The bigger picture

The environmental footprint of the manufacturing process represents on average less than 10% of the total end to end impact of food and drink production and consumption.

FieldThat is why we concluded last year that we needed to expand the scope of our Ambition and set ourselves new aims which would extend our influence across the food chain and lead by example in helping to achieve sustainable growth.

We also set ourselves some specific deliverables for 2011 in relation to:

  • Water use and management in the supply chain
  • Exploring the importance for food manufacturing of protecting and enhancing biodiversity
  • Looking at how we might develop guiding principles for the sustainable sourcing of commodities, taking wheat as a first case study

New aims agreed in 2010

  • Our role as food and drink manufacturers is to supply consumers with safe, nutritious, appetising and affordable food and to help them make sustainable choices which will secure these benefits for the future.
  • We will lead by example, building on the success of FDF's Five-fold Environmental Ambition to extend our influence across the supply chain as part of a longer term food strategy.
  • We will work with our suppliers, customers, employees, policy makers and other stakeholders to develop the necessary information, skills and business environment to deliver continuous improvement in the use of energy, water and other natural resources to help address the pressing global issues of climate change and loss of biodiversity.
  • We will encourage the development of life-cycle thinking throughout the supply chain and try to remove systemic barriers to improving resource efficiency, from the sourcing of raw materials to the disposal of postconsumer waste.
  • We will promote innovation and technology to reduce waste and extract maximum value from the resources we use and to help consumers get the most from our products.

Progress in 2011 against our new aims

Water use and management in the supply chain – 'Every Last Drop'

“I warmly welcome this initiative from the members of the FDF Water Working Group to develop this simple guide as a first step to help food companies and individuals use water wisely along the supply chain. I would encourage all businesses and the people who work in the sector to take it on board.”

Rt Hon Lord Smith of Finsbury, Chairman, Environment Agency

Water is arguably the planet's most precious and vital natural resource. The twin pressures of an ever increasing global population and the effects of climate change mean that all of us, whether at home or in the work place, share a responsibility to use it as efficiently as possible and with due regard to the needs of others. Only through such careful management will we be able to ensure that future demand is met and that the water environment and ecology it supports is safeguarded.

These issues are particularly important for the long term sustainability of the food and drink industry because of its reliance on a supply of freshwater for both its raw material and processing needs.

As part of our wider work to improve environmental sustainability across the supply chain, FDF's Water Working Group has developed a simple guide, entitled 'Every Last Drop', which provides a series of golden rules for food and drink manufacturing businesses – tailored for those with boardroom, supply chain and operational roles – on what can be done to save water and manage its use effectively along the supply chain, including as individuals at home.

Alongside this guide we have also launched a

We intend that the launch of the guide will mark the start of a FDF campaign leading up to World Water Day in March 2012. The aim of the campaign will be to raise awareness within the industry, particularly among smaller and mediumsized companies. It will include provision of downloadable resources, workshops and webinars in support of the guide's key messages.

Sustainable sourcing of commodities – case study on wheat

wheat field“Last year the FDF made an important commitment to extend its influence across the supply chain to help reduce the wider sustainability impacts of the food and drink sector, and help secure sustainable value chains, where systemic barriers to key issues such as resource efficiency have been removed. Forum for the Future has been delighted to help the FDF make progress towards achieving this ambition. Through organising a collaborative workshop with representatives from across the food and drink sector, we have identified action needed to deliver a sustainable value chain for the key commodity of wheat. We look forward to continuing to work with the FDF to help make these actions a reality.”

Dr Sally Uren, Deputy Chief Executive, Forum for the Future

Increasing food production sustainably presents a number of different challenges in respect of environmental, economic and social aspects at different points in the value chain. Only by taking an integrated view of the various risks and impacts will it be possible to deliver the kind of step change in performance which will be required to improve efficiency, increase resilience and reduce environmental impacts while also meeting higher demand.

A key strength of FDF's Five-fold Environmental Ambition has been its focus on practical solutions in a business context. With that in mind, we decided that the best way to approach the issue of how best to source the commodities we need was to take a specific example and see what wider lessons might be drawn.

We were also conscious of the need for broader expertise in considering these issues and so sought the help of Forum for the Future to bring together a range of interested parties in a joint workshop held in London in October to improve understanding of current and future sustainability issues in the wheat value chain and explore ways of addressing these.

The major part of the workshop involved looking at trends and developments over the last 30 years and the factors that were thought to be significant for the future.

A range of issues were identified, including: price volatility and rising input costs, increasing scarcity of key resources (in particular land, water and fossil fuels), climate change effects and the degradation of wider ecosystems. It then explored potential actions and opportunities in terms of better awareness and training in risk management, the role of science and technology and the need for more investment in applied research and improved information sharing and knowledge transfer to support better decision making.<.p>

The next stage of this work will be to look at how we might develop a set of principles as the basis for issuing best practice guidance to member companies, also taking account of parallel work on life-cycle assessment and criteria for environmental footprinting in the EU Sustainable Consumption and Production Roundtable and WRAP's Product Research Forum.

The particular importance of biodiversity

Butterfly on corn“Biodiversity is fundamental to the work of WWF. So, we were delighted to have the opportunity to share our expertise with food industry stakeholders at FDF's workshop in July, and help them understand the importance of measuring and managing ecosystem risks and benefits – and the impact this can have on supply chain resilience and the financial bottom line. We look forward to continuing to work closely with FDF as they develop their thinking on sustainable sourcing as part of their wider efforts to protect the natural capital and healthy ecosystems on which future food production depends.”

Anthony Kleanthous, Senior Sustainability Adviser (Food), World Wildlife Fund – UK

Food production depends on healthy ecosystems to provide essential natural resources, including soil and water. Key to these are the myriad animals, plants, insects and micro-organisms whose interactions help to purify water, recycle nutrients and maintain soil structure and fertility.

As part of our work to look at environmental impacts across the supply chain, FDF held a joint biodiversity and ecosystems workshop with World Wildlife Fund (WWF) in July to improve members' understanding of the issues involved and to look at ways in which they might be addressed.

The workshop was attended by a cross section of FDF members along with a number of key stakeholder groups including NGOs and Government. Feedback from the workshop confirmed it was very successful in raising awareness and demonstrating why biodiversity is so important to future food security.

However, it also illustrated a major current challenge that market mechanisms largely fail to capture the costs of biodiversity loss or to reward initiatives aimed at protection and enhancement. There are also examples where habitat destruction can lead to short term commercial gain, compounding the difficulties of trying to buy from certifiably sustainable sources.

The next stage for FDF is to articulate more clearly the business case for action, particularly in respect of the resilience of supply chains, and the instruments available for measuring and managing such risks.

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