Magazine | BBR - May 2022

THE TASTE OF INNOVATION

EDITOR’S LETTER

May 2022

We are thrilled to share you the most recent edition of the Boston Business Review, this time with a new special about the Food & Drink industry.

Our cover is graced by Puratos, whose LATAM division has evolved into a powerhouse offering flavors and ingredients as a response to each market’s new demands.

Granjazul, on its behalf, is an egg and derivatives operation from Guatemala working with global standards and making the most of new business

opportunities by creating new divisions and products.

In this issue, we went beyond our usual territory to learn about the Europe, Africa and Asia operation for Mexican giant Bimbo, and also found out about challenges faced by AB InBev Africa, as the company surpasses any possible setback to keep growing local and global brands alike.

Thanks for reading and sharing The Boston Business Review!

Mateo Rafael Tablado, Editor in chief for The

Boston Business Review

Email: rafael.tablado@thebostonbr.com

WHO WE ARE

Managing Director

Jassen Pintado

Creative Director

Omar Rodríguez

Editor in Chief

Rafael Tablado

Editor for Brasil

Flavia Brancato

Translations

María Murgui

Finance Director

Christina Nichole

Social Media Director

Maria Elena Gastelum

Content Coordinator

Alicia Barrantes

Project Directors

Ana Macfarland

David Alarcon

Giuseppe Modenesi

Lucy Verde

Marcelo Modenesi

6.

22. 90. 74. 42.

Synonymous with the Future of Food

With technology at the forefront through research and development, Trouw Nutrition serves as a fundamental part of human nutrition: Animal nutrition

Most people going to the supermarket for grocery shopping don’t know about the production processes behind a chicken breast, an egg, or a pork chop. Few people know that animal nutrition – a rather unknown subject – is the primary means of support for animal protein production, with many decades in development.

Considering there will be 10 billion inhabitants in the world by 2050, we will need to produce 60% more food, it’s essential to do so in a sustainable way, along with better animal farming and welfare practices. A maltreated, malnourished, and sick animal will not produce. And an animal that does not produce is not profitable.

In the history of animal production, few companies have made a legacy for more than 90 years. One of them is Trouw Nutrition, a leader in animal nutrition. From Dutch origin, but global

quality and solutions, Trouw Nutrition is currently present in 105 countries, and run by 8,500 employees around

“Feeding the future” is their mission, displaying a great responsibility as a supplier to the animal protein industry.

WORLD LEADER IN ANIMAL NUTRITION

Based on decades of research and development around the world, Trouw Nutrition delivers solutions able to optimize animal performance and maximize revenue for feed manufacturers and animal protein

Trouw Nutrition’s solutions and services are designed to support customers through all their production challenges with a comprehensive approach to feeding and animal health. The company offers global solutions tailored to local clients’ conditions in a practical, sustainable, and cost-effective way.

HISTORY OF NUTRECO AND TROUW NUTRITION

Trouw Nutrition is the livestock division of Nutreco, focused on poultry, swine, and ruminant nutrition, as well as pets. It is now a privatelyowned company acquired along with its parent company in 2015 by SHV.

The long-term vision of Trouw Nutrition is the commitment to contribute to food production through the power of nutrition and collaboration with food and animal protein producers. The company is committed to transform the animal agriculture industry as well as the planet through a better use of resources.

With skilled specialists offering service and expertise throughout Latin America, the central office for Central and South America is located in Guatemala, along with a premix plant and a fully equipped laboratory. Throughout this region, Trouw

Nutrition’s solutions are available in 31countries.

THE SINGULARITY OF TROUW NUTRITION

Trouw Nutrition is unique due to its highly qualified and dedicated staff, always supporting clients through an integrated approach incorporating farm management, health, and nutrition. This is achieved through innovations that can be adapted to the specific needs of each customer, driven by experience, scientific and practical knowledge, besides research & development.

Victor Hugo Aguirre, Commercial Director for Central and South America at Trouw Nutrition, describes the company in three words: technology and animal nutrition. The Guatemalanborn Aguirre, who earned a degree in Agricultural Engineering and a Master’s in Marketing from the Monterrey Institute of Technology

“Trouw Nutrition’s portfolio of solutions and services creates the platform that allows us to provide our main product: technology and expertise”

- Victor Hugo Aguirre, Commercial Director for Central and South America at Trouw Nutrition

and Higher Education, he has 22 years of experience in the animal protein and feed industry within the specific areas of animal nutrition and commercialization. For Aguirre, “Trouw Nutrition’s portfolio of solutions and services creates the platform that allows us to provide our main product: technology and expertise.”

Trouw Nutrition sources from other divisions’ experience in animal production. This provides the know-how to understand the same challenges clients face, which is a unique advantage compared to other companies in the industry.

Facing the state of current world events – logistics problems, high raw material costs, lack of fertilizers and limited resources – Aguirre considers that, today more than ever, clients are willing to listen to what Trouw Nutrition has to offer.

RESEARCH AND DEVELOPMENT

To reach these solutions, Trouw Nutrition carries out more than 70 research studies worldwide each year under two fundamental concepts: sustainability and quality. These concepts guarantee feeding of future generations, do not compromise current resources, and create solutions and processes that guarantee harmless food, apt for human consumption.

The basis is innovation. Just in 2021, more than $36.4 million were invested in R&D, strengthening its leadership in animal nutrition.

In addition to collaborating with more than 100 research institutions worldwide, the company has five research centers, 12 validation farms

around the world, and a laboratory known as Masterlab, a reference lab in Europe. In Guatemala the company also boasts a fully equipped laboratory for sample analysis to identify the specific needs of clients in order to design custom-made programs, services, and nutrition strategies.

THE THREE PILLARS

Trouw Nutrition has first-hand knowledge of the challenges that food producers in Latin America face. That’s why the company has developed solutions and practices that are easy to implement and tailored to the needs of each client, thus maximizing profitability. Today, Trouw Nutrition bases itself on three pillars of innovation where all R&D efforts are directed.

1. Precision nutrition: aimed at achieving the production and financial

goals of food and animal protein producers. NutriOpt is the digital platform that performs as a hub for all tools and services available. These range from the use of curves for the analysis of raw material and finished food products – based on 45 years of ingredient analysis – to predict nutritional levels of these ingredients and formulate more precise foods, to the use of prediction models for poultry and swine, or for specific feed concepts. An example of these is the Split-Feeding concept, which consists of providing two different feeds to laying hens according to the time of day, adjusting the diet to the nutritional requirements of the laying hen during its daily egg production cycle.

