In respect of quality,
human rights and the environment.

Our Value Chain - Choose

With a vision towards sustainability, improving the conditions of rural areas and the communities where raw materials are sourced, Ferrero has launched an umbrella programme on the group's engagement in sourcing sustainable raw materials, formulated as Ferrero-Agricultural Commitment to Sustainability (F-ACTS).

F-ACTS

COCOA


One of Ferrero’s key commitments in building a sustainable agricultural supply chain is to source 100% certified cocoa beans by end of 2020. In FY 2016/2017, Ferrero consumed more than 130,000 tonnes of cocoa beans, of which 70% was certified as sustainable cocoa.

Ferrero constantly collaborates with non-profit and farmer organizations to address agricultural, social, environmental and business issues in cocoa farming and supports ongoing local projects to combat child labour and enable training to the farmers.

PALM FRUIT OIL


From the very beginning, Ferrero decided to directly source RSPO certified segregated palm oil
: it is segregation that ensures that sustainable palm oil is physically separated from non-sustainable palm oil and enables us to trace it from the certified sustainable plantations to the production line.
As of January 2015, Ferrero products are produced with only palm fruit oil that is 100% sustainable palm oil certified RSPO as segregated.

HAZELNUTS


In FY 2016/2017, the Group achieved full traceability for more than 25% of its hazelnut supply.
Traceability is essential to ensure the quality standards of production and products.

Turkey produces around 75% of the world’s hazelnuts annually. In this country, Ferrero remains one of the largest players and, for this reason, in 2012, the Group decided to start and develop there the Ferrero Farming Turkey (FFT) programme with local and international partners: Ferrero has paid special attention to relations with its Turkish hazelnut suppliers regarding high quality and safety standards and a number of ethical, social and environmental issues.

Furthermore in FY 2016/2017 the Group continued to support and participate in the extended Public-Private partnership with Caobisco (Association of Chocolate, Biscuit & Confectionary Industries of Europe) and the ILO (International Labour Organization) in Turkey for a project named “Integrated Model for the Elimination of Worst Forms of Child Labour (WFCL) in Seasonal Agriculture in Hazelnut Harvesting in Turkey”.

SUGAR


In FY 2016/2017, the total volume of sugar purchased by Ferrero could be broken down into approximately 1/4 refined cane sugar and 3/4 beet sugar.

Ferrero has maintained and committed to strong trust-based relations with numerous agricultural cooperatives and sugar producers, to ensure 100% non-GMO sugar sourcing. In FY 2016/2017 the Group sourced 46% of its cane sugar certified as sustainable.

Since 2010, the Ferrero Group has been a member of “Bonsucro-Better Sugar Cane Initiative”, a worldwide recognised organization that promotes the sustainability of the sugarcane sector through a metric-based certification scheme.
The scheme is supported by the implementation of a production standard that focuses on reducing environmental and social impacts including biodiversity, ecosystem, human rights and labour standards, legal compliance.

ANIMAL WELFARE


Ferrero considers animal welfare an important principle of its social responsibility. Animal welfare contributes to the quality and safety of products, as well as the sustainability of the supply chain over time.
Animal welfare is an integral part of the Ferrero code of business conduct. In defining the priorities of its commitment, Ferrero has chosen to gradually implement compliance with the five freedoms for the protection of animal welfare, developing them over time and anticipating changes in regulations.

EGGS


Our egg supply chain is integrated (suppliers have the control of life cycle of their animals and the feed composition). And we are committed to sourcing eggs from cage-free hens living in barns for our global supply chain.

We reached our objective of using 100% cage-free eggs in 2014 in the EU; and even though our European egg supply chains accounts for 95% of all the eggs we use globally, we will maintain our commitment to source only cage-free eggs and egg ingredients  globally by 2025.

In 2013, we developed two new manufacturing plants outside Europe, in Turkey and Mexico. The eggs used in these plants make upp approximately 5% of our global consumption. Although this represents a small quantity, we are developing a cage-free egg sourcing strategy for Mexico and Turkey to fulfill  our commitment.

MILK


Over the years, Ferrero has developed and nurtured longterm relationships with milk producers whom are carefully selected locally.

Ferrero sources milk directly from its dairy partners, selected according to strict standards to ensure the control of the entire chain as well as constant freshness, taste and safety. Through the short, controlled supply chain, Ferrero is able to create a streamlined system of traceability, which goes beyond legislation (including 100% traceability of dairy farms), to provide a clear picture of the path from farm to product. In 2015, Ferrero implemented the “Milk Quality Project” (M.Q.P.) for 14 strategic suppliers in different geographic areas (from Italy to Turkey, from Scandinavia to India), representing more than 98% of the milk supplied to the Ferrero plants in Europe.

FERRERO’S HAZELNUT AGRICULTURAL COMPANIES

Ferrero now operates along the entire hazelnut supply chain, from the field to the industrial processing phases, to the sale to companies working with semi-finished products, achieving, in practice, a totally integrated food supply chain model. At the end of 2014, this integrated management led to the birth of the Ferrero Hazelnut Company (HCo), with the aim of bringing together all actors operating within the hazelnut supply chain under a single organisation: from the cultivation of farms, the development of hazelnut cultivation strategies by farmers, agronomic research and development, to sourcing, industrial transformation and the sale of products and semi-finished products containing hazelnuts.

The Group’s new role through the Ferrero Hazelnut Company led to a redefinition and a widening of its scope of action: while previously the Group acted only at a procurement level, today, thanks to the HCo, it has both acquired a considerable know how in processing the raw ingredient and become one of the world’s major players in the hazelnut sector.

FERRERO'S FARMS

Ferrero's farms are owned by the Ferrero Group, located in new areas considered suitable for hazelnut cultivation. The farms are the HCo's agronomic “research laboratories”, as true model farms with a triple function:

experimentation: to verify the adaptability of the different varieties of hazel trees to local agricultural and climatic conditions and experiment with different agronomic techniques;
demonstration: to encourage and promote the cultivation of hazel trees to local farmers;
productivity: to set aside a significant part of the hazelnut harvest to Ferrero.