Use of FMCGs

Preface
A project report on how companies need to recognise the impact forces to protect environment that is gaining prominence globally and in Indian scenario. This report helps us to understand how people should be responsible for their daily use of products especially the packaging materials which generate hazardous waste and how it should be disposed off in a proper manner. This report gave us an opportunity to have complete idea about FMCG sector. This project report helps in following aspects, Build understanding of FMCGs To know about consumer attitudes and perception towards eco-friendly products in FMCG sector and their willingness to pay on green products. How can we minimise the Environmental Impact? What changes will you do to the packaging? How do we ensure that packaging is disposed of properly?

INDEX
TOPICS Page No. 4 5 7 10 17 22 26 28

1. 2. 3. 4. 5. 6. 7. 8.

Introduction to FMCGs Green initiatives in business Organisations Consumers attitude towards green products Packaging trends in FMCGs Environmental Impact on FMCGs Waste Management of FMCGs Conclusion Bibliography

1.Introduction to FMCGs
The term FMCG (fast moving consumer goods), although popular and frequently used does not have a standard definition and is generally used in India to refer to products of everyday use. Conceptually, however, the term refers to relatively fast moving items that are used directly by the consumer. Thus, a significant gap exists between the general use and the conceptual meaning of the term FMCG. FMCG Industry Products which have a quick turnover, and relatively low cost are known as Fast Moving Consumer Goods (FMCG). FMCG products are those that get replaced within a year. Examples of FMCG generally include a wide range of frequently purchased consumer products such as toiletries, soap, cosmetics, tooth cleaning products, shaving products and detergents, as well as other non-durables such as glassware, bulbs, batteries, paper products, and plastic goods. FMCG may also include pharmaceuticals, consumer electronics, packaged food products, soft drinks, tissue paper, and chocolate bars. A subset of FMCGs is Fast Moving Consumer Electronics which include innovative electronic products such as mobile phones, MP3 players, digital cameras, GPS Systems and Laptops. These are replaced more frequently than other electronic products. White goods in FMCG refer to household electronic items such as Refrigerators, T.Vs, Music Systems, etc.

Change in Demographics

Transformation from joint to nuclear family has created a huge increase in consumption.

2. Green Initiatives by Business Organisations:

Indian companies need to recognize other more impactful forces pertaining to protecting our environment that are gaining prominence globally and especially now in the Indian scenario. Organizations are taking steps to become environment friendly and going green within the boundaries of their business objectives. Initiatives to minimize carbon footprint across the supply chain, is even more significant, where pricing is extremely competitive and the shelf price increases further in certain countries which impose additional taxes for large carbon footprint. Organizations may define and undertake various greening initiatives and programs within its boundaries and across its extended supply chain partners which would resulting in adoption of technology with lesser counter-impact, Improved strategic alliances for downstream and upstream activities, Better sustainability of the immediate environment, Reputation of business practices being socially responsible, satisfied customers in a business point of view. Packaging can serve many purposes for an organization; however those purposes should serve not only the organization and end users but the environment also. Its nearly impossible to think of packaging without thinking of its effects in environment. Organizations follow the green path for a variety of reasons. The first and foremost is to comply with government rules and regulations. Some of them are also looking toward green and sustainable supply chain form the risk mitigation perspective. Some organizations are looking towards sustainability to improve their corporate image and project themselves as a responsible organization. There is growing preference of customers and consumers for green products and hence this can help organizations to increase their revenue. Environment sustainability cannot be ignored by business organizations. Companies have to recognise what they gain from green products by competitive advantages and business opportunities. Consumers also should be aware of usefulness of adapting to green products to have better surroundings. When green marketing strategies are adopted there should be changes to the production process, packaging changes, as well as modifying advertising. Better environment friendly packaging should be adopted by companies and modify the products to minimize the environmental pollution. World evidence indicates people are concerned about the environment and are changing their behaviour accordingly. Green consumerism is often discussed as a form of pro-social consumer behaviour. We would also be discussing about how business organizations tend to concern about environments

