Ferrero Marks 80th Anniversary With Shift Toward Supply Chain Resilience
As Ferrero celebrates eight decades of operations, the confectionary giant is pivoting its 2025 sustainability strategy toward a framework dubbed Ferrero Farming Values. The initiative aims to standardize supplier accountability across its global network, moving beyond simple compliance to address systemic risks in cocoa, palm oil, and hazelnut production.
The report, covering the 2024/25 financial year, reinforces the company's long-standing philosophy of "sacco conosciuto"—knowing exactly what is in the bag. This approach centers on five pillars: supplier due diligence, traceability, certification standards, community farming support, and sector-wide transformation. According to CEO Lapo Civiletti, the framework provides the necessary agility to manage the distinct realities of different ingredient supply chains while maintaining strict oversight.
Sustainability metrics show a significant push for transparency. Ferrero reports 98% traceability for cocoa and 98.6% for palm oil, with coffee beans reaching full traceability to plantation polygon maps. To bolster these efforts, the company utilized its EUDR-aligned monitoring process to analyze nearly 230,000 supply chain polygons, aiming to ensure deforestation-free sourcing. Environmental efforts also saw a 7.2% year-on-year reduction in Scope 1 and 2 greenhouse gas emissions, aided by the transition of 24 manufacturing plants to 100% renewable grid electricity.
Beyond sourcing, the group is refining its operational footprint. The company launched a Decarbonization Hub to help factories implement scalable roadmaps and completed its first group-wide water footprint assessment. On the consumer front, 92.9% of packaging is now designed for circularity, with plastic-to-product ratios for Ferrero Rocher boxes dropping by 14.7% since the 2019/20 baseline. These initiatives reflect a broader ambition to align product innovation with updated nutrition criteria and responsible marketing principles as the company enters its ninth decade.
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