Sustainability Report 2013-2017 - Organics with love - Rapunzel Naturkost
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Sustainability Report 2013–2017
Organics with love.
Foreword
report a living topic rather than just a “one-time task” that oil price suggests a virtually infinite availability of this re-
has to be done. It may be more time-consuming but this source that is essential for the production of nitrogen ferti-
process involves many employees and creates awareness lizer used in conventional agriculture.
and consciousness at all levels in our company.
Allow us the following remark: there is no other practicable
Four pillars of sustainability way worldwide than organic agriculture. No other agricul-
Rapunzel has never been a company that speculated on tural method can supply humankind with sufficient amounts
receiving subsidies. The economic success day in day out of healthy food in a genuinely sustainable way. Organic ag-
has always been the foundation for everyday environmental riculture has proven – and continues to prove it every day –
awareness and sustainability. From our more than 40 years that it can achieve this.
of business experience, sustainability can only become a ge-
nuine element if all four pillars of sustainability are lived by True to our company philosophy “Organics with love” we
all partners in the company’s periphery: ecology, economy, want to make a daily contribution to a more worthwhile
social and cultural aspects. future.
Since the publication of our first sustainability report 2012, Enjoy reading our sustainability report. With organic and
Margit Epple and Joseph Wilhelm we have continuously improved the data collection paying sustainable regards
attention to making the data more consistent. Data become
much more meaningful when they are collected over a span
of several years.
Joseph Wilhelm Margit Epple
Organic = Sustainability Founder and Managing Director Managing Director
Fortunately, in our case, product and sustainability form an
indivisible unit – not only since the publication of the first
sustainability report but since the beginning of our busi-
Dear reader, ness activities in 1974. However, the continuous collection
of operational data and the work on the sustainability report
we are pleased about your interest in our second Rapunzel provided us insights with respect to optimization of internal
Sustainability Report. and external work processes, work equipment and possible
cost-saving options and all this gives us room for further
Compared with many other sustainability reports our report improvement.
was not compiled by a marketing agency. On the contrary:
the needed input for this report came from different teams We are living in a time, where lobbyists with different in-
Cover picture:
in our company. The collective effort to compile the neces- tentions skillfully question organic agriculture as the most Rapunzel founder Joseph Wilhelm visiting
sary data and information make the Rapunzel sustainability sustainable method of agriculture. Furthermore, the cheap HAND IN HAND partner Norandino in Peru.
Inhalt
Global Fairness &
Social Interactions
for a world with fair agriculture and fair trade
Foreword page 2 page 20
Fair & Social
About Rapunzel page 4 s · Fair
ness & So
ci a in the Allgäu
li t ic lA
s
o for a social and healthy atmosphere at
pe
P
company headquarters in Germany
e&
cts
page 38
Sustainability Goals
n e r g y · C ul t ur
· O rg
anic Agr
for a conscious and sustainable
development of our company Organic
page 92
E Agriculture &
i c ul
y&
Seeds
Org
y
tu
og
om
re
l &
o
Ec · Se
for more organic agriculture for future
ic
ed s
· F o o d Q ual i t y
an
on
Ec
generations
Culture & Politics Ag page 46
for more humanity in an open and
r i cu l t ure &
informed society
page 74
Food Quality
Ecology & Energy for safe organic food products from
the field to the plate
for a respectful and sustainable interaction with page 52
nature and resources
page 56
3
About Rapunzel
Visions, Values and Goals
4
We make organic products with love: our identity
”Organics with love”– this statement is not just a promo- Therefore, our concern goes to all the people who participa- Frequent visits to our farmers and suppliers – also to those
tional slogan for Rapunzel products and publications. This te in the development of a product. Beginning with the far- who are not HAND IN HAND partners – give us insight into
slogan is our motto and guiding principle. mers all the way to the employees of our suppliers and our local conditions and create social connectedness. The fact
own Rapunzel staff who are responsible for the processing, that all people who contribute to our company llove our
This short saying expresses our deepest conviction that packaging, the warehousing and the logistics. Rapunzel food products, is the most important prerequisite
healthy, environmentally-sound and socially fair produced for our daily work.
food requires more than controlled organic cultivation. The base for everything are fair and adequate prices that
we pay in order to create a sufficiently high value added at It makes us happy when you taste this and feel it in your
This slogan expresses our belief that in an ethereal sense it all levels. well-being.
is only possible to manufacture healthy and well-tolerated
food if the people who cultivate and process these foods
are feeling well themselves. Only those who enjoy a good
life and who do not have to fight for daily survival can af-
ford the needed diligence and care to produce healthy food.
Healthy food means foodstuff that promote the consumer’s
well-being rather than simply filling his or her belly.
Picture on the left: In 2014, Rapunzel Naturkost celebrated its 40-year
birthday
Picture on the right: Rapunzel will remain an owner-managed company
in the future: Joseph Wilhelm with his five children.
5
About Rapunzel
The Rapunzel Vision
Our Ideal Vision for the World
Ecology & Sus- › A just and livable world where globality is not perceived as
Suppliers
tainability Quality threat but as an opportunity.
Customers
Product range › The regions are equal partners.
› There is only one world where all people have the same right
to live in peace and make an adequate income.
› Our contribution to this vision are healthy, high-quality food
Work atmosphere Independence products. They promote well-being and are accessible to
Rapunzel Company Goals everyone.
that we implement in our daily actions
› Their production supports the spread of organic agriculture and
contributes to the conservation of the natural environment for
today’s as well as for future generations.
Staff Efficiency › The production of Rapunzel products creates adequate added
value for all the people who are involved from the field to the
plate.
› Self-responsibility is the base of all our actions, our lives and
all our work.
