Hershey Expands Sustainable Sourcing Efforts with New Deforestation Commitments

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Hershey Expands Sustainable Sourcing Efforts with New Deforestation Commitments

Thursday, December 3, 2015 - 10:30am

CAMPAIGN: What We're Made Of

CONTENT: Press Release

  • New Pulp and Paper Policy expands commitment to help prevent deforestation
  • Palm Oil Tracing Update: Tracing to mills nearly complete and mapping to plantations ahead of schedule

HERSHEY, Pa., December 3, 2015 /3BL Media/ – The Hershey Company (NYSE: HSY) today made new commitments to help prevent deforestation in its supply chain by launching a comprehensive Pulp and Paper Policy and announcing an update on its efforts to trace its global palm oil supply chain. 

“Preventing deforestation has never been more important,” said Susanna Zhu, Chief Procurement Officer at The Hershey Company.  “We continue to learn more about the geography of our palm oil supply chain and are having productive conversations with suppliers about our expectations. While we’re pleased with our palm oil sustainable sourcing progress so far, we know there is more work to be done.  This effort, along with our Pulp and Paper Policy, will help us continue to ensure that we’re achieving our high sustainable sourcing standards.”

During the past 50 years, about half of the world’s original forest cover has been lost. Pulp and paper as well as palm oil production have been recognized as contributing factors to deforestation. The new Hershey Pulp and Paper Policy outlines the company’s commitment to ensure that the virgin fiber in any pulp and paper sourced by the company comes from sources that meet strict criteria, including protecting areas of high conservation value, respecting indigenous rights and verification through third-party due-diligence systems. The complete policy can be found on Hershey’s website.

“Forests are critical parts of our natural ecosystem, serving as important reservoirs of greenhouse gases that would otherwise contribute to climate change,” added Zhu.  “Forests also provide habitat for key plant and animal species.”

Beyond pulp and paper sourcing, Hershey’s additional efforts to reduce its impact on deforestation include the company’s ongoing work with The Forest Trust (TFT) to trace its palm oil supply chain to mills and plantations. As of the second quarter of 2015, Hershey has traced its supply chain to approximately 90 percent of all the mills where the company’s palm oil is processed. Additionally, Hershey has achieved 10 percent traceability of its palm volume to the original palm oil plantations.  These results keep Hershey ahead of schedule to deliver planation-level traceability by the end of 2016.

Mapping the mill level is especially important because of the nature of palm oil harvesting. Fresh palm fruit bunches, which the palm tree produces, must arrive at a mill for processing within 24 hours in order to ensure good quality. Due to regional transportation constraints, tracing to a mill’s location can be a strong indicator of where palm oil was harvested, thus providing an opportunity to review whether there are social or environmental risks in the region. Plantation traceability will enhance this effort and allow Hershey further insights into this complex supply chain.

The mapping work is also helping to clarify the level of cooperation needed from palm oil suppliers for Hershey to achieve its responsible sourcing goals and to maintain compliance with Hershey’s Responsible Palm Oil Sourcing Policy.

The Hershey Company will continue to provide updates on these efforts to prevent deforestation in its supply chain, both through our company website and our annual Corporate Social Responsibility reports.

About The Hershey Company

The Hershey Company, headquartered in Hershey, Pa., is a global confectionery leader known for bringing goodness to the world through its chocolate, sweets, mints and other great-tasting snacks. Hershey has approximately 22,000 employees around the world who work every day to deliver delicious, quality products. The company has more than 80 brands around the world that drive more than $7.4 billion in annual revenues, including such iconic brand names as Hershey's, Reese's, Hershey's Kisses, Jolly Rancher, Ice Breakers and Brookside. Building on its core business, Hershey is expanding its portfolio to include a broader range of delicious snacks. The company remains focused on growing its presence in key international markets while continuing to extend its competitive advantage in North America.

At Hershey, goodness has always been about more than delicious products. For more than 120 years, Hershey has been committed to operating fairly, ethically and sustainably. Hershey founder, Milton Hershey, created the Milton Hershey School in 1909 and since then the company has focused on giving underserved children the skills and support they need to be successful. Today, the company continues this social purpose through 'Nourishing Minds,' a global initiative that provides basic nutrition to help children learn and grow. From neighborhoods across the United States to the streets of Shanghai and Mumbai and villages of West Africa, our goal is to nourish one million minds by 2020.

To learn more -

Visit: www.thehersheycompany.com

Keywords: Environment & Climate Change | Deforestation | Ethical Production & Consumption | Hershey's | Palm Oil | Pulp and Paper Sourcing | hershey | the hershey company

CAMPAIGN: What We're Made Of

CONTENT: Press Release