Transparency and consumer trust in food & beverage

The food and beverage industry is making significant investments in food safety and sustainability. However, these efforts often go unnoticed by consumers and stakeholders. Digital tools can provide a powerful solution, enabling real-time sharing of trusted product information to foster engagement and informed purchasing decisions.

Consumer trust today extends beyond food safety. While safety remains a primary concern, health and sustainability have emerged as top priorities. The challenge is effectively communicating these broader efforts. Traditionally, companies have relied on corporate sustainability reports, certifications, or dedicated website sections, but these approaches often fail to reach consumers directly.

Navigating a complex regulatory landscape

Environmental and social issues are gaining prominence in consumer expectations, influenced by local legislation, societal context, and past industry scandals. In response, regulatory frameworks are tightening worldwide. For example, European companies must comply with stringent regulations, such as:

• EU Corporate Sustainability Due Diligence Directive (CSDDD)
• EU Forced Labour Regulation
• EU Corporate Sustainability Reporting Directive (CSRD)
• EU Deforestation Regulation
• German Due Diligence Act
• Norwegian Transparency Act
• FDA FSMA 204 (Food Safety Modernization Act) in the U.S.

These frameworks demand clear proof of product origins and production conditions, shifting the focus from high-level corporate reporting to granular supply chain transparency.

The role of digital tools in supply chain due diligence

To meet regulatory requirements and consumer expectations, companies must implement robust yet cost-effective supply chain programs. Digital tools play a critical role in:

• Risk mapping – Identifying vulnerabilities in the supply chain, from food safety concerns to environmental and social risks.
• Monitoring product flow – Tracking goods and assessing potential risks like fraud or unethical labour practices.
• Ensuring compliance and engagement – Providing verified, transparent information that satisfies both regulators and consumers.

The right digital solutions enable companies to achieve compliance while also directly communicating relevant and verified information, building consumer confidence in the process.

Digital supply chain traceability 

Supply chain traceability refers to tracking a product’s history, application, and location throughout its lifecycle—from raw material sourcing to final consumer distribution. Key benefits include:

• Enhanced Transparency – Providing detailed provenance data to ensure product authenticity and regulatory compliance.
• Operational Efficiency – Leveraging real-time data to optimize logistics, reduce waste, and respond to demand fluctuations.
• Increased Resilience – Identifying and mitigating risks to strengthen supply chain stability.

Under FSMA (Food Safety Modernization Act) Section 204, companies handling high-risk foods must maintain detailed records of Key Data Elements (KDEs) associated with Critical Tracking Events (CTEs). This ensures rapid identification and removal of potentially contaminated products from the market, safeguarding public health.

The digital product passport: A unified approach

A Digital Connected Product Passport consolidates traceability data, providing a single source of truth for compliance and transparency. Currently, FSMA 204-relevant data is often fragmented across multiple systems that lack integration. A unified digital framework streamlines compliance, enhances data accessibility, and strengthens trust across the supply chain.

Digital solutions—critical advantage

As the food industry navigates evolving regulations and shifting consumer expectations, digital solutions offer a critical advantage. By implementing effective traceability and due diligence frameworks, companies can not only meet compliance requirements but also build long-term consumer trust in food safety and sustainability.

What insights can industry leaders offer?

How can businesses build ‘lean and green’ supply chains? How can they be equally committed to sustainability and cost efficiency without compromising either?

To find out, we surveyed 525 decision-makers in supply chain and procurement, sustainability, regulatory affairs, and digital transformation. Their responses reveal that digitalization means companies no longer need to choose between ‘lean’ and ‘green’.

With insights from Bolton Food, Barilla Group and Ferrero, the report highlights pathways to a sustainable future for the food and beverage industry. To succeed, companies must adopt a holistic approach that integrates visibility, digital transformation, and compliance with emerging regulations. Download the report to learn more.

2/17/2025 1:22:00 PM