The Rapunzel
Company Philosophy
6
Philosophy and Values Company goals: what we want to live and achieve everyday
Work atmosphere: As producer of vegetarian foods with an extensive product
› The organic quality and the holistic, wholesome qua- It is fun to work in our company. We treat each other with range for a wholesome nutrition, we promote a vegetarian
lity of our food products have the highest priority. fairness and respect. We appreciate a high level of employee lifestyle. With respect to renewable energies, heat recovery,
satisfaction and long periods of staff employment. conservation of water and other natural resources as well as
› We promote food products that are cultivated and the reduction of transport routes we seek long-term solu-
processed without genetically manipulated orga- Employees: tions and verifiable improvements.
nisms. Our company challenges and develops the staff and pays
› We treat our partner with fairness considering the fair wages. Our strengths are well-educated, motivated and Independence:
social and economic circumstances in their countries. satisfied employees. Different types of employee profit-sha- We make decisions without being economically controlled
ring plans turn employees into co-entrepreneurs. by outside forces. Being independent from banks and large
› Our partner in agriculture, food processing and food investors is part of our company culture. We see ourselves
trade share our philosophy. Customers: as brand manufacturer with our own marketing and sales
We offer our trade customers as well as their customers the capabilities. The mix of various distribution channels gives
› We know the origin of our products. best service and the best product quality. This includes a us freedom to act.
› We actively protect the environment through our ac- transparent marketing concept for all sales areas.
tions. In our decisions, we include the protection of Product range:
natural resources, the climate as well as the conser- Suppliers: In our core segments we achieve and maintain a leading
vation of biodiversity. We treat our suppliers with fairness. We cooperate with ef- market position in the natural health food industry.
ficient suppliers who share our philosophy.
› Secure jobs and a good work atmosphere are the Efficiency:
foundation of our success. Professional self-realiza- Ecology and Sustainability: We grow organically. The operating results are more impor-
tion (being at the right place), fun and joy with work For us, environmental protection and sustainable conduct is tant for us than the annual turnover.
are the cornerstones of our company philosophy. a comprehensive challenge that cannot be reduced to va-
rious partial aspects. Organic agriculture is the base for a Quality:
› In order to reach and secure our social and ecolo-
sustainable, future-proof economy and an essential contri- Protecting and improving the organic, wholesome quality of
gical goals, we are an economically successful com-
bution to global food security. We actively protect biodiver- our food products has highest priority for us. Our employees
pany. Innovation, productivity and efficiency are our
sity through the use of organic seeds and the promotion of and all those who are part of the value chain strive towards
strengths.
a GMO-free agriculture. this goal. We use exclusively GMO-free raw materials and
› We appreciate our customers. Their needs are the gui- we promote a GMO-free world.
deline for our actions.
› We produce organics with love.
7
About Rapunzel
Rapunzel Brand Products
Our contribution to a healthy lifestyle
The idea of a healthy diet and a healthy lifestyle has always Our top-quality, organic products can be divided into the
been an integral part of our philosophy. Our goal is to provi- following product groups:
de healthy food to many people. Therefore, Rapunzel offers
› Antipasti & pesto › Soups & spices
nearly 550 vegetarian, organic food articles for a wholesome
› Baking ingredients & thickeners › Sweeteners
diet.
› Bread spreads & nut butters › Tomatoes & sauces
Next to our “first generation products” – nut spreads, dried › Cereal & specialty flours › Dried fruit
fruit and muesli – our current product range includes pasta, › Legumes › Wine
cooking oils, chocolate and coffee. About half of the pro- › Coffee, cocoa & drink powders
ducts are manufactured at Rapunzel headquarters in Legau › Nibbles & snacks
in the Allgäu region (Bavaria). › Coconut
› Muesli & porridge
All the other products are produced by long-time partners
› Pasta
and contract manufacturers from certified Rapunzel raw
› Nuts
materials using exactly specified recipes.
› Oil & vinegar
› Oil seeds
› Rice
› Chocolate
8
9
About Rapunzel
Company History
From self-sufficiency to successful natural food brand
It started out very small: In 1974, Joseph Wilhelm and Jen- food manufacturer in Europe – an international company ture and distribute controlled, organic, natural and vegeta-
nifer Vermeulen founded a self-sufficient commune on a with nearly 350 employees at company headquarters in the rian food products.
farm with a small natural food store in the Bavarian city Allgäu region. Dimensions have changed but the values and
of Augsburg. Today, Rapunzel is one of the leading organic the underlying idea have remained the same: to manufac-
1979 1997
Move to
Kimratshofen
1987 Foundation of the Turkish subsidiary
Rapunzel Organik Tarim Ltd.
Rapunzel markets the first
in the Allgäu
1977 organic chocolate
worldwide. 1989
First nation-wide
1974 product delivery Construction of a new
Opening of a first office
in Izmir, Turkey Development of the
Joseph Wilhelm and Jennifer Vermeulen nut spread production plant
OXYGUARD® method for
rent a farmhouse in the village of Pestenacker
gentle production
(Upper Bavaria) with the goal to grow
of cold-pressed
healthy food
cooking oils
1985 1990
1976 Purchase and renovation
of the old dairy plant SAMBA introduced
First contacts with farmers in on the market
in Legau that remains
Italy and Turkey
1975 company headquarters
until today
Opening of the natural health food store Move into the former
“Rapunzel Nature Foods“ in Augsburg. guest house “Zur Post“
Start of the production of muesli,
in Tegernbach, county of 1992
Fürstenfeldbruck Registered trademark
nut spreads and fruit bars HAND IN HAND that guarantees
100 % organic and fair trade
D IN H AN
AN D
H
ORG
ADE
R
A
IC
T
N
R
RA AI
PUNZEL F
102009 2014 2017
Genfrei Gehen – second march 5th One World
for a GMO-free world from Expansion of production
2007 Berlin to Brussels with second nut butter
plant, packaging plant for
Award
ceremony
Sustainable energy supply
bulk goods and palletizing
including biomass heating plant
and photovoltaic modules 2010 robots
on the roof area. Construction of a new
4th One World Award
roasting plant for nuts and
seeds Construction of the
Rapunzel Tower in Legau
New concept for company
tours including tour through
Genfrei Gehen – march for a the production, museum and
1998 GMO-free world from movie theater
Start of the Lübeck to Lindau
HAND IN HAND 2nd One World Award
fund
2016
2013 First palm oil forum
in Legau
New raw material
2012 warehouse in Legau Rapunzel gets certified
2004 Introduction of first
breakfast porridges
pursuant to the EU
Eco-Regulation
Certification as
2015
Faires Bio-Pa
Demeter producer for organic health
2003 2008 food stores
Construction of a
Opening of the Rapunzel thermal power station
logistics center in Joseph Wilhelm initiates the 3th One World Award
One World Award, first award ceremony and a drying plant
Mensch, Tier &
Bad Grönenbach with
fully automated ceremony on occasion of the
IFOAM World Congress in Renovation of the
high bay warehouse Turkish subsidiary
Modena, Italy
11About Rapunzel
Company Structure
Sustainable management requires a suitable structure whe- Within the departments, team leaders oversee small teams The employees can be involved in the work processes and
re the employees can assume responsibility at all levels and with an average of eight persons per team. Such small-scale they can operate more or less independently. Our company
at all times. For that reason, the Rapunzel company struc- structures makes it possible that the responsible team lea- structure is based on transparency, integration and a reci-
ture is broad, solid and diversified. der and the employee can get to know each other at a per- procal exchange of information.
sonal level.
