Launch of the F&B Sustainability Playbook – Ms Grace Fu
OPENING ADDRESS BY MINISTER GRACE FU AT THE LAUNCH OF THE F&B SUSTAINABILITY PLAYBOOK ON 8 NOVEMBER 2024
Ms Jeannie Lim, Assistant Managing Director, EnterpriseSG,
Ms Cheong Rong Shang, Head of HR, Unilever Asia,
Mr Lee Chuan Seng, Chairman, NEA,
Distinguished guests,
Ladies and gentlemen,
1 Good morning. It is my pleasure to join all of you today for the launch of the F&B Sustainability Playbook.
2 Having a hearty meal with family and friends is commonly regarded as a national pastime in Singapore. Collectively, we generated a staggering 755,000 tonnes of food waste last year. This is equivalent to the weight of about 52,000 double-decker buses or the weight of 10 million average Singaporean men at 75.8kg. This waste, along with resources used in its farming, production, preparation, storage, and transportation, has an impact on our environment. The widespread use of single-use takeaway packaging and cutlery also contributes to our waste problem.
3 Our Food & Beverage (F&B) industry has the potential to drive significant change towards sustainability. Every day, millions of customers interact with the F&B businesses – from grabbing a quick ‘kopi’ at the coffeeshop, enjoying a meal at a restaurant to ordering takeaway. These are opportunities for F&B companies to encourage customers to adopt greener behaviour, such as bringing one’s own reusable containers for takeaways, and ordering only what we can consume. These seemingly small actions help to build the foundation of a more environmentally conscious society.
The case for sustainability for F&B companies
4 But why should F&B companies embrace sustainability?
5 Firstly, sustainability is often associated with resource optimisation. Sustainable practices, such as reducing food waste and optimising energy use, lead to cost savings, and therefore, higher profits, so it makes commercial sense.
6 Secondly, consumer preferences are rapidly evolving. They are more informed and conscious about environmental issues, and increasingly, they are more likely to patronise establishments that align with their values. With increasing global awareness of environmental issues, corporates, investors and lenders are also placing greater emphasis on Environmental, Social and Governance (ESG) issues.
7 Sustainability is increasingly becoming a key differentiator for companies to remain relevant, as well as to unlock new opportunities and markets. By adopting sustainable practices, companies are not just doing the right thing for the environment, but also positioning themselves for long-term success and mitigating long-term risks.
Launch of F&B Sustainability Playbook
8 To support the industry on this journey, I am pleased to announce the launch of the Sustainability Playbook for F&B companies by EnterpriseSG. Developed in consultation with the industry, this Playbook provides resources and practical steps that F&B companies can take to drive sustainability in three areas, food waste, packaging waste, and emissions generated. The Playbook covers three ‘As’ that F&B companies can follow.
9 The first ‘A’ is Account. The first step is to measure and account for their food waste, packaging waste and emissions generated. This will help to establish a baseline for companies to measure their progress and identify areas for improvement. Companies can embark on energy and waste audits to identify hotspots in their operations and consider ways to optimise their operations. EnterpriseSG is working with the Association of Catering Professionals Singapore, to have at least 30 per cent of its members track their food waste by 2026.
10 The second ‘A’ is Avoid. Companies are encouraged to review their processes to identify areas where food and packaging waste and energy use can be avoided. For instance, to avoid producing excess food, companies can use advanced demand forecasting tools to improve inventory management and better estimate how much food to prepare. Companies can embrace the “nose-to-tail” philosophy in food preparation to fully utilise the ingredients.
11 Earlier, I had the opportunity to visit Unilever Food Solutions’ Chefmanship Centre and saw how the chefs innovated and utilised every part of an ingredient to create unique, flavour-packed dishes. They used fish trimmings and shelf stable potato flakes to create pies, and utilised an entire cauliflower for a dish, wasting nothing in the process.
