Ecological Costs of A Microbrewery in The Brazilian Northeast

Abstract

Objective: The aim of this study is to investigate the environmental and economic impacts of craft beer production in the Brazilian Northeast, to evidence the main hotspots and propose mitigation alternatives. Theoretical Framework: Life Cycle Thinking proposes a way of thinking that aggregates systems and preserves their interrelationships, to understand the whole of production systems and identify critical points in their subsystems, processes and flows. Here, environmental analysis was carried out through Life Cycle Assessment and economic analysis through Life Cycle Cost Assessment and Ecological Costs. Method: The methodology adopted for this research includes the use of Life Cycle Assessment to quantify environmental emissions, and Life Cycle Cost Assessment and Ecological Costs to quantify economic impacts in a microbrewery located in the Northeast of Brazil. Data was collected through interviews and questionnaires with those responsible for specific sectors of the brewery. Results and Discussion: The results showed that the main environmental hotspot was the local and regional distribution of beer using a gasoline-powered light commercial vehicle. In terms of economics, beer packaged in stainless steel kegs had the lowest cost and beer in aluminum cans had the highest manufacturing cost. When environmental costs were taken into account, beer packaged in a PET growler obtained the best result and beer packaged in a stainless-steel keg obtained the worst economic result. With the implementation of electric vehicle distribution, in addition to the environmental benefits, there were also economic benefits, especially in terms of environmental costs (ecocosts). Research Implications: The practical implications of this research have shown that the use of electric vehicles to distribute the final product (beer) can mitigate environmental emissions, bringing environmental and economic benefits to the company studied. Originality/Value: This study contributes to the literature by being the first Brazilian study to quantify the environmental and economic impacts of craft beer production and distribution. The relevance and value of this research is evidenced by the fact that it proposes tangible solutions to the hotspots identified.