The different departments are assigned to two management
levels. The company values and goals can be authentically integ- 100 % family-owned
rated.
In order to make our own decisions, Rapunzel is independent
of banks and large investors. The company is 100 % family-
owned. The children of company founder Joseph Wilhelm
already participate in the company, setting the direction for
the future.
Since the decision of changing Rapunzel into a limited liability company, the
children of Rapunzel founder Joseph Wilhelm (left) and his co-managing
director Margit Epple (center) always meet at the annual shareholder
meeting (from left): Rosalie Dorn, Meike Bauer, Seraphine Wilhelm, Justina
Wilhelm and Leonhard Wilhelm.
12Managing Director
Joseph Wilhelm
› IFS/Food-Defense Officer
Managing Public Relations, Strategic Development › Sustainablity Work Group Administration, Logistics, Production, Managing
Director Brand & Product Range, Trade, Properties › Environmental Management Officer Quality Assurance Director
Zwergenwiese Joseph Wilhelm › Data Protection Officer Margit Epple Rapunzel Turkey
› Quality Assurance Officer
Sales Sales Rapunzel Product Marketing with Strategic Raw Commercial
Purchasing and
Wholesale Brand Retail Management Press Office, Material Quality Control Production Logistics and Management
Raw Material
(Export and and Product Consumer Sourcing and and Lab and Technology IT Management with Personnel
Trade
Rapunzel brand, Domestic Key Development Service Farming Projects Management,
private label), Accounts and Event Controlling,
Webshop and Management Administration
Organic Store Accounting
and Organic
Restaurant
13About Rapunzel
Value Added Calculation
Economy is the base 42 % for content staff
Organic farming and economic values are the prerequisi- The added value of roughly 41 million Euro in the year 2016
tes for sustainable action. Without an economically-sound is divided by many people. Rapunzel employees benefitted
foundation, Rapunzel’s commitment for sustainability the most receiving the largest share of the added value to-
around the world, at home in the Allgäu region or at our talling 42 %. Compared to the figures published in the first
Turkish subsidiary would not be possible. Sustainability Report 2012/13, the payout to the employees
rose by 44 %. Expressed in absolute numbers, this amounted
Creating values to a plus of 5.3 million Euro while the employee number rose
“only” by 18 %.
As a holistically-acting company, we strive for economic
independence in order to create social values. The value Profit-sharing for everybody
added calculation makes our contribution to the social
product transparent and shows how the contribution is This includes wages, salaries and social security contribu-
divided. tions, but also the voluntary profit participation to all Ra-
punzel employees that amounts to 7.5 % of the annual net
The value added is the corporate performance minus the profit. Thanks to Improved efficiency we were able to in-
advance services. crease the profit participation to every Rapunzel employee
by roughly 65 % in the time from 2012 to 2016. This meant
Noteworthy are Rapunzel’s high material expenditures that every fulltime employee received a profit share of 6,000
(67.4 %) in the production output. This is a high value Euro.
compared to other industries and to conventional food
producers. As one of the largest regional employers, our contribution
to the regional and the national development is another im-
On the one hand, such high material expenditures portant key figure. In our value added calculation, this figure
justify the price of organic food products. On the other is summarized as taxes and fees (14.4 % in the year 2016).
hand, this value also shows that upstream processes
of the value-added chain, for example our suppliers,
also receive a fair income.
14Supporting ecologic and social projects Sources of value added Distribution of added value
and building reasonable reserves
In 2016, Rapunzel supported partners in other countries 1.9 % 1.0 % to creditors (interest cost)
with a total sum of 775,000 Euro (= 1.9 % of value added), 1.9 % to HIH bonus & fund (donations)
helping them to initiate and develop ecologic and social
projects in their communities. We achieved this through the
HAND IN HAND bonus and the HAND IN HAND fund (see
8.8 % 14.4 % to the state (taxes and fees)
also page 26).
In 2016, the HAND IN HAND bonus amounted to 570,000 to employees
Euro. Rapunzel paid this sum directly to the different 34.2 % (wages, salaries, social contributions)
21.9 %
fair-trade partners. The bonus is directly correlated to the
purchased amounts of fair-trade products. Company performance* to employees
7.8 %
Support through the HAND IN HAND fund, however, is 187.5 Mio. Euro (profit participation)
not tied to specific supplier agreements. The HAND IN
67.4
HAND fund is administrated by Rapunzel and the German
Environmental Aid. In 2016, Rapunzel donated 205,000 Euro
to the company
%
to this fund that helped to support numerous ecologic and 40.7 % (investments)
social projects.
Sustainable management
* net profit plus/minus inventory change plus other
In order to ensure sustainable management in the future, we Material expenditures operating income.
retained a relatively high share of the value added (40.7 %)
in the company. This money can be used for future entrepre- Value added
neurial decisions, for example for investments.
Other advance payments
An important foundation for sustainable management is the
independence from banks and investors. For Rapunzel, this Amortizations
means low interest costs that sum up to only 1.0 % of the Current status 2016
value added.
