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Lavoro, the first agricultural input distributor in Latin America to have its shares listed on the Nasdaq, the American stock exchange, has just published its 2022/2023 Sustainability Report, a document that encompasses all the innovation, governance, social and environmental performance actions carried out by the company during the period, in its operations in Brazil and Colombia.
Sustainability is one of the pillars of the group, which has signed a commitment to the United Nations Global Compact, building work within the UN’s 2030 Agenda, aiming for sustainable agriculture, responsible production and economic growth. So far, 59% of the voluntary ESG targets set in the last harvest have been started.
“The last two years have been a breakthrough for our agenda for more sustainable agriculture. In 2023, we advanced our market presence in private label products under the management of Crop Care. For the next harvest, we are due to inaugurate the largest biological plant in Brazil, which reinforces our growth and commitment to sustainability in the field,” says Ruy Cunha, CEO of Lavoro.
Also during the 22/23 cycle, Lavoro put the Traceability Program into practice, where around 24,000 customers from all over Brazil and 60,000 farms are registered. This makes it possible to assess environmental compliance, through the Lavoro Protocol, from one end of the grain and other commodities production chain to the other.
According to Monique Cardoso, Lavoro’s Corporate Sustainability Manager, the Traceability Program is proving to be an essential tool for ensuring 100% compliant agricultural production. In just one year of the program, Lavoro has managed to track more than 39 million hectares and 100% of grain origination via Barter.
“The Traceability Program gives us the certainty and security that the soy, corn, wheat, coffee, cotton and other crops produced by our customers will be accepted in all markets, without any restrictions. It also reinforces that we keep in line with practices that respect people, communities and the environment,” explains Monique.
Lavoro also grew in turnover. In the 22/23 cycle, seven different companies joined the Lavoro Group and more than 25 stores were opened or incorporated into the platform. The company currently has more than 74,000 customers and 220 stores in Brazil and Colombia.
“We’ve reached the 36-company mark in the group. During this harvest, two new companies joined our portfolio, Referência Agroinsumos and Cromo Química. We also opened our largest store in Latin America, in Sorriso (MT). It’s been a cycle of great achievements, and we have great plans for the next ones too,” Cunha said.
Crop Care in 2022/2023
The Crop Care holding, responsible for Lavoro’s own-brand product portfolio, also had a great cycle. On 22/23, the company moved ahead with the construction of the industrial site in Itápolis, in the interior of São Paulo, and has already inaugurated a distribution center and a laboratory for the development of new state-of-the-art products. The new factory, operated by Agrobiológica Sustentabilidade, a company of the holding specializing in the production of bio-inputs, should become the largest biological production site in Brazil. Agrobiológica’s portfolio is already available at more than 200 points of sale throughout Brazil, reaching more than 10,000 rural producers.
“With the start of operations at the new plant, scheduled for early 2024, we will be able to accelerate the development of Agrobiológica’s pipeline, with 20 new products expected to be launched in the next three years. We’re very excited about the inauguration of the new biologicals plant, it’s a milestone for us as a company, and a milestone for the national bio-inputs market,” says Marcelo Pessanha, CEO of Crop Care.
In January, Crop Care acquired Cromo Química, which specializes in the production of high-performance adjuvants and enhancers for agriculture, with a focus on soybean, corn, cotton and winter crops.
Largest distributor of inputs for the Brazilian forestry sector
Lavoro has become the largest distributor of forestry inputs in Brazil through Futuragro Florestal, one of the group’s dealers based in Campo Largo (PR), which has a 50% share of the domestic market for products in this segment.
“Forestry is one of the ten main crops that Lavoro distributes inputs for. Today, we supply giants in pulp and paper production, energy, biomass, charcoal and other wood segments. To serve this very specific market, we have a highly trained and prepared technical team made up of agronomists and forestry engineers”, says Cunha.
Great Place to Work seal, inclusion and safety
In the 2022/2023 harvest, Lavoro received the Great Place To Work (GPTW) certification for the third consecutive year. The company currently has 3,759 employees, 34% women and 66% men, and 1,080 Technical Sales Representatives (RTVs).
In terms of equality and equity, Cluster Colombia serves as an example for the inclusion of black and indigenous employees. The local workforce includes refugees and migrants from other countries who have been reintegrated as part of the peace process the country has been experiencing since 2016.
“We invest a lot in training for our employees in order to offer the best service to our customers. We estimate that our employees have an average of 29 hours of computerized training, which is an excellent volume, representing a five-fold increase over the previous harvest,” points out Lavoro’s CEO.
Thinking about governance issues and the safety of its employees, in Colombia, Lavoro replaced all the hand pumps used to apply pesticides to sugar cane and oil palm crops in order to reduce the risk of accidents at work. The new equipment is an electric model that eliminates the use of an air compressor.
In Brazil, the use of PPE is mandatory for all store or factory workers involved in activities classified as operational risk.
About Lavoro
Lavoro is the largest distributor of agricultural inputs in Brazil and the first in Latin America to be listed on Nasdaq, the American stock exchange, under the tickers “LVRO” and “LVROW”. With a complete portfolio of products and services, the company empowers farmers to adopt innovative technologies and boost productivity. Founded in 2017, Lavoro has a wide geographic presence, operating in Brazil, Colombia and Uruguay, serving about 72,000 customers, through its physical presence, in its more than 210 stores distributed in Latin America and with a team of more than 1,000 technical sales consultants, and digital, with its marketplace. Learn more about Lavoro at: www.lavoroagro.com
Press Information:
Hill + Knowlton Brazil
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Gisele Gomes | + 55 11 99103-0946
Thiago Salles | +55 11 95602-8627