We help prevent disruption for retailers with supply chain control and enable them to appeal to eco-conscious consumers as we have the people and programs in place to offer traceability and sustainability.
In agriculture, you learn to expect the unexpected. Thanks to our global presence and diversified sourcing, we can always adapt so disruption to your supply is minimized.
Farming can be unpredictable. A harvest might be lower than anticipated. Prices can drop or climb dramatically due to over- or undersupply. But, thanks to being spread across the world and sourcing ingredients from multiple origins, at ofi we can manage these risks. Which means you get reliable supply.
Our diversified global presence also helps to insulate us from supply shocks that may disrupt the production of a particular crop in a particular location in any particular year. It allows us to offer certainty of supply and provide the requisite food safety and quality assurance to our customers through adaptive solutions.
This is supported by our team of risk experts who have deep understanding of agricultural commodities and financial instruments trading to help manage the price changes and volatility that can create a difficult operating environment for producers and supply chain participants. We focus on building long-term partnerships with our customers and offering tailored solutions.
Consumers increasingly want reassurance about where their ingredients come from. Thanks to ofi’s superior traceability, you can give them exactly that.
Providing traceability for agricultural raw materials can be challenging given the complex and fragmented nature of many ingredient supply chains, because many crops tend to be grown by small-scale farmers who sell to an intermediary, who may then sell on to another intermediary, mixing sacks from different sources along the way. With the aim of reducing complexity in our supply chains, we make every effort to work directly with farmers, organising buying stations and local cooperatives.
This way of working not only provides us with the data we need to trace our supply back to the farmer groups we work with, but also provides opportunities to create positive impact by implementing sustainability programmes with customer, government, not for profit and development finance institution partners. With traceability, we can also reduce social and environmental risks such as deforestation and human rights abuses.
We also work closely with large-scale growers such as in California for our onions and garlic. Here, we have long-standing relationships with multi-generational farmers passionate about their crops and stewardship of their land. We provide them with proprietary world-class seeds and our ag operations teams and crop supervisors help support production, harvesting and logistics. Of course, with our own farms and estates such as almonds, black pepper and dairy farms, we offer full traceability and absolute control.
Action includes:
Ensuring all suppliers sign the Supplier Code – which also applies to their suppliers
Training farmers through our sustainability programmes
Providing advice and guidance through our digital applications
ofi’s unique technologies play a vital role in improving traceability:
Olam Direct: the app that lets farmers do business directly with ofi
Olam Farmer Information System (OFIS): putting isolated smallholder farmers on the digital map.
AtSource: our sustainability insights platform which gives you more supply chain transparency than ever before
You expect consistent functionality of ingredients. That’s why we have our own people on the ground at every stage of the supply chain.
Getting better performance from food ingredients starts with the best seeds and seedlings. This is an ongoing mission for our plant scientists and agronomists in their support to farmers. One of our seeds, developed by the Spices team, produces onions with more dry matter—boosting yields and reducing the amount of water, fertiliser and pesticide needed per acre. A great example of the power of plant science.
In our smallholder farmer networks, our sustainability teams provide training on how to get the best quality crops with the lowest environmental impact. For example, with careful use of fertilisers and pesticides, replacing synthetic chemicals with natural alternatives wherever possible.
In addition, our own custom developed planting and harvesting equipment has shown significant reductions in our carbon footprint. We also provide training on how to protect crops post-harvest, providing equipment such as drying mats and tables which help prevent contamination from the soil.
This combination of superior seed, expertise and reduced inputs provides our farmers with well-managed crop risk and yield. All made possible thanks to our global reach and teams working together at every step of the supply chain.
Making sure our ingredients are delivered to customers without contamination or adulteration is our top priority.
