Archives 2023

Principles of public policies

Types of corporate policies

Based on the scope of action:

• General Policies: Involve the entire organization and identify and define the lines of action according to the company’s strategy. They serve as a reference for its differing business trajectories.
• Departmental Policies: Guide the actions of some section or department within the business in order to direct their efforts, procedures and decisions.
• Specific Policies: Focus on usually temporary and specified projects, processes or products.

Based on timeframe:

• Long-term: Considers the growth and development of the company over a considerable period of time.
• Short-term: Establishes policies addressing any current priorities and urgent matters. They have a defined period, although this does not prevent them from being extended and/or becoming long-term policies.

Based on the issue or aspect they seek to address:

• Labor: Involves everything related to workers’ rights and workplace conditions. Some examples of this are: salary, training, benefits and occupational health and safety.
• Environmental: Focuses on responsible management of the environment through practices such as recycling, natural resource conservation, reforestation, protection of forested areas and the implementation of projects that contribute to improving biodiversity and ecosystems.
• Production: Focuses on operations, pricing, product quality, business objectives and the relationship with suppliers.
• Market: Addresses the dissemination of the company image, the brand and its products.
• Quality: Seeks to achieve consumer satisfaction with the final product through standards and norms.

Focus of corporate policies

All human activities are likely to generate waste. Agricultural food production generates different types of organic and inorganic waste. To protect the environment, this waste must be handled responsibly, according to its nature, and treated appropriately, as AgroAmerica does through the “Clean Field” initiative.

Sustainable processes of AgroAmérica

Recycling of plastic containers

The “Campo Limpio” (Clean Field) initiative

Program Recycling Process

1. Empty containers are triple washed so they can be handled and transported without risk. The water used in the triple washing process is applied to the crops for maximum yield.
2. Used containers are perforated to prevent them from being reused for the storage of water or food.
3. Washed and perforated containers are stored in a special infrastructure.
4. Containers are classified and compacted.

Transformation of plastic waste

Clean Field Award

The origin and history of the Cavendish banana

Origin of the name Cavendish

Expansion of the Cavendish variety

The most exported Banana

At first glance, soil may seem like a simple resource, however, it is as essential as water for life on Earth. Soil is crucial to the stability of ecosystems and a fundamental element in the food system. For these reasons, it is necessary to create global awareness about the importance of adopting models of sustainable management in the use of soils and to implement actions focused on solving issues like erosion, salinization, pollution, biodiversity, carbon fixation and nutrient imbalance.

Soil degradation: A problem to solve

Numerous chemical, physical and biological processes take place in the soil as a result of activities within the ecosystem and agricultural practices. Some of these processes occur naturally and soil degradation refers to changes in the soil properties that reduce the soil’s productive capacity.

Regenerative agriculture

Regenerative agriculture, as well as other sustainable production models, focuses on the proper use of the soil through practices that promote the health of the soil and the elements that compose it. Such practices conserve the soil, maintain its fertility and ensure food security for future generations.

Why conserve soils?

Soil degradation, much of it due to erosion, is a worldwide problem affecting many hectares. Erosion causes the loss of fertile land and impacts food security and nutrition. In light of this, it is necessary to join forces to mitigate the effects of climate change on the biosphere and land. According to the FAO there are five reasons why we must protect this natural resource:

1. Healthy soil feeds the world
2. Soil is a finite resource
3. Soil can mitigate climate change
4. Soil is alive and teeming with life
5. Investing in sustainable soil management makes economic and environmental sense

AgroAmérica’s commitment to conserve soils

AgroAmerica maintains a strong commitment to soil conservation, to ensure the sustainability of the land. The company properly manages soil through diverse actions:

1. Planting cover crops to prevent erosion and water accumulation in the soil
2. Replenishing organic material to the soil by adding plant material from its crops
3. Implementing forest barriers on its farms
4. Restricting the use of herbicides near bodies of water or irrigation canals

AgroAmerica implements these actions by using a sustainable and regenerative model that prioritizes practices that help prevent soil degradation and promote biodiversity.

