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Procure ingredients from farmers using regenerative agriculture practices

FARMING

Segment    Family    Class

21

0

0

SDG Alignment

15.Protect, restore and promote sustainable use of terrestrial ecosystems, sustainably manage forests, combat desertification, and halt and reverse land degradation and halt biodiversity loss

SDG Target

15.3

Target Description

By 2030, combat desertification, restore degraded land and soil, including land affected by desertification drought and floods, and strive to achieve a land degradation-neutral world

Level of Effort

Level of Effort Scale

2

1 -Quick Wins: solution involves adding criteria for the good or service being purchased (ex: certifications), minimal internal process changes.

2 -Long Term Adoption: solution requires some changes to internal processes and/or more capital investment (ex: digital transformation to reduce paper use).

3 – Disruptive Opportunities: requires significant investment and changes to internal processes (ex: retrofitting building)

Category Assessment

ETCH Procurement Process .png

Assessment

•Evaluate current ingredient sourcing practices and work with internal stakeholders to establish an overall baseline performance on KPIs such as GHG emissions, water usage, soil health, biodiversity and other relevant social and environmental impacts. Each product, ingredient, or supplier should be assessed individually on their overall impact

•Work with stakeholders to identify the benefits, costs and risks of switching to regenerative agriculture farmers. Estimate the potential impact of ingredients procured from regenerative agriculture farm on established sustainability KPIs

Opportunity Identification 

Business: Meet consumer demand for products that are ethically sourced and produced and help mitigate long-term supply chain risks (commodity price volatility, disruptions due to extreme weather events) associated with conventional agriculture

Sustainability: Contribute to the development of healthier and more resilient agricultural systems through improved soil quality and increased biodiversity

Strategy Build & Execution

•Work with stakeholders to determine internal goals and milestones for sourcing from regenerative agriculture producers and develop a plan to routinely evaluate the number of produced sourced from these producers in order to track progress

•Engage relevant stakeholders including company leadership, employees, customers, product teams, suppliers etc. and gauge their understanding of the benefits of regenerative agriculture and address any risk concerns that are raised

•Using baseline evaluations, determine which product or ingredient category will have the largest impact on overall emissions. These ingredients should be prioritized in the transition to sourcing from regenerative agriculture farmers.

•Reach out to local or regional organizations that advocate and support regenerative agriculture practices to solicit help identify potential suppliers.

•Consider working with new and existing suppliers, as well as organizations in the regenerative agriculture space, to improve labeling and certification

Supplier Negotiation & Contract

•Speak with current suppliers to see evaluate their current usage of regenerative agriculture practices. Determine if these practices could be scaled or if there are additional opportunities to incorporate regenerative agriculture principles into their current operations.

•Where possible, look for suppliers who have recognized certifications for their regenerative practices, such as Regenerative Organic Certified (ROC), Certified Regenerative, Soil Carbon Initiative (SCI), etc.

•Consider incorporating KPIs such as soil health, fertilizer usage, or biodiversity data into negotiated contracts. Keep in mind that certain data will be easier collect and suppliers should be consulted on which metrics are most feasible for measuring their operations

•When evaluating suppliers, develop a scorecard to create a standardized comparison of farms using regenerative agriculture practices

Supplier Performance & Management

•Collaborate with current suppliers to evaluate progress towards implementing regenerative agriculture methods. Inform supplier of established KPIs and work together to identify a monitoring process to track their impact and improvement

•Connect suppliers who employ regenerative agriculture techniques in order to foster community support, encourage innovation, and share communicate best practices in an evolving field

•Consider developing long-term supplier partnerships: Due to the unique needs of each tract of land, farmers many need individualized technical assistance or agronomic advice. Long-term partnerships can help to foster a mutually beneficial relationship

Resource Links

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