issues due to several reasons such as environmental pressure, government pressure, cost or profit issues. Pricing structures will evolve that communicate even more accurate information to manufacturers and entrepreneurs about the true cost of commercial activities and the potential rewards from innovative solutions to environmental problems. This definition incorporates much of the traditional components of the marketing definition that is "All activities designed to generate and facilitate any exchanges intended to satisfy human needs or wants". People should behave in an environmentally responsible fashion. Firms that believe they must achieve environmental objectives as well as profit related objectives. There are number of plastic packaging innovation to make products environment friendly. From a recycling point of view, the most problematic plastics are the thin film polythene bags and other types of film packaging. These types of packaging are especially popular for food items, shampoos, soaps and other types of consumer. The producers of these products do not take any responsibility for their products in their entire product lifecycle. It is definitely a boon that their seem to be pressure and incentive created for the FMCG companies to produce better packaging and in this project we would be dealing with it. Though many of the customers are willing to purchase green products, many business organizations still in behind the need of the eco friendly society. Business organizations should follow better strategies in order to get benefits from environmentally friendly approach as green marketing offers business incentives and growth opportunities while it may involve start-up costs, it will save money in the long term. Organizations can reinforce environmental credibility by using sustainable marketing. Marketers also should identify customer need and develop products to address this issue, produce more environmentally responsible packages (Recycle, biodegradable, reuse), and ensure the products meet or exceed the quality expectations. The growing social and regulatory concerns for the environment lead an increasing number to consider green issues as a major source of strategic change. Companies have started recognising the importance of green marketing concepts and are being bringing up eco-awareness programs.

3. Consumers attitude towards green products:

Past experience will colour, distort or bias their perceptions of marketing stimuli and so such biases and their sources need to be understood... Pack designers need to carry out a thorough analysis of their consumers and existing market stimuli.(Nancarrow, Wright,Brace, 1998)

The growing social and regulatory concerns for the environment lead an increasing number of companies to consider green issues as a major source of strategic change. In particular, this trend has major and complex implications on the technological strategy of a company and on its product innovations. Even though it is increased eco-awareness of customers during the past few decades, there are some barriers to the diffusions of more ecologically oriented consumption and production styles. Therefore, companies are increasingly recognizing the importance of green marketing concepts. Environmental issues influence on all most all activities in our day today lives. FMCG sector is a considerably large sector in the economy which has to open their eyes on eco friendliness. As society becomes more complex with the environmental pollution and unethical business practices, now both consumers and business organizations are concerned with the natural environment. So businesses have begun to modify their behaviour in an attempt to address this society's "new" concerns .The FMCG sector is one of growing industry that concern about the green marketing issues. Most of marketing practitioners are using green elements as powerful marketing tools. Green products also have been hurt by the perception that such products are of lower quality or don't really deliver on their environmental promises. And yet the news isn't all bad, as the growing number of people willing to pay a premium for green products from organic foods to energy-efficient appliances attests. (DSouza et al. 2004)Green or Environmental Marketing consists of all activities designed to generate and facilitate any exchanges intended to satisfy human needs or wants, such that the satisfaction of these needs and wants occurs, with minimal detrimental impact on the natural environment. [Polanski, 2] Green marketing has not lived up to the hopes and dreams of many managers and activists. Although public opinion polls consistently show that consumers would prefer to choose a

green product over one that is less friendly to the environment when all other things are equal, those "other things" are rarely equal in the minds of consumers. (Hackett, 2000) They must always keep in mind that consumers are unlikely to compromise on traditional product attributes, such as convenience, availability, price, quality and performance. It's even more important to realize, however, that there is no single green-marketing strategy that is right for every company. (Prothero,, and McDonagh, 1992) Despite the increasing eco-awareness in contemporary market economies, it is generally recognized that there are still considerable barriers to the diffusion of more ecologically oriented consumption styles. In lay discourse as well as in much of consumer research, these barriers are usually attributed to the motivational and practical complexity of green consumption (Hackett, 2000). Increased use of Green Marketing is depending on five possible reasons. (Polonsky 1994b). Organizations perceive environmental marketing to be an opportunity that can be used to achieve its objectives [Keller 1987, Shearer 1990]. Organizations believe they have a moral obligation to be more socially responsible [Davis 1992, Keller 1987,] Governmental bodies are forcing firms to become more responsible [Davis 1992]; Competitors' environmental activities pressure firms to change their environmental marketing activities [Davis 1992] Cost factors associated with waste disposal, or reductions in material usage forces firms to modify their behavior [Keller, K.L. (1993] Moreover, environmentally responsible behavior usually involves difficult motivational conflicts, arising from the fundamental incompatibility of environmental protection-related collective goals and individual consumers personal or self-interested benefits and the resulting free-rider problem (Wiener and Doesher, 1991) Public policymakers will continue to develop more efficient ways to regulate waste and pollution, and scientists will continue to gather information about the environmental risks from various substances or practices. As they do, pricing structures will evolve that communicate even more accurate information to manufacturers and entrepreneurs about the true cost of commercial activities and the potential rewards from innovative solutions to environmental problems. This definition incorporates much of the traditional components of the

