A Strategic Approach to Carbon Footprinting: Insights from Industry Leaders

December 19, 2024
A Strategic Approach to Carbon Footprinting: Insights from Industry Leaders

Carbon footprinting has emerged as a critical tool for the food industry to measure, manage, and mitigate environmental impact.

Experts from HowGood and the Carbon Trust recently shared actionable strategies and insights on the topic. In this article, we highlight the key points that were shared to help food companies gain better knowledge of and utilize the power of carbon footprinting.

Why carbon footprinting? Why now?

Carbon footprinting has already evolved from being a compliance tool to becoming a cornerstone of sustainable business strategy.

The industry faces mounting pressures, from regulatory requirements to consumer expectations, to quantify and reduce their emissions. But beyond these external pressures lies a significant opportunity, as Tiphaine Aries, Associate Director of the Carbon Trust explains, “A robust carbon footprint strategy doesn’t just check a compliance box. It creates opportunities for differentiation, innovation, and long-term resilience.”

By choosing to embed carbon footprinting into their operations, companies can align sustainability goals with business priorities, creating value for all stakeholders while addressing global climate challenges.

The foundations of effective carbon footprinting

Understanding carbon footprints requires a scientific approach, rooted in reliable data and clear methodologies. Obtaining accurate carbon footprints for your product portfolio begins with answering key questions around your operations and impact:

What are your boundaries? Defining the scope of analysis, whether at the product, process, or organizational level, is critical for actionable insights.

What emissions need to be accounted for? Companies must classify emissions into Scope 1 (direct), Scope 2 (indirect from purchased energy), and Scope 3 (indirect across the value chain).

How comprehensive is your lifecycle analysis? Considering emissions at every stage, from raw materials to end-of-life, ensures nothing is overlooked.

“Data quality and granularity are non-negotiable when it comes to making meaningful climate commitments,” notes Michael Streitberger, HowGood’s Head of Partnerships. Without robust data, businesses risk underestimating their impact or misdirecting their resources.

Turning data into action: the value of carbon data

Once data is collected, the true value of carbon footprinting lies in how businesses translate insights into action. Carbon data can be a powerful driver of business value, enabling companies to:

  • Engage Suppliers. Collaborative efforts with suppliers can significantly reduce emissions across the value chain.
  • Design Sustainable Products. Incorporating low-impact materials and processes reduces environmental harm while meeting consumer demand for eco-friendly products.
  • Strengthen Consumer Trust. Verified sustainability data builds credibility and fosters transparency, creating stronger customer relationships.
“It’s about translating carbon data into business value, whether that’s through cost savings, improved supply chain efficiency, or enhanced customer loyalty,” says Tiphaine.

These strategic benefits highlight why carbon footprinting should be viewed as an ongoing improvement process rather than a one-time task.

Building partnerships for sustainability success

Achieving meaningful carbon reduction often requires collaboration, both within and beyond a company’s immediate operations.

Partnerships play a vital role in scaling impact and accessing specialized expertise. The collaboration between HowGood and Carbon Trust serves as an example of how businesses can benefit from combining technology and consultancy.

By leveraging HowGood’s extensive ingredient-level sustainability database and Carbon Trust’s strategic consulting expertise, organizations can navigate the complexities of carbon management more effectively. “Our goal is to empower businesses with the tools and insights they need to lead in sustainability,” notes Michael.

Whether through technology providers, industry coalitions, or consulting partnerships, aligning with like-minded organizations amplifies efforts to deliver measurable results.

Future trends in carbon footprinting

As businesses strive to stay ahead of the sustainability curve, carbon management practices continue to evolve. Emerging trends are reshaping the landscape, including:

Integrated Carbon Accounting Platforms: Advanced tools that streamline data collection, analysis, and reporting across the supply chain.

Sector-Specific Standards: Tailored frameworks that address the unique challenges and opportunities within specific industries.

Enhanced Data Analytics: Leveraging predictive models and AI to identify hotspots, optimize processes, and forecast future impacts.

These developments underline the growing importance of sustainability as a competitive differentiator. Food companies that integrate cutting-edge practices into their operations will not only meet today’s expectations but also shape tomorrow’s market dynamics.

Validate your carbon footprint with the Carbon Trust

For companies looking to take their carbon footprinting efforts to the next level, the Carbon Trust offers a verification process designed to validate Product Carbon Footprints with rigor and credibility.

As part of their commitment to fostering actionable sustainability practices, the Carbon Trust is currently running a pilot phase for accelerated assurance for HowGood customers. This initiative provides businesses with an opportunity to fast-track the verification of their carbon data, ensuring transparency and alignment with global standards.

By participating in this pilot, businesses can not only validate their carbon metrics but also strengthen their position as trusted sustainability leaders in the market.

Learn more about how you can build a Product Carbon Footprint in Latis and submit your PCF to the Carbon Trust for verification.

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