15About Rapunzel
Corporate Key Figures
The total turnover of Rapunzel Ltd. is the sum of the turnover Total turnover over the different distribution channels All processes from the supplier to the sales department can
from four different distribution channels. amounts to 71 % domestic sales and 29 % international adapt perfectly to the overall growth rate. This also ensures
sales. that we can supply the retail trade with best quality raw
The greatest contribution to the total turnover is provided materials and finished food products in a timely fashion.
by the domestic sale of the Rapunzel brand products with On average, the yearly turnover rose by 11.1 % since 2012.
approximately 57 %. The distribution channel Rapunzel In the last two years, however, the growth declined by 4.7 %. We think that a supplier structure that develops with
brand export follows with 17 %, next comes private label Most of this decline was due to Rapunzel brand products. the overall growth is a good prerequisite for long-term
with 15 % and then the raw material trade with 11 %. Overall, this development shows a very moderate and sustainable management.
healthy growth rate.
Sales development Turnover according to Turnover Rapunzel brand
distribution channels domestic/export
in Mio. Euro
200 15 % 11 % Domestic sales
180 Rapunzel brand 29 %
17 % Domestic
160 Export sales
140 Export
Rapunzel brand 71 %
120 57 %
Raw material trade
100
Private Label
2012 2013 2014 2015 2016
Current status 2016
16The four Rapunzel distribution channels
As stated in the Rapunzel company goals we perceive our-
selves as a brand manufacturer with individual distribution. Rapunzel brand export
The combination of the different distribution channels gives
The Rapunzel brand is a European brand that is marketed in
us freedom to act according to our own ideas. The distributi-
on of the Rapunzel brand products to domestic and interna- 35 different countries. The most important export markets
tional retailers constitutes the heart of our sales activities. are France, Italy, Austria, Switzerland and the Benelux
countries. Outside of Europe, Rapunzel markets its pro-
ducts among others in the US and in China.
Rapunzel brand domestic
In addition to the German brand product range with
The Rapunzel brand is marketed as a premium brand exclu-
international labels we also market products in specific
sively to owner-run retail stores, organic supermarkets and
natural health food chains without intermediate wholesale languages. Most of our international marketing part-
traders. ners are long-time, powerful wholesalers who supply
the retailers in their prospective countries with a com-
Our domestic sales representatives are the contact partners prehensive product range of Rapunzel products.
for retailers, answering questions about individual products
and our product range or about special product campaigns. Strategically important customers are served by
The sales representatives are supported by back office su- Rapunzel sales representatives in the respective coun-
pervisors who attend to the retailers with respect to their try. At organic fairs, Rapunzel products are exhibited
orders, complaints or their logistical questions. and marketed for retailers.
Rapunzel is a strong, innovative partner for natural health
food retailers. At the same time, we are also affected by
structural changes in this market sector, for example by the
growing number of chain stores and the private label expan-
We have been selling Rapunzel products in our
sion of retailers and/or wholesalers. store from the beginning and they belong to our
store - because of their great quality, the HAND
We put our focus on a strong and vibrant Rapunzel brand,
best product quality and the best service at all levels.
IN HAND fair-trade program and the reliability
in our direct cooperation with Rapunzel!
Josef and Maria Märtl, Dinkelähre Neumarkt
17About Rapunzel
Trademarks/private label Raw material trade
Ever since natural health food products have become a busi- Through the distribution channel raw material trade, we de-
ness segment with measurable market shares, food retailers liver our own Rapunzel raw materials to various suppliers.
have been expanding their organic brands and have positi- This way, we can ensure best raw material quality also for
oned them in premium segments. products that are not manufactured by Rapunzel.
The growing importance of conventional retailers for the But Rapunzel also provides raw materials to other manufac-
sale of organic products in Germany and the improved so- turing customers. Thus, we can control the sales volume of
cietal acceptance of organic agriculture is reflected in the our producers. Therefore, raw material trade is an important
separate distribution channel “trademarks/private label”. link in the process chain for an improved commitment from
Rapunzel produces products in this segment for select and the supplier to the end customer.
long-time customers with high organic quality standards.
The fact that high-quality Rapunzel raw materials have a
The structural shift of organic market shares and sales volu- positive influence on the organic quality of food manufac-
mes to the food retail sector made this distribution channel turers is also important for us.
very important for Rapunzel. Thanks to the great quality of
our products and our efforts with respect to long-time, fair
and save supplier relations, trademarks with cheap entry-
level prices are not a topic for Rapunzel.
Rapunzel brand products
are marketed in
different countries.
35
18Sustainability for the organic industry: fairytale wedding
Zwergenwiese Naturkost and Rapunzel Naturkost join forces
In February 2017, the organic sector was stirred by positive prospects with this solution.” Susanne Schöning puts the each other since the 1970s. The substantive agreements and
and unexpected news: Joseph Wilhelm officially took over similarities of the company philosophies of the two compa- the political commitment for GMO-free food are a good
Zwergenwiese Naturkost Ltd. Despite this takeover, the or- nies in a nutshell: “Both for Rapunzel and for Zwergenwiese, foundation for a common path. Thanks to this fairytale wed-
ganic production company Zwergenwiese continues as an the organic movement is a social alternative to one-sided, ding, both companies can look forward into the future.
independent enterprise in Silberstedt in the federal state of purely quantitative growth targets.” The organic pioneers
Schleswig-Holstein. Susanne Schöning and Joseph Wilhelm have been knowing
Moreover, the Zwergenwiese brand, the marketing and the
customer topology including the wholesale delivery to the
organic food trade remain unchanged. Synergies shall be
used on the procurement side. The existing procurement of
regional raw materials will be upheld and shall be expanded
further.
Dream partner in the organic sector
Until the end of April 2017, Susanne Schöning supported the
transition process. Like many organic pioneers, the Zwer-
genwiese founder and owner faced the problem to come up
with a succession plan for her company. She consciously de-
cided against selling her company to investors from outside
the natural health food industry – so that her life’s work
with all its values could remain in the natural food sector.
“I am very pleased to have found the dream partner for
Zwergenwiese within the organic food industry”, said
Susanne Schöning. “This means protection of my company
over the long term. I am happy to offer my staff good future
Joseph Wilhelm and Susanne Schöning are happy about the sustainable
solution that ensures Zwergenwiese’s remain in the organic sector.
