High-quality products can only be made with high-quality ingredients. We work with thousands of suppliers, and part of our corporate responsibility is to ensure that they operate sustainably, as well. We respect human, labour and land rights and want our suppliers to receive fair compensation for their work.
Focus and goals
- Constantly improving the level of responsibility and strengthening cooperation in the value chain
- Improving traceability in the value chain and securing food quality and safety
- Controlling and mitigating responsibility risks related to the raw material base
2018 and onwards
- Continuing to use 100% responsibly produced cocoa
- Continuing the implementation of the sustainable grain farming principles so that by 2025 all flour in Finland and Sweden fulfil their requirements
- Increasing the share of responsible soy to 100% by 2020
- Using 100% RSPO segregated or mass balance certified palm oil by 2020 in all operating countries
- Continuing to follow the WWF seafood guides
- Continuing the use of seasonal and second grade fruit and vegetables in our restaurants to reduce food waste in the value chain
- Further developing sustainability in fruit value chains
Performance in 2017
In the beginning of 2017, we achieved one of our most important goals: 100% of our cocoa was responsibly produced. We source cocoa through UTZ, Rainforest Alliance and Fairtrade Cocoa Programme as well as through our own direct programmes.
The relationship of certifications and direct programmes is one that has sparked lively discussion among our stakeholders. We see the combination of the two sourcing methods as the best option for several reasons. Only approximately 20% of the world’s cocoa farmers work in co-operation with certification organisations, which means that the supply of certified cocoa is insufficient to cover the needs of chocolate producers. Direct programmes are needed to complement certified cocoa. In addition, we need to ensure that all cocoa farmers have the possibility to produce cocoa sustainably.
With direct programmes, we are also able to constantly monitor, for instance, whether child labour is used, as we train local people for this task. This is more efficient than occasional inspections. Our direct programme in Ecuador was audited in 2017 and development actions were planned based on the results.
Our direct programmes address social as well as environmental aspects of cocoa farming and support the farming communities. They have encouraged women especially to participate in training and improve their standards of living with their learnings. The cost of implementing direct programmes is higher than that of purchasing certified cocoa, but we see this as a necessary investment towards a reliable supply in the future.
We became a member of Roundtable for Responsible Soy (RTRS) and published our commitment to 100% certified soy by 2020. All the soy used directly or indirectly in the value chain will meet the requirements set by the RTRS or ProTerra. We purchased RTRS credits to cover all our indirect soy consumption in Sweden for 2017. We also became members of the Swedish and Finnish soy commitments. The share of certified soy for the Group was 54%.
We reviewed our palm oil commitment. We use 100% RSPO certified palm oil, sourced through three supply chain options: segregated, mass balance and book and claim. Our aim is to increase the share of segregated palm oil, but this has, however, proved challenging. Our target in 2017 was to use 100% segregated palm oil in Fazer Confectionery, but we did not quite reach it as 92% of the palm oil used was segregated, with mass balance and book and claim certified oil making up the difference.
One of the reasons for not achieving the target was that segregated palm oil could not be sourced in the fractions we needed. This we will be able to solve in 2018 for the majority of remaining products.
We developed in 2017 a sourcing process for the prioritising of raw materials with high risks related to human rights, water and land use. For most prioritised high risk raw materials or those we use in large volumes, we have already developed Group-level commitments.
We engaged in active discussion on animal welfare with our suppliers, non-governmental organisations and other stakeholders. We, and our clients, place great importance on animal welfare in food production, and will continue our stakeholder dialogue on the matter.
Fazer Food Services in Sweden and Denmark strive to increase the share of organic produce in their offering. The targeted share in Sweden, 19%, was reached. In Denmark, the share of organic produce is 40%. We continue to use the WWF seafood guides as the basis of our fish sourcing and only use green or yellow listed fish. Fazer Cafés reached its goal in 2017 and is now serving only certified coffee.
Reducing food waste is one of our sustainability priorities, and it is also a way to enhance the efficiency of our value chain. Together with our suppliers we have been able to take advantage of second grade vegetables, which do not look perfect but are just as tasty and completely usable. Second grade vegetables are now used in all Fazer Food Services’ business units.
Food safety is essential to our business and cannot be compromised. In 2017 we adopted a Group documentation management system and carried out food fraud awareness training and vulnerability assessments. New allergen guidelines were created by an internal work group and food safety professionals were trained.
We work with United Nations’ Sustainable Development Goals (SDGs) and have identified the following as the most relevant to the Fair value chain area of our corporate responsibility work:
Fazer of the Future
We will continue the systematic work to ensure food safety and quality throughout the supply chain. We will constantly improve the sustainability of our sourcing.
We will work with the identified raw materials – grain, cocoa, palm oil, soy and fish – and also focus on new ones based on our risk evaluation.
We will continue to reduce food waste and apply seasonality to improve the efficiency and sustainability of our supply chain. For 2018 we have defined a common seasonal calendar for Fazer Food Services that will be taken into use in all countries.
We will continue to work towards our palm oil commitment and develop our soy purchasing.