EconomyFinancialSustainable agriculture and packaging, Kellogg's way forward to 2030

Sustainable agriculture and packaging, Kellogg's way forward to 2030

As a leading company in the food sector, Kellogg’s México assumes its social responsibility to help guarantee food safety in the country, considering it the core of its commitment to people.

However, according to Víctor Marroquín, president and CEO of the company, food safety is also intertwined with other important challenges, such as the impact of the climate, the dilemma of food waste and the depletion of natural resources.

For this reason, they have launched various initiatives and programs that he talks about, in detail, in an interview.

Expansión: What specific actions is Kellogg’s taking to contribute to the fight against climate change?

Víctor Marroquín (VM): We know that climate change is already present and that the only thing we can do is work hard as a society to reverse its consequences.

Today, as companies and individuals, it is extremely relevant to raise awareness of our actions to eradicate all those that damage the environment and create best practices to be increasingly sustainable and ethical with the environment.

It should be remembered that our first cereal boxes were made with recycled materials, in 1906, and today we continue with our duty to ensure that 100% of all wood-based packaging is recycled or certified.

By 2025, we have the firm commitment to evolve towards 100% reusable, recyclable or compostable packaging and, so far, in Latin America we have made 85% progress in this goal.

E: In terms of more efficient use of resources, what policies does the company follow?

VM: We have always addressed sustainability issues through different solutions, including improving the health of farm soil, protecting biodiversity, halting deforestation, and mitigating greenhouse gases.

In this sense, we work hand in hand with the International Center for the Improvement of Maize and Wheat (CIMMYT). Through the Support to Responsible Sourcing project in Mexico, we are helping farmers produce sustainable yellow corn in Sinaloa, Guanajuato and Querétaro, to migrate to a conservation agriculture that allows a more efficient use of natural resources.

Similarly, we collaborate with CIMMYT to conserve the environment, increasing available soil water, reducing heat and drought stress, and increasing long-term soil health.

Thus, we have achieved the best use of water, since participating producers have increased their efficiency in the consumption of this resource by 10% for, for example, the production of one ton of corn.

We have also reduced the emission of carbon dioxide into the atmosphere by 23% as a result of using less fuel for production, compared to conventional practices.

E: It touches an important point, the reduction of polluting emissions. As part of its sustainability strategy, how is Kellogg’s meeting these goals?

VM: We are assuming this and other commitments in a comprehensive manner, since migrating to a more sustainable agriculture model brings benefits in the chain. Our goal is to reduce greenhouse gas emissions by up to 45% by 2030, in terms of what they generate when they produce and who sells the proportion of energy and fuel.

The implementation of systems such as Conservation Agriculture has led producers to obtain significant savings, in addition to favoring the structure and quality of their soils, as well as air quality, since they avoid releasing considerable amounts of CO2 into the atmosphere.

E: Being a food company, how do you promote both fair trade and more responsible practices in the Mexican countryside?

VM: As I mentioned earlier, in conjunction with CIMMYT, we work on the Support for Responsible Sourcing project in Mexico and we have increased profitability by 36% (on average) for 225 yellow corn producers in Sinaloa, Guanajuato and Querétaro.

The project involves sustainable agriculture practices in an area of more than 6,000 hectares, equivalent to 10 times the area of the Chapultepec Forest in CDMX. Producing sustainably benefits not only farmers, but also the entire value chain, as stronger and more direct business relationships are promoted with them.

In Sinaloa, the main supply region for Kellogg, an optimal handling of agrochemicals was carried out in 100% of the plots; This means that suitable products have been used both in the treatment of seeds, as well as in the management of pests and weeds, in addition to incorporating techniques such as agroecological pest management.

From sowing, the producers linked to this initiative receive agronomic and commercial support that allows them to have greater certainty in the projection of their income at the end of the harvests.

To have strategies that allow facing the volatility of the market and production, it is essential to have more resilient agri-food systems.

E: And with these practices, how does the company collaborate to solve food insecurity?

VM: Since 2017, we have been working hand in hand with CIMMYT on various programs. One of them is “Corn for Mexico”, with which we seek to increase production in a sustainable way in order to consume more local produce.

The expectation is to grow the local yellow corn supply for Kellogg in Mexico, grown using conservation agriculture techniques.

It is intended that, this year, a total of 300 small and medium producers will generate more than 100,000 tons of this grain with sustainable techniques, which will be used in Corn Flakes cereal and other cereals based on whole corn grain.

We are very proud to have such important allies, such as CIMMYT, who collaborate with us to achieve not only our sustainability goals, but also to contribute to the benefit of all those who participate in our value chain.

E: You already mentioned the plan for your packaging to have a lower environmental impact, how will you fulfill that purpose?

VM: We are continually evaluating state-of-the-art packaging materials for our products, ensuring that they protect our food and have a lower environmental footprint.

To achieve our 2025 sustainable goals, we consider three approaches: excluding certain items and materials from our packaging, reducing the use of some items in our supply chain to decrease non-recyclable materials, and redesigning our packaging to be recyclable or compostable.

Importantly, according to the Ellen MacArthur Foundation’s “New Plastics Economy 2020” report, we have one of the smallest plastic packaging footprints among peer food companies globally.

However, we know that these efforts cannot be carried out alone, so we recognize that it is necessary to join forces with other organizations that are part of our value chain.

Our sustainable packaging goal is also part of Kellogg’s global commitment, by 2030, to create Better Days for 3 billion people around the world, addressing the interrelated situations of well-being, food security and climate resilience.

In doing so, we support the United Nations Sustainable Development Goal 12 to ensure sustainable consumption and production patterns.

We want to use our core brands as ambassadors for a positive and eco-friendly lifestyle. This is how, throughout our history, the commitment to the environment has always been present.

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