Sustainability is transcending traditionally scrutinized industries to become a central issue in agribusiness, according to a new report from Fitch Solutions Macro Research. Consumer facing industries are rapidly adapting to shifts in public environmental consciousness and engagement, propelling faster government and corporate action. Legislation on plastic bags has had a major impact on mass grocery retail in recent years. Sixty-six per cent of countries worldwide have enacted some form of national legislation addressing plastic bags, with a growing number of local governments doing the same, according to the United Nations Environmental Program. Governments also are turning their attention to single-use plastics, with dozens of countries enacting bans on single-use packaging and other sources of plastic pollution. Global C.P.G. companies have a history of implementing sustainability strategies, and a push is emerging from within these companies to set their own goals for tackling environmental issues, according to the report. Longer supply chains have so far kept the agribusiness industry insulated from consumer-driven pressure to alter practices and government policy. The political sensitivity surrounding farms means it takes governments time to develop and implement new policies, and on-the-ground challenges of improving sustainability on the farm level have translated into less aggressive goals. Two global trends will make sustainability a central issue for agribusiness companies in coming years, the report said. To view the full article visit Baking Business.
