By Alexander Belderok and Sabrine Zerktouni

Sustainability is no longer a "nice-to-have" in any industry, it is a central pillar for success. As companies face mounting pressure from regulators, investors, and increasingly discerning consumers, the focus on sustainability, especially in procurement, is intensifying. For the food industry, where environmental and social impacts are deeply embedded along the value chain, responsible procurement emerges as a powerful lever to drive environmental, social, and governance (ESG) improvements.

This study, which Roland Berger wrote together with Carbon Maps, dives into the current challenges and solutions in sustainable procurement, drawing insights from interviews with food manufacturers , retailers, brands, and service providers. By addressing procurement's role in tackling climate change and promoting responsible practices, this report highlights actionable strategies for businesses aiming to lead the way in sustainable transformation.

The food value chain is a major contributor to environmental challenges, accounting for nearly one-third of global greenhouse gas (GHG) emissions. Upstream activities, including farming, fishing, and raw material extraction, drive deforestation, harm biodiversity, and strain our planet's natural resources. Climate change further exacerbates these pressures, posing risks to food security worldwide.

Consumers are paying attention. Sustainability has shifted from being an optional attribute to a baseline expectation. Younger consumers, in particular, scrutinize food items for their carbon footprints and eco-friendly credentials, influencing purchasing decisions. For businesses, meeting these rising expectations can strengthen brand equity and loyalty.

But the pressure doesn’t only come from consumers. Regulatory frameworks such as the EU’s Farm-to-Fork strategy and the GHG Protocol's emphasis on Scope 1, 2, and 3 emissions underscore the need for companies to act now. Non-compliance could result in loss of market performance, eroded competitive advantage, and increasing financial costs for unsustainable operations.

Procurement at the forefront of change

Procurement holds a unique position to lead ESG efforts across the value chain. From engaging suppliers to embedding sustainability into contracts, procurement teams influence upstream and downstream impacts, making them pivotal to achieving Scope 3 emissions reductions. However, this potential is not without challenges.

Top 5 challenges in sustainable procurement

1. Data collection from suppliers
2. Supplier engagement and long-term alignment
3. Knowledge gaps and role ambiguity
4. Balancing sustainability with cost and quality
5. Fragmented tools and resource constraints

The study outlines six essential solutions for embedding sustainability into procurement. These include simplifying supplier data collection, focusing on high-impact areas, fostering long-term partnerships, empowering teams with training and tools, linking sustainability to financial performance, and enhancing collaboration between procurement and CSR functions.

Download the full report to explore in-depth insights and practical strategies for embedding sustainability into your procurement processes. Discover how leading companies are driving ESG progress while building resilient supply chains and securing long-term growth.