From the Editor EDITORIAL/PUBLISHER Keen Whye Lee Publisher
Looking inward and going local in 2022
Got a story about the food industry? Contribute to Asia Paciic’s professional guide to processing, packaging and ingredients
Cath Isabedra Editor editor-afj@harvest-info.com Danico Acosta Layout and Design OPERATIONS Mari Vergara Head of Operations mari@asiantvawards.com
Dear Reader, As we overcome the first half of 2022, everything looks a lot brighter and better. The pandemic, while it’s still there, is now somehow controlled. Travel embargoes are rapidly lifted, and more and more consumers are out and about. The food and beverage industry is welcoming these new changes and the path towards the new normal. The effect of the pandemic is pretty much present still. But, it only highlighted what has long been a problem plaguing the industry - food availability, accessibility, and security. While there’s still much to be done on the horizon, the pandemic accelerated the adoption of technology. In this issue, we will be sharing some insights into sustainability, climate change, and how technology becomes a huge part of solving our concerns about food safety and security. We hope you enjoy this month’s issue of Asia Food Journal!
SALES Simon Lee Hong Kong, U.S.A. sales@harvest-info.com Chua Chew Huat Asia Pacific sales-sg@harvest-info.com Erhardt Eisenacher Europe info@eisanacher-medien.de MARKETING Lali Singson mktg@harvest-info.com Coy Nazario production@harvest-info.com TECHNICAL SUPPORT Michael Magsalin tech@harvest-info.com Harvest Information Pte. Ltd. 1100 Lower Delta Road #02-05-08, EPL Building Singapore 169206
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Your professional guide in Asia Pac Processing, Packaging and Ingred
Contents 16 12
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04 Ingredients News 06 Processing News 08 Packaging News 10 Automation News 11 Industry News 12 Cover Story: F&B adopts 16
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14 18 Feature Story: How Sidel meets sustainability goals with F&B packaging solutions that work
technology, slowly but surely
20 Feature Story: Sustainability, technology, and
Feature Story: Wellness and natural ingredients: embracing a sustainable lifestyle
22 Trade show events
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female farmers - keys to food security
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NEWS | Ingredients Loryma ingredients Halal certified
Wheat proteins, starches and wheat-based functional blends are verified to be compliant with Muslim dietary laws According to the European Institute of Halal Certification (EHZ), all Loryma ingredients comply with their Halal standard, with the corresponding confirmation issued after an audit. These include, for example, the wheat texturates (Lory® Tex), the binding components of the Lory® Bind range, various coatings and breadings, starch mixtures, stabilising systems and Lory® Protein. These products are used as texturisers for plantbased meat alternatives and to optimise a wide range of applications. Loryma initiated the certification process as a result of increased demand for such products. The Halal certificate confirms that the functional blends do not contain forbidden substances under Islamic law. The latest analysis by the Imarc Group puts the global market for halal products at close to two billion US dollars in 2021. It forecasts average annual growth of more than eleven per cent over the period 2022-2027. “The halal certificate has been in high demand from customers from Muslim countries and is of great importance. We are therefore pleased that our products meet the requirements,” says Henrik Hetzer, Managing Director of Loryma.
Conagen commercialises scalable sweetness enhancers from nature Conagen, the Massachusetts-based biotech firm, announced the commercialization of an expansive portfolio of natural sweetness enhancers for taste modification in sugar reduction solutions for food and beverages.
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Ingredients |NEWS The enhancers are made with precision fermentation, a technology that has led to the innovation of an extensive platform of phenolic antioxidants. Sweetness enhancers in the market today are made by chemical synthesis or by using an organic solvent extraction method, both of which are time-consuming, labor-intensive, and environmentally unfriendly. Conagen’s precision fermentation method is a preferred, clean, and sustainable method for developing sweetness enhancement compounds. “These unique molecules are yet another example of how Conagen leverages its molecular platforms and precision fermentation capabilities to create useful ingredients for food and beverage applications. Our ability to rapidly scale modern, clean, and sustainable sweetness enhancers provides additional and better options for taste modulation and sugar reduction beyond those enabled by the non-caloric sweeteners already on the market,” said Casey Lippmeier, Ph.D., vice president of innovation at Conagen. Conagen’s sweetness enhancers belong to a group of natural product molecules called phenolic compounds, found extensively in many plant species. Phenolic compounds are commonly found in vegetables and fruits and are a significant part of the human diet. They are biosynthesized by plants and lichens as secondary metabolites and comprise a diverse group of phytochemicals. Increasing consumer awareness of chronic diseases such as obesity and diabetes sparks the market pull trend toward zero sugar and low-to-no calorie food and beverages and is expected to continue upward. The health trend drives the growth in new sweetness enhancer technologies for an ever-demanding sugar reduction solutions market. Consumers are seeking ways to improve their diets and are increasingly interested in natural and clean ingredients. Conagen and its pipeline partner Sweegen, a global leader in wellness-based sugar reduction solutions, have previously teamed up to develop modern natural sweeteners that can replace up to 100% sugar in particular food and beverage applications and bitter blockers to mitigate up to 80-100% bitterness in consumer trending products, such as energy drinks, sauces, and confectionery products with low to no sugar. “Together, with Conagen, we’re building a bridge of natural solutions with mainstream taste,” said Casey McCormick, head of global innovation at Sweegen. “These new molecules can modulate mouthfeel and boost the sensation of the sweetness of other sweeteners and flavors in food and beverages, leading to a significant reduction in sugar usage.”
