Field data from 2020
- LDC has adopted SCF’s definition, to consider all soy sourced from municipalities with at least 95% territory in the Cerrado biome, as soy sourced in the Cerrado.
- LDC’s reporting scope has expanded to include our Brazilian joint venture ALZ Grãos (ALZ), in which LDC has a 33% minority shareholding. Based on SCF’s methodology, LDC counts 33% of ALZ’s soy sourced in the 61 focus municipalities (FMs) as part of our indirect sourcing profile. ALZ’s sustainable sourcing commitments are laid out in its Grain Sustainability Policy. With close to 100% of its soy sourced directly from producers, ALZ is working toward full soy supply chain traceability.
Soy volume sourced in the Cerrado (data from 2020)
Out of total volume sourced from Brazil in 2020
sourced in the Cerrado
sourced in other biomes
Soy volumes sourced in the focus municipalities (data from 2020)
Out of total volume sourced from Cerrado in 2020
sourced in the 61 focus municipalities
sourced in other municipalities
Soy volume sourced directly and indirectly (data from 2020)
Out of total volume sourced from the 61 focus municipalities in 2020
Soy volumes traceable to farm for direct sources in the focus municipalities (data from 2020)
Out of total volume sourced directly from farmers in the 61 focus municipalities in 2020
traceable to farm
is not traceable to farm
Mapping of indirect suppliers (data from 2020)
To the first point of aggregation in the 61 focus municipalities
is traceable to the point of aggregation
is not traceable to the point of aggregation
LDC’s Grains & Oilseeds Origination team for Brazil’s Goiás and Minas Gerais states manages relationships with over 2,000 producers, cooperatives and local traders, from 17 warehouses and offices throughout these two states.
The team works hand in hand with our sustainability teams on a range of efforts and initiatives to shape increasingly sustainable supply chains. In particular, we work to drive product traceability as a key enabler of responsible sourcing, and as a basis to engage farmers and suppliers to embrace more sustainable production practices, in line with both LDC’s policies and standards as well as applicable laws and regulations.
Based on my extensive interactions with producers, I believe they are increasingly aware that the long-term continuity and resilience of their business relies on climatic stability, which, in its turn, depends on the compliance with environmental laws and standards, and the adoption of sustainable farming practices. We believe this recognition is partly triggered by an increasing awareness and demand for sustainability in consumer markets.
It’s important that we continue to encourage this mindset through supplier and producer engagement, support and incentives to go beyond legal requirements. This could be either through financing for production expansion over already cleared land, or through compensation for forest and native vegetation conservation on their properties. Continued dialogue and exchanges to raise awareness of consumer demands is also important. These are core activities and focus areas for LDC’s origination teams, working to facilitate producers’ access to sustainable production methods, programs and incentives that encourage preservation of natural resources and native ecosystems.
Grains & Oilseeds Origination Manager for Goiás and Minas Gerais, Brazil