Confronted with the devastating—and undeniable—impact of climate change, how can food companies and ingredient suppliers future-proof their supply chains? That was the question posed to a group of experts assembled on the Business FIRST stage on Monday.

It starts with understanding the supply chain basics, said Kamesh Ellajosyula, chief innovation and quality officer, ofi - olam food ingredients. Companies need to ask themselves about the quality of the ingredients they are sourcing as well as their impact on the environment. They need to ensure that their ingredients pass what ofi calls the “good test,” which is that they’re good for nutrition, good for taste, and good for farmer livelihoods as well as being climate friendly. If the answer to the “good test” question is yes, then “you’re in very good shape,” Ellajosyula said. “If the answer is ‘I don’t know,’ you probably need to start investigating,” he observed.

Panelists shared examples of supply chain success stories, i.e., initiatives that have allowed them to reduce waste. Conagra, for example, has figured out a way to take full advantage of the tomato plants harvested to make its canned tomato products, said the company’s senior sustainability specialist Kenzie Bear, by using skins, peels, and unripe tomatoes in its Hunt’s tomato paste.

To succeed, companies can’t go it alone. Partnerships will be key to creating environmentally friendly supply chains, the panelist agreed. For example, ofi partnered with Unilever’s Knorr brand on a project to improve water supply in drought-stricken California and it teamed with Mondelez on a project to address the impact of pests and disease on crops.

At Conagra, “we’re constantly looking for agricultural and company partnerships to help grow and optimize the products we’re using,” Bear said.

For companies confronted with ingredient shortages cause by supply chain failures, creating innovative ingredient substitutions from upcycled and recycled ingredients can be a winning solution, observed panelist Jaime Reeves, executive vice president, product development and commercialization, with Mattson.

“There’s a lot of waste out there that contains valuable nutrients,” Ellajosyula agreed. “Turning ag waste into wealth is a great opportunity,” he said. He noted that ofi has rescued cascara, an often-wasted byproduct in coffee production, and converted it into a range of nutritious ingredients.

Asked about opportunities for ingredient and food companies in the next decade, several panelists emphasized the importance of creating products with improved nutritional profiles.

Kimberly Morgan, an extension economist and associate professor with the Department of Food and Resource Economics at the University of Florida, noted that the nutrient content of many crops has significantly decreased as growers emphasized attributes like yield and shelf life.

Bear of Conagra said that food companies have done a good job of creating cheaper ingredients, but the focus in coming years should be on creating products with better nutritional profiles. “Now it’s time to leverage nutrient density,” she said.ft

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Mary Ellen Kuhn
Mary Ellen Kuhn is executive editor of Food Technology magazine ([email protected]).