FruitSmartTM fiber ingredients have been awarded the Upcycled Food Association’s (UFA) new certification mark. FruitSmart specializes in premium fruit-based ingredients. Well regarded for its notfrom-concentrate apple juice, its range also includes fiber products from apples and blueberries. They can enhance consumer appeal, for example by enabling health claims, as well as providing manufacturing functionality such as moisture retention. Furthermore, because the fibers are produced from materials left over from FruitSmart’s Cold-Press fruit pressing, they can be labeled as upcycled. FruitSmart was one of the brands that participated in the UFA’s Upcycled Certification pilot program in 2021. It has now been awarded the organization’s certification mark, which highlights upcycled ingredients. This helps manufacturers meet a growing market need – with 30 percent of food globally going to waste, 60 percent of consumers want to buy more upcycled products. FruitSmart aims to showcase a range of innovative concepts highlighting new ways of thinking about how fruit and fruit fiber can be used in food and beverage applications. They will demonstrate how they can be paired with other ingredients, such as protein, which can allow dual or multiple health claims, as well as improving texture and mouthfeel. The novel concepts will demonstrate FruitSmart’s focus on solutions and its ability to turn ideas into reality. They will include:
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A
protein
drink
with
and
raspberry
that
delivers
great
color,
as
as
well
–
a
apple smart flavor
health
fiber blend and
benefits
A protein bar bite with blueberry fiber, blueberry pieces and DS Cherry juice concentrate – a combination that offers great texture and moisture retention, as well as allowing dual health claims •
A deli cracker with apple fiber which delivers amazing taste as well as allowing health claims
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A cranberry fiber and white chocolate coated
McCormick further stated, “Conagen is an ideal innovation partner for Sweegen to continuously build our robust and powerful portfolio and pair it with our first-class sweetener systems. The more sweetness enhancers in our toolbox, the better our exploration and discovery of new ways for food and beverage brands to make healthier products that taste great and resonate with consumers.”
cranberry
biscotti
containing
cranberry pieces, cranberry powder and cranberry juice concentrate.
Wayne Lutomski, President of FruitSmart, said: “Upcycled ingredients help overcome food waste by creating value from materials that would otherwise be discarded. It’s emblematic of how FruitSmart is passionate about getting creative with fruit, as well as helping make our customers’ ideas real. In addition to its health benefits, fruit can provide exciting texture and mouthfeel, and classic flavors – often with an exotic or intriguing twist. Our goal is to open people’s minds to what’s possible – we want them to say, ‘I didn’t know you could do that with fruit!’”
Sweegen has a long-standing partnership with biotechnology innovator Conagen. Conagen focuses on developing sustainable, nature-based ingredients that improve existing options in the market or represent completely novel ingredient solutions.
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FruitSmart awarded upcycled certification
Other FruitSmart concepts at IFT will include apple clusters – in which apple chips cluster together for a delicious snack – and cherry ginger tea. The company will also showcase vegetable and botanical ingredients, demonstrating its expanded product offering, concept development expertise and potential as a one-stop-shop for manufacturers.
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New possibilities for organic Coloring Foods: GNT adds powders to its EXBERRY® Organics range GNT has expanded its selection of EXBERRY® Organics Coloring Foods with a new range of powder products for dry applications. Based on the concept of coloring food with food, EXBERRY® Organics are created from edible fruit, vegetables, and plants using traditional physical processing methods. They are certified organic in accordance with EU regulations and qualify for clean and clear label declarations. The new EXBERRY® Organics powders include yellow, red, pink, purple, and blue shades and have been specifically developed to deliver optimal performance in dry applications such as instant beverages, seasonings, and cake mixes. They are available in addition to the existing EXBERRY® Organics liquid-based range, which features yellow, orange, red, pink, purple, blue, and green options. EXBERRY® liquids typically provide the ideal solution for applications including beverages, confectionery, and dairy. Maartje Hendrickx, Market Development Manager at GNT, said: “With health and environmental concerns becoming increasingly important to shoppers, global demand for organic food and drink is on the rise. EXBERRY® Organics are clean-label color concentrates that enable brands to create products that are both organic and visually appealing. With the launch of our new powders, it’s now possible to use EXBERRY® Organics to achieve vibrant shades in almost any food and beverage application.”
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NEWS | Processing
Processing |NEWS art production facility in Oman to scale up and commercialize this novel source of nutritious, sustainable protein. It represents the next generation of innovation driven by MycoTechnology’s proprietary fermentation platform, which harnesses mushroom mycelia to create transformative ingredients.
step towards responsible disclosure. Forest protection and biodiversity preservation should be top priorities for corporates sourcing animal protein. Inaction could lead to severe consequences, not only on climate change, conservation or diseases, but also directly on companies. Investors and regulators are increasingly expecting alignment with emerging sustainability disclosure standards and frameworks, such as the Taskforce on Nature-related Financial Disclosures (TNFD),” added Paul Milon, Head of Stewardship Asia Pacific for BNP Paribas Asset Management.
The strategic partnership between OIA and MycoTechnology is in line with Oman Vision 2040, which aims to attract modern technologies to the country. It links OIA’s local knowledge and public sector relationships with MycoTechnology’s cuttingedge technology. It aspires to transform the food supply landscape in the region and reflects OIA’s commitment to achieving a sustainable future by increasing local food production.
Alfa Laval new drain valve tech saves up to 95% CIP liquid Alfa Laval has released a new ThinkTop feature that fits single-seat or butterfly valves used as drain valves. Integrating the pulse seat clean feature leads to cleaning-in-place (CIP) liquid consumption savings of up to 95%. Drain valves, which comprise up to 20% of valves in a processing plant, are typically difficult and time-consuming to clean. The ThinkTop mechanism is an automated valve-position feature that’s triggered by PLC signals and controlled by the company’s own sensing and control units. It allows for pulse cleaning, or short bursts that drive the cleaning process. It opens and closes the seat quickly, which effectively removes residual dirt. This leads to faster, more rigorous cleaning. “The ThinkTop pulse seat clean brings unheardof savings in CIP liquid to process plant owners and operators compared to conventional PLC timer-controlled seat cleaning,” says René Stietz, Product Portfolio Manager, Valves and Automation, Alfa Laval. “Alfa Laval is the first and only valve automation solutions provider to deliver significant savings in CIP liquid for drain valves.”
