Rainforest Alliance CertifiedTM Sustainability Goes Mainstream Cranfield 16 June 2009 The Rainforest Alliance An international, nonprofit environmental and sustainable development organization. Our mission is to protect ecosystems and the people and wildlife that depend on them by transforming … Land use practices © Copyright 2008 Rainforest Alliance Consumer Behaviour Business practices 2 Rainforest Alliance programmes Forestry Work with local and indigenous communities to produce more efficiently and at higher quality for international markets. Certified 130 million acres in 60+countries Agriculture 3% of the world’s coffee 3% of the world’s tea 18% of the world’s bananas Cocoa, citrus, mangoes, pineapple, flowers, ferns, passion fruit, brazil nuts, other Tourism Improve sustainability of tourism operations Conserve local ecosystems Recycling, water conservation and waste management Other: Climate, Monitoring and Evaluation, Education.. © Copyright 2008 Rainforest Alliance 3 A 22 years old organization with work in 63 countries. 300 staff based in 13 countries; an operating budget of $30m; 35,000 members and $3bn in annual sales of Rainforest Alliance CertifiedTM products. Almost 35,000 farms certified (1.3m acres); 130 million acres of certified forests in 1,900 operations. Trained 1,500 tourism entrepreneurs in best practices for sustainable tourism. Sustainable Agriculture © Copyright 2008 Rainforest Alliance 5 6 The Principles of Sustainable Agriculture (The Sustainable Agriculture Network Standard) Developed with input from: NGOs Industry Scientists Farmers Farm workers Government 1 2 3 4 5 6 7 8 9 10 © Copyright 2008 Rainforest Alliance Social and Environmental Management System Ecosystem Conservation Wildlife Protection Water Conservation Fair Treatment and Good Working Conditions for Workers Occupational Health and Safety Community Relations Integrated Crop Management Soil Management and Conservation Integrated Waste Management 6 Economics Environment Ethics A holistic view of integrated challenges © Copyright 2008 Rainforest Alliance 7 Impacts on the ground: Economic Farm management plan Integrated crop management © Copyright 2008 Rainforest Alliance Integrated waste management It is about more than price, it is about farmers learning to control their own futures 8 Impacts on the ground: Social Dignified treatment and good working conditions for workers Well managed farms benefit the whole community © Copyright 2008 Rainforest Alliance Occupational health and safety Community relations 9 Impacts on the ground: Environmental Ecosystem conservation Water conservation Wildlife protection Soil management and conservation More collaboration between farmers and conservationists © Copyright 2008 Rainforest Alliance 10 © Copyright 2008 Rainforest Alliance 11 Finca Arroyo Negro © Copyright 2008 Rainforest Alliance 12 Beyond Certification… Monitoring and Evaluation © Copyright 2008 Rainforest Alliance 13 Working with companies Transforming.. 9 Land User Practices 9 Business practices 9 Consumer Behaviour © Copyright 2008 Rainforest Alliance Wednesday, June 17, 2009 14 Across the entire value chain Production Transformation Consumption FORESTRY Landowner / leaseholder Timber co. / government with cutting rights Forest certification, legality verification, and carbon sequestration verification Plywood, paper, Secondary Distributors timber, veneer, work: wood fuel, and furniture, other log-related construction, industries etc. Forest product certification, legality verification, and carbon sequestration verification Retailers Contractors Purchasers of end product Sourcing Assistance AGRICULTURE Farmers Capacity Building, Farm certification, carbon sequestration verification Traders Wholesalers Packaged food manufacturers Supply chain and market linkages, carbon offsets, information sharing Retailers Restaurants / end consumer Engaging companies, communications support, carbon offsets TOURISM Hotels/ Excursions / Activities / Transportation Training in sustainable practices, carbon footprinting and offsets © Copyright 2008 Rainforest Alliance In-bound tour operators Supply chain and market linkages, carbon offsets Out-bound tour operators Tourists / business travelers / companies Linkages to sustainable operations, carbon