Within precision nutrition, the MaxCare concept brings all this global knowledge together with solutions and services in a customized premix that is adapted to the needs of each

2. Gut Health: brings together various programs such as salmonella control, antibiotic reduction, mineral optimization, and feed safety. The solutions used within the programs are incorporated into raw materials, complete feed or administered in drinking water, supporting grains and feed preservation, as well

as the gastrointestinal tract. In animal production, preserving the animal’s most important organ, the gastrointestinal tract, means maximizing the animal’s genetic potential.

3. Early life nutrition: includes feeds that are provided at the very first stages of an animal’s life to optimize growth and performance throughout their life and production, which include client and adjusted to fit market changes and requirements.

ChickCare, Milkiwean and Sprayfo.

If an animal starts off well, it performs well.

These three pillars include Selko feed additives, Intellibond hydroxy trace minerals, the specialized digital platform that encompasses decades of knowledge NutriOpt, and MaxCare, an application premix, as well as the Mycomaster equipment, able to identify mycotoxins, the toxic fungal

components appearing in grains.

Clients can benefit from all the company’s experience and its capacity to transfer the latest knowledge in animal nutrition through its solutions and services. Trouw Nutrition experts provide follow-up to support clients on their farm, as well as advice on nutritional strategies that make an impact along the production chain.

Finally, the quality of these solutions is guaranteed by the Nutrace system,

a traceability platform that includes ingredient evaluation, control and monitoring, risk management and follow-up starting at the supplying source of the ingredients.

SOCIAL ASPECT

Good animal nutrition is important for society, as it impacts human nutrition, more so with resources becoming increasingly scarce. The decisions made today are about guaranteeing the food supply for tomorrow. Additionally, Trouw Nutrition works within the company on important issues such as gender equality. According to Aguirre, currently, almost 40% of the labor force in Latin America in the administrative, technical and sales departments are

women. It is of great importance that the company takes this very seriously.

Not only in increasing the participation of women, but in selecting the best candidates.

Aguirre also spoke about social projects with the aim of providing opportunities to low-income individuals. In the well-known Dry Corridor in Guatemala, along with

other organizations, Trouw Nutrition developed the Plumas project in a low-income community, empowering women to become producers of a rich and affordable source of protein: eggs.

Sustainability is also another social issue. Trouw Nutrition has just completed installing solar panels at the premix plant in Guatemala. These solar panels produce 100% of

the electricity needed for premix production.

PROJECTIONS FOR THE COMPANY

Today there are challenges that Trouw Nutrition faces with determination. The world’s population continues to grow and that is why its mission remains feeding the future. To help produce 60% more food to feed the world, the company aims to combine strategy and vision, remaining a key driver for technology to improve efficiency and support the continued growth needed from the industry.

Generating an in Guatemala

“EGGVOLUTION”

An integral operation from breeding and nurturing pullets and hens to the delivery of an internationally certified high quality product to the end consumer, focused on being a sustainable enterprise, is what makes of Granjazul a leading, innovative company in Guatemala and the world

Produced by Jassen Pintado

Interviewee

José Manuel Segovia, CEO for Granjazul,

With participation from

• Carlos Borjes, Managing Director

• Roberto Prata, Commercial Director

• Durwin Orozco, Suppy Chain Director

• Mario Galindo, Planning Director

Creative Direction

Omar Rodríguez

For more than 50 years, Granjazul has contributed to the wellbeing and development of Guatemala by delivering the best nutritional solutions to every Guatemalan family, through the production and sale of eggs and egg derivatives with top worldwide quality.

Granjazul is part of a group of companies comprising an integrated business operation with a focus on sustainability and the goal to deliver the best products for the country. We began with INAVISA - Cintazul

Genética, where the dream began to come to life and where pullets are born. This company is currently in charge of breeding and relies on its own facilities. When pullets are born, these are moved to La Cría, the place where these are taken care of during 16 weeks, just before they begin to lay any eggs.

Granjazul operates from different

production plants and distribution centers around central and southern Guatemala. The company’s operations and facilities are certified under global quality and safety standards, including FSSC 22000 and HACCP since 2010.

Granjazul is also the first company in Guatemala to receive the Animal Welfare certification, endorsed by United Egg Producers, and also is Kosher-certified, both since 2020.

THE KIND OF LEADERSHIP DEVELOPED BY LONG TENURES IN THE COMPANY

Granjazul is led by José Manuel Segovia, better known as Mel Segovia, CEO for Granjazul, with more than 30 years in the company. Segovia graduated as an industrial engineer from the Rafael Landívar University, and afterwards earned a Master’s in Innovation from the Pontifical Catholic University of Chile.

Mel has been named to different boards of directors and taken part

Professionalization enables the process’ evolution, providing value to the company through specialized resources, clear strategies and efficiently executed plans

- José Manuel Segovia, CEO for Granjazul

to the company through specialized resources, creating clear strategies and efficiently accomplished plans,” Segovia commented.

A COMPLETE OPERATION GROWING ITS SEGMENT PORTFOLIO

“Professionalization enables the process’ evolution, providing value

Through time, Granjazul has grown its divisions and business units until this day, finally comprising a complete in startups for different services and products projects. Mel is supported by his key collaborators, who boast wide experience and postgraduate studies within business administration, finance, marketing, exports, industrial engineering and poultry enterprises, among other activities.

operation. Also, the company’s resources have been instrumental in new ventures, besides working around poultry and derivatives, mostly. The company’s main business units and divisions are:

• Egg Solutions. This division is in charge of supplying whole eggs and egg products to bakeries, patisseries and restaurants, among other businesses. This division is also available in El Salvador.

• The Plus division delivers whole eggs and egg products to supermarkets which are enriched with selenium, iron, A and D vitamins. The Plus line of products are delivered within Guatemala City.

• Liquid pasteurized eggs. This division offers whole eggs, egg whites and liquid yolks for the Solutions and Plus markets; this division was created in 2012.

FOR MYCOPLASMA CONTROL

(Tilvalosina*)

SUPERIOR TO OTHER ANTIBIOTICS

Quality.

(Guaranteed concentration and stability).

Safety.

(Environment, animals, human).

E ectiveness.

(Enhanced pharmacodynamics, cost-effective treatment).

*ECO Animal Health UK original research and development.

PRESENTATIONS:

Valosin 425 (Premix).

Valosin WSG (Water Soluble Granules).

• The Massive Channel serves small retailers through its own presale and distribution fleet.

• Livestock products compete in the market under the Cintazul brand of balanced nutrition, delivering special formulas for hens, other poultry, dairy cattle, livestock for feed, goats and pigs in their prebeginning, beginning and ending phases. This is the longest-running and most-experienced division in the company, running since 1953.

• Innovation is also part of Cintazul, which provides Pelleted Feed, its newest business units, which began operations in 2020. Cintazul’s balanced feed facility is certified under ISO 9001-2015 standards.