Oman is one of the world’s top 10 producers of dates, growing about 400 thousand tonnes per year. However, more than half goes to waste or animal feed. The new joint venture is expected to upcycle a significant portion of these excess dates, using the natural sugar present in the fruit as a source of carbon to fuel the production of mushroom-based protein. Construction of the new facility is due to start in the first half of 2023 on a 10-hectare site. Commercial production is scheduled to begin by the second quarter of 2025, with up to 16,000 tonnes of dates to be processed each year. Once operational, the partners intend for the new facility to evolve into the Middle East’s leading innovation hub for food technology. Alan Hahn, MycoTechnology CEO, commented: “MycoTechnology is excited to be co-operating with Oman Investment Authority to build this highly innovative food oasis in the desert. It represents a breakthrough in the quest to bring food security to Oman and the wider region. This initiative will be transformative – and not just for the Middle East. We are foraging for the future, unlocking the ancient power of culinary mushrooms to feed the world’s growing population with a solution that’s been beneath our feet all along.” Ibrahim Al Eisri, Director of Private Equity at OIA, said: “In our international investments at OIA, we target localizing advanced modern technologies. Our partnership with MycoTechnology will deliver substantial local benefits as we pioneer the proteins of tomorrow. It will support our mission to enhance food security, diversify the Omani economy, and create well-paying jobs in an eco-friendly new sector. This joint venture will be the foundation that enables Oman to foster a new generation of talent in the sphere of food technology, here and further afield.”
ARE, which collaborates with investors representing almost USD 4 trillion in assets, benchmarked 158 Asia-listed food & beverage, retail, hospitality and catering companies across 10 markets on their animal protein sourcing policies. Of the 158 companies reviewed:
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Only 13% acknowledged antimicrobial use or resistance risks;
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Only 11% acknowledged animal welfare practices;
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Zero companies acknowledged deforestation in animal protein sourcing (linked to animal feed and farming);
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Only 18% acknowledged sustainable sourcing of seafood (wild caught and farmed).
“With Asia projected to account for 60% of the growth in global animal protein demand by 2030, companies cannot afford to overlook the impacts of protein production across their food supply chains. As protein buyers, they have the ability to influence production practices, shape consumer demand, and play a key role in the necessary transition to a more responsible and sustainable food system,” said Kate Blaszak, Director of Sustainable Proteins at ARE.
The report highlights opportunities for protein buyers and producers in the region to implement comprehensive traceability, clear policies, commitments and reporting across supply chains. It also provides responsible case studies and recommendations to ensure alignment with global directions on policy and ESG disclosure. Industrial animal farming is the leading cause of deforestation and biodiversity loss, water, and air pollution, and the second largest greenhouse gas (GHG) emitter, accounting for at least 16.5% of global greenhouse gas emissions. Asia currently produces 88% of farmed fish, 90% crustacea, 58% of pigs, 35% of chickens and 65% of eggs for global consumption.
Tightening global regulations, such as the recent move by the European Union (EU) to include due diligence for business supply chains, are set to impact ESG requirements around protein sourcing practices. In addition, unsustainable practices in animal protein production are linked to deforestation, carbon emissions, and growing antimicrobial resistance through poor animal welfare. This increases the material risks that companies, their investors and shareholders will face.
Oman Investment Authority (OIA) and MycoTechnology, Inc. have established a groundbreaking joint venture that will use locally-grown dates to produce high-quality mushroom-based protein. The two parties will collaborate on building a state-of-the-
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As demand for animal protein surges across Asia, the region’s top listed companies are overlooking responsible sourcing across their supply chains, according to a baseline study conducted by Asia Research and Engagement (ARE). Only 16% of Asia’s biggest companies include responsible protein sourcing policies as part of their Environmental, Social and Governance (ESG) disclosure, a gap that undermines their climate, deforestation and sustainable development goals.
The study found that while most listed food companies (72%) have ESG reports in place, they mostly focused on impacts peripheral to their core business, such as packaging, water, as well as energy use.
MycoTechnology Partners with Oman Investment Authority to Target Alternative Protein Opportunity
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Only 16% of Asia’s listed food companies disclose core ESG sourcing risks
According to the report, the listed companies reviewed in China and Indonesia – the region’s biggest markets for protein production and consumption – do not disclose any protein sourcing policies. While companies in Hong Kong and Japan have started to reflect such emerging considerations, much more can be done. Thailand-listed companies scored above average for responsible seafood reporting. Listed companies in the Philippines were well below average for this and other specific risks. Despite having significant local animal protein production industries, none of the Malaysian and Indonesian-listed food companies acknowledged antimicrobial use or animal welfare risks.
“‘We look towards such reports for summary acknowledgement of risks as an initial
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NEWS | Packaging
Packaging | NEWS economy. Not only are we advancing sustainable packaging on a larger scale, but we are also exploring benefits such as efficiency optimisation and energy savings, supporting customers in reducing carbon footprint during production and transportation processes,” said Jayne Wong, global adhesives business director, Dow Packaging & Specialty Plastics. The signing of the MoU agreement aligns with Dow’s sustainability goals for carbon neutrality by 2050, as well as supports Want-Want’s sustainability goals to achieve carbon neutrality and adopt recyclable packaging for all products.
Dow seals value chain partnership with WantWant Group to drive zerosolvent emissions and explore opportunities to adopt more recyclable flexible packaging Dow (NYSE: DOW), a global materials science company, has signed a Memorandum of Understanding (MoU) with China’s leading food and beverage group, Want-Want, to drive zero-solvent emissions and develop a circular economy for flexible packaging. This agreement aims to deepen value-chain partner collaborations with customised adhesives solutions to address the needs of the industry for more sustainable packaging choices. Solvent emissions are a source of pollution and contribute to greenhouse gas emissions. Enabled by Dow’s water-based and solventless adhesives technologies, Want-Want is dedicated to using environmentally-friendly laminating adhesives for all its flexible packaging while exploring opportunities to adopt recyclable packaging across more products under its portfolio.
“In order to tackle climate change and create long-term value, we have an important part to play as one of China’s largest food and beverage companies to establish an environmentally-friendly value chain – that inspires and encourages our consumers to make positive changes for the planet,” said Yongmei Cao, general manager of operations, Want-Want Group. “Solving sustainability challenges is not a one-man nor a one-organization job but also falls on the shoulders of all stakeholders. Not only are we thrilled to advance further in this journey with Dow, but we are also encouraged by the reality that we can offer our customers’ favourite products that are enveloped by Dow’s sustainable packaging innovation.”
Sidel moves faster toward meeting international sustainability targets Sidel has pledged to halve its emissions by 2030 and confirmed that all its sites would be 100 percent green energy-powered by the end of this year. This aligns with the 1.5°C pathway – the best effort to limit global warming. The global packaging solutions company has revised its sustainability targets. It is now on track to reduce greenhouse gas (GHG) emissions at its own sites and facilities by 50 percent by 2030, compared to a 2019 baseline. This is a significant step-up compared to its previous goal, set only a year ago, of a 30 percent reduction in emissions in the same timeframe. Keen to lead the way and set standards for its industry, Sidel began switching its 17 production sites worldwide to renewable energy in 2019 and will complete the process by the end of 2022. The success of this transition has enabled it to revise its targets upwards.
