Suki Wu, China Market Specialist, Bord Bia - The Irish Food Board
Shanghai’s trash classification regulations was effective since 1st July 2019, Shanghai is the first city in China which starts to put the trash sorting into law. According to the new law, a maximum 200RMB fine can be imposed on any individuals who don’t comply, and for errant companies or institutions the fine can hit 5000 to 500 thousand RMB.
It is one of the hottest topic in July throughout the country. The topic of trash sorting has attracted nearly 100 thousand posts on Sina Weibo which is one of the leading social communication tools in China. Sales of trash cans on Taobao also boomed after the regulation took effect.
One of the dairy giant Yili group issued a report on sustainable consumption in China last year, it mentioned over 70% of Chinese consumers are aware of sustainable consumption and pay certain level of attention to it. Individual consumption behaviour will have impact on sustainable development and environment but almost half of the consumers believe it should be manufactures take the most responsibility for environment protection.
Shanghai is the first one to start this journey but it is not fighting alone in the battle, trash classification had been accelerated nationwide according to the Ministry of Housing and Urban-Rural Development. The country plans to have 46 major Chinese cities including Beijing, Guangzhou etc to set up a basic system and trash sorting by 2020. The environmental and sustainable awareness will be increased following the trash classification laws for Chinese consumers. And Chinese giant companies such as Mengniu group, Huawei, China mobile are all launched their sustainable development strategy this year.
Although the Chinese consumers have low awareness on sustainable product mark in the market, but sustainable development can be a critical brand proposition which can bring growth to the companies in the China context.
Source:
2018 China sustainable consumption report, Yili Group
Sustainability matters now-new growth engine for your business, 2019, Kantar