We’re used to scanning food labels to make quick, informed decisions about our nutrition. But what about making healthier choices for the planet? Some brands are starting to add carbon labels to their food products — and other goods, such as electronics, shoes and skin cream — to help consumers understand their environmental costs. The labels provide an estimate of a product’s carbon footprint — from production and transportation to use and disposal.
As carbon labels become more common, they could empower consumers to make more informed choices and push companies to reduce their products’ carbon footprints, experts say. As companies are under increasing pressure from customers, shareholders and governments to improve transparency about how their business contributes to GHG emissions reductions, a growing number of firms are pursuing carbon labelling as part of their strategies.
Allbirds, for instance, which plans to cut its carbon footprint in half by 2025 and to near zero by 2030, includes the amount of CO2 used in creating a sneaker or T-shirt on the inside of the product. Unilever recently announced the introduction of carbon labels on 70,000 products. Its product labels will show GHG emissions from manufacturing and shipping. L’Oreal has pledged to roll out environmental labelling by 2030.
Similar to nutrition labelling seen on common food and beverage products today, Cocokind packaging includes a list of ‘sustainability facts’ on its products, such as the carbon emissions before manufacturing, during production and distribution, and at end of life. The labelling also includes material used in the packaging and the percent of ethical labour, among other facts.
It is important to define the scope when calculating the carbon footprint of a product, according to the Carbon Trust, a non-profit helping companies to improve their sustainability practices, which advises companies to use of one of two methods:
- Cradle-to-gate: mostly used for business-to-business (B2B) products. This measures the total greenhouse gas emissions from the extraction of raw materials through to product manufacture up to the factory gate.
- Cradle-to-grave: mostly used for business-to-consumer (B2C) products. This measures the total greenhouse gas emissions from the extraction of raw materials through to the product’s manufacture, distribution, use and eventual disposal.
Much like emissions and energy labelling on vehicles and appliances, experts expect the trend in carbon labelling is likely to go mainstream in the future.
Travel
Travellers could slash the environmental impact of their holidays if carbon labels were introduced, research by Which? Travel has found. The calculation would appear on holiday websites, showing the carbon dioxide emissions created by each trip – including the flight, accommodation and even the food. It would help consumers understand their impact when booking and make more sustainable choices.
A spa break in the Maldives would produce a whopping 2,931kg of CO2 per person – equal to eight years of daily power showers for 15 minutes a day. In contrast, a rail holiday in Switzerland of similar length has a tenth of the carbon footprint at 290kg of CO2 per person. That’s the equivalent of leaving a 100-watt light bulb on for nearly a year. And experts argue that a greener holiday is not only better for the planet, but cheaper and more rewarding too.
Only a handful of travel companies are currently carbon labelling, including activity operator Much Better Adventures, and Spain and Latin American specialist Pura Aventura. View any of their trips online and you’ll find a calculation for the CO2 emissions per person. Which? Recommended Provider Exodus Travels has also revealed the footprint of six trips and intends to ‘carbon score’ all of its itineraries by 2022.
Sam Bruce, co-founder of Much Better Adventures, believes not every travel brand will welcome this kind of transparency. He told us: ‘I don’t think luxury providers, particularly cruise lines, will be so keen to air their dirty laundry. But this is how change happens. You can’t manage what you can’t measure. And if you’ve measured it, why not share it.’ The operator promises to offset the impact of your trip – planting enough trees to suck twice as much CO2 back out of the atmosphere. But because Much Better Adventures doesn’t sell flights, the journey to get there isn’t included in its calculation. The operator acknowledges that its measurements are far from perfect, something it says it’s working on.
Food and Drink
Eco labels are being trialled in the UK, while some brands are using them voluntarily. They have become a regular sight in supermarkets. Those meticulous shoppers who can be seen stooped over a packet, scouring the label for information that might persuade them to put it back on the shelf. Palm oil, perhaps. Sodium. Fat. Sugar. You may be one of those people yourself.
If you are, you’ll soon have even more data to digest. A trial of eco labels for food and drink products has begun in UK supermarkets, ahead of a planned rollout across Europe from 2022. Under the system, products including meat and vegetables are graded on carbon emissions, biodiversity impact and water usage from farm to supermarket. Items are given a rating of A* to G, as well as a red, amber or green colour to denote whether they have a large, medium or small ecological footprint. Scores are based on the individual merit of a product, rather than a generic rating for a food type.
The system is being overseen by Foundation Earth, a non-profit that has got brands including Costa Coffee, M&S and the food delivery company Abel & Cole onboard. “The launch of Foundation Earth is a very significant moment for the European food industry,” said Andy Zynga, chief executive of EIT Food, the European Commission’s food innovation programme. “It will bring about a credible and clear front-of-pack environmental labelling system on food products right across the continent.”