Supporting customers and suppliers Sidel has also renewed its commitment to reduce emissions on everything it buys and sells by 25 percent against its 2019 baseline by 2030. It continues to work closely with its customers and suppliers around the world to help them find ways of reducing emissions. Last year it installed upgrades on existing lines that achieved savings of over 1,500 tonnes of CO2. It has committed to ensuring that every machine it produces will consume at least 25 percent less energy compared to its 2019 benchmark. Innovations in its portfolio have reduced the energy consumption of its blowers by 45 percent and halved the water consumption of its bottle washers. In early 2022 it launched Evo-ON, a cloud-based digital platform that helps customers monitor and optimise energy consumption on packaging lines. Sidel has also developed a strategy to help its suppliers lower their emissions, encouraging them to make a GHG inventory, commit to science-based targets and develop their climate change policy. In addition, Sidel has signed up to R-Cycle, a voluntary initiative to bring to life the “digital product passport”: an open global tracing standard for packaging that will drive forward the circular economy. “As a major supplier of packaging equipment and services, we’re working hard to help our industry to become more sustainable,” adds Gimre. “Energy consumption is by far the biggest contributor to global warming, and packaging currently accounts for about 5 percent of the energy used in the life cycle of a food product, making it a significant source of greenhouse gas emissions. We take our responsibility seriously to do what we can to lower those emissions. We let our customers know we are with them and that they are never alone in their sustainability journey.”
A partnership and collaboration among three suppliers in the food and beverage space have resulted in the world’s first frozen food packaging solution that utilises packaging from recovered ocean bound plastic. This high-quality food packaging, made of certified circular polyolefins, is expected to be launched during World Oceans Day 2022, which falls on June 8. The process begins with post-consumer plastic waste that’s recovered from waterways. These are then converted to alternative feedstock, which SABIC uses to produce SABIC® LLDPE (Linear Low-Density Polyethylene) and LDPE (Low-Density Polyethylene). This is part of the Saudi Arabian company’s TRUCIRCLE™ project, designed to reuse post-consumer waste and return them to the value chain. The material is then processed into flexible packaging film by Portugal-based Polivouga. The bags made from this film are then utilised in Nueva Pescanova Group’s product line of fresh, chilled and frozen seafood products .
“Adhesives is an important sector that can help reduce emissions and enable a circular
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“By 2030, we will reduce emissions across all our sites by half. Importantly, this puts Sidel on the pathway agreed upon at the COP26 Climate Change summit of taking action to limit global warming to 1.5°C or less by the end of the century. We are one of the few companies in our sector to commit to this.”
Polivouga, Nueva Pescanova roll out certified circular PE packaging
“Investing in sustainability is an ongoing process; this significant step with WantWant can help both parties optimize our sustainability roadmaps in the long run,” said Bambang Candra, Asia Pacific commercial vice president, Dow Packaging & Specialty Plastics. “We will continue to drive innovative solutions and support more partners in achieving their sustainability goals.”
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“I’m delighted to say that we have exceeded our own sustainability ambitions and can now set even more stringent targets,” says Sidel CEO Monica Gimre.
This packaging is the first output from the TRUCIRCLE™ project. It is fully certified
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under the Zero Plastic Oceans program and the International Sustainability & Carbon Certification (ISCC) PLUS chain of custody. It means that the material flow throughout the whole process was monitored and controlled, following a set of guidelines. Sami Al-Osaimi, Vice President PE & Sales at SABIC stated that: “This is an exciting circular packaging solution for us, since it demonstrates how used plastic that has the potential to end up in our oceans, can be brought back into a circular material stream to be converted into high quality food packaging. It also underlines SABIC’s commitment to the United Nations’ Strategic Development Goal #14 for ‘Life Below Water.” He added: “The results once again demonstrate the art of the possible when dedicated value chain partners collaborate with the aim of making a difference.” Ignacio González, CEO of the Nueva Pescanova Group: “As a seafood company, it is our great responsibility to care for the seas and oceans, the ecosystems on which our activity depends and which we must all take care of together. With this initiative, we will prevent this plastic waste from reaching the marine environment, giving them a new life. We have set ourselves the goal of making 100% of our packaging recyclable by 2025 and, through this action, we will be one step closer to achieving this.” “The project reaffirms the determined journey we have embarked on with SABIC to drive circularity in our industry and takes it one step further, enabling us to provide our customers with premium flexible film products now also based on mixed plastic waste that could otherwise pollute our seas and waterways,” adds Tiago Barros, CEO at Polivouga. “Besides delivering a food-contact approved polyolefin product, these ocean-bound plastic PE films ensure the same tear and puncture resistance as competing PE packaging structures made from virgin fossil PE resins.”
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NEWS | Automation Mitsubishi Electric’s Factory Automation Showroom Upgraded to Strengthven Coinnovation with Customers
Industry | NEWS
which is a key topic to combat the loss of skilled workers. Positive Value Chain
Mitsubishi Electric will also promote co-innovation activities with customers by streamlining the use of the showroom where ideas may be discussed, together with the on-site test laboratory where those ideas may be tried out. In addition, underpinning the whole process is the FATEC Training School located within the same premises as the showroom providing customers with one-stop support for their innovation in manufacturing.
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Reduced Scope 1 and 2 emissions by 25 percent from a 2015 baseline, with more than 70 percent of global electricity needs in direct operations now met by renewable sources. In 2021, Scope 3 emissions – which account for 93 percent of the company’s emissions – increased by 5 percent from a 2015 baseline, due largely to unprecedented business growth.
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Improved operational water-use efficiency by 18 percent in high waterrisk areas from a 2015 baseline, against a target of 25 percent by 2025, and replenished 34 percent of water used in operations to local watersheds3 in 2021– more than 6.1 billion liters of water. In addition, PepsiCo has continued to advance safe water access globally to more than 68 million people since 2006, putting the company closer to its 2030 goal of 100 million people.