19Fair & Social Around the World
For a planet with fair cultivation and trade
FI Russia
Iceland
NO
EE
Canada LV
DK
GB NL DE PL
BE
LU CZ
AT HU MD
CH SL
FR RO
HR
IT BG
ES Azerbaijan
United States PT GR Turkey
of America Japan
CY China
Tunisia
Kuweit
Egypt
Bahrain
Mexico
Taiwan
Dominican India
Saudi-Arabia
Republic
Thailand
Honduras
Burkina
Faso
Costa Rica Togo
Sri
Ghana Lanka
Uganda
Kenia
Ecuador
Tanzania
Brazil Comoros
Peru
Import Bolivia Madagascar
Import and export Paraguay
Australia
Export Chile ir.
ic. Fa Rapu
an
nze
Org
Turkey
l.
Fa
76
mi
n g - P ro j e c t 1 9
r
New Zealand
Current stand: 2017
20 20The opportunities
of globalization
With globalization the world seems to have become smal-
ler. At the same time, the demands on our planet as a ha-
bitat and the fear of losing vital resources have increased.
Many perceive globalization as a worldwide, more or less
open cutthroat competition at all levels of society.
But there is also a different way. Indeed, globalization can
have positive sides. Worldwide communication networks,
unimpeded traffic and open trade routes make it possible
that a growing number of people can share global know-
ledge and participate in global prosperity. The central ques-
tion is HOW globalization is implemented.
Rapunzel tries to make use of these positive opportunities
in order to live and spread fair-trade at eye level. At the
same time, we are contributing to the expansion of organic
farming at the global scale. From our perspective, the only
sustainable solution is the combination of organic cultiva-
tion and fair-trade.
Organic cultivation with quality and fair working conditions
instead of participating in the global price pressure – this is
implemented by approximately 14,000 organic small
peasants from the KCU Cooperative in Tanzania, also
thanks to the HAND IN HAND partnership with Rapunzel
21Fair & Social Around the World 22
Supplier management
Long-term and reliable cooperation
With most of our suppliers, Rapunzel has been cooperating
for many years – for us, it is important that the suppliers Supplier audit
strive for quality and that they share Rapunzel’s values and
goals. Our supplier requirements form the base for the co-
operation. In addition to the compliance with ILO (Internati-
onal Labor Organization) standards, we put our major focus
on social and ecological aspects.
Supplier choice
Long-term cooperation creates trust and transparency on
both sides. We guarantee transparency and we build trust
through mutual visits and well-structured on-site audits. If
basic requirements are not fulfilled, we may opt to end a If needed termination of
supplier relationship. supplier relationship
A structured, annual supplier evaluation supports the conti-
nuous development of suppliers. Every two years, Rapunzel
presents an award to particularly reliable suppliers of raw
and fair-trade products. A particularly outstanding perfor-
mance is acknowledged with a “Special Award”.
Supplier evaluation Supplier development
Photo left: HAND IN HAND partner from around the world meet once a year in
Legau at a supplier workshop.
23Fair & Social Around the World
HAND IN HAND: the fair-trade program
The connection of organic cultivation and fair-trade
Rapunzel has established its own The HAND IN HAND partners guarantee:
fair-trade program: Products with best organic quality
HAND IN HAND (HIH). The Fair prices for farmers and fair wages for workers
program has an official label
Compliance with all national regulations
since 1992 and its beginnings
date back to the 1980s when Social security for employees
Joseph Wilhelm was on the search Humane, healthy and safe working conditions
for raw materials for the first organic chocolate. HAND IN Prohibition of child labor and forced labor
HAND connects controlled organic cultivation and fair- Consistent transparency
trade. Direct and long-term supplier relationships provide
Use of HIH bonus for ecological and social, on-site
the HIH partners with opportunities and provide high quality
development projects
products to the consumers also with respect to ecological
and social aspects.
The HIH logo is found on all Rapunzel products that contain Rapunzel Naturkost guarantees:
more than 50 % raw materials von HIH partners and that are
Long-term supplier relations
fairly traded according to the HIH criteria. Today, more than
Clear and reliable purchase agreements
100 products bear the label.
Fair product prices including organic and HIH bonus
The HIH criteria are based on the ILO work standards, Support of environmental and social projects through
the definitions and requirements of the SA 8000 (Social the HIH bonus
Accountability) of the SAI organization (Social Accountability Support and advice
International) and the guidelines for social justice that Advance financing and loans on request
were formulated by IFOAM – Organics International (the
Cost coverage for HIH inspection and certification
global umbrella organization of all organic farming
1 % of the purchase value goes into the HIH fund
organizations). Periodic, independent controls that take
place every two years and an external certification of Products are marked with HIH label when more than
the HIH partners and of Rapunzel ensure compliance 50 % of the ingredients are procured from the program
with the criteria.
This Quinoa farmer from Rapunzel HAND IN HAND partner Anapqui in Bolivia manually sifts the so-called Inca gold in the wind separating
larger and smaller grains.
24Rapunzel HAND IN HAND Partners Around the World
Coffee Cocoa Dates Sesame Mangos Cashew Nuts
from Hawit Caffex from Conacado from CCF from Sekem from Burkinature from Achal
Tunisia
Whole cane sugar Coconut
from Assukkar Rapunzel project
Egypt
Dominican
Republic India
Burkina
Honduras Faso
Costa Rica Ghana
Sri Lanka
Ecuador
Tanzania
Palm Oil Peru Brazil Coconut Oil
from Natural Habitats from Serendipol
Bolivia
Paraguay
Coffee Coffee
from Norandino from Kagera
Cooperative Union
Pecan Nuts Cane Sugar & Cocoa Quinoa Whole Cane Sugar Palm Oil
from Topará Whole Cane Sugar from El Ceibo from Anapqui from Planeta verde from Serendipalm
from Manduvirá 25Fair & Social Around the World
The HAND IN HAND bonus
Rapunzel‘s HAND IN HAND partner not only receive fair pri- The bonus is calculated on the cost of producing the raw The HIH partners use the HIH bonus mainly for health-, nut-
ces above market standard including an organic premium. materials and on the refinement degree of the delivered pro- rition- or education-related projects. Sometimes, the bonus
Moreover, they also receive an HAND IN HAND bonus from duct. Depending on the specific product, the bonus amounts is also used for agricultural innovations or improvements of
Rapunzel. This bonus can be used for a specific purpose, for to approximately 2-15 % of the purchase price. The total the infrastructure.
example for projects that improve the living and working bonus sum for a HIH partner finally depends on the product
quality of farmers and their staff. In the year 2016, the HIH and the annually agreed quantities.
bonus for 18 HIH partners amounted to almost 570,000 Euro
(2015: 570,000 Euro; 2014: 460,000 Euro).
