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Improving Agricultural Sustainability through FSA

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AUSTRIA JUICE has set the goal of purchasing 100 % of its products from sustainable sources by 2030. As a member of the Sustainable Juice Covenant (IDH), AUSTRIA JUICE is part of a consortium of several large companies in the beverage industry working towards producing all their goods in a verifiably sustainable manner by 2030.

The focus is on sourcing raw materials, fruit juice concentrates, and purees that are verified as sustainable with at least Bronze status through FSA verification or equivalent certifications such as Global GAP or Rainforest Alliance. Additionally, it must be ensured that production and fruit storage facilities undergo a social audit. AUSTRIA JUICE primarily uses the Sedex SMETA audit for social audits at their sites and the Farm Sustainability Assessment (FSA) for verifying their contract farmers.

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Validating Agricultural Sustainability through FSA

AGRANA, of which AUSTRIA JUICE is a part, has been a proud member of the Sustainable Agriculture Initiative Platform (SAI) since 2014. SAI is a global initiative promoting sustainable agriculture. One of the key tools developed by the SAI Platform is the Farm Sustainability Assessment (FSA), designed to measure, improve, and validate sustainability in agricultural production.

The FSA is a comprehensive evaluation system that helps companies assess the sustainability performance of their contract farmers. It covers a wide range of sustainability topics, including environmental, social and economic aspects.

The FSA provides a standardized methodology to improve and make the sustainability of agriculture worldwide transparent. The evaluation process occurs every three years, starting with a self-assessment by the farmers, followed by external audits conducted on a random sampling basis. At the end of the process, suppliers are categorized into Gold, Silver, Bronze or Non-Bronze tiers.

Meeting Sustainability Standards and Customer’s Expectations

The FSA not only supports ecological sustainability and social justice in agriculture but also helps companies meet regulatory requirements and customer expectations regarding sustainability. Implementing the FSA enables us to make our supply chains more transparent and minimize the risk of sustainability issues.

The demand for sustainable fruit juice concentrates is steadily rising, with customers increasingly seeking products that meet sustainability criteria. By implementing the FSA, we ensure our products align with these expectations. From the fiscal year 2018/19 to the end of 2022/23, the percentage of FSA-verified farmers grew from 16 % to 40 %, underscoring our ongoing commitment to sustainability.

FSA_raw material_image_blogpostOur FSA verification encompasses about 5.000 direct suppliers in the main growing regions of Hungary and Poland. These suppliers are re-verified every three years, with the re-verification process recently completed in Poland. The following table shows our current results:

Ungarn
Product category: Apple, Sour Cherry, Elderberry

  • Gold: 12 %
  • Silber: 88 %

Polen
Product category: Apples, Black Current, Cherry, Aronia, Straw Berry, Raspberry, Elderberry, Pear, Red Current, Plum

  • Gold 1 %
  • Silber 98 %
  • Bronze 1 %

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Insights from Poland’s FSA 3.0 Audit

In August 2024, we conducted a re-verification of the Farm Sustainability Assessment (FSA) in Poland. This process is crucial to ensure and enhance the sustainability of our agricultural practices.

The FSA audit occurs every three years and is organized within Farm Management Groups (FMGs), which are established by AUSTRIA JUICE in each country. For this audit, all participating farmers from Poland were grouped together under one Farm Management Group. A random sample of 40 farmers from this group had to fill out a Self Assessment Questionnaire (SAQ) with over 100 questions. These questions cover various aspects of agricultural practice, including:

  • Plant Material
  • Soil Management
  • Crop Protection
  • Nutrient Management
  • Waste Management
  • Water Management
  • Biodiversity
  • Air Quality and Emissions
  • Labour Conditions

From these completed questionnaires, another random sample of 9 out of the previous 40 was selected for on-site audits, which are conducted both internally and externally.

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      FSA Audit Poland, August 2024

At the end of the verification process, suppliers are categorized into Not Yet Bronze, Bronze, Silver, and Gold tiers based on their percentage scores. Additionally, a Continuous Improvement Plan is developed, which the Farm Management Group must follow to continually enhance their sustainability practices.

These comprehensive assessments enable us to ensure sustainability among our contract farmers, bringing us step by step closer to our goal of achieving 100 % sustainable sourcing by 2030.

Conclusion:

AUSTRIA JUICE aims to procure all of its raw material from sustainable sources by 2030 and relies on comprehensive verification and audit processes. As a member of the Sustainable Juice Covenant the company uses the Farm Sustainability Assessment (FSA) to ensure the sustainability of its supply chains. The FSA process includes farmer self-assessments, random audits and categorisation into sustainability levels. These measures are intended to promote ecological and social standards in agriculture and increase transparency in the supply chain. The regular reviews and continuous improvement plans support the goal of achieving fully sustainable procurement by 2030.

 

Christiane HörmannAuthor

Sustainability Analyst

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