Granjazul relies on technology from production to delivery

- José Manuel Segovia, CEO for Granjazul

• With El Paraíso, running through more than 12 years now, the company displays a clear example of circular economy, offering 100% organic fertilizer. This division is proudly certified under the BCS OKO Garantie for its Enmienda Agrícola Premium product. El Paraíso also offers a quality product for the hands working on Guatemalan soil.

TECH-DRIVEN OPERATION OPTIMIZATION

Since its beginning, Granjazul has bet on tech investments which have resulted in a positive impact on production since the 1976 deployment

of an automated system for poultry production, through the egg grading system in operation in 1997, to the construction of specialized facilities for pullet breeding in 2015.

From laying hen genetics there’s tech support in incubation and automated vaccination. Productionwise, once a hen lays an

egg, the automation process won’t stop until after the egg has been packaged, not without going through a washing and sanitizing process and passing under UV light to obliterate any kind of bacterium in the shell. The system also has automatic detectors, able to evaluate and discard defective eggs with cracks and dirty shells.

Packaging is also automated, either for a 30-count carton or for transparent packaging en route to supermarkets.

The Cintazul facility also runs under a cutting-edge automation scheme, where there’s a productive process for every formula. For the organic fertilizer segment, El Paraíso acquired latestgeneration machinery for chicken manure composting, which reduces time.

“Granjazul relies on technology from pullet production to product delivery in its final destination,” the executive said.

OPEN TO INNOVATION

Besides different technologies implemented along productive processes, Granjazul has also brought analytics and business intelligence resources able to provide support and optimize decision-making in every area.

Every department involved in management processes counts with digitization and automation procedures which have resulted in reducing paper use.

COMMITTED SUPPLIERS AT EVERY LEVEL

Granjazul’s supply chain is comprised by local and international suppliers which share quality and punctuality as their main traits.

Procurement of quality corn and soybeans is essential for business, besides acquiring these goods from certified suppliers.

Granjazul works with Hendrix Genetics, guaranteeing the highest standards globally for the birds’ genetic development.

It must be noted that delivering every product in a timely fashion is essential to the wellbeing of assets such as hens, for which food and other requirements are vital.

Suppliers sign a social responsibility commitment, where they agree to comply with safety, occupational health and anti-corruption practices

- José

Manuel Segovia, CEO for Granjazul

Agreements established with suppliers are aligned with food safety and sustainability. This is guaranteed by the company’s supplier evaluation and tracking programs, where any gap in the quality and safety standards required by the company is detected and solutioned.

In 2021, Granjazul finished the setup of a project that focuses every part of its business into circular economy,

which has delivered progress on different fronts; among them, the creation of a compliance standard on behalf of suppliers.

“Suppliers sign a social responsibility commitment where they agree to comply with fair safety, occupational health and anti-corruption practices in their organization,” Segovia added.

Granjazul Plus

SUSTAINABILITY: AN INWARD AND OUTWARD COMMITMENT

Granjazul’s commitment to increase sustainability groups different aspects within the company:

• Waste recollection and sorting

• Wastewater treatment

• Savings in electricity and

water usage

• Sustainable procurement

• Loss recovery

• Alignment to UN’s Global Pact

• Corporate Social Responsibility

• Circular economy

Among the different initiatives on behalf of Granjazul with the purpose

of emphasizing a positive impact in its surrounding communities, the company has worked out different projects along with Old Surfer, an agency of change with a global vision connecting sustainability with business and consumers. This organization has taken part in internal and external projects, one of these was recognized in 2021 as one of the three best sustainability projects in Latin America in the health category,

through the Granjazul Plus egg product line, which is currently the second best project in the Health/ Human Development category, achieved in April 2022.

Granjazul is fully involved in the child malnutrition problem suffered in Guatemala, where -according to data provided by the UN- one of every two children under five years old suffers from malnutrition. Granjazul developed an enriched variety of egg to face this

problem: Granjazul PLUS.

In the city of Amatitlan, Granjazul is involved with a women’s soccer team, which became the first sustainable women’s team in Guatemala and Latin America, working along with nutritionists from the University of the Valley of Guatemala, which contributes to the team relying on a nutritional preparation of the same kind that male professional teams receive. It must be pointed out that this program extends to the players’ families and communities.

HUMAN RESOURCES: THE GRANJAZUL CULTURE

Goals set by Granjazul are related to the market, its surroundings and the needs and possibilities of these. The Granjazul culture was created from its founders’ values and from the company’s purpose. The commitment from stakeholders, leaders and staff, favors this culture.

The company has defined an

empowerment and self-managing culture, obtaining the best from a family-run business and a corporation.

BRIGHT LIGHTS AHEAD

In the face of a market in which costs increase drastically, Granjazul fulfills its commitment to everyday goals such as catering for its clients and strategic partners through the best possible service, striving to deliver the best results for stakeholders and partners, keeping the same, outstanding quality.

Polígono Morea Nor te, Calle C - Nº 2 31191 Beriáin, Navarra (Spain) • +34 948 368 301 contact@zucami com • • ww w.zucami com

“It’s about our clients’ satisfaction through service agreements aligned to a strategy transformed into facts, achieving world-class continual improvement in every stage of the supply chain,” finalized Mel Segovia, CEO for Granjazul.

FOUNDED: CONTACT: 1969 jsegovia@granjazul.com www.granjazul.com/#lahuev INDUSTRY: FOOD & DRINK

GROWING

WITH INNOVATION AND TECHNOLOGY THROUGHOUT THE REGION

Produced by Jassen Pintado

Interviewee

Fabio Di Giammarco, Presidente para LATAM en Puratos

Creative Direction Omar Rodríguez

Puratos’ organization and efforts in Latin America have provided its different territories with the necessary resources to grow and become the leader in its specialty

Since its creation over a century ago, Puratos has evolved from its initial father and son operation to become a worldwide giant, a leader in the food industry, specializing in bakery, patisserie, and chocolate. It is currently present in 81 countries with 65 production facilities and 93 innovation centers operated by more than 9,000 workers.

Puratos’ presence in Latin America began more than four decades ago, backed by a solid portfolio, enabling the company to become stronger in the region.

“When I joined Puratos I was fortunate to find a profitable and growing business”, declared Fabio Di Giammarco, President for LATAM at Puratos.

Manifesto 2022

CLEAR OBJECTIVES BEING ACCOMPLISHED

Di Giammarco has over three decades of career in the beverage and food industry. He was initially skilled in Communication, a very different field, but related to most industries in many ways. This fact was key to making clear every objective to be fulfilled by the company. He also completed some postgraduate studies and

update courses, among which an MBA stands out, as well as certifications as Member of the Board of Directors, thus contributing to innovation processes in small companies.

His experience in six different countries has also provided him with important learning knowledge and adaptation to different cultures.

