January 24, 2024

Bangkok Produce Merchandising, Louis Dreyfus Company to collaborate on satellite mapping for soy traceability

Bangkok Produce Merchandising Public Company Limited (BKP), a subsidiary of Charoen Pokphand Foods Public Company Limited (CPF), and Louis Dreyfus Company (LDC) have signed a memorandum of understanding to collaborate on the utilisation of satellite mapping solutions and traceability data points to ensure sustainable and deforestation-free supply chains.

BKP and LDC are committed to a common goal of deforestation-free supply chain by 2025. As such, both companies will work together for commercial, sustainable and technical efforts including shared traceability data points and systems, and satellite mapping verification along its supply chains. The agreement covers soy products from LDC in Brazil destined for several Asian countries, where BKP and CPF produce and sell feed and food.

Paisarn Kruawongvanich, chief executive officer of BKP, said consumers today are increasingly prioritising responsibly sourced products.

"This agreement with LDC demonstrates how we are working with partners to bring the full supply chain together to transform agriculture, driven by innovation," Kruawongvanich said. "However, this cannot be done alone as the whole food and agriculture system needs to work together to drive quicker innovation that carries a lower impact to our environment."

"We are pleased to join forces with CPF in establishing the Traceability Pilot Project, toward more traceable, low-carbon and sustainable supply chains," said James Zhou, LDC's group chief commercial officer and head of food and feed solutions. "This project fully aligns with LDC's commitment to fostering sustainable practices across our business activities, delivering impactful solutions that meet customer and consumer demands, and ultimately contributing to a more sustainable and resilient future of food and agricultural production."

Through the MoU, both companies reaffirm their commitment and efforts to advance decarbonisation and use CPF's integrated value chain to deliver more sustainable and low-carbon products and services. They also intend to explore opportunities for further develop systems integration with a focus on enabling real-time data transfer and improving the digital traceability solution to be compatible with EU Deforestation Regulation (EUDR, Regulation (EU) 2023/1115) and sustainability certification standards, such as the Round Table on Responsible Soy (RTRS), the International Sustainability & Carbon Certification (ISCC) and ProTerra standard.

- CPF