Mondelez seeks sustainability bang for coffee buck in Vietnam


- Last updated on GMT

Mondelez seeks sustainability bang for coffee buck in Vietnam

Related tags Sustainability

Mondelez International says its first training center for coffee farmers to promote sustainability and entrepreneurship, in Vietnam, will help it meet a 100% sustainable sourcing goal in Western Europe.

Today the $35bn turnover company - coffee brands include Kenco, Carte Noire, Jacobs, Gevalia, Grand Mere - says it is two thirds of the way towards meeting that goal in Western Europe, but suggests its Central and Eastern European markets now meet a lower level.

Since the latter two markets were included within Mondelez Europe from 2013, “more than half”​ the beans used across the wider region are sustainably sourced, the company said.

The world’s second-largest coffee firm said that its Vietnam investment was the first step in its wider $200m plan (‘Coffee Made Happy’) to empower one million coffee farming entrepreneurs by 2020.

Boosting yields, upping bean quality

As one of the largest coffee buyers in Vietnam, Mondelez said its move would have a big impact and said it supported its 100% sustainability goal – against a 2015 deadline – in Western Europe

Together with 4C Association and supplier Atlantic Commodities Vietnam (ACOM), the program will train 1500 farmers in agricultural practices to help boost coffee yields and increase bean quality.

Mondelez hopes these investments will help farmers supply about 7000 metric tons of coffee that meets the 4C standard and improve the livelihoods of around 5000 families in growing communities.

'Coffee Made Happy' programs

Hubert Weber, president, Global Coffee at Mondelez International, said: “’Coffee Made Happy’ is focused on helping farmers to become more successful entrepreneurs by working with partners to improve coffee production and business skills.”

Weber added that farmers were learning how to manage their businesses more effectively through simple tools like profit-and-loss log books, and were using new skills to grow more coffee with fewer resources, leading to more productive and profitable farms.

Over the next two years, Mondelez plans to invest $1m+ in Vietnam and Indonesia to support Coffee Made Happy programs to scale-up sustainable coffee in both countries, in tandem with the IDH Sustainable Coffee Program.

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