“My greatest recognition is the profitable growth of companies and

When I joined Puratos I was fortunate to find a profitable and growing business

- Fabio Di Giammarco, President for LATAM at Puratos

people who manage to develop and improve thanks to good results”, the executive commented.

LEADERSHIP IN GASTRONOMIC SPECIALTIES

Puratos’ worldwide leadership spreads through three main divisions:

• Regarding Bakery, the company offers ingredients with an added

value, besides technologies that allow its customers to improve the quality, texture, and flavor of their bread offer.

• Its Patisserie portfolio includes vegetable creams, fruit filling, premixtures, and other products.

• Puratos offers distinguishable

Chocolate products within a sustainable operation alongside farmers from the producing countries. Moreover, Puratos supports the bakery, patisserie, and chocolate industries as it has the skills and technology to develop customized products worldwide. Its multichannel

strategy allows it to offer the best solutions to consumers, bakers, pastry chefs, chocolatiers, industries, and semi-industries that produce and commercialize bakery, patisserie, and chocolate products.

We seek to increase its positive impact at a global level through innovative food solutions that foster health and well-being, as well as for

companies, customers, people, and the planet to keep on progressing towards a promising future.

PRODUCTS AND SOLUTIONS THAT MAKE A DIFFERENCE

With innovation as a global hallmark, this feature joins virtually the entire process, from product development to the final taste, thus achieving unique results, which differentiates Puratos from the competition.

Puratos offers enhancers that provide a greater bread quality. Another renowned product is their patisserie premixtures, useful for making all types of puddings, cakes, and tarts, as well as their custard creams for millefeuille-like desserts.

The development of a vegetable creams portfolio (“vegetable origin”) came up from new consumption trends, besides a wider variety of sugar-free or sugar-reduced products, and adding more fruit.

Puratos also offers a great variety of

leaven and sourdough with different flavor profiles, besides a solid portfolio of enzyme modules that produce improved crunchiness, aroma, and freshness for its bread offer.

GROWING STRENGTH IN THE REGION

Under Di Giammarco’s leadership, Puratos has been subject to a reorganization in Latin America with four main geographical areas:

• Brazil

• Colombia

• Southern Cone

• North Latin America

Each one of these areas is run by leaders who make sure that principles such as encouraging dialog, sharing the best practices, and establishing a collaboration network with different countries continue being carried out. Geographic coverage has spread through important efforts such as distributors’ strengthening in Brazil, a significant investment in commercial resources in Central America̶, as well as a series of acquisitions projecting a profitable operation. This way, since December 2021 Puratos owns 100% of the shares of its operations in Colombia, Ecuador,

A great part of our investment is allocated towards developing the best solutions for our customers

-

Fabio Di Giammarco, President for LATAM at Puratos

“2021 was an important year regarding the execution of our strategy. Achieving our independence was an important step for the ambition of growth in the region”, highlighted Di Giammarco.

CLEAR STRATEGIES TO ACHIEVE GOALS

Different key factors have allowed Puratos to grow and take control of its operations in Latin America.

by combining the latest digital technologies with artificial intelligence techniques.

Currently, the solutions the company offers are more and more aimed at providing products and ingredients enabling customers to offer healthy, sustainable, and differentiated products.

Regarding production, the whole region has been subject to important investments. The nine factories in Latin America have been modernized and the Dominican Republic, which were previously operated by local partners. Besides totally controlling the operation, the local structure has been increased more than twice over, thus establishing direct contact with customers.

Besides promoting innovation in all the countries, Puratos’ portfolio in the region has evolved according to the market trends found through Taste Tomorrow, the world’s largest ecosystem for understanding consumers, which monitors trends

and equipped with new technologies, among them the installation of automation mechanisms in different processes and the optimization of its supply chain network, making it possible to offer more products to more customers efficiently at a competitive price.

“A great part of our investment is allocated towards developing the best solutions for our customers”, the executive remarked.

SUSTAINABILITY AS A PRIORITY

Within the food industry, not only is Puratos a global leader in culinary specialties and desserts but it is also a leader in its commitment to achieving carbon neutrality, a goal set for 2025.

Among the efforts to achieve this goal the company has a priority on energy self-generation through solar panels in Chile, Colombia, Costa Rica, and Uruguay; the obtention of energy from renewable sources in Brazil and

Chile; the operation of a CO -free manufacturing plant also in Brazil; and the installation of sewage treatment in Brazil, Chile, Colombia, Costa Rica, and Peru.

Regarding its value chain, Puratos created the Cacao-Trace program, which establishes different collaboration ties with cocoa farmers, thus allowing them to improve their offer and generate a greater value for

their business. For each kilogram of Belcolade Cacao-Trace that is sold, a fraction of the generated value goes back to the farmer, contributing to their business.

“We have been in this business for over one hundred years. We are determined to play an important role so it can go on for the next one hundred”, pointed out Di Giammarco.

We have been in this business for over one hundred years. We are determined to play an important role so it can go on for the next one hundred

- Fabio Di Giammarco, President for LATAM at Puratos

PROMOTING GROWTH

2022 has been an important year for Puratos, having seen the first steps towards a growth phase in the whole territory.

Particularly, the Southern Cone division is experiencing this growth rapidly, from which we could highlight the success of the operation in Chile and the current growth in Argentina, where Puratos products reach more customers thanks to an important distributors network and an aggressive development of new business.

“2022 means growth for Puratos and, especially, for our customers”, concluded Fabio Di Giammarco, President for LATAM at Puratos.

FOUNDED:

www.puratos.com FDiGiammarco@puratos.com INDUSTRY:

ACHIEVEMENTS LEADING TO SUCCESS ACROSS

Produced

by

Jassen Pintado

Written

by

Mateo Rafael Tablado

Art direction Omar Rodríguez

Interviewee

Fernando Figiacone, Vice President of Supply Chain in Africa for ABInBev

Alignment with best practices and global standards contribute to surpass different challenges faced across the territory, enabling a sustainable operation in brewing, completely invested in its surrounding communities

The origins of ABInBev in Africa go back to 1895, when the Castle Brewery was created by founder brewer Charles Glass in Johannesburg, South Africa (RSA). It only took two years before the company was listed on the Johannesburg stock exchange.

In 1950, the brewery’s corporate headquarters were moved from London to Johannesburg, with the purpose of achieving growth and expansion. Five years later, the Ohlsson’s and Chandler breweries were acquired by Castle, renaming the group as South African Breweries (SAB) EXPANSION ACROSS

THE CONTINENT

Besides arriving in Zimbabwe soon after, the most prominent expansion era for SAB took place during the

late 1990s, as the company grew into Mozambique, Tanzania and Zambia through different ventures.

After acquiring SABMiller in September 2016, ABInBev brought along global brands Budweiser, Corona and Stella Artois, now popular on the entire continent.

