Sustainable supply chain

Promoting responsible practices in our supply chain is essential to our sustainable business strategy.

Sustainable practices in our supply chain

We collaborate with suppliers to build partnerships that promote sustainable development, as we acknowledge our responsibility to the environment and the communities where we operate.

In 2020, our Organizational Unit in Europe launched the first sustainable practices survey for its non-meat supply chain. This exercise enabled us to better understand the social, environmental, health and safety, labor, and integrity practices of 300 suppliers.

After this assessment, we recognized the 25 suppliers who excelled in their responsible practices. The recognition occurred in an online event during which we also presented Sigma Europe’s corporate social responsibility plan and promoted collaborative efforts in sustainable development initiatives.

Sustainable SMEs

In 2020, in collaboration with the Inter-American Development Bank, we launched a study on responsible sourcing focused on small and medium sized enterprise (SME) suppliers of our Organizational Units in Mexico and LATAM. During the first stage, identified the sustainability challenges in the supply chain and collaborated with suppliers in the development of initiatives to strengthen their environmental, social, and business practices.

A group of 25 SME suppliers will participate in a pilot test during 2021, which includes establishing the companies’ mid-term sustainability expectations, as well as a Responsible Sourcing Action Plan across the region.

CDP Suply Chain

We became members of the CDP Supply Chain program. This initiative enables us to develop new interactions with our strategic suppliers to continue to bolster sustainable practices in our supply chain. In 2021, we will begin implementing the CDP survey for at least 50 meat, dairy, ingredients, and packaging suppliers.

2025 Goal

80%

Of our purchases in the meats, packaging, and dairy categories sourced from suppliers that are working to strengthing sustainability practices in their own operations.

2020 Progress

We made progress in our goal by becoming members of CDP in the Supply Chain Program and starting a project in conjunction with the Inter-American Development Bank.

Dairy Development Program

In Costa Rica, we leveraged the Bandera Azul Ecológica (Blue Ecological Flag) award to promote sustainability in 40 dairy farms. The program celebrates voluntary work focused on the protection of ecosystems and climate change mitigation, including initiatives that promote the rational use of resources, the production of organic fertilizers, and a reduction in energy expenses.

In Mexico, through our Dairy Development Program, which has been operating for more than 25 years, we encourage the development of small producers by offering specialized technical assistance. This program supports more than 320 cow and goat milk producers who, in turn, provide jobs to more than 540 families. The relationships developed are based on trust and enable us to nurture growth while strengthening our supply chain.