The Banana Journey

It seems like bananas were one of the earlier plants to be cultivated by humans. Bananas migrated originally from South East Asia and probably the Arabs introduced it to the African continent in their expeditions. In fact, the word «banana» comes from Africa. It is also believed that Portuguese navigators and explorers arrived in Guinea while trying to find a way to China, when they saw how the natives grew this fruit and soon adopted it with satisfaction due to its taste. They took it with them to spread it to other territories where it kept the name «banana,» although it has other names such as «plátano,» «guineo,», and «cambur,»  among others.

First commercialized banana variant

One of the first variants marketed in the world was the dessert banana. Its origin was in the Caribbean; then, it spread to Europe and North America. In America, the variety more marketed initially was the Gros Michel. It has been identified that before 1866 the first commercial crops were in Jamaica and Panamá. 

Bananas Today

Today, bananas are one of the most popular fruits worldwide. They are eaten raw as dessert, in the gym, as a companion to cereals or even cooked or baked in great recipes. Bananas are the fourth most valuable food, right after rice, wheat, and milk. They are a great source of nutrients and are well known for their benefits in the digestion process when ripe. This is why people with intestinal disorders can incorporate them into their diet.

Most famous banana variety in the world

There are more than 1,000 different types of bananas globally. The Cavendish variety is the most famous one in the western world. They are bright green when immature ripening to bright golden yellow, with a sweet classic banana flavor that we all enjoy!

references

Barrios Sandoval, M. (2008). Controles internos a considerar en las pérdidas ocasionadas por un desastre natural en una empresa productora de banano. [Tesis de Licenciatura] Facultad de Ciencias Económicas, Universidad de San Carlos de Guatemala.

Conferencia de las Naciones Unidas sobre Comercio y Desarrollo. (s.f.). Banano, perfil de INFOCOMM. Organización de las Naciones Unidas. Nueva York, Estados Unidos.

Sabio, C., Sáenz, V., Salgado, C., Salgado, V. (s.f.). Manual de cultivo de banano. Escuela Agrícola Panamericana. Consultado el 2 de abril de 2022. [En línea] https://bdigital.zamorano.edu/bitstream/11036/2933/1/01.pdf

Yegros, M. (2020). Banana: manejo, comercialización y costos. Consejo Nacional de Ciencia y Tecnología. Universidad Nacional de Asunción        , Facultad de Ciencias Agrarias. San Lorenzo, Paraguay.

Governments, companies, communities and every individual must join efforts to confront the environmental challenges that the world is facing, such as climate change, clean water, and biodiversity preservation. A good key seems to be sustainability, which is marking the way of doing business for many companies. 

Projects of good environmental practices

Within this context, three of AgroAmérica’s projects are listed in the Compilation of Good Environmental Practices presented by the UN Global Compact Initiative in Guatemala, published in January 2022. These practices are the result of the company’s commitment to work prioritizing the environment and the health of the communities. As a diversified and vertically integrated company, AgroAmerica maintains competitiveness through sustainable production, to guarantee high quality products and 𑁋at the same time𑁋 ensure the protection of natural resources. 

Water is important and at AgroAmérica we use it efficiently 

Water is essential for life on Earth, and it is also a crucial resource for agricultural and food production. To use it efficiently at each stage of the production process, AgroAmerica applies specific practices and plans, together with technologies and mechanisms that improve the usage, measurement and management of water. 

sewage treatment

One of these mechanisms is the wastewater treatment system, which enhances the physicochemical characteristics of wastewater and generates renewable energy for AgroAmerica’s operation in northern Guatemala. 

From wastewater to Renewable Energy

Thanks to this system, the biogas –which results from the process of anaerobic digestion of wastewater– is captured for treatment and introduced into an energy generator. AgroAmerica also uses the nutrient-rich water that comes out of the industrial process for irrigation, returning these nutrients to the soil. However, before its reuse, the effluent is subjected to a rigorous treatment to enrich its physicochemical characteristics. 

