Ferrero’s Hazelnut Charter: towards a hazelnut industry that creates value for all
Ferrero has published a Charter outlining its aim of being a driving force behind a hazelnut industry that creates value for all. With hazelnuts being a characteristic ingredient in its products, Ferrero is committed to driving sustainable changes in the hazelnut supply chain. The Charter is based on Ferrero’s selected priorities in three areas: Human Rights and Social Practices, Environmental Protection and Sustainability, and Supplier Transparency.
Ferrero has been an Earthworm Foundation member since 2013, developing approaches to protect forests and people within its palm oil supply chain. In 2019, this membership expanded to include Ferrero’s hazelnut value chain with the objective of working together to refine its existing hazelnut Responsible Sourcing programme. Having assessed this programme, as well as conducting field trips to Italy and Turkey, we were able to better understand the specific challenges within the hazelnut sector. The Charter is informed by this collaboration and Ferrero’s approach to address these challenges, in partnership with its suppliers and other value chain actors, towards its commitment to a sustainable and ethical value chain.
The challenges in the hazelnut sector are complex, and in some countries deeply rooted. They involve the need to improve working conditions for agricultural workers in order to address social issues, including child labour. Ferrero’s vision, as outlined in its Charter, for a sustainable hazelnut production, means that farming communities are thriving, workers and children’s rights are respected, and environmental values are enhanced through regenerative agricultural practices.
The Charter is applicable across all Ferrero’s hazelnut sourcing. The approach is based on ensuring compliance with its policies to which all of its suppliers are expected to adhere, and its belief that it must “Go Beyond” compliance by identifying specific commitments based on selected priorities and initiatives to tackle the complex challenges.
The Charter is structured around three pillars that are founded on a due diligence process which covers all of its suppliers:
- Human Rights and Social Practices - the commitment within this pillar focuses on joyful growth and child protection across its sourcing areas and on improving the livelihoods of hazelnut communities and enhancing farmer resilience.
- Environmental Protection and Sustainability – the commitment to apply the principles of regenerative agriculture on its Agrifarms and to support the adoption of these principles by the agricultural community across selected territories in its main sourcing countries.
- Supplier Transparency - the commitment to achieve full traceability to farm level of its sourced hazelnuts.
Ferrero will transparently share its progress and the challenges it faces along the way by publishing annual action plans and updates on the implementation of the Charter. Central to enabling the implementation of the Charter will be its sustainability programme, Ferrero Farming Values (FFV) for hazelnuts.
“We are pleased to be partnering with Ferrero in its aim to drive lasting change in the hazelnut supply chain. Ferrero acknowledges that a holistic and long-term approach is required to address the challenges. We look forward to working with Ferrero to realise the commitments outlined in its Charter across its hazelnut sourcing,” says Boris Saraber, Director of Operations at Earthworm Foundation.
“Hazelnuts are at the heart of Ferrero. We have been actively engaged towards a sustainable value chain, through our sustainability programme, Ferrero Farming Values and through collective engagement. The purpose of our new Charter is to build on this work, in our aim to be a driving force behind a hazelnut industry that creates value for all. We will foster transparency by sharing our progress along the way,” says Marco Gonçalves, Ferrero Chief Procurement & Hazelnut Company Officer.