ABINBEV ACROSS AFRICA TODAY

“ABInBev Africa represents one of the shining lights within ABInBev, globally. There are so many achievements to be proud of”, stated Fernando Figiacone, Vice President of Supply in Africa for ABInBev.

ABInBev’s operations in Africa take place across eleven countries through three main territorial business units:

• The West territory encompasses Ghana and Nigeria. Focus brands in this area include Club, Hero, Trophy and Budweiser beers.

ABInBev Africa represents one of the shining lights within ABInBev, globally.

There are so many achievements to be proud

of

- Fernando Figiacone, Vice President of Supply in Africa for ABInBev

• Botswana, Mozambique, Tanzania, Zambia and Uganda belong to the Southeast unit. Main brands in this territory include Kilimanjaro, Mosi, 2M, St Louis and Club.

• The South territory is formed by Eswatini, Lesotho, Namibia and South Africa. Brutal Fruit, Budweiser, Carling Black Label, Castle Lager, Castle Lite, Corona, Flying Fish (who recently created a flavored spritzer), Stella

Artois and Hansa are the key brands in the South.

In South Africa alone, the company provides 7,000 jobs, supporting a beer value chain from seed to sip of more than 250,000 individuals and ultimately contributing to over 1, 000, 000 livelihoods. With raw materials sourced from more than 1,200 farmers, SAB is able to produce a 30 million hL volume, exporting 14

brands into 28 different countries across Africa, besides exporting to countries in different continents.

Boosted by new breweries opened in Mozambique and Nigeria during the last three years, in 2021 the company reached a 50 million hL production across the continent.

Recent investments include a stateof-the-art malting facility in Zambia, and also investment in a takeover of a glass manufacturing facility in South Africa, securing supplies for bottle production.

In the wake of economic uncertainty and the need for recovery, SAB recently reaffirmed its commitment to ignite the South African economy as it pledges to invest to R4.5bn – adding impact to an industry that already contributes 1.3% of the national GDP

During 2018, the brewery launched Brutal Fruit Ruby Apple Spritzer, which became the largest selling

We ended a strong 2021 with growth. We will continue to push for the same performance going forward

- Fernando Figiacone, Vice President of Supply in Africa for ABInBev

innovation ever in the continent, growing total brand volume by 40% and driving double-digit growth.

“We ended a strong 2021 with growth in volume, revenue and EBITDA. We will continue to push for the same performance going forward,” the executive said.

A LONG TENURE IN BREWING PROVIDING LEADERSHIP

Fernando Figiacone graduated from the Catholic University of Argentina as an Industrial Engineer. Figiacone also earned a postgraduate degree in Food & Beverage Marketing from the University of Belgrano (Argentina) and a Master in Company from the University of San Andrés (also in Argentina).

Other postgraduate studies taken by Figiacone include Supply Chain Training in MIT (Massachusetts Institute of Technology), Stanford

University and Darden University, all of these as part of ABInBev between 2015 and 2021.

UP TO GLOBAL STANDARDS

Operations in Africa bring along different challenges due to the infrastructure in some countries, as well as other factors such as commodity fluctuations and worsening currency exchange rates. To these common situations, the COVID-19 pandemic brought additional burdens to logistics and lead times.

“These are part of the challenges faced, but they are also what excites us and drives us to perform,” Figiacone explained.

The strong management systems in place across ABInBev Africa bring the company to the same level as all zones, globally. Constant training, adoption of best practices and KPI

THOROUGH INVOLVEMENT WITH LOCAL SUPPLIERS

As part of the historic merger conditions when ABInBev purchased SAB Miller, SAB committed to invest R1billion ($70m) into SA economy by the end of 2021 in three key areas of investment spend: Agricultural Development, Enterprise and Supplier Development, and Societal Upliftment initiatives.

Efforts have been consistent, as in the last five years the company invested more than $93.5 million in procurement with Black-owned

From 2017 to 2021, investments of more than $13 million have helped agricultural development programs. The company’s commitment to enterprise and supplier development, local procurement and local businesses has allowed for the creation of programs such as the SAB Thrive Fund, not only becoming tracking has enhanced its leadership, increasing autonomy across every team and successfully achieving benchmark levels. Notable areas which have become optimized include logistics, supply and the development of a returnable glass bottle system, among others.

businesses. Also, 95% of procurement is spent through suppliers with significant ratings in respect to local business empowerment.

In 2020 alone, the company invested nearly $6.6 million and $5 million in Supplier and Enterprise Development Initiatives, respectively.

These programs have enabled the company to help develop and train nearly 1,000 emerging farmers, increasing the local barley, hops and corn production feeding the supply chain.

The challenges faced are also what drives us to perform

- Fernando Figiacone, Vice President of Supply in Africa for ABInBev

a transformation factor within the company’s supply chain, but also providing much-needed jobs in local communities.

GLOBAL SUPPORT AND CONTINENTAL COMPLIANCE WITH STANDARDS

Support from ABInBev through global programs contribute to increasing efficiency in the three business units forming ABInBev Africa. The Voyager Plant Optimization program deploys best practices and standardization of operations. The program evolves continuously, improving and certifying every process, leading to a safe, sustainable operation of every production plant.

Also, the Africa zone head office,

based in South Africa, oversees every business unit, playing an essential role of support regarding supply, logistics, procurement, finance and people management.

“We have been able to optimize our operations despite operating in hugely challenging environments,” said the executive.

HIGHLY-SKILLED WORKFORCE

Personnel working at ABInBev Africa develop unique skills after undergoing demanding training. The company can easily state that its staff is comprised of some of Africa’s finest, most brilliant individuals, whose sense of commitment and ownership drives them towards delivering excellence in execution despite any challenges

faced. Hence, the company strives to maintain a low turnover rate.

BETTER USE OF RESOURCES, IMPROVED CONDITIONS WITHIN THE COMMUNITY

Along its tenure operating in Africa, ABInBev has found out that, as there are many resources that may seem to provide an infinite supply of ingredients for brewing, the reality is that these coveted commodities must be managed wisely to ensure their availability for time to come.

One of the areas which has improved noticeably within the company’s drive to sustainability set to 2025 is the efficient management of

from the municipality. The company set the goal of improving conditions with possible solutions to water restrictions challenging communities in Mozambique and Namibia.

On a related matter, the company has set a goal for 2025 to use 100% of returnable or recycled packaging. In Ghana and Nigeria possible solutions are being tested to increase recycled water resources, as during the last five years water usage has been reduced by 20%. The company, partnering with organizations such as the World Wildlife Fund has improved conditions of water availability in communities across the continent where it operates. One of the successful efforts is the borehole dug for the Caledon Maltings facility, reducing demand

content in PET. Tanzania is already experiencing PET-less bottling with brands such as Grand Malt being packaged in recyclable cans.