It is, perhaps, no surprise that Avallen is taking initiative. According to a recent Life Cycle Assessment (LCA) report, which calculated the environmental impact of its calvados, each 700ml bottle removes 2.73kg of CO2 from the atmosphere. A label communicating this could be an effective marketing tool. As well as listing water usage and CO2 emissions (or lack thereof), Avallen uses carbon equivalent data to communicate its ecological footprint. Each bottle, the label explains, is the equivalent of not driving a family car for 13 miles.
Even if other brands follow Avallen’s lead — or are legislated to do so — are eco labels likely to influence people’s behaviour? A 2015 study offers reasons for optimism. It found that nutritional labels increased the proportion of people selecting healthier products by 18 per cent. Meanwhile, a systematic review of 60 other studies concluded that nutritional labelling increased vegetable intake by 13.5 per cent.
Restaurants
In the U.S., UMass (University of Massachusetts) Amherst will now include carbon footprint information on its menus. The move comes as part of wider commitments to reach carbon neutrality by 2032. The Boston college will become the first in the U.S. to measure and highlight the carbon footprint of individual menu items. UMass aims to offer its 28,635-strong student body access to information that will shape their food choices.
A survey conducted last year revealed that 88 percent of students consider the climate crisis as a guiding influence on purchasing decisions. UMass is making it easier to proactively engage with climate data in a meaningful and impactful way. Other findings from the survey carried out in Autumn 2021 reveal the students are aware of the connection between climate change and food. 75 percent said they know what they eat impacts the environment. 76 percent went on to claim that reducing their personal carbon footprint is a priority. UMass has pulled the two together to create an easy framework for conscious dining choices in its cafeterias.
“We are excited to launch this carbon rating system in our dining program as part of our efforts to empower students with information so that they can make educated decisions for both their personal and planetary health,” Ken Toong, executive director of auxiliary enterprises said about the project.
The first phase of the carbon labelling initiative launched during Earth Week. It will see all menu items served in the Hampshire Dining Commons given A-E carbon ratings. Physical menus, apps, and online menu notifications will all synchronise to display the rating system. For the first time, food labelling is potentially shifting from a focus on calories to climate impact. The idea has existed for years but has never been widely adopted. Now, large and independent brands alike are seeking to connect with consumers not just by their budgets but also their environmental awareness, using impact labelling.
Food production accounts for a minimum of one-quarter of all greenhouse gas emissions. However, access to reliable and understandable data remains a stumbling block. In the EU, conglomerates such as PepsiCo pledged their support. Mandatory labelling is not yet forcing the issue, however.
Just Salad Leading the Way
Just Salad is not your typical fast casual food chain. From introducing a ‘Zero Foodprint’ menu to boost regenerative farming to launching the first plastic-free anti-food waste meal kit brand, the salad bowl pioneer has made serious sustainability. Not only was it one of the world’s first chains to debut reusable, it also became the first restaurant chain in the U.S. to commit to carbon labelling its entire menu back in 2020. Their carbon labels have now achieved compliance with international greenhouse gas (GHG) emissions protocols ISO 14040/14044 and the British PAS 2050 standards.
The company recently released their 2021 Impact Report, which showcased its progress on a variety of metrics including completing Scope 1, 2, and 3 emissions inventory, funding the planting of over 12,000 trees via Mastercard’s Priceless Planet Coalition and reduced average annual energy use by 7%, with reductions of up to 20% in some months, through a four-store pilot program with Budderfly.
Germany Example
A new carbon labelling initiative aimed at ensuring greater environmental transparency in the German food industry has been launched – not by the traditional regulatory bodies of the EU or the German federal government, but by a motivated group of food brands themselves. Supposedly, their motivation is altruistic: to help consumers make environmentally informed decisions about the products they buy. However, this gesture towards increased climate labelling in the food industry overlaps with the more insidious practice of greenwashing.
While individual consumer choices are far from the structural change needed to meaningfully address climate change, consumers are increasingly concerned about the environmental impact of the food in their shopping carts, which, incidentally, make up a quarter of global greenhouse gas emissions. This is especially true of younger generations, who will drive the markets of the future: 73 percent of Gen Z consumers are willing to spend more on sustainable products, according to a 2020 report by First Insight. Given shifting consumer trends towards climate consciousness, companies are incentivised to market their products accordingly.
Yet another organisation has been announced: Together for Carbon Labelling, the recently launched initiative intended to introduce a climate-conscious labelling system to Germany, is the brainchild of four major players in the German food landscape: Oatly, Frosta, Mymuesli and Nestlé Germany. The environmental NGOs German Zero and Global Impact Alliance have joined the campaign, lending much-needed credibility to the project. Instead of creating a separate carbon label, the German government has emphasised that it is supporting EU regulatory plans and “aims to create a label that brings previous systems together,” referring to the organic, regional, animal wellness and Nutriscore labelling systems that already exist.
Eco-labelling is gaining traction and most consumers would agree that being educated through a product’s label is a great step forward. But there are many types, we have a vast array of eco labels but they are all different. We consult with companies to produce the right label for their environmental goals. In a 2020 global survey, 57 percent of consumers said they would change their purchasing behaviour if it helped reduce negative environmental impacts. That’s a good incentive for companies to get on board.