Approach to Sustainability
We take a group-wide, strategic approach rooted in ethical and environmentally responsible trading for the benefit of communities and the planet.
Group sustainability strategy
Defining what matters to us
Our Group's sustainability strategy was developed based on the comprehensive materiality assessment conducted in 2019. From the outset, we recognized the need for a flexible and evolving approach that could address a broad range of sustainability topics relevant to our industry over time.
In anticipation of the upcoming CSRD, we conducted a Double Materiality Assessment (DMA) which aligns with the European Sustainability Reporting Standards (ESRS). The DMA has a strong emphasis on stakeholder engagement and ensures that the entire value chain is considered. The value chain mapping was conducted for cocoa, coffee, cotton, soy, sesame and cashew to ensure we fully capture our impacts across our commodities.
The topics identified also align with the forthcoming EUDR, set to take effect at the end of 2025. The EUDR presents both opportunities and challenges for ECOM and its stakeholders, positioning deforestation and land use as critical areas of focus.
Read more in our 2024 Group Sustainability Report
Sustainability pillars
Supply Chain Management
Supply Chain
Boots on the Ground
The supply chain for each of our core businesses is long and complex, going from origination, to processing, to export, to warehousing and finally merchandising.
ECOM is active at each point along this journey: we’re there to support farmers and producers on the ground during the growing process, and we’re constantly innovating to extend efficiencies throughout the processing, shipping and warehousing steps, to minimise environmental impact and to make our customers’ lives easier.
We’re committed to ensuring greater transparency and traceability along the whole chain, in order to meet our own sustainability goals and the expectations of the end consumer.
Environment
Supporting a forest-positive future
Across the Group, our agronomists and environmental experts are there on the ground to help farmers at origin, providing meaningful services that support them in every aspect of their lives.
We carry out biodiversity and deforestation risk assessments throughout our supply chain, benefitting from our understanding of farm management activities and farm locations. We manage remote sensing paired with ground truthing to carry out land-use change analysis as we work to ensure traceability and combat deforestation with farmers in our supply chain.
Additionally, we carry out natural resource management and climate-smart agriculture training to engage producers in water-saving techniques, climate resilience, decarbonisation strategies, and introduce new technologies. ECOM is committed to tackling climate change by protecting and regenerating nature, optimising our natural resource management, and improving farmer resilience.
Governance
Continual improvement
A guiding principle at ECOM is to continue improving how we operate, which means building trust with everyone who is impacted by our work. Governance is a way to reflect our key values, purpose and commitments, which is why we put substantial thought into developing policies that demonstrate our integrity as a Group.
Oversight of sustainability management is retained by ECOM’s Executive Committee, which includes the CEO and top managers. The Executive Committee has a clear responsibility for the policy framework regarding all social or environmental impacts of our operation including on employees, communities, and children.
Our Environmental and Social Committee reports directly to the Executive Committee and manages annual monitoring and reporting across commodities for financial institutions, researches ESG policies and handles Group-level stakeholder reporting.
SMS
Sustainability Management Services
SMS implements sustainability programs and provides products and services for rural populations. We aim to be the leading provider of socially responsible farmer-focused solutions, services, and products.
Our vision translates into three missions:
- To deliver high-value services, including training, input, and technology in order to improve farmer livelihoods and build resilience in the face of climate change.
- To provide access to higher-quality products that enable farmers to increase their overall farm productivity and product quality.
- To create a sustainable and transparent value chain by providing the best services to all stakeholders.
Read more about SMS
The ECOM Foundation
Our approach to social impact beyond our supply chains
The ECOM Foundation was founded in 2006 as a 501(c)(3) non-profit organization for the purpose of making a better life for the producers of cocoa, coffee, cotton and other soft commodities.
The Foundation supports projects which contribute to a better quality of life within communities by integrating social, health, education and environmental concerns. It is committed to long-term sustainability that will provide a permanent change in producing communities.
Social
Human Rights in our supply chain
Systemic poverty is present in many farming communities around the world, and cocoa is no exception. It is well recognized that rural poverty is a root cause for numerous human rights offences, namely child and forced labour.
ECOM works through various channels to create economic emancipation to combat internationally recognized human rights breaches at farm and community levels. Just as a variety of factors contribute to poverty, it takes a number of initiatives to help eradicate it and bring prosperity to farming communities. In 2023, we completed a living income analysis for our cocoa supply chains, and are implementing locally adapted roadmaps to address these gaps in origin-sourced supply chains by the end of 2027.
Read more about human rights in our supply chain