marketing definition that is "All activities designed to generate and facilitate any exchanges intended to satisfy human needs or wants" (Schlegelmilch et al,1996). There are usually severe external constraints to green consumerism, arising from the cultural, infrastructural, political and economic circumstances in the markets and society (McIntosh, A. 1991). Both individual and industrial are becoming more concerned and aware about the natural environment. In a 1992 study of 16 countries, more than 50% of consumers in each country, other than Singapore, indicated they were concerned about the environment (Ottoman). A 1994 study in Australia found that 84.6% of the sample believed all individuals had a responsibility to care for the environment. A further 80% of this sample indicated that they had modified their behavior, including their purchasing behavior, due to environmental reasons (EPA-NSW 1994). Owing to the conceptual and moral complexity of ecologically responsible consumer behavior and to the perplexity of ecological information, different consumers have different conceptions of ecologically oriented consumer behavior and, thus, myriad ways of acting out their primary motivation for being green consumers (Antil, 1984). These innovations aren't being pursued simply to reduce package waste. (Prothero, 1990) Food manufacturers also want to improve food preservation to enhance the taste and freshness of their products. The cost of the foods would be lower; consumers could enjoy the convenience of pre-sliced ingredients, and waste peelings (Prothero, 1990). It can be assumed that firms marketing goods with environmental characteristics will have a competitive advantage over firms marketing non-environmentally responsible alternatives. There are numerous examples of firms who have strived to become more environmentally responsible, in an attempt to better satisfy their consumer needs. (Schwepker, and Cornwell, 1991) While governmental regulation is designed to give consumers the opportunity to make better decisions or to motivate them to be more environmentally responsible, there is difficulty in establishing policies that will address all environmental issues. (Schwepker, and Cornwell, 1991).

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4. Packaging Trends in FMCGs:

Packaging is the container for a product encompassing the physical appearance of the container and including the design, color, shape, labeling and materials used (Arens,1996). In todays metropolitan world cities are increasing in terms of population than the villages and towns and they have become the hub for hazardous waste as the GOVT policies are not keeping up with the growth according to the population. Individuals and families should be more responsible of their daily use of products which generate hazardous waste. A source of hazardous waste is FMCG packaging materials. FMCG Packaging materials are the materials used to pack and transport the FMCG (fast moving consumer goods, mostly food products which gets used in a day, a week maximum a month) Packaging materials for such products are mostly plastic materials of different grades made of oil(fossil fuels or petrochemicals, non-degradable for 1000s of years and toxic for the basic natural resources) The system which the packaging industry follows is a linear system, where the raw materials formed to be used once end up either in landfills/seas or recycling units polluting and intoxicating our very basic resources like water, air, land, forests, etc. If we look into details of the product life cycle, there are indications of oil traces at every step of the process.Raw materials for such product are made from petrochemicals and other available chemicals from oil resources which come from by either burning natural resources or digging them out. The process of product life cycle can be put down in steps as follow. 1. Raw material production from various kinds of petrochemicals 2. Packaging manufacturing through various set of manufacturing processes manufacturing processes are designed to make most out of the available. 3. Printing and other brand related processes adding more chemicals in form of ink, glue, plastic. If the printed material is an external material it takes one more process to make the stickers for the products. 4. Packaging assembly line with the FMCG product 5. Packaging transportation to retailers

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6. Used and thrown away to the dustbin by the end users. These is where the economical purpose of the product development ends and the problem of environmental pollution starts depending upon where the product is been dumped in a landfill or sea dumps(garbage patch) Plastics dumped in landfills release various set of toxic materials into the lands creating soil degradation of the surrounding areas, creating visual pollution, toxic smell, etc. And if it is dumped in a sea patch, the plastic is been broken into small pieces and stays in the sea forever. Many times the fish eat it considering food and end many of them end up in our plates with plastic spices stuffing. Well before I start going towards general plastic problems let me summarize the topic here and will continue later with other resources. One lat point is that in India, Maharashtra produces almost 45 % of all countries waste Found in one of the reports of NEERI. Take a look at the Image below for details.

