Production efficiency makes environmental sense

This is certainly true of European and US-based companies, and is increasingly the case for Asian players. At the recent PCHi show in Shanghai, the sustainable credentials of ingredients were at the forefront for a high number of exhibitors, although the majority of these were Europe-based. While speaking to these exhibitors the general consensus appeared to be that this would be a growing trend, and that interest in sustainable personal care across Asia will soon rival that in the West. Perhaps one of the main reasons that sustainability in becoming such an important area of concern for businesses is that it can simply be regarded as ‘efficiency’ by another name, and increased efficiency means increased profit. When this benefit for companies is married to the potential for customers to buy into the feeling that they are doing their bit to ensure the continued survival of natural habitats and rural communities, the effect is quite powerful. However, in an already crowded arena in terms of ‘green’ and ‘sustainable’ messages, it is important not to confuse the issue for consumers. The term sustainability covers an enormous number of aspects related to the manufacture of personal care products; from the sourcing of ingredients and its impact on the ecosystem and the communities who live there, to the amount of CO2 produced in the manufacturing process, to the fuel burned during transportation of ingredients and the finished product. And this is without even starting to look at the packaging! Each of these small parts of the overall process has an impact on the environment, and also on the efficiency of a company’s supply chain. But looking more closely at the environmental impact of cosmetics and personal care products, this in itself can be confusing for producers and consumers alike. For instance, at the previous European Sustainable Cosmetics Summit held last November, Peter Becker of Evonik explained how a petrochemical-based emulsion can have a lower environmental footprint than a plant-based one. According to Becker, the method of growing and processing feedstock can have a significant negative impact on the environmental footprint of the finished ingredient. This one example illustrates the complexity of the subject, and how ‘natural’ does not necessarily mean ‘sustainable’. Investigating precisely how sustainable a product is necessitates looking in minute detail at the processes involved throughout the ‘lifetime’ of each of its ingredients. This is why there is such a reliance on, and therefore a proliferation of, certification companies who can do the investigating for you.

Impact on people and communities

The social element of sustainability is now becoming more of a focus for companies. In March, AAK – AarhusKarlshamn, signed an agreement with the government of Burkina Faso to increase its activities with women’s groups in rural Burkina Faso in West Africa over the next two years. This has been carried out to ensure improved supply and quality of the strategically important shea kernels and to improve living conditions locally in the villages. AAK has been sourcing shea kernels in West Africa, including Burkina Faso, since the 1950s. In the past three years, AAK has established local women’s groups both to do business and to educate the women in how to improve the quality of the shea kernels. Currently, more than 10,000 women are members of these groups, and this number is set to triple. The partnership with the women’s groups is based on the fair trade principles, ensuring the women earn a steady income and a bonus for delivering high-quality products, but without binding them to trading with AAK. The formation of women’s groups empowers the women in terms of being a business partner and contributes to their fight against poverty and for improved living conditions locally in the villages. In recent years, there has been a great deal more focus put on the human impact of goods, with luxury clothes manufacturers and high-end electronic component factories receiving high-profile coverage in the international press. As a result, consumers are quite rightly becoming more conscious of the fact these products do not suddenly appear on the shelves and that they can exert pressure via social media to ensure companies who benefit from people working in poor conditions are publicised.