The Friday Report Blog: July 7, 2023

Quick wrap up of a few hot topic newsworthy stories in the supply chain logistics industry

Colgate’s Inspiring Model of Supply Chain and Sustainability Integration

Colgate-Palmolive is truly committed to sustainability, with even new forklift purchases being electric to reduce reliance on fossil fuels. This eco-conscious approach has been embedded into the company’s DNA for over 20 years, with a dedicated sustainability team involved in supply chain and packaging decisions.

A minimum of 5% of Colgate’s capital spending is allocated to waste reduction and climate initiatives. Investments are only made in machines that support recyclable structures, emphasizing the importance of sustainability in every function of the supply chain. The company has also set ambitious net-zero targets approved by the Science Based Targets initiative, planning to use 100% renewable electricity by 2030. Additionally, Colgate is leading the way in reducing plastic waste, aiming to use entirely recyclable toothpaste tubes by 2025. This sustainability ethos extends to transforming the supply chain for operational efficiency and reduced environmental footprint.

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Egg Supply Bounces Back as Bird Flu Subsidies Aid Recovery

After a bout of bird flu that affected poultry production, egg output is bouncing back and is now stable. The number of eggs produced in the U.S. in May was up 4% from last year, according to the U.S. Department of Agriculture. This is a positive sign of recovery for the egg industry.

The USDA has provided billions of dollars in subsidies to help poultry farmers affected by the outbreak. The bird flu outbreak had caused a brief decline in egg production, but with measures in place to contain the virus, farms are now recovering.

This comes as a relief to retailers and consumers alike, ensuring a steady supply of eggs in the market. Additionally, the prices of eggs, which had soared due to the flu, are expected to decrease and normalize as production ramps up.

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New Zealand Leads the Way with Plastic Bag Ban for Fresh Produce

New Zealand, leading the way in environmental consciousness, has become the first nation to extend its plastic bag ban to include thin bags typically used for fruits and vegetables. Part of a broader campaign against single-use plastics, this move will prevent the use of 150 million plastic bags annually.

Many shoppers already carry their own bags, following the ban on take-home plastic bags in 2019. To further encourage the switch, Supermarket chain Countdown now offers reusable polyester mesh bags. Critics are concerned about potential increased use of disposable paper bags, but the positive impact of the new ban is clear.

Moreover, New Zealand is also addressing climate change by proposing a tax on farm animal emissions, marking another world-first initiative. By 2025, farmers will contribute to the cost of their agricultural emissions, addressing a significant source of the country’s emissions.

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