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Between a quarter and a third of all domestic waste is packaging: much of this is food packaging. Its difficult to recycle, too. Plastic which is contaminated with food is hard to reuse. Packets are often made up of several different layers laminated together (e.g. the card, plastic and foil of fruit juice cartons), which makes them impossible to recycle. The packaging industry argues that packaging is necessary for health and hygiene, and has made efforts to make packaging much lighter and thinner (which means that it takes less resources to make and less energy to transport), but the amount of packaged convenience goods on offer is increasing all the time. Packaging and transport are the two biggest environmental problems with convenience drinks. The two are tied together, as heavier containers take more energy to transport, and even recycling and refilling demand transport for the empties. Comparing different packaging systems is fantastically difficult. Attempts have been made to compare plastic with glass, or returnable bottles with disposable ones. The results of such studies are very controversial, with those funded by environmental groups typically coming to one conclusion, and those funded by industry coming to the opposite conclusion. The packaging industry claims it is greener now than it was because packets and bottles have become lighter, which means fewer raw materials used and less energy used for transport. However, flimsy, disposable packaging also means lower costs for the producers, as well, and its hard to be sure that their motives are entirely altruistic. Overall, the problem is that packaging is driven by the desire to promote brands and to make money, not by the desire to meet real human needs, or by the desire to protect our environment. Faced with such a system, the best we can do as individuals is to minimise our consumption of packaged products even healthy, organic ones! and to use whatever recycling facilities are currently available. Returnable glass bottles seem to be the best environmental option provided transport distances for this heavy material are not too far. The traditional glass milk bottle, increasingly under threat, is a classic example of a system that works. Glass bottle banks for recycling and the material collected really is reused. The average glass bottle contains over 25% recycled glass. Green glass bottles manufactured in this country contain at least 60%, and sometimes as much as 90%,

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recycled glass. some of this was made back into bottles and jars, but many other products are possible, from fibreglass to building aggregate. Shift from Loose to packed products

Recycling aluminium drinks cans is another option, and supporting this is a must for green consumers. Twenty recycled aluminium cans can be made with the power it takes to manufacture one brand new one Recycling 1kg of aluminium saves 8kg of bauxite, 4kg of chemicals and 14kwH of electricity. Plastic drinks bottles are also recyclable - and collection services and plastic banks are slowly being setup. Different kinds of plastic have different properties, and different potential for recycling. Some are made from toxic PVC best avoided altogether. PET is fully recyclable from old bottles back to new bottles and can also be reused to make consumer goods from fleece jackets to furniture.

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Many drinks cartons including those containing GM-free soya drinks and fairtrade orange juice are made from cardboard, plastic, and aluminium foil laminated together. These are at least partially recyclable. It cannot be emphasised enough that recycling only reduces environmental impacts, it doesnt remove them. Jokes about I drink as many cans of beer as I can, to help recycling, are funny, but nothing more. Reusing bottles and jars at home is a more direct way to save resources this gets round the transport and energy costs of recycling glass and plastic. And the very best way to cut down our impact on the planet, dull though it is, is not to buy convenience packaging at all. Avoid excess packaging Try to avoid buying lots of packaging you may be able to get fruit and vegetables packed only in paper bags, rather than on plastic or polystyrene trays. Buy food and drink in recyclable packaging such as glass jars or tin cans. If you have storage space, buy dried goods in bulk this means fewer individual packages. Buy basic ingredients and cook them yourself, rather than small pre-packaged portions. Organic fruit and veg in supermarkets is often highly packaged because it is marketed as high-value luxury produce. re-use or refuse supermarket carrier bags! (Very organised people, who use the same shop or chain regularly, can reuse fruit and veg bags as well.)

Objectives of packaging
Packaging and package labelling have several objectives: Physical Protection Protection of the objects enclosed in the package from Shock, vibration, compression, temperature, etc.

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Barrier Protection - A barrier from oxygen, water vapour, dust, etc. Containment or Agglomeration - Small objects are typically grouped together in one package for transport and handling efficiency. Alternatively, bulk commodities (such as salt) can be divided into packages that are a more suitable size for individual households. Information transmission - Information on how to use, transport, recycle, or dispose of the package or product is often contained on the package or label. Reducing theft - Packaging that cannot be re-closed or gets physically damaged (shows signs of opening) is helpful in the prevention of theft. Packages also provide opportunities to include anti-theft devices. Convenience - features which add convenience in distribution, handling, display, sale, opening, re-closing, use, and re-use. Marketing - The packaging and labels can be used by marketers to encourage potential buyers to purchase the product. Although packaging plays a role in both logistics and marketing, this paper will be focusing mainly on its relevance in the area of marketing.

THE 5Rs approach:

One of the simplest approaches to reducing packaging waste is the 5R. RETHINK Analyze user behaviours and expectations (how they think, what they need and want) to deliver options about the cycle of the product and packaging. Use this research as a path for all engineers, marketers, and designers.

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RE-ENGINEER Look at packaging manufacturing, logistics, retail, and user constraints, involving both engineering and marketing disciplines before briefing designers.

REMOVE Optimize packaging layers to fulfil manufacturing, logistics, retail and user expectations without losing the key packaging functions (which often have multiple uses).

