Since April 22 was declared Earth Day in 1970, the idea of promoting environmental protection has evolved from a day of protest to a celebratory week (then month) to a source of anxiety for those fearing political backlash for talking about climate change, before landing where it is today: an imperative that cannot be ignored.
This progression shows how sustainability initiatives and claims can be a double-edged sword for food and beverage industry stakeholders.
On one side is a powerful tool for good – benefiting the planet, people and profit. On the other, higher costs and a potential trigger for consumer confusion, frustration and litigation.
In this month’s special edition – Sustainable sourcing: From upcycling to carbon neutral to sustainable packaging – the FoodNavigator-USA team explores the opportunities and challenges surrounding environmental initiatives and claims in the current geopolitical and economic climate.
What is working?
In the column for good: New data from NYU Stern and Circana shows consumers increasingly want – and are willing to pay more for – products that are produced more sustainability.
Data from the non-profit 1% for the Planet reinforces the power of environmental initiatives to drive consumer awareness and loyalty as well as the potential to invest strategically in supply chain resilience.
Consumer interest in more sustainable products is pushing manufacturers and suppliers to explore previously untapped solutions to do more with less – such as upcycling byproducts, side streams and other ingredients that otherwise would not have gone to human consumption.
According to SPINS data, the US upcycled food market is worth $109.3 million – up a whopping 30.3% from a year ago. This growth is spurring the Upcycled Food Association to expand with a new hub in Canada.
Also in the column for good: advances in more sustainable packaging that resonate with consumers without compromising food safety or the eating experience, as illustrated by Bel Group’s successful paperization pilot.
What is not working?
In the bad column: An uptick in litigation alleging companies overstate the benefits of sustainability initiatives, triggering greenwashing claims, and political pushback blaming the initiatives for adding extra costs and business burdens at a time when margins are increasingly tight.
But is fear of backlash a good enough reason to discontinue environmental initiatives? Or is it a rallying cry for industry stakeholders to establish guardrails, more realistic expectations, transparent measurement and focused investments where the impact is unexpected, outsized and most needed?
What is next?
One way food and beverage industry stakeholders are navigating these question is by leveraging third party certification and frameworks, such as 1% for the Planet that helps food and beverage brands and suppliers give more strategically and share their stories safely.
Likewise, Upcycled Certified helps ensure manufacturers meet consumer expectations and deliver measurable environmental benefits that also enhance supply chain security.
But do certifications deliver what they promise? That is at the heart of a debate surrounding the future of aquaculture. Another way is to scrutinize supply chains and production to identify pain points, some of which may be taken for granted, indirect or overlooked. For example, the Non-GMO Project is examining the impact of ultra-processed food on climate change.
Explore these stories and more by clicking through on the headlines below, or for FoodNavigator-USA subscribers, by checking your inbox for the special edition on Sustainable Sourcing: From upcycling to carbon neutral to sustainable packaging.
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Sustainable Sourcing: From upcycling to carbon neutral to sustainable packaging
Sustainability marketed products defy headwinds to gain market share, drive sales – NYU Stern and Circana data show eco-positioned CPGs are growing faster, commanding premiums and driving nearly 45% of category growth, even as consumers tighten budgets and scrutiny of green claims rise
Bel Group accelerates the shift to paper packaging by taking a holistic transition approach – As plastic comes under growing scrutiny, Bel Group is redesigning its iconic Babybel packaging around a 5Rs framework, with paperization pilots highlighting both opportunity and technical complexity
The fault line in aquaculture sustainability: Can seafood certification deliver what it promises? – At stake is not just consumer confidence, but who governs sustainability in seafood
Upcycled Food Association launches Canada hub to unify, scale upcycled food sector – Backed by Vineland Research and Innovation Centre, the UFA-led hub aims to connect fragmented stakeholders and accelerate growth in the category
Non-GMO Project: Ultra-processed foods are harming the planet, not just our health – GMOs and ultra-processed foods are “nested” in the same industrial food chain, warns the Non-GMO Project’s Hans Eisenbeis, who argues that monocrop agriculture and food waste make UPFs and environmental liability
Certified giving emerges as quiet sustainability strategy driving brand growth – As companies scale back public climate commitments, third-party verified programs, like 1% for the Planet, could offer a safer, credibility-backed path to strong consumer trust and higher revenue
