Boosting Value Creation for Brands and Retail through Responsible Soy Sourcing
Soy4Brands facilitates transactions between producers and end buyers of responsible, deforestation-free soy, by closing term contracts on RTRS Credits with regional focus. This builds farmers’ trust, accelerates regional uptake and improves the feasibility of physical trade.
Many brand owners and retailers have 2020 commitments to responsible, deforestation-free and conversion-free sourcing. But the complexity of the soy supply chain, together with a very low ratio of responsible* production (approx. 1%), makes it difficult to meet these commitments. Higher volumes, in both production and purchase, are needed to achieve physical trade of responsible soy at affordable prices. For small volumes and “on the spot” trades, Book and Claim does not guarantee clean supply chains or stimulate further sustainability development on a regional level.
*according to RTRS or equivalent standard
THE WORLD SOY PRODUCTION
- % Non-responsible Soy
- % Responsible Soy
A contracting system with a regional focus connects producers directly to retailers/brand owners via “(credit) term contracts” for different categories. Through these contracts, Soy4Brands secures financial contributions for farmers/regions investing in responsible production. The contracts create a term visibility and formalize agreements for uptake.
An intermediation service facilitates the dialogue between supply (farmers) and demand (Brands/Retail). Soy4brands builds a new direct dialogue and relationship between farmers and Brand Owners/Retailers with a long-term perspective, continually balancing supply and demand.
An on-line monitoring dashboard will communicate the progress of commitments and uptake.This provides essential information to companies who are looking for more visibility, transparency and storytelling regarding the impact of their investments and communicating these to civil society.