This is free marketing research on UK food and drink and environmental legislation and can include information on the background, usage and preferences of UK consumers and is related to other topics such as regulations and food risks.

UK food and drink: failure to comply with environmental legislation could cost manufacturers dearly

A UK government survey shows that many food and drink firms are unaware of new environmental laws.

The fast pace of change in UK environmental laws is leaving many small food and drink manufacturers unaware of legislation, according to a government commissioned survey. With green initiatives a hot topic among consumers, companies risk alienating customers by failing to comply with environmental legislation, and this could offer more of an incentive to obey the rules than any fine could.

The survey, which was commissioned by the environmental guidance website NetRegs, found that less than a third (31%) of the 350 small and medium food and drinks companies interviewed were able to name one piece of environmental legislation without being prompted. A lack of compliance risks upsetting not just the instigators of the laws, which could impose harsh fines on non-compliers, but also consumers, who are increasingly seeking evidence to show that companies are operating in an environmentally aware manner.

There have been four major environmental laws implemented in the past year, from new landfill laws and rules on chemical disposal, to stricter rules on the disposal of electrical equipment. As the food and drink manufacturing sector is the third highest producer of waste in the UK - generating 3.4 million tons of waste in 2006 - the sector could prevent a substantial portion of waste going to landfill by complying with the new rules.

Only recently, a major player in the food retail industry, Marks & Spencer, announced plans to cut its waste, stating that it would start charging five pence per plastic bag that is handed out to shoppers. While such action applies more to retailers than manufacturers, it highlights how mainstream companies are embracing green practices that were once considered niche.

The new legislation offers smaller operators a chance to market their ethical credentials to increasingly environmentally aware consumers. An example of a smaller, green player is the smoothie maker Innocent, which has grown substantially in the past few years, enhancing its green initiatives as it has grown. The company now sells its beverages in recycled plastic bottles, instead of non-recycled materials, which has enabled it to market itself more positively to ethically minded consumers.

Smaller manufacturers could, therefore, use the new legislation as an opportunity to gain new consumers rather than seeing it as a hindrance. Indeed, companies could market greener manufacturing practices as a positive reason for consumers to choose their products over those of their competitors.

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[edit] Sources

• Datamonitor