Irrigation system capacity

The installed system, which has a capacity of 3.5 MW/Hr of renewable energy generation, was approved by the United Nations as a Clean Development Mechanism project. This clean energy model contributes to combat climate change, since it also captures the methane produced by wastewater. 

This is one of AgroAmerica’s sustainable practices, focusing on doing business responsibly, caring for people and the environment. 

AgroAmerica is a company that has a strong commitment to complying with the laws and labor requirements of the countries in which it operates. Its purpose is to provide employment and working conditions for the personal and professional development of its employees.

Working Conditions

Labor policies of AgroAmérica

AgroAmerica’s policies related to labor conditions and rights are committed to provide decent employment, complying with national laws, International Labour Organization -ILO- agreements and industry best practices. The main goal of the company is to have a competent team committed to operate in safe work areas.

Main Aspects

Some of the main aspects established in AgroAmerica’s Labor Policies are:

1. Labor hiring
2. Labor rights
3. Internal promotions
4. Equality and non-discrimination 
5. Occupational safety and health 
6. Free association
7. Zero Tolerance for Child Labor

Jobs at AgroAmerica

AgroAmerica offers permanent jobs and provides a stable income for its employees throughout the year, unlike other agricultural jobs that have a cyclical production. This way, the company helps to ensure economic stability for its employees and their families. 

Living Wage

The company is also committed to providing all its employees with a living wage that is meant to guarantee a decent standard of living. For this reason, AgroAmerica uses the Living Wage Methodology to establish the income that a person needs to cover the needs of his or her family in a dignified manner.

AgroAmerica, has been developing financial models to identify the living wage, aiming that agricultural employees receive a payment that not only complies with national laws, but also allows them to support their families’ basic expenses.

Waste management is important, especially in industrial processes such as food production. During the production chain of food, waste is generated and it must be treated correctly and, as far as possible, reduced. 

AgroAmérica´s waste management

As a responsible company, AgroAmerica is committed to sustainably produce high quality food and ingredients, which includes managing a policy focused mainly on the reuse, recycling and recovery of organic and inorganic wastes, treating them appropriately according to their type.  

AgroAmerica’s Natural Banana Ingredients Processing Plant

AgroAmerica also cares about improving its processes in search of environmental protection. An example of that would be the AgroAmerica’s Natural Banana Ingredients Processing Plant, in which the company has innovated its banana business under the zero waste principle throughout the production process, allowing maximum utilization of the banana production. 

Waste management procedures

The procedure established for AgroAmerica’s waste management has three main steps:

1. Identifying the waste generated by each activity
2. Determining their characteristics and volumes
3. Establishing the best use of waste within AgroAmerica’s processes or through specialized companies for waste management   

Recycling and reuse of waste:

• Organic Matter: 80% of the organic matter generated in the farms is reused in soils, reducing the use of fertilizers. 
• In addition, more than 186 million bananas have been transformed into natural ingredients, fulfilling the company’s zero-waste policy.
• Plastic fruit bags: Due to their characteristics, the bags used to protect the fruit can be used up to three times. After this, they are sent to collection centers for recycling. 
• Paper: Paper generated in the administrative offices is also recycled.

Thanks to all these processes, AgroAmerica is able to reduce and manage the waste generated by its operations. Its commitment is not only with its production processes to provide the best products, but also with the planet.

AgroAmerica is part of the mangrove technical working groups in the South Coast of Guatemala, for mangrove conservation through local and regional actions. This area is covered by an important extension of mangroves which are one of the world’s most diverse and productive ecosystems.

Importance of Mangroves

Coastal and marine ecosystems have valuable resources that provide livelihoods to local communities. Besides being home to diverse marine and terrestrial species, Mangroves have a critical role in mitigating climate change.

One of the most threatened habitats

Despite the importance of mangroves, these ecosystems are among the most threatened habitats in the world. Some of the threats to mangroves are plastic pollution, deforestation and shrimp farming.