Highlights of the Showroom 1. The “Digital Manufacturing Zone” This area demonstrates the production of smartwatches, utilizing a variety of the latest digital manufacturing solutions and devices from Mitsubishi Electric. There is also a “Simulation Dome,” which guides visitors through the equipment design and verification process in a 3D simulator, from the design stages to software installation and actual operation of equipment.
In July 2022, Mitsubishi Electric renewed its ‘East Japan FA Solution Center’ in Akihabara, Japan following four successful and busy years of operation since its inauguration in 2018. The update will expand the number of solution-based demonstrations and strengthen co-innovation activities to help visitors achieve their manufacturing goals using the latest innovations. The major interests in today’s manufacturing industry focus on how customers can utilize automation and digital technologies to achieve their goals such as increased productivity, reduced cost, improved quality, or lower energy consumption. For example, a food manufacturer may be interested in introducing preventive maintenance for their processing equipment to achieve consistent quality of their products but also to ensure maximum up-time of their production lines. In such cases, the customer would be looking for a solution to achieve their specific goal.
2. Open communication space The open communication space is a focal point for discussions with customers but being in the main showroom also allows free access to the solution demonstrations, all helping to provide the right environment to answer their requests and suggest hints for solutions that would achieve their goals. 3. Event space for themed events It is envisaged that the refurbished event space will be used for showcasing a regular program of a variety of themed events and seminars throughout the year. To offer the widest appeal, subjects will be selected from current trends, such as the latest activities in digital manufacturing, social issues like using robotics to combat the ageing workforce or ground-breaking subjects like the use of AI in various manufacturing-related fields.
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PepsiCo, Inc. (NASDAQ: PEP) today published its first Environmental, Social, and Governance (ESG) Summary since the launch of PepsiCo Positive (pep+), a strategic end-to-end business transformation with sustainability and human capital at the center of how the company will create growth and value. The 2021 ESG Summary – an evolution from PepsiCo’s prior Sustainability Reports – highlights how the company is leveraging its brands, people, and scale to chart a new course to drive positive action for the planet and people. It also highlights progress made on industry-leading commitments. pep+ is embedded in every part of PepsiCo’s business, and the 2021 ESG Summary details initial progress and real-world examples across three pillars – Positive Agriculture, Positive Value Chain and Positive Choices. Highlights include: Positive Agriculture
With the renewal, Mitsubishi Electric’s showroom will be able to provide hints and suggestions for customers through a wider array of solution-based demonstrations. Some of the topics covered include the use of AI to diagnose production or machine abnormalities, particularly useful for predictive and preventive maintenance of FA equipment, or remote monitoring of production sites,
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PepsiCo’s New ESG Summary Offers First Look at Progress Toward Industry-Leading PepsiCo Positive Goals
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Helped to spread the adoption of regenerative agriculture practices across more than 345,000 acres – progress toward its goal of seven million acres, the approximate equivalent of PepsiCo’s agricultural footprint, by 2030.
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Supported the livelihoods of female farmers and rural communities via initiatives such as the $20 million USAID partnership to develop women-led enterprises and the $2 million Next Generation Agriculture Fund with the InterAmerican Development Bank (IADB) to demonstrate the impact of gendersmart solutions along our agricultural supply chains in the Dominican Republic, Ecuador, and Guatemala. These programs mark initial action towards a new pep+ goal to improve the livelihoods of more than 250,000 people in PepsiCo’s agricultural supply chain and communities, including by economically empowering women.
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Positive Choices
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Four years ahead of schedule in 2021, PepsiCo attained its saturated fat reduction goal of 75 percent of its convenient foods portfolio not exceeding 1.1 grams of saturated fat per 100 Calories. In addition, 53 percent of PepsiCo’s beverage portfolio volume now has less than 100 Calories from added sugars per 12oz serving, and 66 percent of its convenient foods portfolio volume does not exceed 1.3 milligrams of sodium per Calorie.
“PepsiCo’s commitment and action to create a more sustainable and resilient food system is unwavering and we are proud of the progress that we have made in 2021 toward our new and updated pep+ goals,” said Jim Andrew, Chief Sustainability Officer, PepsiCo. “Our aim is to decouple so our business can grow sustainably, while decreasing environmental impacts. There is still much more work to be done and we cannot do it alone, so we – in partnership with our value chain partners, communities, NGOs and government leaders – will continue investing in action, innovation and partnerships that enable us all to realize a more sustainable future.”
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Cover Story
Cover Story PROCESSING AND AUTOMATION
F&B adopts technology - slowly but surely The F&B industry, considered slow adopters of technology, is now bracing for impact with AI, blockchain, and other Industry 4.0 tech.
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The global economy is now going head first towards digital transformation, and this includes the food and beverage industry. By 2026, the global industrial automation market is projected to hit US$297 billion, with F&B applications
taking up 11 percent of the market. It’s huge considering how the industry is seen trailing behind when it comes to tech adoption. In recent years, most companies, especially big manufacturers, have relied on legacy systems, traditional industrial machinery, and even decadesold equipment to maintain their processes. Unlike other industries, the F&B sector is a slow adopter of technology, and understandably so. There are valid concerns, including hygiene and food safety. After all, most survived believing the mantra, “don’t fix it if it ain’t broke.” But what’s really broken is the system. And this is what the pandemic highlighted. When the pandemic hit, almost all
operations came to a halt almost instantly. With restrictions in place, consumers had no choice but to stay at home. Businesses closed down. These then led to changes in consumer behaviour, which impacted the supply chain in the F&B industry. The farmers became essential workers, tasked with making sure there would be sufficient food for the consumers. The entire supply chain, including the manufacturers, distributors, and retailers, needs to ensure the food produced is accessible. As you may have known, food availability is different from food accessibility. At the height of the pandemic, farmers kept producing but there was a concern about how these would be distributed and delivered to the consumers.
