Starbucks, Paper Cups, and Environmentalism

If you had the chance to sit down with the Starbucks’ Director of Environmental Impact, what would you ask him? This thought was racing through my mind as I turned into the parking lot of Seattle’s world famous coffee company. The opportunity to meet with Starbuck’s Director Jim Hanna had come with a turn of luck. An SIS blog post titled “Investigating Recycling and Starbucks” had made its way into the coffee giant’s headquarters, and Jim had emailed me a response. Now, I was getting ready for a face-to-face interview to talk about the environment, paper cups, coffee, and Starbucks.

Like any other global company, Starbucks has fallen under scrutiny when it comes to its environmental impact. And like other global companies, they have pushed back with environmental initiatives and programs. Was Starbucks guilty of green-washing, or did the company truly care about the impact it had on our environment?

Environmentalism is essential to our core business, Jim explained while sipping a Tazo tea. At its heart, Starbucks is an agriculture business. Its success relies on a steady supply of coffee beans from around the world. The beans which Starbucks buy must meet certain quality and price considerations. Coffee farmers depend on highly specific climates and growing practices to meet those standards. Eco-harming pesticides can ruin the coffee flavor. And climate change could drastically alter the price we coffee lovers pay for a latte. For Starbucks, being green is akin to long-term survival.

Environmentalism is more than just coffee beans for Starbucks. “What about the eco-impact of disposable paper coffee cups?” I asked over my sandwich. After all, the 16 billion paper coffee cups used in the US every year add up to a lot of landfill garbage and consumed natural resources. Jim pointed out that Starbucks was the first company to offer paper coffee cups partially made from recycled content. The cups, 10% of which is post-consumer recycled fiber (PCF), is estimated to save tens of thousands of trees, a half million gallons of wastewater, and several million pounds of garbage from being trucked to landfills.

“Why only a 10% PCF cup?” I ventured. “Wouldn’t a 100% cup be 10 times better?” Jim explained that the technology to make a higher PCF content cup just isn’t viable today. The main problem stems from differences in the fibers of recycled paper. Recycled paper fibers are shorter than those in non-recycled paper. This means that a coffee cup made using recycled fibers requires more paper pulp. And as more recycled content is added – more paper is used – economists call this the law of diminishing returns. We may one day see a cup made completely of recycled paper - but the technology needs to catch up first.

The sugar coating is that the new cup technology is not patent protected. Coffee chains, local coffee stands, and even college campuses can now purchase disposable cups made of 10% recycled paper. Jim hopes that more companies will begin using the 10% PFC cup – leading to a domino effect of environmental benefits.

Of course, the post-consumer recycled cup isn’t the only solution. The “Ecotainer”, a compostable corn-based cup, was debuted in 2007 by Tully’s Coffee and International Paper. Since its introduction, the cup has been well received. Did Starbucks choose the wrong cup?

Jim pointed to some major issues with corn-based cups that didn’t fit well with Starbucks. Firstly, the compostable cup shifts the eco-responsibility from the company to the coffee-drinker. For a corn-based cup to have an effect, the consumer needs to throw the used cup into a compost bin. No compost bins around? Uh oh, then that compost cup is destined for a landfill.

For Tully’s and other local coffee shops this wasn’t a big issue – composting is a growing movement throughout Seattle and the Pacific Northwest. But Starbucks is a global company that needs global ideas, and composting just isn’t being done on a global scale …yet. That’s not to say Starbucks is anti-composting. My lunch from Starbucks Headquarters was wrapped in compost-friendly packaging. And judging by the overflowing compost bin – and the nearly empty garbage can next to it – it seemed the compost idea is a hit with corporate employees.

Jim also noted that corn-based products can have other unforeseen consequences. Mexican citizens staged riots in 2007 because of high tortilla prices brought on by high corn prices. Many blamed the high prices on a soaring demand for corn to provide for the US with biofuels. Even in the US, consumers have seen food prices increase dramatically. Considering that Starbucks serves up 2.3 billion coffee cups a year, perhaps we should all be glad for the pass on compostable cups.

By choosing a disposable cup with recycled materials, Starbucks avoids both of those problems. According to Jim, Starbucks’ 10% PFC cup helps “close the demand loop” for recycled materials and will ultimately help stimulate the recycling business – a worthy cause in my book. The recycled content hot cup also guarantees a better eco-impact than standard cups, regardless of compost bin convenience.

In the near future, Jim hopes to see even bigger environmental policies enacted at Starbucks. Over the next year, Starbucks will reestablish ceramic cups as their standard for serving coffee, and pursue strategies to offer recycling throughout their stores. The company also participates in a variety of environmental coalitions to find solutions to sustainable packaging, supply chain sustainability, and creating the ultimate “to-go” cup – one that can be fully recycled.

And for customers who bring their own cups? Jim hopes to increase the number of BYOC customers by tenfold by 2010. He wasn’t ready to share the company’s strategy to make this happen, but who knows? Maybe a Sustainability Is Sexy campaign is just what an eco-friendly Starbucks needs.

Tags: climate change, coffee, compost, compostable, consumer, content, corn, corn-based, Corportate Social Responsibility, cup, disposable, eco, eco-impact, eco-responsibility, ecotainer, effects, Environmental Director, Environmentalism, fibers, garbage, green-wash, Jim Hanna, paper, Paper Cups, post, prices, reycled, Starbucks, sustainability is sexy, to-go, wastewater

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