REDUCE Act to reduce packaging material without affecting the product performance during its production, transport, distribution and use phases.

RECYCLE Consider the life cycle of the product packaging to improve how used material reenters the process at the end of the cycle especially from a user point of view. Powerful packaging fulfils several different roles successfully, throughout the product life cycle shopper-attention-grabber and brand cue and communicator at point of purchase, to product protector and carrier in transport and storage, functional and practical dispenser in use, and easy and environmentally safe at disposal. With publicity surrounding the threat of global warming on the rise, environmental friendliness has fast become a marketers dream. Packaging waste, in particular, is fast becoming the enfant terrible (a famous or successful person who likes to shock people) of environmental concerns.

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5. Environmental Impact of FMCGs:

Disposing of waste has huge environmental impacts and can cause serious problems. In cities like Chennai much is buried in landfill sites holes in the ground, sometimes old quarries, sometimes specially dug. Some waste will eventually rot, but not all, and in the process it may smell or generate methane gas, which is explosive and contributes to the greenhouse effect. Badly-managed landfill sites may attract vermin or cause litter. Incinerating waste also causes problems, because plastics tend to produce toxic substances, such as dioxins, when they are burnt. Gases from incineration may cause air pollution and contribute to acid rain, while the ash from incinerators may contain heavy metals and other toxins. Because of these problems there are active campaigns against waste incineration many green initiatives taken by organisations like ExNoRa International actively worked on these issues. Burning waste can generate energy and there are operational schemes Throwing away things wastes resources. It wastes the raw materials and energy used in making the items and it wastes money. Reducing waste means less environmental impact, less resources and energy used and saves money. While designing a product and its packaging, it is important to ensure that there is minimum waste of materials (if possible, no waste at all). Why: 1. when a company manufactures a design the materials used are often expensive. Any wasted materials mean that the company is also wasting money. In a competitive world waste must be minimised. 2. If there is little waste of material then less material is needed to manufacture a design. This helps conserve the environment. For example, if a manufacturer of card packaging keeps waste to a minimum then less trees need to be cut down to provide the card. 3. Energy (electricity etc...) To drive machinery is needed to manufacture designs. If waste material is produced it means that energy has been wasted cutting, shaping or removing this useless material. 4. Recycle as much waste material as possible and use it again. This saves money and protects the environment.

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Recycling: A designer should always consider using recycled materials. For example, recycled glass can be used for manufacturing new glass bottles. Aluminium cans can be recycled and used again. Card and paper can be recycled. Why Recycle materials: 1. Recycling a material such as paper or card means that less trees need to be cut down to produce new paper and card. 2. Manufacturing card and paper directly from trees rather than recycling old card and paper uses more energy (electricity etc...) 3. Recycling materials means there is less waste. The material and labour required for food packaging makes up a large portion of the higher cost of packaged food, which in some cases makes packaging an unworthy pursuit. In addition, a great deal of commonly used packaging is unable to be or is not properly recycled, creating a significant amount of environmental waste. To this end, a lot of money is spent on landfill production, recycling plants as well cleanup activities and environmental rehabilitation, not to mention that parts of that communities of plants and animals suffer from harmful waste products. Recycling reduces the demand for raw materials. This means less needs mining, quarrying or logging. Many parts of the world have been blighted by mining and quarrying, which destroy the natural environment and wildlife habitats and may cause environmental and health problems for local people. Also transporting raw materials around the world uses fossil fuels and has an environmental impact. In many cases recycling uses less energy than producing goods from virgin material, and also results in fewer emissions. The manufacture of bags made from recycled rather than virgin polythene reduces energy consumption by two-thirds, produces only a third of the sulphur dioxide and half of the nitrous oxide, uses only one-eighth of the water, and reduces carbon dioxide generation. What can be recycled? A great many materials could be recycled but what can be recycled in practice is dependent on economics. Aluminium is worth recycling because it can easily be turned into new aluminium products, and because aluminium is quite expensive.

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Steel is much cheaper to produce so there is less incentive to recycle it, although it can easily be recycled. This is why there are schemes which give cash for aluminium cans but not for steel ones. Other materials are much harder to recycle because the products containing them contain a mixture of materials. A computer may contain several sorts of plastic, various metals, including some which may be toxic such as cadmium, glass and ceramics. Even a soft drinks bottle may contain several sorts of plastic, while a milk carton cannot be recycled as paper because it is lined with plastic or foil. More and more goods are being marked with symbols which help with recycling by indicating what they are made of and whether they can be recycled.

