Natural Products Insider

SEP-OCT 2018

INSIDER is the leading information source for marketers, manufacturers and formulators of dietary supplements, healthy foods and cosmeceuticals. Since 1997, INSIDER has been serving the needs of the global nutrition industry.

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26 INSIDER September/October 2018 The good food movement is afoot—one that advocates for food produced in ways that benefi t both the land and the people who farmed it. The way food companies source ingredients, manufacture and distribute their products signifi cantly impacts social and environmental performance, as well as consumer trust and loyalty. Sustainable agricultural practices, clean labels, transparency and corporate social responsibility (CSR) are driving the good food movement. The Driving Force America is known for mass-produced, mass-marketed fast and convenient food. Food is relatively cheap, available everywhere and easy-to-eat, even while driving a car. Inspired by the regional and artisanal traditions in France and Italy, the good food movement is transforming the American table. The good food movement is characterized by local, fresh, better-quality food created by companies committed to social and environmental sustainability. Growing numbers of consumers are "looking for foods that come from companies or purveyors who are transparent and can explain how they grow or raise their food—from environmental practices to food safety, nutrition quality and community contributions," said Erin Coffi eld, RDN, LDN, at National Dairy Council (NDC). "They want companies who balance the social, environmental and economic impact of responsibly producing nutrient-rich foods to nourish people while protecting the planet." According to the 2015 Nielsen Global Corporate Sustainability Report, wealthy suburbanites aren't the driving force behind two important segments of the good food movement: sustainability and social causes. Consumers in all areas and across income levels are willing to pay more for products from companies committed to a positive social and environmental impact. In fact, 68 percent and 63 percent of consumers making $20,000 or less or $50,000 or more, respectively, are willing to pay more for products created by companies committed to sustainability. Age-wise, Millennials lead the pack, with 73 percent willing to pay more for products from companies committed to the principles underlying the good food movement. Environmental Sustainability What's good for the earth is also good for companies' bottom lines. According to Nielsen's 2015 sustainability report, companies committed to sustainability grew 4 percent globally compared to less than 1 percent growth from companies not committed. Sales growth for products produced in a sustainable manner picked up more steam in following years, increasing 7.2 percent in 2017 compared to 2016. Year-over-year sales growth was highest for companies with sustainable farming claims (11.4 percent growth) followed by business practices, production methods, animal welfare, sustainable fi shing and packaging material (2.5 percent growth). Sustainable environmental practices include minimal use of damaging fertilizers and pesticides; nontoxic or less toxic pest control; minimizing the impact of farming on surrounding environments; and creating green energy, recycling waste, reducing power usage, conserving water and creating outlets (value-added uses) for any byproducts. "Environmental stewardship must be woven into the fabric of a company in order to be sustainable; it becomes part of a company's mindset," said Michael Chernyak, president, CK Nutraceuticals. According to Mikkel Thrane, sustainability leader, DuPont Nutrition & Health, sustainability starts with ingredients. "Sourcing of raw materials represents more than 50 percent of our total carbon footprint," Thrane said. DuPont is among several companies making strides to ensure their ingredients are more sustainable. California almond growers are zoning in on water usage. "Farmers have reduced the amount of water needed to grow a pound of almonds by 33 percent over the past 20 years," said Molly Spence, director of North America, Almond Board of California. "The California almond community is now focused on accelerating use of irrigation practices and technology that maximizes crop per drop while also exploring on-farm groundwater recharge." The U.S. dairy community is also actively working on minimizing the environmental impact of ingredient production. Dairy practices have evolved; a gallon of milk produced in 2007 used 65 percent less water and 90 percent less land to produce while creating a 63 percent smaller carbon footprint and 76 percent less manure than it did in 1944 (J Amin Sci. 2009;87(6):2160- 2167). "The U.S. Dairy 2008 life cycle assessment study demonstrated the U.S. dairy community contributes approximately 2 percent of total U.S. greenhouse gas [GHG] emissions—the lowest average greenhouse gas intensity of milk production Food & Beverage: Good Food Movement The good food movement is characterized by quality food created by companies committed to social and environmental sustainability. Consumers across income levels are willing to pay more for products from companies committed to a positive social and environmental impact. Sales growth for products produced in a sustainable manner picked up steam in recent years, increasing 7.2 percent in 2017 compared to 2016. The Good Food Movement Emphasis on global impact, transparency drives ethical food production by Marie Spano INSIDER's Take Sustainable agricultural practices, clean labels, transparency and corporate social responsibility (CSR) are driving the good food movement.

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