Food & Climate
Irish food companies now receive more sustainability questions from customers, suppliers, funders and regulators.
So, as global expansion becomes a priority, 90% of Irish food companies are taking climate action, according a report seen by “Food & Climate” platform.
A new report published on Wednesday by ifac, reveals that 90% of Irish food companies are now actively taking climate action, positioning sustainability as a central focus alongside global expansion efforts.
Ifac is an expert team of accountants and financial advisers, according its website.
Sustainability is becoming increasingly important for many Irish businesses who may be encountering more sustainability questions from customers, suppliers, funders and regulators. 44% of food and agribusinesses surveyed stated that they were receiving requests for sustainability information from customers.
Irish food companies and waste
These same SMEs are continuing to face a myriad of pressures, from rising costs and climate risks to increased competition and skills shortages.
Ifac’s 2024 Food and Agribusiness Report (7th in the series) ‘Getting your business fit for export’ is Ireland’s only annual temperature check of food and agribusiness SMEs and contains insights from industry leaders in over 120 food and agribusinesses.
90% of respondents are taking some form of climate action and companies reported a variety of sustainability initiatives. The number one area reported was reducing energy usage, closely followed by waste reduction.
This year sees an increased focus on waste compared to last year’s report, where only 46% of respondents listed ‘managing waste and byproducts’ as an initiative being undertaken to tackle climate change.
For example, MyGug has secured over €900K in seed funding led by BVP, with participation from Enterprise Ireland. This funding will enable the company to further expand its market reach both domestically and internationally. It will help the company in its next phase of growth and innovation.
Headquartered in Clonakilty, Co Cork, MyGug was founded in 2021 by Fiona Kelleher and Kieran Coffey. The company works with the ambition to change the face of food waste. The company provides a complete food waste management system that creates renewable energy, displacing fossil fuel use and diverting food waste from landfills, according to “TFM”.
Unique reputation
MyGug was first supported by Yield Lab, Europe’s largest early-stage agrifood investor when it was named the AIB and Yield Lab AgTech Startup 2023 after the second AgTechUCD Accelerator programme at UCD Lyons Farm.
But Dr Helen Roche of UCD said that while Ireland is known for its R&D in the food sector, there remains work that needs to be done to remain competitive within Europe.
Ireland has made a unique reputation for itself as a nation that exports high-quality and sustainable food and drinks products that puts it “a step above others” in the competitive sector, according to Enterprise Ireland head of food start-ups and innovation Deirdre Glenn, according to “Silicon republic”.
Speaking to SiliconRepublic.com at the Food Innovation Summit in Croke Park, Dublin (in June), she said that Ireland has become “the envy of the world” in creating an ecosystem in which businesses work closely together with the research sector.
For ifac report, some of the key findings include: 81% of the business owners surveyed reported an increase in costs amid a push for global growth; 38% face short to medium-term cashflow challenges; 36% of companies surveyed stated that they have set sustainability targets, with a further 39% said that they are in the process of setting targets. While 72% of those surveyed are not measuring emissions, according to “Avondhu”.
Speaking on the importance of Irish food and agribusinesses expanding internationally, David Leydon, Head of Agribusiness at ifac – Irish food companies, farming, and agribusiness specialist professional services firm – said: “The agrifood sector is poised for further growth and the biggest takeaway from this year’s findings is that the focus on expanding internationally is high on the priority list for Irish agrifood SMEs”.
“Exporting has always been important for our large food companies and co-operatives; some agri-engineering companies have also made a significant impact internationally. Already, two-thirds of respondents to our survey are exporting with many more eager to follow their lead. However, there is now a need to accelerate exporting efforts, especially for small and medium companies” he added.