Mr. Wuthichai Sithipreedanant, Senior Vice President for corporate social responsibility and sustainable development of CP Foods, said CP Foods recently carried out a social and environmental impact of its contract farming scheme, through internationally-recognized impact valuation protocols which pinpoint the financial results of the scheme's positive and negative impacts.
The society result of the project shows:
- Farmers can spend more time with their families from 1.9 hours a day to 4.3 hours, resulting in less social problems related to drug uses among the youth
- The scheme reduces the ratio of farmers living under the poverty line from 38% to 0% and 3) 85% of farmers can enable their children to achieve the above-basic education level.
On the environmental aspect, the valuation shows that nearly all farms of CP Foods contracted farmers adopt biogas techniques. Though swine farms' electricity and fuel usage emit greenhouse gases, biogas techniques at the end help the farms reduce greenhouse gases by 92,000 tons of CO2 equivalent per year.
Conclusively, the social and environmental impacts created positive impacts worth as high as Bt 230,475,694 per year.
“The impact valuation confirms that CP Foods contract farming scheme is part of a drive towards social and environmental sustainability and this process is reviewed and affirmed by a world-class sustainability organization," Mr. Wuthichai said.
The valuation is carried out under the Natural Capital Protocol and Social Capital Protocol of the World Business Council for Sustainable Development (WBCSD). It covers income-guaranteed swine breeders in the northern, northeastern, central, western, eastern and southern parts of Thailand. The valuation is completed by the students from 4 Thailand’s leading university including Chiangmai University, Walailuck University, Rajamangala University of Technology Tawan-ok (Bangphra Campus), and Panyapiwat Institute of Management. CP Foods is also the first Thai company whose valuation is re-assessed by Lloyd Register International (Thailand) Ltd, an international sustainability assessment agency.
Aside, the contract farming impact valuation will be a key element in nominating CP Foods for the Dow Jones Sustainability Indices (DJSI) next year. CP Foods has been named members of the DJSI for 4 consecutive years.
August 29, 2019 - CP Foods