On its behalf, the Zambia branch created the Manja Pamodzi project, aimed to improve sanitation and hygiene through waste collection. The 815 collector program boasts 76% women, adding more than 14,000

tons of waste collected. Meanwhile, in South Africa, the EPR (Extended Producer Responsibility) program will allow an efficient management of single use and returnable products, thus implementing circular economy initiatives within communities.

Regarding the energy used to brew and bottle ABInBev products, the company set the goal of obtaining

100% of electricity from renewable sources, and enforcing a 25% reduction of carbon dioxide emissions across its value chain. This feat seems to be approached on time, as the seven Castle Lite breweries in South Africa already operate with solar power, and only in 2021 these generated more than

14 GWh of electric power, reducing CO2 emissions by 12,443 tons. And in Johannesburg, the Alrode brewery is powered by bio-gas.

These results have prompted ABInBev into announcing the global goal of achieving net zero emissions across its value chain by 2040.

“Sustainable development is a massive focus for our business as it is for many other businesses,” Figiacone remarked.

EVERY RESOURCE TO ACHIEVE UPCOMING GOALS

ABInBev Africa has a ten-year plan in place to increase its capacity in different countries through different flexible projects. The goal for 2022 is reaching 500,000 hL of product exported across Africa.

“Our mission is to support Africa’s growth, by producing the best African Beers with pride, through a highly engaged team, improving performance year over year. The focus is to further improve our performance reaching a very high utilization of our assets, and enabling our expansion capacity to support our zone and global growth strategy,” finalized Fernando Figiacone, Vice President of Supply Chain in Africa for ABInBev.

www.ab-inbev.com fernando.Figiacone@za.ab-inbev.com

GROWTH AND SUSTAINABILITY GOING HAND

IN HAND

is taking giant steps towards sustainable growth through well-developed strategies and its staff’s talent in different territories

Interviewee

Javier Cabeza, Vice-president of Operations in Europe, Africa and Asia for Grupo Bimbo

Produced by Jassen Pintado

Art Direction Omar Rodríguez

The Bimbo group was created in Mexico in 1945 and is currently the best-known Mexican food brand worldwide. Its expansion within the Americas began during the 1980s as the brand began exporting to the United States and Central America, later venturing into South America during the 1990s.

Overseas, Bimbo first ventured into Spain when Mr. Jaime Jorba, one of the brand’s founders in Mexico, returned to his home country.

EVOLVING TOWARDS BIMBO EUROPE, ASIA AND AFRICA (BIMBO EAA)

Bimbo Iberia was born from Bimbo’s operations in Spain and Portugal, working on its own until 2016. Its evolution continued in 2019, when Gabino Gómez, CEO for Bimbo, pushed for the creation of an organization similar to the one he leads from Mexico -which supports the company’s operations in the United States and Latin America-, also incorporating Bimbo UK, China and the brand’s assets in India and Morocco,

thus becoming Bimbo.

“Bimbo was pretty set in the Americas and decided to grow in the continents where it lacked presence: Europe, Asia and Africa,” commented Javier Cabeza, Vice-president of Operations in Europe, Africa and Asia for Grupo Bimbo.

LEADERSHIP:

BEYOND LEAN MANUFACTURING

Javier Cabeza is near completion of his second decade of work for Bimbo, which means he was also part of the Bimbo company in Spain before being acquired by the Mexican business group in 2011.

Cabeza earned Bachelor degrees in

Business Engineering and Chemistry Engineering at the Technical University of Catalonia (in Barcelona, Spain). He also earned an MBA from the IESE Business School (also in Barcelona). Among postgraduate studies, Cabeza obtained a Certificate as a Breadmaking Technologist from the American Institute of Baking and a Leadership program from the Harvard Business School.

Before joining Bimbo at 22, Cabeza worked for Synthesia Technology, a Spain-based leader in polyurethane solutions, and also for the Benetton clothing brand. Once in Bimbo, Cabeza has practically experienced every area

“The company’s a heavyweight in Europe for its business in Spain, Portugal and now in Asia”

Javier

Cabeza, Vice-president of Operations in Europe, Africa and Asia for Grupo Bimbo

in the company from operations to technical positions. The deployment of lean manufacturing systems and continuous improvement processes highlight his tenure in the company. Besides his outstanding work in Spain, Bimbo also took Cabeza to Belgium, the United States and Netherlands, until being in charge of, probably, the most diverse of Grupo Bimbo’s operations, globally.

“I wanted to become part of an enterprise so big as to not know in which part of the world I would find myself the next day, and that’s why I like Bimbo a lot,” the executive declared.

CONSTANT GROWTH IN EVERY TERRITORY

Bimbo’s endeavors in Europe, Africa and Asia encompass 32 facilities -used both as corporate offices and as storage facilities-, involved in the production of 15 brands, operated by

approximately 16,000 workers serving more than 200,000 clients.

Bimbo’s UK business was added to the operations performed from Bimbo Iberia towards all of Europe.

The UK branch’s business consisted mainly of bagel and croissant bread.

In Africa, Bimbo arrived in Morocco by acquiring a small company, growing its presence from the initial four production facilities and also expanding its product portfolio.

“The company’s a heavyweight in Europe for its business in Spain, Portugal and now in Asia,” said Cabeza, who is familiar with the highly competitive European market which, sooner or later, ventures into Latin America.

KEY STRATEGIES

Positioning Bimbo EAA as this clockwork operation able to replicate the model and reach of its parent company overseas is a very complex

Javier Cabeza, Vice-president of Operations in Europe, Africa and Asia for Grupo Bimbo

task which requires aligned strategies such as:

• Inorganic growth. The group acquired companies in Spain, India, Morocco and the UK, which have resulted in a longer reach and a strengthened portfolio within the food market.

• Managerial structures deployment. These offer detail into the business alignment level obtained, and they also measure efficiency, capabilities, business contribution and adaptability.

• Investment in production capacity. This has implied great investments in every country, contributing to each territory’s growth.

• Implementation of Lean Manufacturing. This improvement system has been able to detect all contributing and non-contributing elements in bringing value to clients.

• Quality-focused operations. Quality has become the determining factor even for decision-making, from being a tactic to become a strategic factor. No matter how favorable aspects such as costs and revenue become, no decision is made if it affects the products’ quality.

• Talent detection and positioning. One of the most important strategies is getting to know the talent’s capabilities in every country, enabling them to develop the roles each territory requires, matching capable individuals with the tasks necessary to different countries, as well as to develop the company’s talent or sourcing enabled staff to fulfill areas in need.

“We do make a great difference by relying on staff from China, India, Morocco, Portugal, Spain and the UK, such variety provides a big contribution,” the vice-president pointed out.

