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EU Code of Conduct offers the chance to showcase how public-private partnerships can deliver a healthier and more sustainable society

[vc_row][vc_column][vc_column_text]By Nicholas Hodac, director general, UNESDA Soft Drinks Europe[/vc_column_text][/vc_column][/vc_row][vc_row][vc_column width=”1/2″][vc_single_image image=”7660″ img_size=”large” alignment=”center”][/vc_column][vc_column width=”1/2″][vc_column_text]

The Farm to Fork’s proposal for an EU Code of Conduct for responsible business and marketing practices presents a golden opportunity for Europe to take a global lead in demonstrating the power of collective and collaborative public-private partnerships (PPP).  With a well-designed Code and Monitoring Framework the EU can show the world how PPP can foster more responsible business practices to deliver a healthier, more sustainable society.

This is exciting stuff. The EU has been pushing for joint action across the food system to encourage healthier diets for more than 15 years, since the establishment of its EU Platform for Action on Diet, Physical Activity and Health. The Code of Conduct provides the chance to take an important step forward and drive critical mass in realising healthier, more sustainable food environments for all Europe’s citizens.

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Mobilising the whole food and drink sector to deliver critical mass

An EU Code of Conduct must prioritise the key objectives of the Farm to Fork strategy and Circular Economy Action plan: making the healthier choice the easy choice and accelerating the transition towards a circular economy. It goes without saying that, to realise its objective, all sectors will need to contribute in offering citizens healthier options – and this requirement must be built into the terms of the Code.

UNESDA was the first, and to date only, sector to respond to the EU’s 2015 call for a 10% reduction in added sugars by 2020. Clearly, given the varied nature of diets and lifestyles, action from just one sector cannot be expected to deliver specific impacts among the population. 

 

Reinforcing the role of voluntary measures and acknowledging reductions already made

The Code must acknowledge that a multi-faceted approach to promoting balanced food and drink choices and optimal nutrient and calorie intake is the only way to improve diets. It must also factor-in nutrient reductions already achieved by certain food sectors, such as the soft drinks industry, who have been reformulation pioneers. Recognition of different starting points when setting ambitions, objectives and benchmarks will be crucial in driving meaningful, sustainable change. And, of course, it must be anchored in a sound evidence-base and acknowledge those actions proven to deliver results – including reformulating to reduce calories; innovating to offer products with lower calorie profiles and offering smaller pack sizes to support portion control. The McKinsey report, Overcoming obesity: An initial economic analysis, confirms these as by far the most successful ways of reducing calories in diets.

As a founding member of the EU Platform, in 2006 UNESDA made wide-ranging commitments to behave responsibly – including no sales of ANY soft drinks in EU primary schools and no advertising to children under 12. Over the years our commitments have been strengthened to include pledges such as full “guideline daily amount” labelling front-of-pack, only no- and low-calorie drinks offered for sale in EU secondary schools and ongoing sugar and calorie reduction. The most recent commitment — to reduce added sugars 10% by 2020 – was achieved ahead of time, with an average calorie reduction of 14.6% between 2015-2019. Research, by independent auditors GlobalData, reveals that the sector reduced average calories by a total of 26% since 2000.

 

Clarity in design with measurable objectives and monitoring protocols

Monitoring compliance annually is a requirement of EU Platform membership. The whole process of making commitments, auditing them using independent third parties such as PwC, and ensuring that they are being upheld by our members across the EU has given us sound experience on how best to design and implement a Code of Conduct and Monitoring Framework. 

It’s a no-brainer that transparency is the key starting point. All actors need clarity on the role and value that voluntary industry commitments will have within the Commission’s future work programme. This includes certainty around packaging investments and increasing the use of recycled content. Important too is ensuring alignment at EU and national level.  Member states are already developing their own approaches so there needs to be coordination and harmonisation to ensure efficiency and avoid confusion or conflict. 

A Code that is well designed at the outset is easy to monitor. SMART objectives – Specific, Measurable, Achievable, Realistic and Time-based – ensure mutual understanding by all parties. It requires clear objectives and parameters detailing precise inputs and expected outputs – and clarifying what is not within the scope of the commitment. This, together with clear timelines, reporting processes and dispute resolution mechanisms will ensure that the Code and Monitoring Framework can deliver real value.

 

Working in a spirit of co-creation to realise a healthier, more sustainable society

Today we stand at a crossroads. Ahead is the unique opportunity to seize the moment and work together in building a more sustainable food environment. To be successful, we need all sectors to respond to this call to action and join the Code. I hope that some of the commitments made by the soft drinks industry can serve as inspiration in convincing all food and drink producers to work hand-in-hand with public authorities in taking concrete steps towards making the healthier diet the easy choice.

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Current water challenges

We cannot deny the current water challenges our world is facing. We are experiencing increased water scarcity, with demands for safe, usable water exceeding supply in many areas, including in Europe. 

  • Freshwater use has been growing by about 1% per year since the 1980s and as water demand is expected to continue increasing at a similar rate until 2050, this will account for an increase of 20 to 30% above the current level of water use1.
  • This increase in water demand is leading to a reduction of renewable water resources of 24% per capita in Europe2
  • Around 30% of the European population lives in areas with permanent water stress and up to 70% live in areas with seasonal water stress during summer3.
  • Europe’s aquatic ecosystems are severely degraded: only 17% of protected river, lake, alluvial, and riparian habitats are in good conservation status and 90% of protected wetland habitats are classified as poor or bad4.
  • Globally, 85% of wetlands have been lost in the last 300 years, with more than 50% lost since 19905. This is particularly critical as wetlands play an important role in filtering water and removing pollutants, as well as providing shelter to wildlife and capturing carbon.

 

This situation entails severe risks for the world’s population. 

  • For the last decade, the World Economic Forum has placed water-related risks among the world’s top five in its annual Global Risks Report. 
  • Water-related disasters have also dominated the list of disasters over the past 50 years and account for 70% of all deaths related to natural disasters6.
  • Nearly 95% of infrastructure loss and damage reported between 2010 to 2019 were due to water-related disasters7
  • More frequent and intensive flooding has cost lives and livelihoods across Europe, while at the same time, more than 50% of the continent has, in recent years, been affected by extreme drought conditions, which also breed a range of negative social, economic and human outcomes8.

A situation driven by a combination of factors

The deterioration of the natural water cycle stems from a confluence of factors: growing urbanisation, growing populations, increased consumption, poor management, pollution, lack of or damaged infrastructure, and climate change.  

Agriculture was responsible for 59% of total freshwater use in Europe in 20179, while industrial and domestic uses are the main drivers of increasing water demand. Indeed, as economies industrialise, populations urbanise and water supply and sanitation systems expand. 

Additionally, rising temperatures and more extreme weather patterns are causing more droughts and flooding. Climate variability is also bringing more uncertainty as to the availability, predictability and geographical distribution of water. Water and climate change are inextricably linked. From unpredictable rainfall patterns to shrinking ice sheets, rising sea levels, floods and droughts – most impacts of climate change come down to water (UN Water).