But these concerns accelerated the uptake of technology. Integrating new technologies Automation and robotics aren’t novel concepts, but they are relatively new in the aspect of the food industry. The most pressing issue is price. On farms, for example, most of the companies are small, family-led businesses. It doesn’t help that they are also from developing countries with limited access to technology. They find it challenging to integrate tech tools to improve their processes. While automation seems to be more common nowadays, it mostly came in trickles and was accelerated by the pandemic. Automation is applicable across the F&B industry, from inspection and packing to storage and distribution. The use of robots has become more prevalent, too. Before, there were concerns about the use of automatic grippers for vegetables and fruits because they damage these fragile and soft items. Today, there are gripper varieties that can do the job as good as human workers. In short, improvement is underway. There has been an increased optimisation
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in production processes, including the use of automated guided vehicles, delta robots, and robotic arms following the quality standards from regulatory bodies. Internet of Things (IoT) technologies, including simulations, sensors, cloud systems, blockchain, automatic inspectors, and AI-based systems, are now gaining popularity in the food processing industry. These systems of connected sensors, machinery, and devices while using data analytics are proving to be beneficial for businesses, regardless of their size, to improve quality, safety, and efficiency, while reducing the overall cost and time to market.
where their food is coming from, what conditions it was grown in, and whether there was some environmental impact. They want to trace the entire food chain. “Blockchain is playing a big part.” IBM has a blockchain platform - Food Trust, which huge corporations like Walmart use. Food Trust monitors this process, from the farmers all the way through the products, as in specific, batch to batch, you can trace it back.” It provides information on the food’s conditions and how long it has been on the road. It includes the different
Supply chain optimisation is another area that can benefit from tech applications. Food manufacturers with food safety concerns can provide retailers and consumers more transparency about the food path in the supply chain. The application of AI can monitor every stage of the process. Kuntha Chelvanathan, Partner, APAC Supply Chain and Procurement Transformation Leader at IBM Consulting, shares that consumers want more transparency. They want to know
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With insights from Malte Schlueter, Global Director F&B / CPG / FMCG / Life Science, Global Industry Solutions Division, Mitsubishi Electric Factory Automation Systems; Kuntha Chelvanathan, Partner, APAC Supply Chain and Procurement Transformation Leader, IBM Consulting; and Dr. Richard Parmee, Director, Cheyney/Sapphire Group
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Parmee reiterates the importance of these technologies. But he maintains that “New technologies must be relevant, credible, and of value to the inspection process before deployment.”
Mitsubishi aims to take it a notch higher. “What we do is to aggregate data on the lines, so we can do analytics on our edge devices.” One example is Mitsubishi’s line-scan sensor with high resolution. It can scan pictures using deep learning vision system. If it detects an error, it stops. In all these, data plays a big role. The supply chain has lots of moving parts. It’s complex. Schlueter says, “You have experts in every area. They have their
Digitalisaton presents opportunities in the F&B Industry. Enabling these technologies will be key in ensuring progress towards food availability, accessibility, and security. While the pace may be rather slow, it’s consoling to know that it’s finally taking a step forward in developing resilient innovation pathways while considering consumer needs.
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Adoption may be slow, but it’s getting there for sure. Concerns about sanitation and cleanliness are addressed, and more and more companies understand the need to shift towards Industry 4.0.
own technology, and then you have a pool of data, but they are not connected to each other.” With technology, access to data in the cloud is possible. What once was a complex process can now be accessible to all. Collaboration can ensue. Down the line, it benefits the entire supply chain.
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The use of automatic inspection, such as x-ray technologies, was already in the pipeline before the pandemic. But, the demand for streamlining the inspection process accelerated the assimilation of the system. Dr Richard Parmee, Director at Cheyney/Sapphire Group shares that automatic inspection plays a major role over various levels - from implementing process control to improving manufacturing efficiency. All these are possible by feeding the key elements to a single computer.
All about data Technology thrives on data. Millions of data can mean nothing if it doesn’t give insights to help users make informed decisions. This is where edge computing comes in. Edge computing is also making its presence felt in the F&B industry. Malte Schlueter, Global Director F&B / CPG / FMCG / Life Science of Global Industry Solutions Division at Mitsubishi Electric Factory Automation Systems, mentions the importance of edge computing and data processing. It’s easy to look at every machine on the manufacturing floor as a pool of data. But it takes more than just collecting data and feeding it into the cloud system to make calculations.
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processes that the food goes through from the farms to the end consumers. It can build customer loyalty and streamline logistics that drive revenue growth.
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Feature INGREDIENTS
Wellness and natural ingredients: embracing a sustainable lifestyle Jackie Ng, Strategic Marketing Director, Applied Health & Nutrition APMEA Region at Kerry shares, “The market is looking for sustainable ingredient-based solutions that meet the consumer desire for natural without the high carbon offset. As more companies place sustainability as part of their corporate strategy, we have customers looking for ways to also prevent food waste by extending shelf life, whilst maintaining the nutritional quality and taste of the products.”
Natural ingredients and wellness along with sustainability are trends yet to reach their peak. Will they soon become our lifestyle?
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The pandemic has increased health and wellness awareness among consumers. However, the F&B industry remains laden with challenges – as borders reopen, supply chain concerns remain an issue. Consumers want healthy food and manufacturers and producers have been working to maintain the quality and enhance the shelf life of their food product through research and development. Many are also investing in food ingredient development.
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Natural, organic, sustainable, ecofriendly, and green are just a few of the buzzwords in the F&B industry. Products and ingredients with tags are in demand among consumers. As expected, it has influenced a great deal of interest from producers and manufacturers, sending the market growing at an unprecedented rate. Reports have shown that the global food ingredients market will register an impressive market expansion and will exceed US$400,000 million in revenues by the end of the year. The move towards proactive health Wellness on the go is a concept that many consumers have learned to adopt over the years. More and more are looking at healthy options in a more preventive way. Consumers are keen on products that offer them proactive health - strengthening immunity, improving
gut health, and preventing diseases in general. In this regard, functional foods and beverages have become a pivotal player. These are the products that offer additional physiological benefits more than their naturally occurring ones. But the industry is yet to confront some of the challenges to answer the demand for natural ingredients and proactive health products. When asked about this trend, Dr Lim Kah Meng, Molecular Biomedicine Scientist and Director at Asia Bird’s Nest Corporation, shares, “A lot of people are looking at natural ways. But natural itself, you need to have a breakthrough because sometimes, natural foods are not so easily absorbable.” When it comes to ingredients, what people should be looking at is having natural wholesomeness but also “available to the cells in our body.” Otherwise, it doesn’t provide any health benefits at all.