“We want to keep being a force in innovation. In every country we must fulfill the group’s philosophy: Feed better world”

Javier

Cabeza,

Vice-president

of Operations in Europe, Africa and Asia for Grupo Bimbo

SUPPORT FROM A GIANT CORPORATION

Bimbo EAA makes the most from resources provided by Grupo Bimbo, especially those involving knowledge and products, as well as personnel, experience and contact with tech and raw materials suppliers, considering Bimbo has become the largest bakery company worldwide.

This network support has been key to take solid steps in relatively new territories such as India or Morocco.

“Grupo Bimbo is always at the top of our list, providing us with influence and knowledge,” Cabeza remarked.

THE COVID-19 PANDEMIC AS CHANGE ACCELERATOR

An enterprise the size of Bimbo EAA

couldn’t be exempted from adapting to the consequences of the COVID-19 pandemic, deploying timely measures preventing the disease internally, reducing its spread to zero.

However, the company is aware that changes didn’t take place only within different companies, but also in consumer habits, becoming more conscious regarding the nutritional

value of products, plastic packaging and other trends previously detected, which simply took off as the pandemic began, such as online retail, to name one.

“We’ve learned to become more open, faster, to make the most out of business opportunities, to become leaner toward decision-making,” the executive said.

ON THE ROAD TO SUSTAINABILITY

Taking Grupo Bimbo toward sustainable operations is a top priority, globally.

Up until now, Europe has been the ideal ground to reach different goals, considering the territory’s regulations, policies and culture, which allow for significant advance in purposes such as bringing CO2 emissions to net zero by 2050 and other intermediate goals related to the use of plastics in packaging, among other things. In countries such as Spain, Bimbo’s vehicle fleet boasts 20% of electric vehicles, an amount that will undoubtedly grow in the short term also in other countries. In Mexico, Bimbo has the largest electric vehicle fleets in Latin America.

The company offers different recyclable options for plastic packaging, including biodegradable solutions such as D2W. Also, Bimbo,

globally, has experienced progress in solar power.

In Europe, Bimbo is involved -along other brands, clients and distributorswith the Marcas Waste Warrior association, whose purpose is to eliminate food waste. The association created the Too Good To Go campaign, in which different brands offer attractive food packages near their expiration date at very low prices with the purpose of feeding more people instead of wasting food, aligning the company to reduce food waste in 50% in respect with their 2016 figures.

“Sustainability is one of the group’s strategies. These goals must be accomplished, it’s fundamental to our group, there are no excuses for unfulfillment,” Cabeza expressed.

GROWTH IN THE HORIZON AND CONTRIBUTIONS TO FEED THE WORLD

If there’s a word describing the

“Sustainability is one of the group’s strategies. It’s fundamental to our group”

Javier Cabeza, Vice-president of Operations in Europe, Africa and Asia for Grupo Bimbo

future purposes of Bimbo EAA, it is undoubtedly “growth”. Asian territory is poised to become the grounds for such a purpose, specifically in India, where the company’s challenge is to reach more population.

In Africa, on its behalf, growth purposes also persist, but not in the short term. The market is evolving and it is very important to remain aware of its development.

The operation in Europe is consolidated, but the plan is to keep strengthening the company’s finances and enter categories yet to be explored by Bimbo.

Along with the brand’s efforts overseas, the company improves the fulfillment of its purpose to contribute to a better world by providing quality foods to a quantity of people that keeps growing.

“We want to keep being a force in innovation. In every country we must

HIGH QUALITY

standards and operations

A comprehensive and certified operation from sowing to distribution is the cornerstone for Licores de Guatemala to endure as one of the companies exalting the name of the Central American country.

Pintado

Luis Ibáñez Guillén, General Manager at Licores de Guatemala

Licores de Guatemala has exalted the name of its country internationally through the exportation of fine beverages of high quality and excellence in their production processes; its brands come to be a model which is earning more and more prestige with the passing of time. In its country of origin, its rums and “aguardientes” are already a part of the local tradition for the best occasions, serving in each sip more than 80 years of experience which is also present in more than 25 countries. Besides extending its presence internationally, in 2013, Licores de Guatemala got the “Ron de Guatemala” Designation of Origin, thus affording status not only to the land and environment where the cane grows, but also to the quality of the materials in which it is stored and aged.

Later, in 2020, Industria Licorera Quezalteca won an award as Exports of the Year, which acknowledges the company’s quality, sustainability and competitiveness.

“Licores de Guatemala is currently at a very important point after five years of uninterrupted growth and a profitability of each of its production units”, pointed out Luis Ibáñez Guillén, General Manager at Licores de Guatemala.

INTERNATIONAL EXPERIENCE IN THE SECTOR

Ibáñez is an industrial engineer and public accountant whose education took place in Peru. He also earned an MBA at ESAN (Spanish acronym for Business School for Graduates, in Peru) University Business School and is currently a doctor candidate at the University of Seville (Spain). The executive also completed specialization courses at the Marketing Society (London, England) and

“Licores de Guatemala finds itself at a very important point after five years of uninterrupted growth and a profitability of each of its production units”

- Luis Ibáñez Guillén, General Manager at Licores de Guatemala

executive formation programs at the INCAE (Spanish acronym for Central American Business Administration Institute, in Costa Rica) Business School.

Its prime field of expertise is Business Strategy and Innovation in the trade front. Throughout 25 years he has worked in the alcoholic beverages industry in countries such

as Argentina, Ecuador, Panama, Peru and, currently, Guatemala.

“My job is results-focused, I take part in all the business development aspects”, declared Ibáñez.

OPERATIONS WITH THE SUPPORT OF A COMPLETE STRUCTURE

The operation of Licores de Guatemala has got the structure of an

integrated chain: from the sugar cane plantations, the sugar mill where raw material is processed, distillery, aging centers, packaging factories, its own distribution system and contracted distribution through first-tier partners for the global presence of the product.

Moreover, the company has a division for imported liquors of different kinds, through which first-

class brands are commercialized.

The operation is complemented with Casa del Ron, its own retail chain, which has different locations in the country.

RICH PORTFOLIO WITH WELLPOSITIONED BRANDS

Licores de Guatemala is formed by rum, “aguardiente” and gin brands,

Somos

NUESTROS PRODUCTOS

Latas de aluminio de dos piezas.

Más livianas para transportar y fáciles de guardar

Diseñada para una apilabilidad perfecta

Enfriamiento rápido

Amigables con el medio ambiente debido a que el alumunio es infinitamente retornable y reciclable

each one with its own personality, capable of reaching different market niches.

RUMS

Ron XL: Beverage aged in oak casks for at least one year, distilled four times. Excellent selection for cocktails and a choice beverage for young adults. Available in pineapple/coconut, lemon/cucumber, berries, and apple flavors.