We achieve this by:
Operating highly integrated supply chains working with both large-scale growers and smallholders
Providing training and quality seeds to help farmers reduce the risk of contamination
Maintaining the highest standards of quality and food safety control at our processing plants
Continuously investing in safety, health, quality and sustainability
Putting in place food quality and safety systems including GMP and HACCP
For over a decade, ofi has developed the next generation of process engineers and technical excellence in the Netherlands in partnership with Food & Process Tech Campus of Regio College in Zaandam. Tijmen Hoeve, ofi's Training Coordinator, shares three reasons why we invest in internships and how they add value to our operations and the wider society:
Developing in-demand skills
It all started with a skills gap in the industry. In the Netherlands, we have a shortage of technical skilled occupations such as engineers, ICT, and technicians, and the Covid pandemic hasn't helped the situation either. European Commission reported that in 2022, there is still a shortage of engineers. And to highlight the labor issues on the continent, it announced 2023 as the European Year of Skills.
This challenge also requires long-term support and investment to make a difference. The internship ofi offers, which has been running since 2012, is connected to the Food & Process Tech Campus program. The four-year course, aimed at 17-21year olds, gives students a mix of theory and practical experiences in a real-life setting. Over four years, students can apply their technical understanding in our facilities in Koog aan de Zaan or Wormer.
Investing in the future
Equipping students with the right skills to enter the workforce is a way to help future-proof the industry. Since 2012, ofi has given 5,000 euros annually to the college, which has helped to fund its practical room and the necessary safety equipment and contributed towards the teacher's salary. In some cases, we've even employed some students who have come through the program. It's a great way to develop talent that deeply understands your business.
Giving back to the community
I started my career in the food industry, working in various roles in food engineering. After 12 years of food tech, I channeled my passion into training the next generation of process engineers. Teaching is in my blood. My grandfather was a headmaster, and my father was a teacher, as is my brother, so I felt like a natural next step in my career.
When I moved into education, I helped develop the curriculum for the Food & Process Tech Campus course and have previously worked at the college itself, so I have a strong understanding of what the students need to be successful in the course and to transition into the industry. I'm proud we support a local college, within walking distance of our facility in Koog aan de Zaan. Hear from Zlatan what it's like to be an intern at ofi.
ofi (olam food ingredients), a global leader in naturally good food and beverage ingredients, is celebrating the official opening of the first phase of its new, state-of-the-art dairy processing plant located in the dairy heartland of New Zealand – the Waikato region in the north island of the country. The facility will produce dairy ingredients like whole milk powder to meet growing demand, targeting key customer applications in dessert, bakery, beverage, and confectionery categories.
Sandeep Jain, Managing Director and CEO, Dairy, at ofi commented: “As we continue to expand our dairy manufacturing capabilities and innovation infrastructure, the new Tokoroa plant will become part of a global network that spans major milk consumption markets, such as South-East Asia, China, the Middle East, and Africa. The new plant also complements a suite of enhancements made to ofi’s dairy production facility and Ingredient Excellence Centre (IEC) in Johor, Malaysia back in September – which combined with our Customer Solutions Center based in Singapore, enables us to co-create bespoke food and beverage solutions for our customers. Our dairy business is well positioned to serve increased demand from our global customer base and co-create innovative applications at scale – driving additional focus on the value-added capabilities within our portfolio.”
The Tokoroa dairy ingredients forms part of ofi's much wider natural ingredients portfolio which includes cocoa, coffee, nuts and spices, ideal combinations with dairy for customized products such as yogurts, protein bars and ready-to-drink tea, coffee and cocoa beverages. The new facility also complements ofi’s existing global footprint, driving stronger partnerships with its customers and strengthening its co-creation capabilities across the region.
The next stage of investment will see further capability added to the facility to develop high value dairy ingredients, expanding the range of ofi’s offering. It will also enable ofi to look at ways to grow the value of its milk, generating better returns for its farmer partners while delivering on its ambition to produce ingredients in a way that is socially responsible and environmentally sustainable.
As autumn started, children worldwide returned to school, and those in cocoa communities were no exception. As part of our Cocoa Compass sustainability ambition, we're working with our customers and partners to ensure that all children of cocoa farmers in our supply chain can get an education by 2030. Not only is this a human right, but it's also a key driver for tackling child labor.