Local authorities are responsible for waste disposal so always contact your local council first to find out what recycling facilities they offer. Steel, for example, can easily be recycled from mixed rubbish because it is magnetic. The phenomenon of Climate change, a result of global warming, is caused principally by large-scale emissions of gases such as carbon dioxide (CO2). Global warming exacerbates the challenges of poverty and environmental degradation and poses a threat of far reaching consequences. ITC has been at the forefront of corporate India's initiatives to progressively reduce Green House Gas emissions. Its businesses continue to enlarge the Company's positive carbon footprint through energy conservation, use of renewable sources of energy and identifying ways of mitigating the adverse effects of climate change caused by global warming. ITC has implemented several CDM projects under the Kyoto Protocol and ensured carbon dioxide (CO2) sequestration through large-scale social and farm forestry initiatives. ITC has proactively aligned its strategies and joined international efforts in mitigating/delaying the adverse impacts of climate change. All ITC businesses strive to minimize energy consumption and wherever possible use environment friendly sources of energy. Sequestration is a scientifically well-established technique to reduce the total carbon dioxide in the atmosphere. ITC's social and farm forestry initiatives have created a green cover of over 125,000 hectares, consolidating its position as a

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'Carbon Positive' corporation for six years in a row. ITC invests significantly in research and developments to create clonal saplings that are disease resistant, grow faster, and have higher survival rates. These are provided to farmers to enable them to convert their private degraded wastelands into viable pulpwood plantations. In addition, it provides sustainable raw material sources for the Company's Paperboards business, and also creates livelihood opportunities for disadvantaged tribals and farmers in rural areas. This initiative has already created 56 million person days of employment. Energy efficiency practices of ITC have helped in achieving world-class standards of energy utilisation in several units. Through a rigorous process of audits supported by benchmarking, specific energy consumption has been reduced year on year. 30.9 % of ITCs energy consumption is from renewable sources. Flowing from its commitment to the triple bottom line philosophy, ITC has chosen Wind Energy as a focus area for enhancing its positive environmental footprint. The Company has already invested in wind energy generation in Tamil Nadu to meet the requirements of its Packaging business in Chennai. This 14 megawatt Clean Energy Initiative has delivered performance parameters which exceed original projections. The Companys investments in Wind Energy are eligible for Carbon Credits under the Clean Development Mechanism of the Kyoto Protocol, resulting in substantial cost savings. ITC businesses have already registered 8 CDM projects, with the CDM-EB (Clean Development Mechanism - Executive Board), set up by UNFCCC (United Nations Framework Convention on Climate Change) under the Kyoto Protocol which include two unique projects one on social forestry, the first of its kind in India and ITC Sonar, the only hotel in the world to earn carbon credits. India faces a turbulent water future. Home to over 17% of the global population and having access to less than 4% of its fresh water resources, India's water scarcity is likely to worsen over the years. ITC's sustainability initiatives as a part of it Corporate social responsibility, in the area of water, focuses on: Achieving the lowest specific water consumption (water used per unit of production) through conservation, audit and benchmarking.

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Zero water discharge - treating and recycling all waste water, thereby not only reducing fresh water intake but also preventing pollution of fresh water resources. Creating a positive footprint - through rainwater harvesting, both within our own units and across different watershed areas. ITC continues to make progress on its sustainability initiatives relating to water through Conservation to achieve the lowest specific water consumption (water used per unit of production); Zero Effluent Discharge by treating and recycling all waste water. Rainwater Harvesting both at the Company premises and through external watershed development projects in socially relevant areas has consolidated ITC's water positive status for 9 consecutive years. Total rainwater harvesting potential so far developed by the Company is more than 2 times the total water consumed by its operations. Solid Waste Recycling Positive Waste management, in India, is an area of serious concern, with significant proportions of waste being disposed through land filling and dumping. Most landfills and dumping sites are serious health hazards to people living in the neighbourhood and can also cause soil and water contamination. Cigarette factories at Bengaluru, Saharanpur, Munger and Kolkata, Leaf Threshing Units at Chirala & Anaparti, Paperboards & Specialty Paper Units at Tribeni, the ITC Green Centre at Gurgaon, Surya Nepal's Cigarette factory at Simra, and ITC Hotels Maurya, Maratha, Grand Central, Sonar, Windsor, Mughal, Kakatiya & Sheraton Hotels New Delhi & Rajputana reused/ recycled almost the entire waste generated (more than 99%) out of their operations.

