Agro-commodities firms, especially those working in emerging economies, face a broad range of risks ranging from labour and human rights issues, to operational challenges from political risks, weak infrastructure capacity, climate change, water stress and natural hazards.
In response, Maplecroft has developed a range of multi-award-winning products and services that are used by companies in the agro-commodities sector, whether they are farming crops directly, sourcing products like palm-oil, cocoa and rubber in their supply-chains, or working in export finance. These include: country risk reports and briefings, commodity–specific reports, supply chain integrity briefings, reports on key emerging producers, custom indices and commodity scoring, strategic resourcing and ethical supply chain tools and risk calculators.
Maplecroft’s full-spectrum risk assessment service helps these companies identify, monitor and manage risk throughout their operations, supply chains and distribution networks.
01Commodity-specific reports for a global development bank
Maplecroft has produced a series of country risk reports on key international sugar producers for a well-known global development bank. Each report focused on one country and provided:
- Analysis of the status of the sugar sector, including area cultivated, key producers/processors, etc.
- Assessments of key E&S issues associated with the sector, including sub-national variations.
- In-depth reviews of identified producers/suppliers.
For some countries of additional interest, these reports were then expanded to cover additional agro-commodities requested by the client (coffee, cocoa, palm oil, copra, livestock, fisheries and forestry) and then to cover selected non-agricultural sectors (mining, O&G, ICT, transport, tourism and power). The final phase of the project provided the client with in-depth analysis of associated State Owned Enterprises and key landowner groups. These reports minimised the bank’s risk exposure by identifying the markets and suppliers with the least risk exposure.
02Supplier benchmarking for a food manufacturer
Maplecroft has undertaken a benchmarking exercise for a well-known food manufacturer that sources agro-commodities, such as cocoa, coffee, palm oil, and sugar.
The benchmarking exercise included:
- Rating of 26 companies in the food and beverage sector for the company’s responsible sourcing programme, using Maplecroft’s bespoke company assessment tool.
- Production of scorecards with company performance and ranking for each company.
- In-depth analysis, including identification of best practice within the sector and gaps within the company’s current programme.
Through this peer comparison, it was possible to highlight the areas that require further improvements for the company to retain its position as sector best.
03Development of a strategic-sourcing tool for a leading supermarket
Maplecroft has developed an online tool allowing a global supermarket chain to evaluate multiple risks across supplier sites worldwide.
Using supplier coordinates provided by the supermarket, Maplecroft’s tool maps thousands of supplier sites, allowing them to refine results by country, supplier relationships and supplier roles.
- The tool was customised for the supermarket to enable them to select key themes of concern, from Maplecroft’s unique bank of 200 risk indices, to focus on issues including: labour rights, political violence and conflict and natural hazards risks.
- Selected sites are compared against key themes of interest, with the tool providing analytics both at country and site-specific levels.