Serendipalm, HlH partner in Ghana, used the Rapunzel fair-trade bonus 2015
for the construction of the ITC Center in Abaam that houses computer work
stations and a library. The ITC Center improves the educational opportunities
in the region.
26Two exemplary projects
Topará, the HIH partner for pecan nuts from Peru, used the
HIH bonus in the year 2014 for the construction of a dining
hall and a kitchen. Here, the employees are served a warm
meal every day at reduced costs.
Burkinature, Rapunzel’s HIH partner for mangos in Burkina
Faso, invested the HIH bonus in basic medical care for its
workers. With the fair-trade bonus it was possible to create
In Peru, HIH supplier Topará was able to build a cafeteria for its staff with the HIH bonus.
insurance systems for the employees who dry the mangos.
Background information: seasonal workers in Burkina Faso
have no mandatory health insurance. Most of the workers
in mango-drying are seasonal workers who are only hired
during the mango harvest season from June through August.
With the HIH bonus, the mango-drying group AVOH was
able to finance medical checks and a private health insu-
rance for all employees.
A green health insurance card – truly a special feature for these seasonal
workers in Burkina Faso. Realized by Burkinature with the HIH bonus.
27Fair & Social Around the World
The HAND IN HAND fund
In 1998, Rapunzel and the Deutsche Um-
welthilfe (DUH) [German Environmental
Aid] founded the HAND IN HAND
fund. The goal: to support environ-
mental and social initiatives and
projects around the world – by di-
rectly sending financial support to
people and places that are in desperate need for help. Since the
foundation of the HIH fund, DUH and Rapunzel supported 304
projects in more than 50 countries with a total sum of 1.36
million Euro (as of July 2017).
The main share of the fund money comes directly from Rapun-
zel in the form of a continual, annual donation. This donation
corresponds to 1 % of the purchase value of all HIH raw mate-
rials. The more Rapunzel purchases from its fair-trade partners,
the higher the donation will be – hence twice sustainable.
In 2016, the sum amounted to roughly 205,000 Euro.
Individual donations from private individuals and donations
from various campaigns complement the fund.
In 2010 an earthquake in Eastern Tibet also destroyed a
school in the Yushu region. The school was reconstructed
with money from the HIH fund.
28In the first years since the fund was established, most of the From 1998 until mid-2017, the HIH fund supported projects
supported projects were projects that were associated with in the following areas: 7%
HIH trade partners. As a result, the first projects had the goal
to improve the living conditions in the farming communities 14 % 27 %
Organic agriculture
and to enable better education for the children.
School education
Today, the DUH and Rapunzel advertise the fund internati- Climate protection Sum
onally. Independent organization, non-profit initiatives and
non-governmental organizations can apply every year for up Environmental education 1.36 Mio. Euro
19 %
to 5,000 Euro from the HIH fund. Social projects
The funded projects should have ecological-social goals and Promotion of women
should be in line with the UN millennium development goals. 21 %
12 %
Development of the HIH fund
100 %*
250,000
200,000
150,000
of the donations
from the HAND IN HAND fund 100,000
go directly to funded projects.
50,000
25,000
*i.e. administrative costs were not deducted.
The administrative costs are shared by Rapunzel and the DUH. 1998 2016
29Fair & Social Around the World
Black Sea
Istanbul
Terme
Hazelnuts regional Office
Apricot kernels
Hot Peppers
pine nuts & Peppers Ankara
Bergama
Izmir
Ören
Rapunzel head office Turkey
Processing plant and warehouse
Malatya
Aydin Salihli / Tekelioğlu Gaziantep regional office
village projects, regional office
Apricots
Pistachios
Olives
ic. Fair. Rapu
Dolmas an
nze
Org
Figs
Turkey
l.
Fa
76
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r
Mediterranean Sea
Sultanas
30The Rapunzel Turkey Project
Dried fruit, nuts and antipasti from controlled organic cultivation
During his search for high-quality, organic dried fruit, The goal was to convert interested farmers to organic cul- Simultaneously to the village project in Tekelioğlu (sultanas,
Joseph Wilhelm contacted farmers and processing plants in tivation. The first organic dried fruit – figs and sultanas – raisins, olives) Rapunzel developed additional project regi-
Turkey in the 1970s. This was the beginning of the largest could be procured roughly ten years after establishing the ons for important raw materials such as hazelnut kernels at
and oldest Rapunzel farming project and our subsidiary, the first contacts in Turkey. the Black Sea coast, apricots in the region around Malatya
Rapunzel Organik Tarim Ltd. near the city of Izmir. Today, the and figs in the region near Aydin.
subsidiary employs up to 300 employees during high season. The pioneer work during the 1980s resulted in the founda-
In 2017, Rapunzel Turkey cooperated directly with nearly tion of the Tekelioğlu-Manisa village project. Today, thanks
500 organic farmers from ten different regions in Turkey. to the support by Rapunzel, 100 % of the vineyard cultivati-
on in the Tekelioğlu region have been converted to organic
Back to the beginning: it has always been evident that the farming – a success story for the entire region. The deve-
work with the Turkish farmers played a special role. The far- lopment of the Marmara Golu Lake near Tekelioğlu clearly
mers are the key protagonists for sustainable, organic pro- demonstrates the extent of the changes: when the project
ducts because for Rapunzel quality has its starting point on started, the lake was biologically “dead” due to the pestici-
the field. In 1986, the support for the organic farmers and des that were used for farming. Today, the lake water can be
the processing plants was organized from the Rapunzel pro- used again as drinking water.
ject office in Izmir.
Picture above: Joseph Wilhelm made his first contacts with farmers in Turkey
in the 1970s. In this picture, the Rapunzel founder was visiting farmers with Bo
van Elzakker, an organic consultant from Holland.
