Ferrero to tap into rapid Chilean hazelnut production growth

The Italian chocolate manufacturer is looking to Chile for the hazelnuts needed for Ferrero production and it wants to establish full traceability for the supply chain by 2020
Ferrero to tap into rapid Chilean hazelnut production growth

Ferrero is now working on expanding the 17,000 hectares, because the Italy giant believes that Chile could soon become the third-largest global producer of hazelnuts. Indeed Chile saw 10.486 tonnes of whole walnuts shipped in the first months of this year with a combined value of 45,69 million dollars. At the same time exports of shelled walnuts in the same period totalled 4.846 tonnes. As explained by Ferrero’s  managing director Lucio Gomiero: “The aim of the company is to develop the hazelnut industry on a worldwide scale, presenting itself as a benchmark for innovation, best farming practices and environmental sustainability”. The company has agreements with small farmers in the area of Córdoba, in Chile, to buy their annual production and cares about establishing long-term relationships, since the excellent quality of raw materials is a key factor in the success of Ferrero products.

FERRERO WILL MAKE HAZELNUT SUPPLY CHAIN TRACEABLE – Ferrero, which ranks fourth largest confectionary company in the world, decides to store hazelnuts to preserve quality, as it is one of the most important raw material used in the production of Nutella, Kinder Surprise eggs and more. So the Italian company wants  to establish full traceability for the hazelnuts it uses by 2020, as part of wider commitments to sustainable agricultural practices. In its latest CSR report, the company announces a plan to ensure 100% traceability of supply ingredients. Italy produces about 15% of the world’s output of hazelnuts. Italy’s hazelnut harvest is due to come but everything seems to point to an excellent crop. If this is the case, prices that are already lower than last season could go down further.

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