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With over two-thirds of our raw materials coming from agriculture, we have a clear interest in how crops are grown and in securing future supplies.

Men picking teaOur aim

Unilever aims to buy all its agricultural raw materials from sustainable sources, so that

  • Farmers and farm workers can obtain an income they can live on and improve their living conditions

  • Soil fertility is maintained and improved

  • Water availability and quality are protected and enhanced

  • Nature and biodiversity are protected and enhanced.

World share of crops (volume)

World share of crops (volume)

Our approach

When we began our Sustainable Agriculture Programme, the theory and practice of 'sustainable agriculture' was still in its infancy. Over the years, we have built a body of knowledge on what sustainable agriculture entails for our key crops. Our approach is founded on tracking growing techniques for each crop against 11 indicators including water, energy, pesticide use, biodiversity, social capital and animal welfare.

Working in partnership with an external advisory board and expert agronomists, we have developed and published Good Agricultural Practice Guidelines for all our key crops.

Measuring change in agriculture is a slow process due to the length of growing cycles, but we have made progress. Our success has been greatest where we have most influence, notably on our own plantations and with 'contract growers' from whom we purchase directly.

The broader supply chain

However, only a small proportion of our sourcing is from our own estates or contract farming. A large part occurs either through the commodity markets or through the many thousands of third-party growers whose crops reach us through a diverse network of suppliers. Achieving sustainability in this broader supply base is a much more complex and long-term process, and one where our influence is necessarily more limited.

This is difficult not only in terms of the size and scale of the task, but also in educating and convincing farmers of the benefits of sustainable practices. Changing established methods of farming requires us to engage with growers to explain the benefits of a sustainable approach. To this end we are running workshops with suppliers to raise awareness about sustainability. To date we have run a total of nine events in six countries – the Netherlands, Italy, Germany, US, India and China. Two more events are planned for 2008.

Given the unpredictable nature of growing crops, it is rarely possible to guarantee a totally sustainable source. Nevertheless, this remains our long-term ambition.

Progress in 2007

Knorr soup

Reliable suppliers of high-quality vegetables are essential to brands such as Knorr.

The focus of our activities in 2007 has been to work closely with our supply-chain function to communicate our guidelines to our most significant global suppliers of fruit and vegetables – around 120 in total, representing 65% of total supply by value. Our brands, in particular, Knorr rely heavily on the ingredients these suppliers provide. We have asked our suppliers to complete a self-assessment against our guidelines and have developed a software system to enable us to store and track this information.

In 2008 we plan to fully implement the software system, building a more accurate picture of supplier networks so that we can engage more effectively with them on improvements and priority areas.

Sustainable palm oil & soy

In May 2008, we committed to purchase all our palm oil from certified sustainable sources by 2015. This commitment builds on our long-standing work on sustainable palm oil. We began by developing and sharing our own guidelines and good practices for sustainable palm oil with our growers and suppliers, leading to the setting up of the Roundtable on Sustainable Palm Oil (RSPO) in 2004. Through the RSPO, we have continued to work hard to build an industry consensus on criteria for sustainable palm cultivation.

Currently there is no certified sustainable palm oil available on the market. However in 2007, the RSPO developed national standards, based on the generic standard, and launched its certification framework 'RSPO certified'. We expect to be able to use the first certified palm oil as it becomes available in the second half of 2008.  

We are also members of the Roundtable on Responsible Soy (RTRS), which seeks to establish agreed Principles and Criteria for responsible soya production. After thorough deliberation, in 2006 participants agreed on the key sustainability issues linked to soya production. They also agreed to formalise the Roundtable as a permanent organisation. In 2007, the Roundtable set up a Criteria Development Group which has started the process of developing a sustainability standard for soy farmers.