Picture left: yellow, green and a tower – already from afar one recognizes to
which company the Turkish subsidiary near the city of Izmir belongs to. The
similarities are not only limited to the outward appearance: Rapunzel Turkey
also has high social standards – with cafeteria and German workplace
standards that are not commonly found in Turkey.
31Fair & Social Around the World
Subsidiary near Izmir and loaded. Quality control has the highest priority at the
subsidiary; this also includes a rigorous system that ensures
In order to obtain better control over the storage and pro- complete traceability. Samples are retained from every lot.
cessing quality, Rapunzel built its own company in 1997 in The samples are analyzed in our own lab and by external
the town of Ören near Izmir. The company was constructed laboratories.
with state of the art technology and the subsidiary Rapun-
zel Organik Tarim Ltd. was founded. The building and the The only large 100 % organic company
technical plant are permanently upgraded to the newest
standards in order to keep up with the latest ecological and The Rapunzel subsidiary in Turkey processes only raw mate-
energy saving measures (see also p. 73). rials from controlled organic cultivation. This makes Rapun-
zel the only larger 100 % organic company in Turkey until
During the processing season, Rapunzel employs up to 300 today. All the farmers, our subcontract processors as well
workers there. We comply with all national and internatio- as the entire company are annually controlled and certified
nal regulations, pay fair wages to the employees and provide by the nationally accredited Swiss certification agency bio.
them with social security. inspecta. The Turkish employees manually control the harvest quality.
The most important work steps in the processing steps in Partnership with the peasant families
Ören are: inspection and quality assurance, calibration,
cleaning, sorting, packaging, storing and the shipping of the For Rapunzel, it is crucial to have reliable and long-term In Legau in the Allgäu, we process the Turkish raw materials.
raw materials. For additional verification, the Turkish col- business relations with the Turkish farmers. Comprehensive The hazelnuts, for example, are used for making our classic
leagues also send raw material samples for analysis to the advice for farmers, fair prices and the additional organic bo- Samba chocolate nut spread.
quality assurance department at Rapunzel headquarters in nus are important elements for this.
Germany. For environmental reasons, the raw materials are Seven Turkish agricultural engineers are employed by Ra-
transported to Germany mostly per ship from the nearby With the farmers we plan the purchase quantities early in punzel in order to support the farmers throughout the year.
port city of Izmir. the season and we stick to agreed purchase amounts – this They help in case of problems that may be encountered with
is not very common in the food industry. If needed, the far- organic farming or they teach and train the farmers in new
Quality work and procurement mers may receive prepayments from Rapunzel. The farmers methods. In addition, they inspect the fields making sure
of raw materials in the project appreciate this cooperation, also because Ra- that all standards are complied with by the farmers. Advice
punzel tries to pay as quickly as possible after the harvest. is given to all members of the farming family: about the
Quality starts on the field also in the Rapunzel Turkey pro- Rapunzel transfers the payment directly to the farmers ac- basic ideas of organic farming, about biological pest control,
ject. A personal and continuous contact with the farmers counts – another fact that is not very common. fertilization and composting, about pruning techniques for
and the suppliers is therefore part of our day-to-day busi- fruit trees or about biodiversity.
ness. Rapunzel agricultural engineers organize the trans- 2017 we cooperated with nearly 500 farmers who produced
parent purchase of the raw materials directly from organic hazelnuts, pine nuts, pistachios, apricots, sultanas, raisins,
farmers who work in the Rapunzel project. Volume cont- figs, tomatoes, peppers, hot peppers and olives for Rapunzel
rols are performed when the harvested goods are purchased on a total acreage of approximately 3,500 hectares.
32Weltweites Engagement
Rapunzel also supports local activities in the villages, for
example: for every container or truck that is delivered from
Fair and social working conditions in Turkey
Rapunzel Turkey, we plant a tree for a reforestation project › The work quality has a significant influence on the pro-
in Tekelioğlu. duct quality. Our employees in the Turkish subsidiary shall Social certification
be comfortable and shall have perfect working conditions.
This includes social spaces, production areas with suffici- In 2017, Rapunzel had the company in Ören and several
ent natural light, good light quality and fresh air. important subcontract manufacturers certified for the
first time in accordance with the Sedex SMETA requi-
› It is important for us to have happy employees (social
rements: what has always been self-evident for Rapun-
quality). This implies paying social security contributions
zel, also for the Turkish subsidiary, was now confirmed
for all industrial and commercial employees (pension insu-
by a neutral authority. The certification assessed wor-
rance and health insurance).
king conditions, health provision, occupational safety
› All social spaces (toilets, changing rooms and washrooms, and fair salaries, environmental aspects and corporate
dining room and prayer room) were renovated. ethics. The certification results show that Rapunzel
Turkey is a model company with respect to the wor-
› Rapunzel provides a warm, free lunch to all employees in king conditions, the fair treatment and payment of the
Turkey as well as free tea breaks. employees and the occupational safety that is very im-
portant.
In the cafeteria, the Turkish colleagues get a warm lunch a day for free.
Every year we celebrate the start of
Good cooperation with the parent company the harvest season with a harvest
festival – when the first trucks are
Experts from the German parent company periodically visit loaded with figs and are made rea-
the Turkish colleagues as part of the cooperation with the dy for export into the Allgäu – at
Turkish subsidiary. this festival all employees dance as
is the tradition in Turkey (see pic-
A highly qualified team of agricultural engineers and food ture on the right).
technologists ensures the product quality from the field to
the export.
As the only large 100 % organic company in Turkey, we are
pleased to contribute to the development of organic far-
ming in Turkey.
33Fair & Social Around the World
ir.
ic. Fa Rapu
an
nze
Org
Turkey
Organic pioneer work in Turkey:
l.