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New ingredients, their preservation, and the extraction process One food ingredient considered natural and highly absorbable is the bird’s nest. An edible bird’s nest has carbohydrates and glycoproteins as its major nutrient components. It also has essential trace elements, such as magnesium, calcium, sodium, zinc, iron, and manganese. By tradition, a bird’s nest is prepared as a delicacy, double-boiled and flavoured with rock sugar to make the bird’s nest soup. Meng shares that the bird’s nest has been part of the Chinese diet for thousands of years. “There are some benefits.” His preliminary research showed that a bird’s nest has components with bioactive molecules, and it already has gained a lot of interest from different groups of people globally. Meng compares a bird’s nest to human breast milk. “It’s one of the most nutritious food.” It gives the child the nutrients it needs to grow as a healthy person. A bird’s nest has the same molecular profile as human breast milk. “When we do a total protein content measurement, bird’s nest proved to be a
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highly nutritious food, making it a good source of good peptides, good proteins for the body health.” Bird nest is not only a pleasant food but also a “medicine” to make people healthy. However, despite its anecdotal benefits, scientific research remains minimal. Only a few studies that detail its bioactive component and functional properties are available. Being a highly sought food ingredient, there are concerns about the extraction process. Bird’s nests come from the swiftlet species, Aerodromus fuciphagus. The nest is produced from the salivary secretions from the two sublingual glands, made up of glutinous material. Meng shares that the extraction process should be targeted. It’s about finding the perfect combination because, as much as possible, you want to reduce food waste. Speaking of food waste, concerns about food recalls are also becoming more prominent as of late. Preservatives are generally considered unnatural by many. As such, there remains a challenge when it comes to preserving natural food items to prevent food poisoning and food waste. “There are innovative systems to replace processes like HPP (high-pressure processing) that leverage multiple modes of action to achieve improved food safety over single ingredients or process-based solutions. An example of this is a patented Kerry innovation combining cultured dextrose and buffered vinegar which have an additive effect. Individually lower doses
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deliver on shelf life with best-in-class sensory and appeal in application, such as low sodium, high moisture poultry,” Ng shares. More than a trend With the increasing incidence of lifestylebased illnesses, such as obesity, diabetes, osteoporosis, and cardiovascular diseases, the wellness trend should be more than just a trend. It should be considered a lifestyle in itself. Calls for more natural ingredients have caught the attention of food manufacturers. Many are now replacing, completely, if not, partially, synthetic ingredients with their natural counterparts. Yes, many of the ingredients in the F&B industry have an alternative that’s more natural, with natural antioxidants and antimicrobials that can also prolong the food’s shelf-life. With advancements in technologies and continued research, the F&B industry will be on its way to seeing more and more natural ingredients becoming more accessible and available to consumers. Along with the benefits it brings, it’s a lifestyle that we all want to live.
With insights from Dr. Lim Kah Meng, Molecular biomedicine scientist, Director, Asia Bird’s Nest Corporation and Jackie Ng, Strategic Marketing Director, Applied Health & Nutrition APMEA Region, Kerry
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Feature
Feature painful and repetitive, cobotic palletising solutions are finding their way into many packaging lines for their affordability, safety, and compactness advantages. Addressing the growing needs of the industry, Sidel’s CoboAcces _Pal M cobotic palletiser features a Yaskawa HC20, allowing for a case payload of up to 14 kg with a significant reach of 1,700 mm.
PROCESSING
How Sidel meets sustainability goals with F&B packaging solutions that work
Sidel’s spokesperson added, “Robotics is helping in not only simplifying the equipment but also the changeover operations, making them fully automatic or very easy to perform by a single operator, most of the time without any tools required.” Combi Predis System. The solution, launched in early 2000, is the world’s first aseptic PET filling equipment with dry preform sterilisation validated for low acid manufacturing and commercial distribution in the U.S. market. Since the FDA’s first approval, Sidel saw a growing interest in the solution and they have many FDA-approved references in the field. With the FDA’s stamp of approval, the Sidel Aseptic Combi Predis is also being chosen as a safe, simple, and flexible production equipment by beverage and dairy players in the U.S., Asia, and South America who are developing their business in the U.S.
Packaging solutions provider Sidel has been at the forefront of the latest technology in the F&B manufacturing space.
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This year, the company’s push on sustainability ensures that the company meets the demands of consumers, leading to an increasing need for flexible production and product diversification. A Sidel spokesperson noted several trends in the food and beverage industry–namely a need from consumers for varying formats and recipes; packaging solutions and manufacturing equipment that contribute to their sustainability goals. In this regard, Sidel has made considerable
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progress–as well as the equipment they offer. For instance, Sidel’s Super Combi solution uses data-driven intelligence and cloud-connectivity features integrating a five-step process-perform feeder, blower, labeller, filler/capper and cap feeder–all into one smart system. It ensures that beverage producers’ receive optimum performance across the entire production process.
for up to 36 layout configurations and a 30% faster changeover time while offering 98% efficiency with non-stop labelling as well as lower TCO through reduced electrical consumption, maintenance time and optimised glue management.
Flexibility has become a valuable benefit to beverage producers needing to label their bottles. According to the spokesperson, “For them, the top priorities today are faster product and format changeovers, simpler operations and optimised processes that use the same equipment for different label types while ensuring consistent uptime.”
Key innovations in the aseptic production line Sidel said addressing aseptic packaging is one of its key business areas. The company’s aseptic equipment sales have been growing over the years, which is a reflection of the market trends but also represents the results of Sidel’s many initiatives that the company implemented to enhance its research and development, project management and services capabilities in the field.
To address today’s demands for labelling, Sidel’s EvoDECO labelling solutions have been designed for total flexibility. It allows
Sidel’s leadership in aseptic applications is the Food and Drug Administration’s (FDA) approval in 2017 for its Aseptic
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Apart from these, the equipment is also an important step forward in sustainable production as the dry preform sterilisation technology doesn’t require any water and uses minimal amounts of chemicals in the production process. Since the product’s launch, Sidel said that the equipment has contributed to saving 7 billion litres of water and 57,000 tons of PET globally while producing 46 billion bottles. The role of tech in F&B processing systems The pandemic accelerated the progress of digitalisation, giving rise to growing investments in data, artificial intelligence (AI) and digital technologies. The trend has also reached the packaging industry which uses data to help companies react accurately and promptly to various situations as well as anticipate possible downtimes. Sidel’s spokesperson said, “Manufacturers
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have to find and implement innovative ways to improve their line operations concerning efficiency, flexibility and speed, while simultaneously ensuring consistent quality, low costs and greater productivity to maintain a competitiveness in a globalised market.”