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6. Waste Management:
Waste management is the collection, transport, processing or disposal, managing and monitoring of waste materials. The term usually relates to materials produced by human activity, and the process is generally undertaken to reduce their effect on health, the environment or aesthetics. Waste management is a distinct practice from resource recovery which focuses on delaying the rate of consumption of natural resources. The management of wastes treats all materials as a single class, whether solid, liquid, gaseous or radioactive substances, and tried to reduce the harmful environmental impacts of each through different methods. Waste management practices differ for developed and developing nations, for urban and rural areas, and for residential and industrial producers. Management for non-hazardous waste residential and institutional waste in metropolitan areas is usually the responsibility of local government authorities, while management for non-hazardous commercial and industrial waste is usually the responsibility of the generator. Procter & Gamble Ltd, Hindustan Unilever Ltd and other big players of the so-called fast-moving consumer goods or FMCG and packaging industry, selling millions of sachets of shampoos, detergents, toothpastes and other such products every year, may soon find themselves collecting the remnants of these products from the heaps of ever-growing garbage piling on Indian streets. A seven-member expert committee set up by the Ministry of Environment and Forests has recommended that producers and sellers of products using small plastic packaging must play an increasing role in collection of garbage for recycling. In its report, the committee has suggested that companies using pouch-sized multilayered plastic packaging, like sachets, must finance and establish collection centres, either collectively or individually, in association with local municipality bodies to ensure recycling of plastic waste caused by usage of their products. The committee was set up after the Environment Ministry in its November 2009 notification had suggested a complete ban on multi-layered plastic packages after being approached by various non-governmental organisations (NGOs) and civil society groups over the mess caused by the lack of recycling initiatives taken by the corporate world. However, the industry feels that it is being targeted through misplaced facts about the plastic that is used by packaging industry. "The government has been misguided by a few NGOs into believing that plastic packaging is bad for environment. The plastics used are recyclable and do not even release toxic fumes when burned.

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India's largest producer of plastic packaging. "The government should not take any drastic steps before analysing the situation with proper feedback from the industry." After the Supreme Court has banned plastic packaging for gutkha and pan masala products it was like a wake-up call for the packaging industry. The FMCG and packaging industry now seems to have reluctantly agreed to a play a greater role in the recycling structure. But environmental experts believe legislation has to be introduced by the government to make it necessary for all companies to financially support the recycling industry. "Collection of waste, including small plastic pouches and sachets, must be incentivised to encourage people and rag pickers. Otherwise, this initiative will also join a long list of failed attempts to control urban waste management," said the member of the expert committee. However, the pricing or incentive for such practice was not decided by the expert panel. In its presentation to the expert committee, FICCI defended the usage of multilayered packaging by stating that the Rs 90,000 crore FMCG industry has no readily available alternative. The industry believes the multi-layered packaging is the best and the cheapest way to maintain the quality and longevity of products in small packages. "We believe that multi-layered plastic packaging should not be included in the ambit of any regulation especially as other possible alternatives, like aluminium and paper, involve higher energy and environmental costs, thus also increasing the selling price of products which are sold in small quantities especially in rural India," said FICCI. These small multi-layered packaging has revolutionised the FMCG sector in India by making it possible even for rural people to consume so-called "urban products" like shampoos, detergents and ketchup by buying small packs that are more economical for the lower end of the consumer pyramid. FICCI, which had a meeting with various industry players on December 29 to discuss the recommendations, has also strongly reacted to suggestions of a possible hike in import tax rates of inputs like polymer, which is needed for plastic packaging. FICCI believes that such a move will have a major impact on the entire industry including widespread loss of employment. India produces approximately 10 thousand tonnes of plastic waste every day, almost 9 per cent of the total municipal solid waste, which mainly goes to landfills without proper segregation or recycling. Experts believe that at the current rate of

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accumulation, the land requirement for landfills is expected to exceed 1,400 sq km over the next 40 years. ACCs eco-friendly waste management practices In what is a small initiative but has the potential to grow to significant proportions in future, ACC, the cement major, has undertaken an activity over the last one year to help dispose of hazardous waste materials generated by several industries by burning them in its kilns. The company has tied up with one of the largest fast moving consumer goods (FMCG) companies to dispose of its expired stocks of toothpaste, cosmetics and other products. While on the one hand this helps the FMCG company dispose of tonnes of accumulated toxic products in an environment-friendly manner, for ACC this arrangement is among the first of several of its new alternative fuels and raw materials (AFR) business unit set up last year under the guidance from its majority shareholder, Holcim. The company is in talks with several other FMCG companies and those generating solid waste like plastics, paints, paper and allied products, chemicals, rubber and plastics, automobile and auto ancillary and petrochemicals manufacturers and solid waste generators like hospitals for a safe way of disposing their waste. Plastics dumped in landfills release various set of toxic materials into the lands creating soil degradation of the surrounding areas, creating visual pollution, toxic smell, etc. And if dumped in a sea patch, the plastic is broken into small pieces and stays in the sea forever. Theres a strong MNC presence in the Indian FCMG market and out of the top FMCG companies, four are multinationals while two others have significant MNC shareholdings. Unlike several other sectors where multinationals have entered after 1991, MNCs have been active in India for a long time. In recent years packaging has developed well beyond its original function as merely a means of product protection and now plays a key marketing role in developing on shelf appeal, providing product information and establishing brand image and awareness about the environment. As packagings role in the marketing mix gains momentum, so research in this topic becomes important. Given the potential for packaging to successfully achieve its goals and become environmental friendly. Environmentally responsible behaviour environmentally responsible behaviour usually involves difficult motivational conflicts, arising from the fundamental incompatibility of environmental protection-related collective goals and individual