Fa
76
mi
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sustainable and socially responsible
For all products from the Turkey project Rapunzel guarantees:
100 % certified and controlled organic quality from System of seamless traceability – from the sales counter
the fields of Rapunzel project farmers, to the storage to the farmer – using “farmer codes”
in our own warehouses, the processing in our own
All ingredients for the processing of dried fruit such as
processing plant in Ören, all the way to transparent
rice flour and sunflower oil as well as rice, spices and
trade processes
herbs for other processed products come exclusively
Continuous support for the farmers by salaried from organic cultivation
agricultural engineers: sound advice, organic training
Unusual high social standard for Turkey with health
and on-site inspections
insurance, pension insurance and free of charge warm
Strict verification of the harvest quantities in relation lunch for all employees in Ören
to the cultivated acreage
Bright and environmentally-friendly, air-conditioned
Direct purchase of fruits from the farmers – without workplaces and sanitary and social spaces that comply
any intermediate traders (best possible value for the with German workplace regulations
farmers, no mixing of goods through intermediate
No child labor or home-based work, but guaranteed
suppliers, quality control)
social insurance and guaranteed hygiene and quality
Fair partnership and fair prices for the farmers with standards
up to 15 % organic bonus. Partial prepayment and
Independent control of social and ethical aspects
purchase of agreed harvest quantities
pursuant to the Sedex SMETA certification
Closely monitored quality control with our own quality
Energy-efficient manufacturing processes with high
assurance in Turkey, in Germany and through renowned,
ecological standard
external laboratories
Swiss organic certification standard for organic
cultivation and processing (bio.inspecta)
34Fair palm oil – respect for people, animals and nature
palm cultivation. Important goals for these suppliers are the ployees get sick leave
Knowing where it comes from nurture and the protection of natural ecosystems for plants and maternity leave
and animals. At the same time, fair working conditions and as well as Easter and
The palm oil issue is an emotionally charged subject. Often
the support of joint projects in the region are integral parts Christmas bonuses.
this is reasonable because of the global exploitation of hu-
for fair cooperation.
mans, animals and nature through industrial, conventional
Moreover, the employees get a free meal a day that is freshly
palm oil production. Is it at all possible to grow oil palms in
At Serendipalm in Ghana for example, the female workers prepared by the kitchen team. Most of the time, the received
a truly sustainable way and to manufacture palm oil fairly?
who pick the palm fruits by hand, are payed every day. Their meal portions are so ample that the female workers can take
wages surmount by far the statutory minimum wage in this some food home with them.
Yes, with our HAND IN HAND partners in Ghana and Ecu-
African country. The social services that the workers receive
ador, we realize just this – 100 % organic, fairly traded,
also exceed the usual standard. All workers and salaried em-
socially and environmentally responsible. No rainforest is
cleared, people are not exploited and animal habitats are
not destroyed. Rapunzel customers can enjoy Samba, Tiger
cream and other nut spreads without regret although these
products are refined with palm oil. Rapunzel products are
made exclusively with fair-trade palm oil from two show-
case projects for sustainable palm cultivation.
Organic palm oil for 25 years
Rapunzel recognized the necessity for sustainable oil palm
cultivation early on and initiated the first organic palm oil
cultivation some 25 years ago. Through the direct supplier
contact, Rapunzel has been ensuring strict, transparent so-
cial accountability and environmental standards. Personal
visits from Rapunzel agricultural engineers intensify the co-
operation on many levels.
The two palm oil suppliers – Serendipalm in Ghana and Na-
tural Habitats in Ecuador – show real alternatives for oil
At Serendipalm in Ghana the fair-trade project provides secure jobs for
women – and therefore educational prospects for their children.
35Fair & Social Around the World
Important and sustainable source of income
Oil palms grow in countries along the tropical belt. Espe- income sources are not available, the result is nearly almost provide safe jobs, develop local structures and open real per-
cially in these structurally weak regions, genuine ecological overexploitation of natural resources. Thus, the two model spectives for local people.
sustainability can only be achieved when the locals have HAND IN HAND projects provide much more than supplying
sustainable income sources with social protection. If such sought after raw materials in good and fair quality: they
Natural Habitats Serendipalm
Location Location
Esmeraldas, Ecuador Asuom, southeast Ghana
Basic Information Basic Informatio
100 % organic cultivation with 100 % organic cultivation with
raw palm oil processing raw palm oil processing
Specialties Specialties
› cooperation with more than 100 › small-scale cultivation with approx.
self-employed palm tree farmers 600 peasants
› modern processing plant for › oil mill located in the village for
organic raw palm oil raw palm oil processing
› training for organic farming and › high degree of manual labor that
composting provided by salaried provides jobs especially for women
agricultural engineers › comprehensive training program for
› training and health programs organic peasants, fertilization with
› HAND IN HAND and fair-for-life compost
certified › numerous social projects implemented
with HIH fair-trade bonus
› HAND IN HAND and fair-for-life certified
Direct contact: Barbara Altmann (picture above), head of the
strategic raw material procurement at Rapunzel and Joseph
Oil palm grove of organic farmer Kwadwo Nkrumah in
Wilhelm (picture below) observing an audit in Ecuador.
Ghana: the fruit fascicles are harvested with a machete.
36Weltweites Engagement
Rapunzel criteria for fair and ecological palm cultivation
Protecting primary and secondary forests Protecting social jobs in structurally
and no clearing of forests weak regions
Protecting the habitats of Respecting indigenous people
endangered animals and plants and their land rights
Supporting biodiversity Personal advise to local farmers
and processing agents
Assuring 100 % organic cultivation
Cooperating over the long-term
Ensuring transparency from the farmer
for real sustainability
to the store counter
Ensuring fair-trade in accordance with
recognized, international standards
Palm oil and health
red. Because
as it is not hardened or chemically alte
Is palm oil unhealthy? Not at all as long y acids and
ounsaturated and polyunsaturated fatt
natural palm oil contains up to 50 % mon or coconut fat.
turated fatty acids than cocoa butter
thus contains significantly more unsa Ghana and
essing of the Rapunzel palm oil from
The careful harvest and the gentle proc
-quality oil. It belongs to Rapunzel’s
principles to What is most important for me? Thanks to the
Ecuador guarantee an especially high
process food products as little as poss
ible. Not least because of this, the palm
oil used for
ful trans-fatty
fair wages and the social security, I am safe and
is not hardened and contains no harm protected today and later in life.
Samba and other Rapunzel nut spreads
acids.
Female worker at Serendipalm
n of vitamin
, palm oil also has a high concentratio
Compared to other plant or animal fats t limit values
Permanent analyses and our own stric
E (between 60 to 100 mg per 100 g).
oil used by Rapunzel.
ensure the perfect quality of the palm
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