Protecting the product–and the environment Sustainability is a key theme not just for Sidel but for the whole industry. According to them, the industry needs to evolve in its approach without compromising the function of packaging–to protect the product and the environment.
Sidel aims to bring additional value to its equipment and packaging lines by leveraging the digital journey that the company started with key players in the packaging industry. Leveraging its longstanding expertise with EIT (Efficiency Improvement Tool), Sidel is helping to transform packaging line efficiency with new digital platforms that connect realtime data to all relevant users, from shop floor to top management.
“Our entire industry stands at a turning point, where companies need to evolve in terms of sustainability, flexibility, and digital competencies,” the spokesperson said. “Sidel has long been collaborating with different leading industry players and associations to continuously promote the unique properties of PET packaging and to develop designs that are always reducing the impact on the environment and increasing recycled content.”
Addressing this is the Evo-ON, an intelligent cloud-based solution with apps tailored for the packaging industry, which helps to oversee and optimise the line. Sidel is also dedicated to evolving and enhancing the Evo-ON suites by widening the features and scope of the apps in the future–such as extended functionalities for packaging quality improvement, changeover optimization, and more.
While the company is aware of the bad reputation of plastic-based materials, Sidel said that PET should not be a part of the problem as it is 100% recyclable and it empowers customers to reduce the consumption of raw materials in their manufacturing operations. “Our packaging team helps businesses around the world to determine the right amount of plastic to be used for their containers without jeopardising their performance through the whole supply chain,” the company spokesperson added.
Challenges in the food processing space The pandemic has presented many challenges for food processors in terms of staff shortages. While many production lines are now fully automated, there are exceptions with low-speed lines at the palletising level where the return on investment is not so evident.
With insights from Sidel
According to Sidel, while these tasks are
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Feature INDUSTRY
Sustainability, technology, and female farmers - keys to food security
Food security has long been an issue that has plagued many Asian countries.
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the number of people in Asia and the Pacific who do not have access to food is disheartening. The pandemic and its effect on the supply chain didn’t help to make matters better. UNICEF estimated that approximately 375.8 million people in Asia and the Pacific faced hunger in 2020, an increase of almost 54 million from 2019.
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Disruption during the pandemic The impact on the global economy of the pandemic spans many industries. Interestingly, the agricultural sector did not cease to operate even during the height of the health crisis. They are essential workers. Farmers needed to be on their lands, planting and harvesting their crops. Global agricultural production is not affected. There are ample supplies of crops, and production levels are favourable. However, the issue is within the supply chain. There’s continuous production, but there’s also supply chain disruption. The disruption is in production, transportation, warehousing, processing, packaging, and even inventory management. This gap between farmers and consumers affected the food quality and quantity available. This created a huge imbalance in supply
Elizabeth Hernandez, Head of External Affairs and Sustainability, the Asia Pacific at Corteva Agriscience. She adds, “income inequalities around the world, and particularly in Asia, impact food security. So, I think it was very timely that the UN called for the Global Food Systems Summit to bring people together to address this matter.” Farmers adopting new technology Introducing new technology to the farmers used to traditional methods has its own challenges. This highlights the importance of collaboration in technology. Multinational companies can come and introduce technologies. Corteva, as Hernandez shares, has people on the ground demonstrating how technology can help them produce better crops. When asked how farmers welcome technology, Hernandez shares that once they find value in the offering, the farmers become more accepting of the technology because they know they have something to gain. Educating them on what technology can provide them is critical in adoption. In the Philippines, Corteva has people demonstrate the effects of using their products. “We will do, what we call, a large pot demo with one of the farmers.” The demo will have one plot of land cultivated with traditional farming without input or seeds from the company. The other side will feature the “Corteva” farming, with recommendations from experts. Through such experiments, they can show the
and demand, resulting in increased food prices, ultimately worsening food security, particularly in regions where income inequality is predominant, like in Asia. Beyond the pandemic The pandemic only highlighted the issues in food security. But it remains to be a pervasive problem that the government and the private sector should focus on even beyond the pandemic. It existed before the pandemic, and it will continue to do so after the pandemic as long as there’s no clear solution to what hugely impacts it - climate change.
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Partnerships and collaborations to combat food security Ensuring food security depends on how the supply chain runs smoothly and efficiently. However, the challenge lies in accessibility. Farmers from isolated areas cannot access available technologies and resort to traditional farming methods. This is where collaborations and partnerships come in. As the private sector brings traceability and diversity to the front, it’s easier for farmers to access information. Incidentally, food companies also become aware of what’s happening on the ground. With a collaborative effort, there’s a holistic approach, and everybody in the food chain, from the farmers to the consumers, benefits. Feeding the world with female farmers It’s no secret that Asia’s agricultural sector is highly reliant on women. In Bangladesh, the number of female workers in agriculture rose by 9.3 percent from 2010 to 2019. During the same period, Nepal’s numbers increased by 7.7 percent. While the men will be responsible for tilling the land and managing the crops, the women will cover the postharvest activities. Their role is critical because they are more
“Once you consider climate, climate resilience, and natural resources as indicators, it shows climate change has a huge impact on global food security,”
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difference in the yield. “That is usually one of the biggest ways to convince farmers to adopt new technologies.”
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aggressive in exercising decision-making power. In short, women have a pivotal role in the food system. From the farmer’s side, they are the ones who work on the land and market it. From the consumer’s side, they have autonomy about what to feed the family. “From farm to table, it’s the woman that can impact the food system,” Hernandez says. “When we talk about changes to the system to make it more sustainable, to improve the food security and nutrition, you have to think about how to access the women and empower them so they can make better-informed decisions.” Women tend to uplift a community. Helping them means helping a community flourish. When they do, it brings us a step closer to food security.
With insights from Elizabeth Hernandez, Head of External Affairs and Sustainability, Corteva Agriscience, Asia Pacific
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