General Mills $1.1m sustainable sourcing program in Peru

As part of the General Mills long term sustainable sourcing program, the company and its Foundation announced a four-year joint commitment with supplier partner AgroMantaro to provide $1.1 million to help smallholder artichoke farmers in Peru increase yields and improve profitability.

The new program will reach nearly 100 small-scale artichoke farmers in Peru and will:

•Provide training on crop management and post-harvest practices

•Provide microloans to purchase artichoke shoots and seeds for farmers who lack collateral or a verifiable credit history

•Offer program participants in-depth training on how to form farmer cooperatives

•Provide financial planning education and information on how to formulate business plans

Depending on how much land farmers devote to artichokes, families can increase their income by an average of 36% annually. Peru’s central region was previously known for cultivating crops such as potatoes and grains, which have lower income potential.

General Mills and its Foundation are partnering with supplier AgroMantaro and global humanitarian organization CARE on this program. Each organization brings unique strengths:

•General Mills will share its extensive supply chain and agronomic knowledge in addition to providing financial assistance;

•AgroMantaro, relying on years of agribusiness experience along the Peruvian Sierra, will provide technical and agronomy engineering support, and financial assistance for seeds and plant shoots;

•CARE will leverage its expertise in facilitating community governance and local connections, provide key training elements, and work side-by-side with farmers and AgroMantaro to meet the project objectives.

General Mills sources its high-quality artichokes for France’s top-selling brand, Green Giant, or, Le Géant Vert, from farmers in Peru’s Sierra region.

The Central Andes region of Junín, with its ideal climate, rich soil, and consistent water source, is an optimal location to grow premium artichokes. Artichokes grown in this region
produce for three years, after which the field has to be re-planted. Part of the General Mills-AgroMantaro commitment is to help Peruvian farmers obtain microcredits to purchase new seeds or plants.

Historically, Andes farmers have not had reliable funds or enough savings to secure future plantings. This new program centers on the farmer – providing them with technical assistance, knowledge sharing and financial support for seeds and plants.