CARGILL HAS announced it is launching a new assessment tool to help food and beverage customers assess and quantify risks and opportunities in their supply chain.
The new tool is designed to help Cargill and its customers take action on responsible sourcing issues that may impact their business, such as labour practices, the environment and biodiversity, by translating identified opportunities and risks into specific financial terms. The approach facilitates collaboration and alignment across all partners in the supply chain to move quickly to address issues and opportunities.
“Customers, consumers and other stakeholders are increasingly demanding more information and communication around what’s happening in our extensive supply chains to mitigate corporate or brand risk, find opportunities for cost reduction, or use sustainability as a potential platform for growth,” said Scott Portnoy, corporate vice president of Cargill’s food ingredients and systems businesses. “However, sustainability investments often struggle to gain traction as many organizations fall short of quantifying a return on investment. Our tool delivers a business case that enables responsible decision-making and action.”
The assessment tool is the most recent example of Cargill’s continuous work in creating ways to improve its supply chains. In the past few years, Cargill has announced:
- Its Cocoa Promise aimed at promoting sustainable cocoa production. The promise focuses on three areas: training farmers, supporting farming communities and investing in the long-term sustainable production of cocoa.
- A pledge to supply its customers in Europe, the United States, Canada, Australia and New Zealand with palm oil certified by the Roundtable on Sustainable Palm Oil and/or originated from smallholder growers by 2015 (this excludes palm kernel oil products). This commitment will be extended to cover 100 percent of its palm oil products and all its customers worldwide – including China and India – by 2020.
- A partnership with The Nature Conservancy that helps Brazilian soybean farmers comply with the Brazilian Forest Code.
The new tool was announced at the Institute of Food Technologists (IFT) expo earlier this month in Chicago.