How retail foodservice can navigate sustainability challenges
The retail foodservice sector faces a critical juncture in contending with a substantial waste issue.
"According to the National Restaurant Association, between 4[%] and 10% of all restaurant food is wasted before it reaches the consumer. This does not include the food that is discarded from people’s plates or as leftovers at the end of the day," Savannah Seydel, vice president of sustainability and impact at Better Earth, told The Packer. "In addition to food waste, the foodservice industry contributes to plastic pollution. Most business models built around rapid service, such as quick service or fast-casual restaurants, rely on plastic foodservice containers, dishes and utensils for servicing customers."
A recent assessment from the United Nations Environment Programme revealed that the annual production of plastic exceeds 430 billion tons, and approximately two-thirds of this amount is discarded after a single use.
"While this number is the total tons of plastic produced annually, the foodservice industry is a big player," Seydel said. "Per the United Nations Food and Agriculture Organization, the foodservice industry was responsible for 37.3 million tons of plastic foodservice packaging in 2019, with that number continuing to rise in recent years as takeout increased in popularity, thanks especially to the global COVID-19 pandemic."
Food and packaging containers account for almost half of the materials landfilled in the U.S., according to the EPA.
Compostable packaging presents a robust and sustainable alternative to the current norm. Serving as a literal conduit for food waste to the compost bin, this type of packaging provides a dual solution by simultaneously decreasing food and plastic waste in landfills and the environment. Instead, it facilitates the recycling of these nutrients back into the soil.
"Consumers are more conscious than ever about the environmental and health implications of plastic production and pollution. We see excess packaging in the products we purchase, food and product delivery services we use, and out in our environment every day," Seydel said.
According to the 2021 Global Sustainability Study, 85% of individuals report a shift in their purchasing habits towards greater sustainability over the last five years. Notably, millennials and Generation Z consumers are placing a strong emphasis on choosing sustainable products and packaging.
Taking action
Seydel provided ways for the retail foodservice industry to enhance its understanding of sustainability practices.
"The Better Earth Sustainability Team is here to support the foodservice industry in meeting and exceeding their sustainability goals," Seydel said. "Our primary focus is in supporting foodservice operators in designing circular, zero waste operations through a combination of sustainable packaging procurement, helping them secure composting partners, offering legislative support and providing education to their staff and community."
A plastic usage audit can help the retail foodservice industry understand and address their plastic footprint.
"We follow an outcomes-driven approach to circular, zero waste operations," Seydel said when asked about the approach. "With the final goal being 100% of waste diverted from landfill, we must first confirm that all controllable inputs are compostable, and when necessary, recyclable."
A packaging audit helps an organization understand its current plastic usage while identifying opportunities to consolidate to streamline operations and reduce redundancy and identify sustainable alternatives.
"This step is also critical for securing composting partners, as some composters may hesitate to collect post-consumer food scraps due to concerns of contamination from non-compostable packaging and other non-organic materials," Seydel said.
The Foodservice Packaging Institute conducted a study in Chicago to investigate this specific scenario. Its findings revealed that the adoption of compostable foodservice packaging at the forefront of operations led to increased diversion of food waste into compost streams. Additionally, the approach reduced the risk of contamination, and customers experienced a smooth and hassle-free disposal process at the waste bin.
“Using an all-compostable suite of foodservice items like plates, trays and cutlery creates a simpler sorting experience for consumers in front-of-house situations,” Olga Kachook, director of bio-economy and reuse initiatives at the Sustainable Packaging Coalition, said within the final "CompostAble Chicago" report. “This translates to less consumer confusion about what goes where and leads to more food scraps going into the compost stream instead of the landfill.”
Integrating composting into retail foodservice industry operations is considered a game-changer by enhancing sustainability, reducing food waste, minimizing contamination risks and providing customers with a seamless waste disposal experience.
"The foodservice industry is the largest producer of food waste, and therefore it has an outsized opportunity and responsibility to make an impact," Seydel said. "Composting will help foodservice operators divert food waste from the landfill, close the loop within their community, especially when sourcing from local farmers that receive the finished compost and demonstrate their commitment to sustainability with their customers."
To launch a seamless and successful composting program in the foodservice industry, operators should follow a strategic approach, Seydel said. First, initiate composting of food scraps back-of-house to familiarize and train staff with the process. Before introducing front-of-house composting, transition to 100% compostable packaging to minimize plastic contamination, ensuring consistency in compostable materials like lids, utensils and containers.
Consider incorporating reusable dishware and bulk condiments when possible to further reduce contamination risk and overall waste. Consult with local composters to understand their packaging preferences, whether it be unbleached molded fiber or PLA, before finalizing the compostable product purchasing list. Clearly communicate composting guidelines with well-designed signage using green and brown, the universal colors for organics waste.
Opt for compostable packaging with explicit labeling, coloring or visible third-party certifications to aid consumers and composters in easy identification, while avoiding greenwashing terms like biodegradable. Once a curated suite of 100% compostable packaging is identified, with clear labeling and bin signage, operators can confidently roll out front-of-house composting.
Consider adding educational customizations on packaging, such as messages encouraging customers to dispose of items in the green compost bin or showcasing the environmental impact achieved through composting, to actively engage customers in the program.
"Connecting with a local composting hauler or composting facility can help you compost your food waste and compostable packaging," Seydel said. "That finished compost can then go back to local farmers who grow produce that you can purchase and use in your food service establishment. Altogether, this system manifests a regenerative, circular economy where everyone and everything adds value."
Food Waste makes up roughly one-third of landfills, and foodservice packaging is another massive contributor to landfills, with grocery stores and restaurants being some of the biggest culprits.
"By making some operational adjustments, like better produce storage methods, portioned plates, reducing bulk cooking, integration of sustainable packaging, and smart waste collection, foodservice operators can experience the dual benefit of a lower environmental footprint and stronger market value," Seydel said.
In the realm of cost savings, operators stand to benefit when they minimize food waste directed to landfills, potentially enabling negotiations for reduced waste disposal bills. Moreover, sustainability efforts have the potential to enhance customer loyalty. Research indicates that consumers are inclined to pay a premium for products, services or brands that prioritize sustainability, with 43% of surveyed U.S. consumers emphasizing the significance of environmental impact in packaging decisions.
The impact is staggering, with the retail foodservice industry responsible for millions of tons of plastic packaging. In response, compostable packaging emerges as a robust solution, diverting food and plastic waste from landfills and contributing to a circular economy.
The push for sustainability is not only an environmental imperative, but also a strategic business move, as studies show a growing consumer preference for sustainable products. Initiatives such as packaging audits, composting programs and educational outreach can empower the retail foodservice industry to align with sustainability goals, reduce costs and strengthen customer loyalty.
