10 ESG Investments for 2021 - Part 9

Reducing food waste

Andrew Willis 21 May, 2021 | 4:28AM
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Andrew Willis: It’s time for Morningstar Sustainalytics’ “10 for 2021” – which presents investors with 10 ESG investment themes that can positively contribute to advancing United Nations Sustainable Development Goals.

Did you know that between 30 and 40 percent of food waste happens before it even reaches the market or the restaurant?... We need to talk about how we’re transporting, storing and packaging our food so that we’re only using what we need.

In the food value chain, food and packaging waste present environmental and social problems, from world hunger to biodiversity loss and climate change. For businesses buying that unnecessary food and packaging, it can mean missed revenue, reduced margins, hurt reputations - and lower returns for their shareholders.

These problems can stem from picking wasteful inputs in the production process, or not having enough storage to keep products on hand before they’re sold.

Each company needs to examine its processes and supply chains globally, and it’s something that Starbucks (SBUX) is now doing aggressively, especially with their cups. With targets like doubling recycled material in their products by next year, and halving landfill waste by 2030, customers can feel a little bit better about the cost of those custom coffees.

For Morningstar, I’m Andrew Willis.

 

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Securities Mentioned in Article

Security NamePriceChange (%)Morningstar Rating
Starbucks Corp109.70 USD-1.52Rating

About Author

Andrew Willis

Andrew Willis  is Content Editor for Morningstar.ca. Follow him on Twitter @AndrewWillisCDN.

 

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