A NEW COMMERCIAL AGREEMENT AT THE SERVICE OF FOOD AND CLIMATE TRANSITION HAS BEEN SIGNED BY THE CARREFOUR GROUP AND THE BEL GROUP AS OF FEBRUARY 1ST.
Through a business agreement reached on February 1, the Bel group and the Carrefour group are updating the foundations of their industrial-distributor relationship in support of wholesome and sustainable food for all people as well as climate preservation. All of the actions done together form a solid foundation for the customer, for the dairy industry, and for the 1.5 degree climate transition.
Two organisations dedicated to the transformation in food and climate
The Carrefour Group reaffirmed its commitment to provide the best to all of its consumers during the introduction of its “Carrefour 2026” strategic plan. In November 2022, Carrefour, which in particular adopted a 1.5°C trajectory for its direct emissions from 2020 and received an A rating from CDP Climat for a second consecutive year, also declared that it would now involve all of its eco-system in the fight against global warming. For instance, it would ask its 100 major suppliers to do the same by 2026 or risk being dropped from its retailer list.
The Bel Group also announced in March 2022 its 1.5 degree trajectory, validated with Science Based Targets Initiative (SBTi), and acts on its entire value chain: product innovations towards more plants, support for agricultural upstream, eco-design of packaging, reduction of the environmental footprint of its factories, and the struggle against food waste.
Since 2020, the two businesses have worked harder to improve their cooperation on societal and environmental concerns that are becoming more and more important to customers. Bel is prominently involved in Carrefour’s Food Transition Pact, the cross-sector working group established to address biodiversity, and the 20 Megaton Platform established to address Scope 3 indirect emissions.
An unprecedented “360 agreement” signed on February 1
The agreement concluded by the two groups covers various areas:
– A wide and diversified product portfolio meeting all consumer needs, in particular the development of the vegetable offer and formats adapted to accessibility issues, across all distribution channels
– Support for the dairy sector with an increased milk price corresponding to the 2023 Bel & APBO agreement (Association of Bel Ouest milk producers)
– A revision clause taking into account the evolution of the price of milk, ensuring the principle of runoff according to the principles established by the EGALim 2 law
– The management of objectives through commercial indicators, but also the evolution of the carbon footprint of Bel products at Carrefour
The agreement has been in effect since February 1—before the official closure date—suggesting that the two parties want to move rapidly to take action on the food and climate transition despite being aware of the problems facing respective ecosystems.
Bel France’s managing director, Béatrice de Noray, says:
Our partnership and this agreement are in line with the initiatives taken by Bel for affordable and ethical French food, including the payment of our breeder partners, support for sustainable agricultural methods, the creation of more plant-based products, and even the optimization of our transportation. It perfectly exemplifies the kind of partnership that the agri-food industry needs to uphold the value of high-quality, sustainably produced French food.
Carine Kraus, Executive Director of Engagement for the Carrefour Group, says
Carrefour has decided to include its ecology in the fight against global warming, adding to its already strong commitment to its climate trajectory. In order to do this, we require our top 100 suppliers to have a 1.5 degree trajectory by the year 2026; if not, they will be removed from our shop lists. Additionally, we are doing this by forming alliances with our most climate-aware suppliers, like BEL, with whom we recently inked a deal that incorporates both environmental and economic goals, which is a true innovation.