12 Companies can also look for ways to avoid packaging waste. ION Orchard partnered Muuse to implement a reusable container rental initiative where customers can rent containers when buying takeaway. This helps to avoid waste generated from single-use packaging. The initiative has helped the mall avoid more than 1,000 pieces of packaging waste in just a few months.
13 The third ‘A’ is Adjust. Companies can adjust their operations to reduce waste and recover energy by switching to energy-efficient alternatives to reduce emissions. For example, by switching from gas to induction hobs, Springleaf Prata Place reduced emissions by 20 per cent and lowered its utility bills by 15 per cent for some of its outlets.
14 Where there is unsold or excess food that is still suitable for consumption, companies can donate them to food charities. Earlier, my colleagues in Parliament passed the Good Samaritan Food Donation Bill to encourage donations by providing protection to food donors that comply with food safety and hygiene standards.
15 When it comes to unavoidable food waste, we can adopt a circular economy approach by viewing food waste as a valuable resource, instead of waste to be incinerated. This is why, under the Resource Sustainability Act, we are introducing requirements for large commercial and food waste generators to segregate their food waste for treatment. This enables more food waste to be collected separately, and even be turned into useful products.
16 Frasers Property has partnered Life Lab Resources to introduce a food waste valorisation pilot across five of its malls. Food waste from tenants is processed into nutrient-rich substrates that are transformed into high quality microbial protein for aquaculture feed.
Launch of Request for Proposal under NEA’s Closing the Resource Loop Funding Initiative
17 To better support companies in addressing food waste challenges, I am also pleased to announce that our National Environment Agency (NEA) is launching a Request for Proposal (RFP) under the Closing the Resource Loop Funding Initiative.
18 This RFP is an open grant call for research and development proposals to support the F&B industry in developing innovative solutions to valorise homogeneous food side streams. For example, fish skin can be converted into collagen and gelatin for pharmaceutical and cosmetic use. Imperfect fruits can be processed into food items such as jams and health bars, or into new materials for fashion and furnishings.
19 The goal is to upcycle food waste, generate additional revenue, maximise value capture and contribute towards a sustainable and circular ecosystem. NEA will share more details on the RFP later.
Support available for F&B companies
20 Other than the F&B Sustainability Playbook and the RFP under NEA’s Closing the Resource Loop Funding Initiative, F&B companies can tap on resources to build their sustainability capabilities. The Enterprise Sustainability Programme (ESP) under EnterpriseSG offers a range of support. Companies can access subsidised training courses and playbooks to enhance their understanding and knowledge of sustainability.
21 EnterpriseSG has also partnered with key stakeholders such as trade associations, large corporates and financiers in rolling out capability building programmes in sustainability for SMEs. An example is the ESG Ready Programme that DBS will share later.
22 Funding support is available through the Enterprise Development Grant, which helps companies develop their sustainability strategy, optimise resource use and adopt sustainability-related standards.
23 EnterpriseSG also helps companies adopt energy-efficient technologies. The Infocomm Media Development Authority’s Advanced Digital Solutions scheme supports companies in the adoption of digital solutions for resource optimisation and carbon management.
24 With rising demand for companies to publish climate-related disclosures, EnterpriseSG and EDB have put in place the Sustainability Reporting Grant. This is to support listed companies and large non-listed companies in meeting their disclosure requirement, in accordance with the standards set by the International Sustainability Standards Board.
25 The SME Sustainability Reporting Programme by EnterpriseSG supports SMEs in developing their sustainability reports. Whether you are a small or medium sized, listed company or not, there is a whole range of support, from reporting, measurements, to implementing solutions.
Conclusion
26 Let me conclude. Sustainability in the F&B industry is not just about having a green label – it is about being forward thinking and finding smarter and more resource efficient ways to operate. Doing so is not only good for our environment, but will also help your businesses mitigate climate risks and thrive over the long term.
27 I hope that today’s event will be a meaningful platform for us to learn from one another, share ideas, and explore collaborations. Thank you.