BANGKOK, THAILAND — Louis Dreyfus Co. (LDC) has signed a Memorandum of Understanding (MOU) with Bangkok Produce Merchandising (BKP), a subsidiary of Charoen Pokphand Foods (CPF), to collaborate on sustainable and deforestation-free supply chains for soy products.
The two companies will work together on commercial, sustainable and technical efforts, including shared traceability data points, systems and satellite mapping verification along supply chains. The agreement announced Jan. 19 covers soy products sourced by LDC in Brazil destined for countries in Asia, where BKP and CPF produce and sell feed and food.
“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, group chief commercial officer, head of Food & Feed Solutions and head of Asia for The Netherlands-based LDC. “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 said they are reaffirming their commitment and efforts to advance decarbonization and use their integrated value chain to deliver more sustainable and low-carbon products and services.
The companies also intend to explore opportunities for further systems integration with a focus on enabling real-time data transfer and improving the digital traceability solution to be compatible with European Union deforestation regulation and sustainability certification standards.
“This agreement with LDC demonstrates how we are working with partners to bring the full supply chain together in transforming agriculture, being driven by innovation,” said Paisarn Kruawongvanich, chief executive officer of BKP. “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.”
