Contributing to sustainability of communities through production chain

Undoubtedly, developing production chains that improve the life conditions of communities on a sustainable basis is an efficient mechanism to increase income and employment amongst communities. In addition, the Company supports through people, infrastructure and trade channels to strengthen market focus on producers, the development of trading capacities and access to modern trade, which provides an invaluable experience to produces and varied growth opportunities. As a result, we have incorporated an inclusive vision that not only drives development to fight against poverty but also transform and make sensitive our Company, generating both internal and external value.

Consequently, our efforts are focused on:

• Funding production infrastructure and training. In 2014, 36 projects were granted funds in Mexico, all of which focus on craft and farm production.
• Incorporating low-income small producers to the supply chain, as a development mechanism of production capacity, logistics and access to modern markets. The program includes:

• An assessment of the poverty level.
• A Business Case creation and planning of the productive and trade project.
• Production and logistics training as well as providing conditions for sale and delivery.
• Development of soft and hard competencies.

The development of a commercial platform to buy from low-income small producers under preferential pay conditions and distribution costs, as well as the training funding and product development, as described on the Supplier development chapter, has played a significant role on the growth of this program and its social impact.

In order to strengthen the program and increase the number of supported suppliers, in Mexico, the Co-Creation Forum for Inclusive Farming was developed. Through the Forum, best practices on small producer incorporation and development will be shared with other organizations; this all aims at improving standards and strengthening the relationship between corporations and multiplier organizations in the benefit of more producers.

In Mexico in order to promote the sale of products developed by small producers a campaign called Small Producer, You Can Count on Us was launched in 2014. By posting communication on the point of sale, product in-store signage, electronic communication on the social media and the sale of products on line, achieved a 83% on line sales increase of such products, as well as more awareness of the program and the stories built behind each of the 118 products currently traded.