This series is an insight-driven look at environmental issues facing the CPG industry. Each month, we survey media, handpick relevant stories, and interpret them for you. Sustainability Watch aims to spark conversation and inspire the CPG industry to help solve the planet's environmental problems.

Recycling Not the Answer?

In our last edition of Sustainability Watch, we discussed how it is time to move from pledges to action. Well, a recent report released by NGO Environmental Defence found that Canada still has a lot of work to do on that front. The report Recycling Failure, highlights how Canada will miss its target of eliminating plastic packaging waste by 2030, with more than 88% of plastics generated in the country expected to "continue to be disposed of in landfills, incinerated or discarded as pollution."

A significant issue is that most of the plastic packaging produced and sold in Canada is still not getting recycled – in 2019, for example, only 12% of the 1.9 million tonnes of plastic packaging made that year was sent for recycling. "All levels of government are too focused on recycling as a silver bullet," says Karen Wirsig, plastics program manager at Environmental Defence. As long as recycling is seen as the main solution, the problem of plastic waste will continue instead of eliminating plastic altogether.

Learn more here: Toronto Star

Sustainably Marketed Products Selling Faster Than Conventional Ones

On a more positive note, another recent study has found that consumers are turning to sustainable products more often. Published last month, the Sustainable Market Share Index shows that 93% of consumers have maintained or increased their sustainable purchase habits over the past year, with 77% believing that sustainability is important when selecting products to buy. Also of note, the study found that sustainably marketed products enjoy more substantial online shares than in-store, and in 2021 approximately 50% of new CPG products featured a sustainable benefit.

The good news for CPG brands is that consumers are more receptive than ever to sustainably marketed products. The challenge is how to stand out and differentiate yourself from the competition. There are many ways this can be done (read the next section for some inspiration), but a few things to keep in mind are transparency and traceability. Consumers expect brands to be sustainable and ethical in every aspect of their operations – not just in one or two components, such as packaging or sourcing of ingredients. Certifications like B Corp demonstrate to consumers that a business is checking all the boxes regarding transparency and accountability. They serve as a stamp of approval that helps validate a conscious consumer's purchase decision.

Learn more here: Winsight Grocery Business

Putting Your Money Where Your Mouth Is

Speaking of stepping up and standing out, you have no doubt heard about Yvon Chouinard and his family selling their shares of Patagonia to ensure that all future profits the company makes go toward fighting climate change. Though Patagonia is best known as a clothing brand, they also have Patagonia Provisions. This venture aims to produce and sell "organic and regenerative foods that help solve specific environmental problems." With products that range from pantry staples to beer and wine, Patagonia Provisions is another example of the brand living up to its mission and founding principles.

We are seeing a lot of legacy brands expand their offerings, especially when it comes to sustainability. Recently, Proctor & Gamble launched EC30, an eco-oriented brand of dissolvable, solid-form soaps and cleaning products on a "journey to carbon neutral clean." Every new initiative is vital if we as an industry want to lead positive change. Still, it is essential to remember this quote from Mr. Chouinard: "To me, Provisions is more than just another business venture. It's a matter of human survival." It is pretty okay to want to be successful and make money, but if we all have the mentality of putting the planet first, there is no telling what we might be able to accomplish.

Learn more here: Patagonia Provisions

Find and read all of the Sustainability Watch issues on our website.