Brazilian Orange Juice: Fruitful Sustainability

Transcription

1 Brazilian Orange Juice: Fruitful Sustainability FT Sustainable Agriculture Summit March 29 th, 2012 Christian Lohbauer Executive President

2 About CitrusBR CitrusBR was founded in June 2009 by the biggest Brazilian producers and exporters of citrus juices and derivatives. Since its foundation, it has a Sustainability Subcommittee with regular meetings throughout the year.

3 The Sector More than 50% of the orange juice produced in the world is Brazilian More than 80% of the orange juice traded in the world comes from Brazil Brazil exports 98% of its orange juice production. And 98% of this volume is processed in the state of São Paulo

4 The Sector HOW THE BRAZILIAN INDUSTRY OF ORANGE JUICE WORKS

5 Brazilian Orange Juice Exports KEY MARKETS

6 Highlights: Economic Aspects In one year, the Brazilian citrus chain: Maintains around 230,000 direct and indirect jobs Pays around US$ million in salaries/wages Collects US$ 189 million in taxes Exports around US$ 2 billion, equivalent to 2.9% of Brazilian Agribusiness exports

7 Highlights: Economic Aspects 100% of the Fruit is usable. There is no solid waste from the fruit 0.5% Aqueous phase 0.1% Oily phase 2.7% Pulp Cleaning Products Chemical Industry Fragrances 0.9% D-limonene 1.8% Essential oils Orange Juice 44.8% Orange juice 49.2% Peel, seeds and pith Animal Feed Other Food Products Cosmetics

8 Highlights: Economic Aspects One of the main problems in the sector was the lack of reliable information and data available to all stakeholders Since 2010 the sector started a process of increasing transparency and disclosure of information, and is involved in the negotiations to establish a forum between producers and industries to discuss common issues, the Consecitrus

9 Highlights: Social Aspects When a glass of orange juice is served anywhere in the world, it takes with it a number of social benefits - All companies develop social projects in the areas where processing plants are located - All companies prefer to hire local labor, and respect diversity in the workplace - All companies voluntarily offer to their employees benefits additional to the ones required by law - All companies have been engaged for years in the eradication of child labor, being awarded the Abrinq Foundation/Save the children seal *pictures gently provided by Fundecitrus (Fund Citrus Plant Protection)

10 Highlights: Social Aspects Industries Social Projects Cidadão do Futuro Project (Children/Education) Casa da Criança Project (Children) Rechã Daycare (Children) Somar Project (Teenagers/Education) Bom de Bola, Bom na Escola Project (Children/Sports/Education) Pescar Project (Teenagers/Education) Dr. Saúde Project (Health) PROERD (Anti-Drugs/Teenagers) Orange Juice in School Meals (Health/Children) Hematologic Research Center for Children Dr. Domingos A. Boldrini (Health/Children) Criança do Café na Escola Project (Children/Education) Aprendizagem Acesso Programme (Teenagers/Education) Adote uma Escola Project (Education/Children) Ampliar Project (Social Responsibility) Conduta do Bem: quem pratica tem futuro Campaign (Traffic Safety) Abrinq Foundation Seal (Children Protection and Eradication of Child Labor)

11 Highlights: Social Aspects Fundecitrus, a not-for-profit entity established in 1977 through a partnership between the São Paulo state, orange growers and juice industries to keep orange groves healthy and competitive, develops a social project in two of the main cities of the citrus belt (Araraquara and Itápolis) maintaining supplementary education centers for children. The initiative was awarded by the Abrinq Foundation *pictures gently provided by Fundecitrus (Fund for Citrus Plant Protection)

12 Environmental Aspects Use of land To produce 50% of the orange juice in the world, only 1.2% of total Brazilian planted land or 0.41% of Brazilian farming land are used. The sector prioritizes the occupation of areas already degraded The productivity has increased and the area occupied has decreased:

13 Environmental Aspects Emissions of GHGs The sector has been studying since 2009 the carbon footprint of Brazilian orange juice delivered in Europe, in order to monitor and understand possibilities of reduction Most industrial processes are powered by biomass to generate heat, steam and electricity and a few industrial processes are powered by natural gas to replace GMP oil. Most companies light vehicle runs on 100% ethanol and the Brazilian diesel contains 5% of biodiesel for the road transport. The energy matrix in Brazil is predominantly formed by renewable energy sources

14 Environmental Aspects Use of Water 75% of the water used in industrial processes comes from the orange itself (from the process of juice concentration) Since 2011 the companies have started via CitrusBR a pilot study within the Water Footprint Network metodology to understand possible opportunities of improvement

15 Environmental Aspects In the last years, the number of diseases affecting orange groves has increased. The use of defensives, however, has been much more rational and precise The defensives allowed for use in citrus groves are listed in the PIC (Integrated Citrus Production) List, which is stricter than the Brazilian legislation After extensive research and adoption of new technologies, today it is possible to use only the minimum necessary amount of defensives, optimizing the efficacy and lowering risks for the environment and for humans Other good practices: coordinated application of defensives, biological / behavioral control Fundecitrus provides trainings, literature and individual assistance to small and large growers *pictures gently provided by Fundecitrus (Fund for Citrus Plant Protection)

16 Environmental Aspects Other Good Practices All companies voluntarily follow the SGF Code of Conduct, a renowned European entity based in Germany that assures the quality and authenticity of fruit products in the EU Companies adopt a series of good practices in the groves, industries and terminals such as: recycling, reforestation, socioenvironmental certifications, among others.

17 Environmental Aspects Other Good Practices

18 As the largest producer of orange juice worldwide, Brazil understands that improving and multiplying social, economic and environmental best practices is the most sustainable way to increase productivity

19 Brazilian Association of Citrus Exporters Support: