUTS-level that we want to use. If this is unknown, we can use a larger area NUTS-level or the entire country. We need to calculate the distance between the NUTS-area centroid of the wholesale location and the NUTS-area centroid of the consumer location. If we must assume the entire country, then the country sizes can be used as approximation.
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These distances are tabulated in various spreadsheets for the NUTS-1 levels:
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{| class="wikitable"
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|-
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! Country !! NUTS-level !! Spreadsheet link
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|-
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| France || NUTS-1 || Example
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|-
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| Germany || NUTS-2 || Example
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|-
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| Example || Example || Example
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|}
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