Save Money with Sustainability in Food and Beverage in 2023.

The sustainability trend is expected to continue growing, with more businesses joining the movement in 2023. Last week, we covered sustainability trends in the Food and Beverage industry and how to integrate them into your existing business processes. If you haven’t already, be sure to check out the article to learn more about the latest developments in this exciting field. This week, we want to take a step further and show you not only how your company can follow the sustainability trend, but also how it can save you money by doing so. By implementing sustainable practices throughout business operations, you can reduce your environmental impact, cut costs, and improve your overall processes. From reducing energy consumption and waste to sourcing local and sustainable materials, there are countless ways that companies can incorporate sustainability into their business strategies. So let’s check three main cost-effective processes related to sustainability.  

3 Ways to Save Money with Sustainability in Food and Beverage:

1. Sustainable packaging
2. Transparency in sustainability
3. Reducing food waste

Sustainable Packaging.

Save Money with Sustainability in Food and Beverage in 2023.

In recent years, there has been a growing concern among consumers about the need for sustainable products. This trend has only accelerated in 2022 and shows no signs of slowing down in the coming years. According to recent statistics, almost 60% of shoppers believe that the first and most important step that brands can take to become more sustainable is to reduce the amount of plastic in their packaging. This is a crucial consideration for businesses looking to attract and retain customers. “There has certainly been an uplift in the consumer demands for eco-sustainability and the influencing factors that are driving the shift in purchase behaviours over the past few years.” Fortunately, many global brands have taken proactive steps to improve the sustainability of their packaging.

For example, Balconi has removed the inner cardboard tray from its products, resulting in significant paper savings. In total, this change has saved 8,500 trees and 250 million litres of water every year. This is a great example of how even small changes can have a big impact. Another company that has taken steps to improve its packaging sustainability is Rowse Honey. The company has switched from black plastic caps to 100% recyclable materials, removing over 100 tonnes of black plastic from its supply chain. This has helped reduce the company’s carbon footprint and prevent plastic waste from ending up in landfills or incinerators. Numbers also support these changes, as they reduced total tonnes of CO2e by 8% with intensity reducing by 15%, meaning they have higher production and lower energy consumption. The company also shares their growth was made possible as a result of continued investment in customer relationships and product development.

JUST Water is another company that has embraced sustainable packaging solutions. They use up to 88% plant-based materials in their products, including trees for the paper and sugarcane for the cap and shoulder. This approach has enabled JUST Water to reduce its carbon emissions by up to 74% compared to similarly-sized plastic bottles. As a result of this commitment to sustainability, the company has signed a two-year deal with IKEA Australia to become its exclusive water provider, and its valuation has soared to an impressive $100 million.

It is clear that sustainable packaging is no longer a nice-to-have for businesses; it is becoming an essential requirement for attracting and retaining customers.

By taking proactive steps to improve the sustainability of their packaging, brands can not only reduce their carbon footprint and contribute to a more sustainable future but also gain a competitive advantage in the marketplace.

Sustainable Transparency.

Save Money with Sustainability in Food and Beverage in 2023.

With climate change looming over everything, simply replacing labels and improving packaging is not enough. To ensure a sustainable future, it is important for consumers to know that companies are taking serious measures to reduce their carbon footprint.

Consumers are increasingly aware of the impact of their purchases on the environment and are demanding more from companies. They want to know that their products are eco-conscious and produced locally. While factory farming is still dominant, most people require ethically sourced ingredients, particularly when it comes to meat.

These demands go even deeper, with consumers expecting more detailed information about the product itself and its overall carbon footprint.

Meeting these high expectations can make production more expensive, and Food and Beverage companies can struggle to keep up. However, a few businesses have managed to bring sustainable transparency to their products while also reducing their spending.

Let’s take a look at some examples of how companies are achieving sustainability.

Kettle Chips for instance, require approximately 3,000 acres of land. Through active engagement with local suppliers, most of their potatoes are grown locally. Furthermore, their agricultural team is currently working with one of the larger suppliers to review trickle irrigation systems. Once operational, the system will require a much lower, yet targeted volume of water, resulting in lower energy and labour costs. By actively engaging with their local supply chain, Kettle Chips is keeping their supply chain costs and carbon low, supporting local businesses, increasing supply chain resilience, and maintaining high-quality raw materials. In addition to these efforts, Kettle Chips could also consider implementing renewable energy sources to power their operations, further reducing their carbon footprint and contributing to a sustainable future.

Another example is Dawn Meats, one of our customers. Progress is being made right across their supply chain, with 96% of livestock sourced from local farms in Ireland. This helped to reduce emissions across the group by 189,000 tons of CO2. On top of this, they have achieved a 31% reduction in energy intensity and a 28% reduction in water intensity in 2020. To further increase their sustainability efforts, Dawn Meats could explore the use of alternative transportation methods for their products, such as electric or hybrid vehicles, to reduce their carbon footprint even more. These examples show why companies must take action to reduce their carbon footprint and increase sustainable transparency in their products. By actively engaging with their local supply chains and exploring new technologies and processes, companies can achieve sustainability while also reducing costs and supporting local businesses.

Food Waste Aware.

Save Money with Sustainability in Food and Beverage in 2023.

People are becoming more mindful of food waste and are encouraging Food and Beverage companies to follow suit.

In the UK, over 10 million tonnes of food are wasted each year, with 20% of that waste, worth about £1.4 billion, coming from food manufacturing. Additionally, Food and Beverage organisations often discard produce that does not meet consumers’ visual expectations.

So, how can businesses reduce waste and yet remain profitable? Let’s take a look at some examples of companies that have embraced this trend.

Tesco has reduced overall food waste by 45% since 2016/17 and is making progress towards halving food waste by 2025. They are also working with suppliers to halve food waste in their supply chains by 2030.

Moreover, they have partnered with suppliers to stock “wonky” fruit and vegetables, sell bumper crops at a great value, and help suppliers distribute surplus food to charity.

Asda also follows this trend and even won Product of the Year for its wonky vegetable box. They sold over 120,000 boxes of misshapen vegetables in a year, which equates to 600 tonnes of vegetables that would have otherwise gone to waste.

Wholy Greens takes it to another level by using “wonky” fruits and vegetables to make pasta. They use leftover vegetables and extend the lifecycle of all their products. Their mission is to work closely with local farmers and to produce pasta made from 50% or more vegetables.

Conclusion.

As shown by the examples in the Food and Beverage sector, embracing sustainability trends can lead to many benefits, including improved relationships with customers and a stronger presence within various communities. If you are considering implementing sustainable processes, you are now aware of the many benefits that come with them. Make it possible in 2023!