Central Retail goes green on packaging to cut carbon footprint

Each unit of the Thai chain’s 100% organic meat packaging cuts CO2 emissions by 64 grams.

Tops, Thailand’s biggest supermarket chain, is adopting more eco-friendly practices, including the use of 100% biodegradable packaging, as a part of a wider push within the Central Retail to cut its carbon footprint amidst consumer demand for more sustainable choices.

The grocery chain recently launched 100% biodegradable chilled meat packaging made from natural plant materials. The first of its kind in Thailand, each unit of packaging is estimated to reduce carbon dioxide emissions by about 64 grams compared to the previous packaging made from polypropylene (PP).

This aligns with the company's goal of achieving net zero carbon emissions by 2050. 

“The eco-friendly packaging at Tops is part of this initiative, as we aim to offer more sustainable packaging options to our customers,” Anawin Tangpongpaiboon, head of Corporate Strategy and Sustainability at Central Group, told Retail Asia.

He added that the group has set environmental, social, and governance targets across its business segments, including fashion, food, property, hardline, health and wellness.


Tops in Thailand has started the transition to the new packaging for pork and chicken products across 14 items, available at Tops and Tops Food Hall.

It plans to extend the packaging shift to beef and lamb products, and eventually to Tops daily stores, as it aims to cut carbon dioxide emissions by more than 3 tons of CO2-equivalent by year-end.

The supermarket chain has also switched to eco-friendly packaging made from 100% recyclable clear PET (polyethylene terephthalate) plastic, reducing carbon dioxide emissions by more than 11 tons of CO2-equivalent. This also ensures food safety.

Consumers worldwide are willing to pay a 9.7% sustainability premium for products, even as they are weighed down by cost-of-living pressures amidst spiralling prices, according to the results of a PwC survey released in May.

Eight of 10 people are willing to pay more for goods that are eco-friendly, locally sourced, or made from recycled materials, according to the survey of 20,000 consumers from across 31 countries and territories.

Green supply chain

Key factors that drive consumer choices include production methods and recycling (40%), eco-friendly packaging (38%), and positive environmental impacts (34%).

Sustainability is not limited to the consumer-facing side of Central Retail’s operations. It also plays out across the supply chain.

"This comes down to the big question of how we offer more responsible and sustainable products to our customers,” Anawin said. “We see that this requires a lot of collaboration with our suppliers and partners.”

Central Retail derives its group initiative so called ‘Central Tham’, which reflects the Thai word for “taking action,” seeks to strengthen community ties and involvement.

A standout feature of Central Tham is the Jing Jai Farmer Market, which brings local farmers directly into Central Retail stores. It lets customers interact with local farmers, learn about the origins of their food, and even request for specific products. The market not only enriches the shopping experience but also supports local agriculture.

Central Retail is also harnessing technology to advance its sustainability agenda. The company has started using solar rooftops across its properties to reduce reliance on energy sources such as coal.

It also uses electric trucks to improve transportation efficiency from distribution centres to stores and customers. Sensors inside its buildings optimise energy consumption while keeping ideal air temperatures.

“Our vision is to be the centre of where people live their own lifestyle,” Anawin said. “As people's needs change, we strive to provide new experiences.”
 

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