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50 2014 Registration Document
Social responsibility
2
Action plans
■
incorporate environmental and societal factors into the purchasing
process: integrating supplier and subcontractor environmental and
social performance and contributing to local development;
■
conditions for quality supplier/subcontractor relations: increasing
professionalism of Purchasing departments and procedures, building
relationships and commercial mediation.
◗
With the farming sector: developing long-term
cooperative relations
The 1992 launch of the first Carrefour Quality Commitment (CQC)
products in France marked the beginning of Carrefour’s commitment to
French producers. The initiative was subsequently renamed Carrefour
Quality Lines (CQLs), and the partnership with farmers was enhanced
when the Group established three-year agreements for all of the relevant
lines in France (meat, fish, seafood, fruit and vegetables, cheese, eggs
and honey). Each CQL has given rise to long-standing partnerships
designed to develop a quality approach, together with all supply chain
players, and to ensure outlets for the products. The lines therefore help
sustain and promote local business and regional expertise. Carrefour
works closely and establishes trust with all network players (agricultural
producers, animal breeders and processors) over time, taking into account
their needs and helping them to stay abreast of regulatory developments,
implement more eco-friendly practices, reduce pesticide use and improve
animal well-being.
KEY FIGURES
8.5
% of Group sales of fresh products come from
Carrefour Quality Lines
552
lines worldwide, +33.3% compared to 2013
Over
21,000
producer partners
throughout the world
(including over 18,000 in France)
◗
Helping suppliers achieve growth
◗
Local suppliers
The Group has always given priority to local procurement of products,
particularly food products, so they are produced in the same country
where they are sold. In Argentina and Brazil, the share of Carrefour food
products sourced from local suppliers is close to 100%. Carrefour thus
supports the growth of thousands of SMEs and small producers in all
the countries where it operates, while helping to lower CO
2
emissions
created by the transport of imported goods. The Group develops long-
term relationships with local businesses that improve their production
quality and boost their growth.
In France, for example, in summer 2014, the Group signed an agreement
with French tomato, cucumber, peach and nectarine producers, as well
as an unprecedented agreement with Légumes de France, the federation
of vegetable producers under the FNSEA. Through this agreement,
Carrefour launched promotions in 1,200 stores across France to promote
fruit and vegetable production and to encourage their consumption by
the general public. These operations were carried out in response to
exceptional weather conditions, which resulted in a 30% rise in fruit and
vegetable production volumes as compared to previous years. Carrefour’s
action prevented prices from collapsing and took the producers’ business
needs into account.
%OF SALESOF CONTROLLED FOODPRODUCTS FROM
NATIONAL SUPPLIERS
2014
Europe
73%
South America
93%
Asia
27%
GROUP TOTAL
73%
Local suppliers are also promoted by developing regional product
ranges. These include the Reflets de France brand, involving nearly
220 local French producers (excluding fruit and vegetables) and achieving
total sales of over €340 million with more than 500 regional products.
Thirty new products were launched in stores during 2014. To take this
support of French SMEs even further, Reflets de France has adopted
an international outlook since October 2013, helping French SMEs to
export their products.
In Italy, the Terre d’Italia range promotes traditional Italian food products
and the expertise of the local SMEs that produce them. Over 90% of
Terre d’Italia product suppliers have fewer than 50 employees. By working
closely with 120 producers, Carrefour Italy offers a national range of over
300 regional products to customers. The range, first launched some ten
years ago, is exported to several of the Group’s European countries (such
as Belgium and Romania). In Spain, De Nuestra Tierra is the equivalent
of the Reflets de France products in France.
In addition to these measures, Carrefour gives priority to French producers
for its Carrefour BIO product ranges. Carrefour launched its first organic
product in 1992: the Boule BIO. 22 years later, the Carrefour group
offered more than 2,250 organic food listings under its BIO brand in
2014. In France, the banner offers over 900 Carrefour BIO food listings
and over 950 BIO cotton textile products.
More than 70% of the Carrefour BIO food products in French stores
come from French production sites. Carrefour works with over 200 French
agricultural and industrial partners. The priority for organic produce is
clearly focused on French procurement, with some 40 different suppliers
involved in the sourcing. The share of imported products concerns mainly
exotic products and citrus fruits not grown in France, as well as organic
products from elsewhere in the European Union when French production
is insufficient.
◗
Support for exports
Carrefour supports SMEs in their export operations, sparing them
exploratory trips and intermediation expenses. During 2014, 16 French
SMEs were listed in Poland and 18 in China. The Group also initiated
the reverse process: Romanian SMEs met with teams from Carrefour
France in preparation for a possible listing.