AgroAmérica Contributes to these ecosystems Conservation 

That is why AgroAmerica seeks to contribute to the conservation of mangroves by supporting local and regional actions while working together with communities and local authorities through technical working groups.

Contributions of the technical tables

The technical roundtables are supported by the National Forest Institute in the country, to promote dialogue for the strengthening of conservation, restoration and sustainable management actions for the coastal marine ecosystem, as well as the development of a mangrove conservation and restoration plan.

The COVID-19 pandemic crisis limited some activities. However, the technical working groups have continued with the work until today, which has involved working with six communities in training, reforestations, patrolling and identifying more than 160.58 hectares for conservation.

Activities carried out jointly with working groups

• Identification of mangrove areas.
• Monitoring and surveillance patrols in alliance with the Nature Protection Division.
• Fish ponds
• Forest nursery to prevent mangrove logging
• Celebration of International Mangrove Day in the communities, to raise awareness
• Identification of areas to be reforested
• Mangrove reforestation
• Forest fire monitoring
• Training to educational institutions and community leaders on mangrove importance, conservation and restoration

AgroAmerica, through its participation in Mangrove Technical Working Groups, contributes to protect and restore natural areas, helping to the wellbeing and livelihoods of coastal communities. Mangroves have a huge importance and value, playing a vital role for nature and humanity.

There has always been a strong commitment to support the development of AgroAmerica influence communities. An important part of the work carried out by the company, as well as its sustainability strategies are focused on this objective.

Influence Communities of AgroAmerica

AgroAmerica operates in rural areas of Guatemala, Ecuador, and Peru; countries where the company has influence in 44 communities due to the proximity they have to its operations, besides being where most of its employees come from.

How does AgroAmerica support influence communities?

The way in which AgroAmerica cares for and ensures a decent standard of living for its employees, and therefore for their families and communities, is through actions such as granting them a living wage that is 77% above the minimum wage stipulated by law and 82% higher than the GDP per capita.

AgroAmerica provides development and improves the quality of life

AgroAmerica collaborates with authorities, communities, civil society and the private sector to contribute to the sustainable development of the communities where it operates and, therefore, help to improve their living conditions. It does this by focusing on its employees, with the aim of providing them with the means to achieve integral development.

Social Development Policy

Beyond being a world-class agro-industrial company dedicated to the production of food and ingredients of the highest quality, AgroAmerica differentiates itself by implementing a business model based on a Corporate Sustainability strategy; which promotes responsible production towards its employees, nearby communities and the environment. This business model is focused on generating value and balance between economic growth, conservation of natural resources and the well-being of its stakeholders.

Aspects that improve the quality of life of communities

Through its Social Policy, the company states its commitment to be a development agent, seeking to improve people’s living conditions in aspects such as:

• Inclusion
• Health
• Education
• Decent Employment

Management Community  Projects

To make an impact on those aspects, AgroAmerica works in four areas that contribute to the development of communities. Therefore, 38 community management projects were carried out in Guatemala, Ecuador and Peru during 2020.

Most of the projects were focused on:

Infrastructure:

• Road maintenance
• Donation of construction materials for road maintenance
• Repair of community access roads, due to the tropical storms that affected Central America
• Riverbank reinforcement to prevent flooding

Health:

• Donations of supplies to prevent COVID-19, which included face masks, bleach, hand sanitizer, thermometers and clear glasses to communities and health stations, as well as governmental and non-governmental institutions.
• Coordination of preventive health care activities for 126 children and adults.

Environment:

• Donation of 37,000 trees to reforest riverbanks
• Support to train community leaders to form Local Coordinators for Disaster
• Reduction
• Forest nurseries
• Reforestations
• Support in the collection of solid waste from rivers
• Training in natural disaster prevention

Education:

• Training on entrepreneurship programs for women
• AgroAmerica School for workers’s children
• Training for stakeholders on preventive health topics and company practices

Through different actions, AgroAmerica contributes to create an environment where communities can develop their full potential and lead healthy, productive and creative lives. AgroAmerica’s commitment is to do responsible business by producing food and ingredients in a sustainable way.