The soft drinks and snack foods giant is in the top half of our scorecard, particularly for its climate policies and its recent commitment to zero tolerance for land grabs. But still falls flat on helping farmers, the treatment of women and workers.
We assessed publicly available information on the policies and commitments of the 'Big 10' food companies towards the sourcing of agricultural commodities from developing countries. The Scorecard looks at seven themes, weighing each theme equally. The index tackles some cutting edge issues that will require rigorous debate and dialogue between companies, civil society and industry experts. Find out more...
PepsiCo has added plenty of fizz on land issues. In March 2014, the company became the second to committo zero tolerance for land grabs recognizing community land rights for itself and its bottlers and suppliers in sourcing everything from sugar and palm oil to potatoes and corn. PepsiCo now scores second overall on land with Unilever and Nestle.
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PepsiCo fails to demonstrate basic knowledge about women workers and farmers growing its commodities. It has pledged to offer female workers more support, which is a step in the right direction.
PepsiCo is running projects to tackle some of the issues faced by farmers in its supply chain. Shame, then, that its code for suppliers doesn’t mention farmers’ rights.
PepsiCo has work to do to improve workers’ rights. It doesn’t recognize the right to a living wage, to improve it needs to establish a constructive and ongoing dialouge with the Union of Food Workers.
PepsiCo’s attitude to climate change has improved. The company commits to reducing greenhouse gas emissions but can do more to support farmers to adjust to a changing climate.
As part of its land rights commitment, PepsiCo took the leap of disclosing its top three suppliers and source countries for three major crops. As a result, it has jumped from a score of 3 to 5 – a good start to lifting the veil of secrecy that surrounds its operations.
PepsiCo’s commitment to water issues is impressive. It respects the UN human right to water and is serious about reducing water use. However, the company should ask suppliers to reduce water use and needs to disclose more about whether and how it operates in water-stressed regions.