New green audit of the food chain saves firms a packet

The first food companies to test a new supply chain initiative have saved hundreds of thousands of pounds by working with suppliers to cut their combined utility, packaging and raw materials bills.

The government-funded Envirowise programme, which helps businesses reduce their environmental impact, has helped foodservice giant Brakes and some of its suppliers save £620,000 through recycling water, reviewing orders of consumable materials, segregating cardboard and installing door closing devices to minimise the loss of heat.

The Co-operative Group, which worked with suppliers including Princes Soft Drinks and Rose County Foods, also managed to save £420,000, according to Envirowise's programme director Dr Martin Gibson.

"Both companies and suppliers can achieve significant cost savings and improved customer relationships from sharing best practice and working together to reduce environmental impact," he said. "Experience has shown that reducing waste costs can save 1% of turnover by putting into place simple low-cost measures."

Other food and drink businesses are now being invited to take part in the initiative, which takes about six months to complete, said Gibson.

The process typically involves an introductory workshop, on-site waste reviews, training and impact assessments.

Logistics firms have also generated significant savings through reducing their environmental impact, said Peter Osborne, md at cold storage and distribution firm Innovate Logistics.

Innovate, which recently acquired rival Phil Hanley to create one of the UK's leading temperature-controlled distribution businesses, has slashed its water bill by using rainwater rather than mains water in its refrigeration plants' evaporative condensers, said Osborne.

The rainwater is collected from the roofs of Innovate's depots and stored in underground tanks, he said.