Arla Foods to Ensure Responsible Approach to African Markets

 Breaking News
  • UK Water Drinks Approach 4,000 Million Litres UK consumption of water drinks rose 7% in 2017 to nearly 4,000 million litres, with a retail value of £3.1 billion, according to a new report from global food and drink experts Zenith. Sales of plain bottled water in retail packs increased by 8% to over 3,100 million litres, while volume through bottled water coolers [...]...
  • Nestlé Brings Innovative Nitrogen Infused Coffee to the UK Nestlé is launching a brand new product for coffee fans in the UK and Ireland. Nescafé Azera Nitro is a coffee drink infused with nitrogen for a smoother taste. It will be available in Americano or Latte flavours. Nescafé Azera Nitro Americano is a refreshing and smooth black coffee infused with nitrogen. Nescafé Azera Nitro [...]...
  • ADM Realigns Business Segments to Further Accelerate Growth Archer Daniels Midland Company (ADM) has announced the realignment of its business segments across four units – Carbohydrate Solutions, Nutrition, Oilseeds and Origination. The new segments better reflect ADM’s operating structure and will enable the company to further highlight the differentiation of its product and service offerings and enhance its ability to respond to the [...]...
  • Highland Spring Selects Mainsaver CMMS Spidex has announced that Highland Spring, a leading supplier of natural source bottled spring water, has selected Mainsaver CMMS to support best-practice maintenance at its plant in Blackford, Perthshire. The new facility, part of a £50 million investment programme, officially opened in July 2017 and was designed to increase Highland Spring’s production capacity by 50 [...]...
  • Ornua Delivers Record Revenue Ornua, Ireland’s largest exporter of Irish dairy products which supplies to over 110 countries worldwide, has reported record revenue of €2.1 billion for the year ended 30 December 2017. It marks the first year of Ornua’s new five-year growth plan, ‘Ornua 2021’, which positions the business as a leading global dairy organisation that delivers results [...]...

Arla Foods to Ensure Responsible Approach to African Markets

Arla Foods to Ensure Responsible Approach to African Markets
January 14
16:00 2015

Arla Foods plans to grow in several African markets in the coming years, but this growth must be achieved in a responsible way that does not bring unintentional consequences for the local farming industry and its related communities. Therefore, Arla is implementing an updated human rights policy throughout its organisation to ensure that Arla’s global business does not leave a negative footprint in developing countries.

Arla intends to increase its current business in sub-Saharan Africa from the annual revenue of approximately DKr650 million (Eur87 million) to approx. DKr2 billion in 2017. This is to be achieved through sales of powdered milk and UHT milk, which is in high demand among the rapidly growing middle class in and around the big cities.

Today Arla sells products in Nigeria and the Ivory Coast, but Arla’s strategic focus is also directed at markets like Ghana, Senegal, Congo as well as other markets in East Africa.

It is the clear ambition of Arla that its activities and growth plans in Africa or other parts of the world do not bring negative consequences for the local farming sector. Therefore, Arla has introduced a list of initiatives to ensure the following:

– Arla will update its human right policy in its code of conduct in order to comply with the UNGPs and the OECD guidelines by 15 July 2015,

– Arla will introduce due diligence procedures complying with the UNGPs and the OECD guidelines by31 October 2015 ensuring that Arla is well placed to manage the human rights impacts of its global business activities in accordance with international human rights guidelines.

– Arla’s human rights due diligence procedures shall identify and prevent as far as possible actual and potential adverse human rights effects caused by Arla’s business activities or to which the company may contribute, in particular in relation to our ongoing or planned activities in developing countries.

– Arla will pilot test its due diligence procedures by conducting and publicizing human rights impact assessments related to its business activities in Ivory Coast and Nigeria. The results of the assessments will be made public by 1 April 2015 and 1 May 2015, respectively.

“More and more African consumers demand types of dairy products that cannot always be produced locally in adequate volumes. We offer good nutrition through our powdered milk products, and simultaneously we want to ensure that our business does not have any negative effects on local farmers,” says executive vice president Finn Hansen, who is head of Arla’s international business group.

For the past months Arla has had a constructive dialogue with the NGO, Action Aid, which has confirmed the need to launch these initiatives.

“Arla is taking these active steps because it is important to us as a cooperative farmer-owned dairy company to be able to document to ourselves, our customers and consumers that we are doing things properly, even in this area as well. We have received advice from different NGO’s, including Action Aid, who have helped us focus on these things,” says Finn Hansen.

Action Aid welcomes Arla’s initiatives, and has high expectations for Arla’s work to implement an active human rights policy and publically report on the company’s human rights risks.

“A more responsible and sustainable food production is the key to fighting poverty and creating global development for the benefit of all. Therefore, it’s a very positive move that Arla is now engaging itself in a more systematic way to understand and hinder potential unintended negative effects of the company’s business for local farmers,” says Secretary General in ActionAid Denmark, Frans Mikael Jansen.

About Author



Related Articles

Food & Drink Business Conference & Exhibition 2016

Upcoming Events

  • March 21, 2018World Olive Oil Exhibition
  • March 28, 2018FOOD INDUSTRY
  • April 4, 2018The leading event for the snack and food-on-the-go market
  • April 5, 2018Slow food The forum for good taste
AEC v1.0.4

find food jobs

The Magazine

F&D Business Preferred Suppliers

New Subscriber

Subscribe Here