How sustainable is your supply chain?

Discover how sustainable your supply chain really is. Explore best practices, evolving food supply chain models, and strategies to build a resilient, sustainable operation.

In a nutshell

• why sustainability matters in 2026
• 5 warnings signs of an unsustainable supply chain
• how to measure and improve your sustainability
• quick sustainability wins 
• the business benefits of making your supply chain more sustainable

Sustainability expectations are accelerating rapidly – and as regulatory pressures make it a priority, 2026 marks a turning point for food businesses needing to comply.

Why does supply chain sustainability matter in 2026 and beyond?

Regulations such as the EU Deforestation Regulation (EUDR), the Corporate Sustainability Reporting Directive (CSRD), and emerging UK due-diligence requirements are reshaping how food businesses collect, verify and report sustainability data. These laws make transparent supply chain visibility a legal obligation rather than a voluntary initiative.

Businesses need reliable, real-time data to meet KPI expectations and demonstrate measurable progress. Without this visibility, organisations risk non-compliance, supply disruptions, and loss of customer and investor trust.

5 signs your supply chain may not be as sustainable as you think

1. If you can’t see what’s happening downstream of tier-one suppliers, so can’t anticipate risks across your supply chain
2. If your sustainability-related information is scattered across different places instead of being organised in a single, accessible location
3. If engagement with suppliers is inconsistent and only happens when there’s a problem
4. If your risk assessments are irregular and manual, providing only limited opportunities to identify early challenges concerning ESG.
5. Sharing sustainability progress internally or externally is difficult due to gaps in evidence, outdated documentation or unclear metrics.
   

How to measure the sustainability of your supply chain

The first step is to lay a foundation of credible information. Start by evaluating your existing policies and ensuring the information you have from suppliers can be trusted. Then you can decide which points in your network are at the greatest risk in terms of the environment and/or ethics.

Communication also has an important role to play. Suppliers can only live up to expectations if you make what you need clear, consistent and with supportive information available. A considered approach to engagement can also help to create a more aligned and resilient network.

Mapping exercises are also a good way to understand risk. They help identify supplier locations, pinpoint interdependencies, uncover hidden vulnerabilities, and build a fuller picture of upstream and downstream ESG exposure.

This method helps your business understand the location of suppliers and the environment in which they are operating. It also enables more effective stress‑testing of systems ahead of new regulatory roll-outs, ensuring that policies, reporting structures, and verification workflows can withstand tighter sustainability and traceability expectations.

Tools that help improve supply chain sustainability

Digital technology is helping more organisations bring clarity and structure to sustainability in their food supply chain operations. Platforms that centralise documentation, track ESG performance and automate audit schedules reduce the administrative burden, freeing teams up to focus on meaningful analysis. These systems also provide real‑time visibility into emerging risks, which is becoming increasingly important as global supply networks grow in complexity.

Investing in best-in-class risk mapping and verification capabilities can also help your business be much more efficient when spotting problems early. Instead of trying to fix problems when they occur, you can pre-empt them happening in the first place. This helps improve compliance but also the overall supply chain.

After all, the purpose of digital tools is not to replace human judgment but to support it. This is achieved through improved access to information and the standardisation of sustainability data gathering. The result is improved communication and decision making among global teams.

Real-world examples of sustainable food supply chains

Real-world examples of how sustainable processes can improve the food safety and supply chain resilience are becoming more prevalent.

Precision agriculture uses data to help farmers apply water, fertiliser and energy more efficiently, reducing waste and improving yields. Such initiatives provide great benefits to the environment while at the same time providing suppliers with the ability to stabilise production costs.

AI intiatives are also driving sustainable solutions. Look at Coca-Cola's partnership with Avalo - the tech company and drinks giant are working to develop more a sustainable and resilient sugarcane crop by identifying genetic opportunities through computer simulations.

Another strong real‑world example is the GS1 Sunrise initiative, which is transforming global food traceability standards. As retailers, manufacturers, and suppliers introduce these next‑generation barcodes and data carriers, consumers will be able to understand the sustainability journey – and access richer, more accurate product information across the value chain – about the products they are buying.

This shift not only improves transparency but also reduces waste, strengthens product authenticity checks, and helps businesses meet rapidly evolving regulatory demands. It is a practical demonstration of how industry-wide alignment on digital standards can accelerate sustainability progress at scale.

The best-performing initiatives have one thing in common – collaboration. This can be through shared data, shared sustainability challenges and solutions, or even shared problem-solving in order to see quicker results.

Quick wins: How to make your supply chain more sustainable today

An upgrade doesn't always mean implementing a massive transformation. Most businesses only start with a few steps that provide tangible results immediately. Analysing the code of conduct of suppliers, understanding documentation needed, and revamping their audit schedules can bring results right from the start.

By evaluating packaging data information, analysing food waste trends and improving the management of energy consumption information, additional avoidable inefficiencies can also be discovered. Minor differences in the type of information gathered, as well as the level of information the suppliers provide about their development, can lead to an improvement in transparency levels. Such efficiencies are the building blocks of larger sustainability initiatives.

The business case for a sustainable supply chain

Efficient and sustainable supply chain management can only be an asset. Good ESG performance helps companies comply with regulations and be less exposed to disruptions when faced with new regulations.

In the food industry, the concept of supply chain and sustainability has also been closely linked to brand integrity. Consumers and investors both increasingly want information about the value chain of their products – with data accuracy playing a crucial role.

The firms that emphasise the value of transparency and brand integrity have a competitive edge. They can measure their progress and also have better partner relationships.

From compliance to competitive advantage

Sustainability and resilience now go hand in hand. Businesses that invest in accurate data, stronger communication and robust supplier partnerships are better equipped not only to meet regulatory requirements but to adapt to emerging challenges with confidence. By investing you will be better positioned to comply with the regulations of today and adapt to the but also to face the challenges of tomorrow.

Developing sustainable food supply chains is a long‑term commitment, but each incremental improvement contributes to meaningful change. The development of insight and alignment has the capability to shift a company’s approach from the margin of sustainability toward the strength of competitiveness.

How Foods Connected supports supply chain sustainability: Our CSR and supply chain sustainability solution provides insights in the following categories: animal welfare, sourcing practices, consumption of packaging materials, food waste management practices, energy audit performance, and environmental performance. Our solution enables teams to work through the complex requirements without adding to the burden of work.