If you work in the food and beverage industry, the many challenges ahead will be familiar and, for many, daunting. Whilst it is a hugely diverse sector, there are themes that cut across these differences. A survey of more than 650 F&B companies found two dominant issues. The number one concern, certainly for those in North America and EMEA, is economic uncertainty and rising inflation. As a result, a focus on efficiency and waste reduction was cited as the top priority.
As for the highest priority trend, sustainability was the key factor selected by almost 40% of respondents. These macro influences on how the food and drink industry behaves over the coming years are not unique to it, but how it navigates them will be.
The main concern, the economic climate and its effect on business, is difficult to predict or control. The other trend, demonstrating action on sustainability, is something that can be tackled immediately, even if reaching the desired outcome takes time.
Fortunately, the two share common ground, not least the strong connection between efficiency initiatives and cost savings. It is widely accepted that energy efficiency is the most cost-effective near-term decarbonisation strategy, so the question is whether your operation is taking advantage of the opportunities this proven approach offers.
Demonstrating an appetite for change despite competing demands
As a whole, the food and beverage industry finds itself increasingly in the spotlight. It carries a special responsibility because its products have a direct effect on the health and safety of consumers. That is also a leading reason why steam is so widely used in food and drink processing.
Its customers are beginning to demand more evidence of sustainable initiatives too. It is now commonplace for larger customers, themselves under similar pressure, to request an annual greenhouse gas inventory and possibly public disclosure of climate-related risks to the Carbon Disclosure Project.
The implications are significant. In the UK, for example, food and drink is the largest manufacturing sector in the country, accounting for 19% of total manufacturing turnover.
In terms of total greenhouse gas emissions from the sector, food processing contributes a relatively modest share, estimates range from 3.3% to 6%, but emissions from manufacturing are the primary source of its own scope 1 and 2 emissions.
That is why 30% cited reducing energy and water consumption as a top action to foster sustainability in the survey mentioned earlier. But if energy efficiency is the first step towards decarbonisation and cost savings could be around 30%, what about the other 70% of respondents?
Wait and see vs. focusing on the controllable
At least part of the answer lies in different approaches to energy efficiency. One route is to treat it as a project by adopting reactive, one-off initiatives. These tend to be capital intensive, funded through CapEx budgets, and often do not build on one another to create long-term efficiency gains.
For instance, where steam plays a vital role in processes, the idea that electrification will solve the decarbonisation challenge is appealing, but that solution is still some way off.
Take the following list of food and beverage equipment commonly powered by steam: blanchers, coaters and enrobers, evaporators and concentrators, kettles, melters, mixers, indirect-fired ovens, packing lines, pasteurisers and retorts. The Food and Drink Federation sees the likely solution as decarbonisation of the steam supply through electric steam generation or alternative fuel boilers such as biomass, biogas or hydrogen.
That scenario is unlikely to happen for at least another six years. In the meantime, there is a major opportunity to improve process optimisation, reduce energy cost and build a strong foundation for future decarbonisation.
There is an alternative strategy: treat energy efficiency as a process. With lower-cost operational expenditure and a systematic, structured approach, it delivers persistent savings and fosters a culture of continuous improvement. This is not new. Strategic Energy Management in the form of ISO 50001 has existed for more than a decade, yet it is often overlooked.
Where steam will continue to be the preferred thermal energy source, this second approach to efficiency is likely to be the best response to the sustainability challenge.
Optimisation: the necessary first step for any steam system
Knowing precisely how a steam system should perform at its best and identifying where it can be improved is not expertise that most businesses have in house. That is especially true in food and beverage, where steam is used in many inventive and demanding ways.
The benefits of working with an independent partner and using their guidance and specialist insight can lead to a locally tailored strategy that delivers tangible results today, not tomorrow.