Ron Venado: This rum is offered in two different varieties, according to their alcohol content. It stands out due to its mixability.

“AGUARDIENTES”

Aguardiente Venado: A real tradition in the Guatemala central area, aged for a year and with tinges of intense flavor. A version with cinnamon scent and flavor was added recently to this brand.

Quezalteca: Flagship brand in the country, rooted to customs and flavors from Guatemala. Quezalteca is beyond social classes and age groups. Different flavors have been adapted to the Central American taste in different graduations, which allow

for a democratic consumption among different groups.

AGED RUMS

Ron Botrán: Botrán rum varieties are recognized worldwide thanks to their raw honey-based production, obtained after the sugar cane’s first pressing, which is grown in the Retalhuleu region, in the South-West of Guatemala.

Ron Colonial: Conceived up in one of the first cities to be founded in this continent, Antigua, Ron Colonial is produced from the maceration of plums, raisins and vanilla.

Ron Zacapa Centenario: Zacapa has been catalogued as the best rum in the world due to its production, from the soil type, climate and other natural elements combined in the region where its cane grows, its one of a kind distillation process and, specially, its aging at high altitude.

GIN

Xibal: This liquor is produced from Mesoamerican herbs which are

characteristic from Central America, in perfect symbiosis with the gin traditional flavors.

RTD s AND HARD SELTZERS

As trendsetters in low-grade and low-calorie alcoholic beverages, the company created brands such as Cubata, VIP, OBIT, Mangiatto, Xibal and Kick, aimed for different occasions and different markets with flavor variety.

IMPORTED BRANDS

We are pleased to represent brands from top level wineries and companies such as Viña San Pedro, Casa

Orendain, Tito’s, Pernod Ricard, E & J Gallo Winery, PradoRey, and Segura Viudas, which trust our commercial and brand development system.

“We are proud of producing rums which are really world-class”, commented the General Manager.

INNOVATION AS A BRAND-CREATOR BOOST

The capability of building up brands and innovating when affording them an evolution element was joined to Licores de Guatemala’s tradition of producing high-quality liquors for decades.

Currently, the company offers both the domestic and international markets an average of 25 innovations a year in the form of new products, new flavors, new brands and packaging.

“We have converted the company into a lean organization to respond to the faster and faster changes in the markets”, Ibáñez pointed out.

Among these innovations, we could highlight high quality products which can make a difference in the market, such as: Ron Botrán Creole Apple Fusion, Botrán Vintage Wine Cask, Botrán Guatemalan Oak, Cinnamon

Flavored Venado, Zacapa Royal, Ron XL in different combinations with lemon, XL Sour Blast, XL Pineapple/

“We are proud of producing rums which are really world-class”

-

Luis Ibáñez Guillén, General Manager at Licores de Guatemala

Coconut, Xibal Gin & Tonic, Xibal

Equinox; Blackberry Quezalteca, Guatemalan Mango, Pepita

Orange, Pineapple, Hot Corn flour

Drink; “ready to drink” (pre-mixed)

Mangiatto, XL Kick and Quezalteca

Chispuda, just to name a few.

Beyond alcohol as a beverage, COVID-19 pandemic took Licores de Guatemala to develop Alkoh, making an incursion the in medicinal alcohol market, thus contributing to fight the virus.

COMPANY-OWNED RETAIL OUTLETS

In order to work as a complete operation, Licores de Guatemala manages its own retail channels, which have been modernized and reshaped through physical sales channels Casa del Ron, in different cities in the country, whose unique concept has been renovated.

After the transition to e-commerce on the part of the consumers, which was accelerated during the quarantines derived from the

pandemic, the company has focused its efforts on developing its electronic commerce channel.

SUPPLIERS’ SECTORS

Each line of Licores de Guatemala’s suppliers is properly segmented according to each stage in the production and commercialization of beverages.

For the farming stage of the process, the company has got suppliers who can afford the best fertilizer and riper which not only fullfils the sowing and optimal development of the cane, but also are friendly to the environment and the soil quality for sowing. Another important partnership is the one with packaging material suppliers (both glass containers as well as lids and labelling).

An important task with companies which take part in key areas for the creation of formulae, such as flavoring, aromas and natural scents is also carried out.

“We have converted the company into a lean organization to respond to the high speed of changes in the markets”

- Luis Ibáñez Guillén, General Manager at Licores de Guatemala

SUSTAINABLE OPERATION

The purpose of directing the company towards sustainable operations has resulted in important investments on behalf of Licores de Guatemala, accomplishing effective actions such as a reduction in the use of fossil fuels and the optimization towards clean processes, having received the ISCC Certification Plus (International Sustainability and Carbon Certification) and verified the entirety of its production chain. This rank also guarantees the optimal management of the production chain’s resources, from plantations, mills, distilleries, aging and packaging centers to

experience centers.

This way, the company guarantees the sustainability of Guatemalan rum, which keeps up to world standards not only for its quality, but also for its caretaking of the environment and respect of human rights.

The company earned the Neutral Carbon certification in May 2021 from SGS, thus fulfilling ISO Standard 14064:2006. This was achieved by eliminating its carbon footprint, without turning to the purchase of carbon footprint credits as other companies do, as it owned an inventory of more than 1,850M to achieve its own mitigation of

greenhouse effect gases.

Towards the external part of the company, Licores de Guatemala created the “Tranquilo Camilo” campaign, which consists of enjoyable communications to promote the moderate consumption on behalf of consumers.

FUNDACIÓN LICORERA (SOCIAL WORK ORGANIZATION)

Fundación por la Vida (Foundation for Life) was created in 1986. It changed its name to Fundación Licorera, which contributes to the complete development of the Guatemalan society focusing on three main points:

life standards through nutrition, education and productive programs. This organization has managed to have an impact on children and surrounding communities through two schools with about 1,000 students, and also more than 200 women through different trainings who seek to empower and improve their living standards. They also distributed about 12,620 bags with food in Jocotan, Chiquimula, known as the “Dry Corridor” in our country. In addition to this, our Ingenio Tulula office for relationships with communities has benefited more than 14,300 neighbors and 2,800 families from San Andrés Villa Seca, Retalhuleu, with health, communal infrastructure and human development projects.

FOUNDED: 1939

INDUSTRY: Food & Beverage

CONTACT: (+502) 2470-9696 www.licoresdeguatemala.com

info@licoresdeguatemala.com

LOOKING TOWARDS GROWTH

The main goals for Licores de Guatemala are the consolidation of the growth experienced over the last years and make it sustainable with the passing of time.

After the positioning of its brands in Guatemala and Central America, Licores de Guatemala seeks to emerge in new markets beyond the organic growth.

“We keep an eye on new growth opportunities and we look toward the future with optimism”, concluded Luis Ibáñez Guillén, General Manager at Licores de Guatemala.