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consumers personal or self-interested benefits and the resulting free-rider problem .Public policymakers will continue to develop more efficient ways to regulate waste and pollution, and scientists will continue to gather information about the environmental risks from various substances or practices.

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7.Conclusion
There are number of plastic packaging innovation to make products environment friendly. From a recycling point of view, the most problematic plastics are the thin film polythene bags and other types of film packaging. These types of packaging are especially popular for food items, shampoos, soaps and other types of consumer. The producers of these products do not take any responsibility for their products in their entire product lifecycle. It is definitely a boon that their seem to be pressure and incentive created for the FMCG companies to produce better packaging and in this project we would be dealing with it. Though many of the customers are willing to purchase green products, many business organizations still in behind the need of the eco friendly society. Business organizations should follow better strategies in order to get benefits from environmentally friendly approach as green marketing offers business incentives and growth opportunities while it may involve start-up costs, it will save money in the long term. Organizations can reinforce environmental credibility by using sustainable marketing. Marketers also should identify customer need and develop products to address this issue, produce more environmentally responsible packages (Recycle, biodegradable, reuse), and ensure the products meet or exceed the quality expectations. The growing social and regulatory concerns for the environment lead an increasing number to consider green issues as a major source of stratergic change. Companies have started recognising the importance of green marketing concepts and are being bringing up eco-awareness programs. Environment sustainability cannot be ignored by business organizations. Companies have to recognise what they gain from green products by competitive advantages and business opportunities. Consumers also should be aware of usefulness of adapting to green products to have better surroundings. When green marketing strategies are adopted there should be changes to the production process, packaging changes, as well as modifying advertising. Better environment friendly packaging should be adopted by companies and modify the products to minimize the environmental pollution. World evidence indicates people are concerned about the environment and are changing their behaviour accordingly. Green consumerism is often discussed as a form of pro-social consumer behaviour. We would

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also be discussing about how business organizations tend to concern about environments issues due to several reasons such as environmental pressure, government pressure, cost or profit issues. Plastics dumped in landfills release various set of toxic materials into the lands creating soil degradation of the surrounding areas, creating visual pollution, toxic smell, etc. And if dumped in a sea patch, the plastic is broken into small pieces and stays in the sea forever. Theres a strong MNC presence in the Indian FCMG market and out of the top FMCG companies, four are multinationals while two others have significant MNC shareholdings. Unlike several other sectors where multinationals have entered after 1991, MNCs have been active in India for a long time. In recent years packaging has developed well beyond its original function as merely a means of product protection and now plays a key marketing role in developing on shelf appeal, providing product information and establishing brand image and awareness about the environment. As packagings role in the marketing mix gains momentum, so research in this topic becomes important. Given the potential for packaging to successfully achieve its goals and become environmental friendly. Environmentally responsible behaviour environmentally responsible behaviour usually involves difficult motivational conflicts, arising from the fundamental incompatibility of environmental protection-related collective goals and individual consumers personal or self-interested benefits and the resulting free-rider problem .Public policymakers will continue to develop more efficient ways to regulate waste and pollution, and scientists will continue to gather information about the environmental risks from various substances or practices. As they do, pricing structures will evolve that communicate even more accurate information to manufacturers and entrepreneurs about the true cost of commercial activities and the potential rewards from innovative solutions to environmental problems. This definition incorporates much of the traditional components of the marketing definition that is "All activities designed to generate and facilitate any exchanges intended to satisfy human needs or wants". People should behave in an environmentally responsible fashion. Firms that believe they must achieve environmental objectives as well as profit related objectives.

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8.Bibliography
http://tehelka.com/story_main48.asp?filename=Ws050111ENVIRONMENT.asp http://www.hindu.com/2007/06/27/stories/2007062750391600.htm http://www.greenchoices.org/ http://www.itcportal.com/itc-business/fmcg Wikipedia Google Interbrand.com