Australian Food and Grocery Council Health Nutrition Food Regulations Nutrition and Health Food Safety Health Nutrition Food Regulations Nutrition and Health Food Safety Sustainability Energy Water Waste Social issues Supply Chain Product tracking Logistics Retailer relations Corporate Affairs Consumer Affairs Communication Public Relations
Australian Food and Grocery Council AFGC & SUSTAINABILITY Industry based forum Policies and programs Co-operative and coordinated response Communicate achievements
Australian Food and Grocery Council 6 SUSTAINABILITY... EnvironmentalEconomic Social Viable BearableEquitable
Australian Food and Grocery Council Meets rules Reactive Short term Minimalist Lowest cost Avoid penalties Beyond rules Proactive Longer term Strategic Cost effective Opportunities COMPLIANCESUSTAINABILITY 7
Australian Food and Grocery Council Food safety NGERS National Pollutant Inventory – NPI Water treatment Waste audits Chemical residue limits Functional foods Public sustainability report Company targets Supplier requirements Investment in new technology THEN COMPLIANCE NOW SUSTAINABILITY 8
Australian Food and Grocery Council THE SUSTAINABILITY JOURNEY... 9 Compliance Compliance plus Efficiency Strategic Pro-activity Strategic Pro-activity Sustainable growth Sustainable growth Avoid CostSave moneyMake money We are here...
Australian Food and Grocery Council More than compliance Not just a new business card Bigger than just environment Incorporated across the business Trade offs SUSTAINABILITY 10
Australian Food and Grocery Council 11 WHO’S PUSHING? Business – competitive Retailers – –less suppliers –sustainability targets –supplier requirements Government – –regulations for water, waste energy –EEO Consumers –more awareness –more information ? –more expectations ? Sustainable production
Australian Food and Grocery Council Price of entry – food safety! Compliance by another name = business Business = Competitiveness More with less Complex mix of competitiveness drivers and market dynamics Inconsistent and clumsy? Market driven... INDUSTRY RESPONSE 12
Australian Food and Grocery Council Supplier self assessment Rationale – –Population is increasing –Resource use is outstripping supply –Consumers want to know ? 15 questions: –Energy and Climate –Material efficiency –Natural resource use –People and community See - www.walmartstores.com/sustainability WALMART - SUSTAINABILITY INDEX 13
Australian Food and Grocery Council UK LEADERS 14 Tesco – carbon footprint of 000’s products! M & S – Plan A Sainsbury’s - cease sale of caged birds ASDA cut food miles extend British growing season ? increase British farmers ? Waitrose reduce emissions by 10% by 2010 reduce waste
Australian Food and Grocery Council 15 Sustainability Strategy 40% reduction in carbon emissions by 2015 200 million litres of water saved Use of 3.4 million crates to replace waxed boxes. Zero food waste to the general waste stream by 2015. 25% reduction emissions per carton delivered by WW owned trucks.
Australian Food and Grocery Council Insight from UK/EU and US Struggling to keep up – reporting! We are improving Building relationships Developing collective / collaborative responses Competitive advantage? WHAT ARE WE DOING ABOUT IT 16
Australian Food and Grocery Council Water – –information on re-use policy Energy – –Carbon labelling –standardised procedures for NGERS Waste – –Guidelines for reviewing packaging Social – –support for broad industry response – RSPO Supply chain – –collaborative work on SFP Health & Nutrition – –Collective response to marketing to children EXAMPLES... 17
Australian Food and Grocery Council LABELS/LOGOS – DO CONSUMERS CARE?
Australian Food and Grocery Council 1.Ensure food safety 2.Improve measuring and reporting 3.Improve resource efficiency 4.Engage and participate 5.Co-operate across the supply chain THE FOOD INDUSTRY NEEDS TO... 20
Australian Food and Grocery Council QUESTIONS & COMMENTS...