Tesco, the UK's biggest supermarket group, said it would record the amount of carbon dioxide emitted, what has become known as the "carbon footprint", during the production, transport and consumption of all the products it sells. It aims to stop flying fresh food halfway around the globe to bring it to the UK.
Speaking at an environmental charity event, Forum for the Future, Sir Terry Leahy, Tesco chief executive, said: "We are going to have to rethink the way we live and work. I am not a scientist. But I listen when the scientists say that if we fail to mitigate climate change, the environmental consequences will be stark and severe."
Tesco is to invest £5m in academic research on these methods, working with Environmental Change Institute at Oxford University. It is not yet known when the labels, comparable to nutritional ingredient labels, are to hit the shop floors.
Tom Delay, chief executive of the government-backed Carbon Trust, said: "A carbon label will put the power in the hands of consumers to choose how they want to be green. It will empower us all to make informed choices and drive a market for low-carbon products."
Tesco has also pledged to half the price of energy-saving light bulbs to help customers take a step toward a greener lifestyle. It will also only allow 1% of all products to be flown to stores and give priority to overseas trade with developing countries to help alleviate poverty. Incentives for customers to go green will include promotions through the Green Clubcard scheme, electrical goods that use less energy and "intelligent plugs", which switch off when the appliance is not being used.
This week, Marks & Spencer announced its £200m ethical plan, which included a switch to sustainable packaging. The 100-point plan means that, by 2012, the retailer will become carbon neutral, send no waste to landfill, extend sustainable and local sourcing, and set new standards in ethical trading.
If you have an opinion on this or any other issue raised on Brand Republic, join the debate in the .