The environmental impact of food production is vast. But he word ‘sustainable’ has become a bit of a buzzword in recent years. The truth is, an assessment of the sustainable snacks industry isn’t only about the food itself. It’s a combination of factors including how the snacks are produced, how they’re distributed, how they’re packaged, how waste is reduced, and how it’s consumed. So what are the challenges ahead of us, and how can we improve the sustainability of snacks?

Chewing the Facts

According to the United Nations, 75% of the world's poor & food insecure people rely on agriculture & natural resources for their livelihoods. Secondly, the UN estimates that world food production must rise 60% to keep pace with future demographic change. Furthermore, rising temperatures are predicted to reduce catches of the world's main fish species by 40%. These powerful statistics put sustainability at the forefront of the food and beverage industry, and mean snack products which focus and meet ethical and eco-friendly standards are going to be in high demand going forward. 

Sustainability Marketing 

According to 2020 research from the Yale Program on Climate Change, rising consumer concerns regarding climate change are a powerful and underused marketing strategy for plant-based products. In fact researchers found that 50% of the adults surveyed stated that they would consume more plant-based products if they were given more information about the environmental impact of products. Those snack food companies who can powerfully align themselves with the increasingly environmentally conscious mindsets of consumers are likely to become successful.

Food Waste

Demand planning software is a great way to reduce waste in the snack food production process. Sadly, global food loss and waste generates about 8% of humankind's annual greenhouse gas emissions. Comprehensive ERP and demand planning software can analyse sales patterns and consumer demand using AI algorithms to minimise food waste. The truth is, snack food companies that harness the power of inventory tracking and the supply chain components of a demand planning or ERP solution, can reduce food waste by as much as 50%.

Sustainable Packaging

Leading industry giant, Nestle, have accelerated their investment in and commitment to sustainable packaging. Their intention is to make 100% of their packaging recyclable or reusable by 2025 and they also aim to reduce their use of virgin plastics by a third during this period. Véronique Cremades-Mathis, Global Head of Sustainable Packaging at Nestlé, commented: “We have made strides in our transformative journey towards a waste-free future, but we know that we have more work to do. As the world’s largest food and beverage company, we’re committed to putting our size and scale to work to tackle the packaging waste problem everywhere we operate.” It’s certainly impressive and exciting to see Nestle committing to this sustainability effort.

The benefits of sustainable packing are numerous. These include a reduction in the carbon footprint, and the fact that biodegradable packaging options are non-toxic and allergy free. Companies can also increase sales by adopting sustainable packaging (see above), and sustainable and eco-friendly products tend to be packaged in more lightweight materials, which reduces shipping costs. 

If your food and beverage company is looking to scale and grow via ERP solutions, traceability and demand planing software, get in touch with Cashmere today.