Sustainable Agriculture Initiative (SAI) Platform: Supporting Sustainable Practices in the Food Industry

1. Jean-Pierre RENNAUD East Agri March 01, 2005 ROMA

2. Why SAI Platform? The Food Industry has great interest in sustainable agriculture: • The Food Industry relies on the long-term supply of agricultural raw materials in quality and quantity • The state ofnatural resources and rural societies affects agricultural production (both in positive & negative terms) • Consumers’ confidence depends on the quality & safety of the food supply chain • Society develops growing requirements for sustainability

3. SAI Platform’s approach A Food Industry initiative aiming to actively: • Support the development of SA practices through crop-specific working groups • Communicate worldwide about SA Working together with growers, other food chain stakeholders and other interested parties (next slide) SA as continuous improvement Focusing on mainstream, including all valuable concepts/initiatives contributing to SA

4. SAI Platform’s environment S U P P L Y C H A I N CONSUMERS RETAILERS PRODUCERS FOOD companies TRADING companies Trade & Policy- makers Input providers Advisory Services Research Academic Financial Institutions NGOs IGOs Media OTHER STAKEHOLDERS

5. SAI Platform’s Members • Campina • Danisco • Dole • Ecom • Efico • Findus • Fonterra • Friesland Coberco • Groupe Danone • Kraft • McCain Europe • McDonald’s • Nestlé • Neumann Kaffee Gruppe • Sara Lee • Tchibo • Unilever • VOLCAFE

6. Current SAI Platform working groups • Current Working Groups • Cereals • Coffee • Dairy • Vegetables & Potatoes • Fruits • Common framework • Definition of sustainable practices & indicators • Stakeholder consultation & pilot project • Roll-out under the responsibility of company

7. Key issues in Working Groups’ Practices - Example of dairy • Economic Pillar • Adequate animal lodging and feeding • Hygienic conditions of milking and milk storage • Transparency and traceability in the supply chain • Environmental Pillar • Soil, water, biodiversity, air and energy conservation • Integrated crop protection • Adequate effluent, organic matter and waste management • Social Pillar • Minimum labour conditions based on ILO conventions • Adequate worker health and safety measures • Contribution to the local economy and rural development

8. Ex of LCA in dairy sector : yogurt Case study provided by Groupe Danone • Product • Natural Yogurt 125 g : PS pot • 4 pots wrapped by a pick up • Logistics: 12 PU per platform • 108 platforms per pallet • 30 pallets per lorry • Transportation 400 km • Functional unit & system borders • Functionnal unit : • « Production and use by consumers of 1000 of yogurt Danone, in France, in 125 g pot . » • System : • Milk production : intensive and conventional systems • Primary packaging • Yoghurt production • Secondary and tertiary packaging : plaform, pallet or plastic cratespalette, with integration of end of life (cardboard recycling, re-use of plastic crates) • Distribution : transport • End of life : different scenarios (reference case : 53% lanfill, 47% incinération).

9. Results of LCA Case study provided by Groupe Danone Consumption of non-renewable ressources 51% Milk production: 80% in the consumption of superphosphate on the feed production 31% Primary packaging, 8% Yogurt production, 5% Selling and buying Water consumption 60% Milk production: 60% for the direct consumption at farm, 40% for irrigation of soya 21% Primary packaging, 13% Yogurt production, 6% Selling and buying Energy consumption 15% Milk production, 25% Primary packaging, 23% Yogurt production, 33% Selling Atmospheric impact (Green House Gas) 53% Milk production, 9% Primary packaging, 6% Yogurt production, 26% Selling Eutrophication (Nitrate 90 %, Phosphates 9 %) 98% Milk production Wastes 68% Milk production, 9% Primary packaging, 6% Yogurt production, 26% Selling

10. LCA and the implementation of sustainable agricultural practices Life Cycle Analysis+useful to assess environmental impact at a given time - noassessment of the other pillars (economic, environment) - too complex and not adapted for farm level SA as a continuous improvement => Transition period from conventional to sustainable agriculture => Monitoring progress through indicators enabling verification

11. Some criteria to set indicators • Which objective ? process or performance measurement • Stakeholder dialogue built in • Bringing positive framework • Meaningful to farmers • Indicators should be close to the measurement • Incentive for early warning • Practicability as a decision tool for food companies • Audience : smallholders vs large farm

12. How to monitor & Interpret indicators • Pilot project are needed • - Design of Pilot project is key • - Indicators to monitor practices progress & impact • - Monitoring tools for project & interpretation information • ROLL-OUT for mainstream • - Indicators that can be used for verification

13. SAI Platform’s expected results • Common approach to SA practices between all food chain stakeholders • Significantly contribute to sustainable development of agriculture • Support continuous availability of raw materials safe, of good quality that protect and improve natural resources and social livelihood

14. THANK YOU Contact:www.saiplatform.org 29 Rte de Pré Bois 1215 Geneva Switzerland Tel: + 41 22 779 17 16