offsets 15 Nespresso AAA Project Development and application of the Tool for the Assessment of Sustainable Quality (TASQ) Rainforest Alliance Work at Origin © Copyright 2008 Rainforest Alliance TASQ was developed to allow the integration of the principles of sustainability as reflected in the farm assessment criteria of Rainforest Alliance and the quality management principles of Nespresso” 16 TASQ Nespresso TASQ Developed to serve – as an assessment tool for farms and wet mills for sustainability and quality criteria – to provide an “enabling framework” to move farmers forward in the performance of their farms. Rainforest Alliance co-developed the tool, – Benchmarked SAN standard on the sustainability component – “Train the the trainer” workshops for assessors and verification of farm assessments. Exporters required to implement the TASQ in all farms as part of the AAA program. © Copyright 2008 Rainforest Alliance 17 Giving consumers a guarantee Rainforest Alliance and Forest Stewardship Council Credible, third party verification and seal of approval Comprehensive guidelines that balance ecological, economic and social considerations Reputation in sustainability Traceability © Copyright 2008 Rainforest Alliance 18 Case Studies: Chiquita © Copyright 2008 Rainforest Alliance 19 20 Chiquita production and costs Total Ow ned Production 140% 130% Hurricane Mitch 120% 110% 100% 90% 80% 70% 60% 1995 1996 1997 1998 1999 2000 Productivity 2001 2002 2003 2004 2005 Cost/Box Productivity increase of 27%, Costs down by 12%. © Copyright 2008 Rainforest Alliance 17/06/2009 20 Kraft: Different application in different markets © Copyright 2008 Rainforest Alliance 21 Kraft Approach to Sustainability Kraft approaches sustainability as part of its overall business strategy “Making sustainability a part of every business decision” Doing what's right while doing what's good for our business to: – Better manage costs – Drive growth By making decisions that are: – Environmentally responsible – Socially Responsible – Economically Responsible Trans / Agricultural Distribution Commodities Continuous Improvement Short Waste Design Design Water © Copyright 2008 Rainforest Alliance Packaging Energy 22 23 McDonald’s: Leading Change Eight months after launch of Rainforest Alliance Certified coffee in UK and Ireland: Unit sales up 15% Coffee £ sales up 23% Two fifths of customers say Rainforest Alliance certification is ‘really important’ One quarter want to know more about Rainforest Alliance Nine out of ten very or fairly satisfied with quality © Copyright 2008 Rainforest Alliance 23 Food service Operators © Copyright 2008 Rainforest Alliance 24 The Entire Cocoa Production from Sustainable Sources by 2020 100,000 MT Rainforest Alliance CertifiedTM Galaxy in UK Rainforest Alliance Certified in 2010 Unilever 10+ years of working towards sustainability on their own estates: Wanted to roll out sustainability across their entire supply chain Independent Certification to be able to share with consumers © Copyright 2008 Rainforest Alliance 26 The Rainforest Alliance Collaboration Focus on how farms are managed (People, Planet & Profit) Logical fit with Unilever’s own experience Ability to work on an international scale and with both large-scale plantations and small farmers Market-based premium for farmers Ability to help move whole industry © Copyright 2008 Rainforest Alliance 27 Global Commitment to sourcing all tea sustainably: All tea used in PG Tips, Lipton Yellow Label tea bags in Western Europe sourced from Rainforest Alliance Certified™ farms by 2010 Extend Rainforest Alliance certification to all Lipton tea bags globally by 2015 © Copyright 2008 Rainforest Alliance 28 The Journey… 2007 © Copyright 2008 Rainforest Alliance 29 The Journey… 2009 © Copyright 2008 Rainforest Alliance 30 The Journey… 2014 © Copyright 2008 Rainforest Alliance 31 Communications © Copyright 2008 Rainforest Alliance 32 Rainforest Alliance certified packs THE CAMPAIGN Short movie to inform and entertain Promo packs 2nd phase TV “Senor Al” TV announcement “Take a sip” National press, radio and PR © Copyright 2008 Rainforest Alliance 33 © Copyright 2008 Rainforest Alliance 34 Thank You! Rainforest Alliance Certified™ www.rainforest-alliance.org © Copyright 2008 Rainforest Alliance 35