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25 Dec 2023

Future-Proofing The F&B Industry: Building Sustainable Businesses In A Changing World

Future-Proofing The F&B Industry: Building Sustainable Businesses In A Changing World

In an increasingly globalised world filled with savvy modern consumers that demand more, competition can be high - and it’s more important than ever for businesses, especially those in F&B, to embrace sustainability, innovation, and flexibility in order to not only survive, but thrive

When it comes to the health of our planet and its ability to sustain us for future generations, the modern world cares - a lot. In fact, 66-75% of consumers around the world say that sustainability is a key consideration when they’re making a purchase - and this includes their F&B. In fact, not only are they more likely to buy a product if it’s sustainability-friendly, the modern consumer is also more willing to spend a greater amount on buying sustainable, ethical products. As people become savvier about what’s in what they’re eating and drinking, and more aware of the practices that surround sustainability and ethics in everything from food production and sourcing to distribution, branding, and everything in between - and they’re becoming more willing to make their choices by “voting with their money” so to speak - it is more important than ever that when F&B businesses think about future-proofing to build legacies that last, that they not only consider how to keep up with the rapidly-changing technology demanding flexibility in their production methods, but that they also take these factors into consideration.

 

The concept of future-proofing has emerged as one that is not only a pivotal strategy that can drive the evolution of the F&B landscape, but also one that is essential for companies looking to build lasting success and protect themselves from failing and becoming obsolete - a risk that can now rear its head much more quickly than in decades before, thanks in large part to the fact that technology is now adapting at a much swifter pace. If businesses want to not only survive but also thrive in the coming years, wherein the combination of an increasingly globalised landscape and more discerning and educated consumers come hand in hand with more competition than ever before, it is more important than ever to forge a path that accounts for resilience, adaptability, and flexibility in this rapidly-changing environment. Three of the greatest keys leading with this mindset are to build with sustainability, innovation, and flexibility in mind.

 

According to the World Economic Forum, by 2050, the population of the world is predicted to rise to 9.7 billion, which means there will be 2 billion more people on Earth than there are today - and by 2100, the global population is expected to reach a staggering 10.4 billion. Yet despite these countless more mouths to feed, with today’s agriculture and food production industries already-heavily burdened with their resources being pushed to their limits, the world is, as it stands, simply not equipped to be able to produce and/or deliver enough food to fulfill these needs. In fact, it’s a commonly-discussed issue that there is already not enough to go around, with at least 10% of the global population - that’s at least 828 million people - facing hunger, exacerbated by factors including climate change and extreme weather events, wars and political conflicts, and ensuing economic pressures. With an already-fragile environment, how are we meant to serve these needs without straining the planet even further to the point that it will be damaging, or even irreparable, for future generations?

 

Image by Unsplash

 

It’s a question that has been on the forefront of the world’s leading minds for decades - including those in the F&B industry - and now, as knowledge becomes more widespread and easily available, and the modern consumer’s awareness rises, one that people are seeking answers to more and more. So much so that incorporating sustainability-focused priorities, following ethical sourcing (not to mention practices), and being as transparent and clear about it as possible, is no longer an optional hallmark that companies can use to boost their reputation, but one that is essential to their survival. The F&B businesses of tomorrow must incorporate sustainability as part of their company fabric; an essential ingredient in satisfying consumers’ desire for conscientiousness, in a way that makes room for more self-sufficiency, allows for greater food provenance, and promotes a more circular economy. This can involve utilising more locally-grown, sourced, or raised produce even in production plants, opting for more sustainability-friendly packaging whether that’s through biodegradable, recyclable, and/or compostable materials, incorporating more seasonal ingredients wherever possible, and making a concerted effort to cut back on waste and loss - and in doing so, focusing more on quality than just quantity. These changes shouldn’t just take place from the later stages of the supply chain either. They must be integrated into the earliest stages of the process, beginning from increased spending in R&D, wherein innovation is part of the company fabric. F&B businesses must invest substantially to foster the space and resources to create significant and real progress that can set an example for others in the industry, while also remaining as transparent as possible with their consumers and shareholders.

 

But that’s not all it takes to successfully future-proof an F&B business in today’s fast-changing world. With the state of technology adapting, growing, and evolving at a faster pace than ever, it is imperative that F&B businesses - whether from the manufacturing stage or beyond - remain as flexible and adaptable as possible. Manufacturing plants investing in expensive machinery would be wise to do so with equipment that can either be used in a multipurpose fashion, or easily changed to suit the ever-evolving demands. As new technology becomes available, keeping an eye on the latest trends - and looking at them with a view to long-term usability and multi-use application - can make room for substantial cost-savings, problem solving, and greater efficiency in everything from labour and production to distribution. The use of data and analytics can help companies better understand what is succeeding and what isn’t, making it easier for them to pivot faster towards more lucrative and highly-demanded products and services, and doing so as quickly as possible thanks to real-time insights. This transformation in technological innovation also makes it easier and more possible for companies to source their resources differently, making room for a more “glocal” ethos that brings about greater harmony between international flavours alongside more locally-based ingredients. A growing focus on renewable energy, the trend towards more health-consciousness that prioritises both human well-being and planetary health alternative and genetically-modified or fortified foods that approach food systems with a holistic, big-picture perspective are more avenues through which future-proofing can be explored.

 

Whichever path is followed, one thing is clear: in order to stay relevant, sustainable, and with a lasting recipe for success, it is imperative that F&B businesses looking to incorporate more future-proofing into their practices must keep one eye on the short-term alongside one eye on the long-term, as the only way to succeed in this challenging time that can also offer plenty of exciting potential for a brighter future.

 

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