Consumers and the produce industry see sustainability through different lenses, but the ultimate result is a commitment to increased sustainability: planet (environmental sustainability), people (social and worker sustainability), and prosperity (economic sustainability).
Industry research conducted by the Produce Marketing Association in late 2008 revealed that leaders in the fresh fruit and vegetable industries are making sustainability a priority for their organizations. Seventy-four percent agreed that sustainability is an “urgent matter” in their company.
A number of factors are driving this trend, primarily customer demands, as well as economic considerations such as reducing costs and increasing productivity/energy efficiency, along with adding value to products and services, reducing environmental risks, and enhancing brand image. Although companies may undertake these as cost-reduction efforts, part of economic sustainability, many of these activities are also important for environmental sustainability.
While industry is focused on the economics of sustainability, the public’s attitude about the issue is focused more on social and environmental aspects, according to consumer research PMA conducted in mid-2008 on the consumers’ perception of sustainability. These contrasts fall in line with PMA’s definition of sustainability: “Sustainability is the way companies manage their businesses to produce overall positive impact on society through environmental, economic and social actions.”
Survey results indicated that consumers have a fairly good understanding of the concept of sustainability, with more than one-third offering definitions citing environmental, green, or ecological themes. Interestingly, consumers rate their own lives as only marginally more sustainable than the fresh fruit and vegetable industry, but nevertheless want the produce industry to take a range of sustainable actions, most notably regarding worker safety and compensation. The top eight areas consumers want the industry to take action on are:
Consumers say they are willing to pay a fairly substantial amount more for produce if they can ensure the industry will carry out some of these sustainable activities. In fact, there is a fairly good match between what consumers see as important on sustainability and what they are willing to pay extras for—mostly dealing with worker and conservation issues.
The results show that paying workers a fair wage (30%) leads the list, just as it did for importance. About one-quarter of consumers are willing to pay at least an extra quarter per pound for the reduction of transportation pollution (26%); energy conservation programs (25%); water conservation programs (25%); reduced pesticide usage (25%); worker safety programs (24%); water re-use programs (23%); support of human rights programs (23%); support for local charities and social causes (23%); adequate housing for workers (22%); conservation programs for land and wildlife (22%); and investment in local economic development (21%).
Another interesting highlight from this survey shed light on consumer trust of products marketed as sustainable, which may also speak to the “greenwashing” concern some consumer advocates have about the legitimacy of such marketing practices. “Greenwashing” is a term used to describe the practice of companies disingenuously positioning products as environmentally friendly when in fact they may not be. One method to prevent “greenwashing” is through the development of verifiable standards and benchmarks to measure sustainability efforts.
Forty-four percent of consumers think it is extremely important that the produce industry comply with verifiable sustainability standards. The feeling that verifiable sustainability standards are extremely important in the produce industry is solid in virtually every demographic category, but is strongest among women, those aged 65 and older, as well as lower-income and less-educated consumers.
To address the concern about verifiable sustainability standards, PMA is a founding member of the Stewardship Index for Specialty Crops, a multi-stakeholder initiative to develop a system for measuring sustainable performance throughout the specialty crop supply chain. The project will offer a suite of outcomes-based metrics to enable operators at any point along the supply chain to benchmark, compare, and communicate their performance. SISC does not seek to provide standards, but rather to provide a yard-stick for measuring sustainable outcomes. In the future, the project may also provide tools and resources to help specialty crop companies advance sustainability goals.
All in all, consumers understand sustainability goals, want the produce industry to engage in programs to promote those goals (particularly regarding workers), and are willing to pay extra for the produce industry to achieve them. For more on the studies referenced in this summary and PMA’s sustainability efforts, visit the Sustainability Research page on PMA.com.
Here! Here! There are folks like that on our PMA Executive Committee and I don't know how...
02/03/2012 - 12:31pm@meglizd789 thinks I'm a crazy tweeter!