Blog post -
Challenges and confidence in the future
It´s about the power of doing things together. That goes for sustainability as well of course. Here Kathrine Löfberg, the chair of the board, and Anders Fredriksson, CEO, share their thoughts on Löfbergs´ sustainability work.
Anders, what does sustainability mean to you?
Sustainability is without a doubt the most important matter of our time. A sustainable development is crucial for Löfbergs to keep existing as a business, as for all companies. The latest IPCC report is clear. We need to act now and the business community plays an essential role. Since its start in 1906, Löfbergs has taken much responsibility for the community, people and the environment, and we will be a leading player that work towards a sustainable development in the future as well.
What has Löfbergs done for sustainability during the past year?
It has been a year of challenges for co-workers, customers, farmers and our business. But also a year where we as people and as a company have learned so much incredibly fast and made behavioural changes that otherwise could have taken several years. Our new knowledge and behaviours give us the possibility to accelerate our work within sustainable development. We have learned to meet and cooperate digitally, and find new channels for business and learning. It is possible to change unsustainable behaviours quickly when we have to. That was a great lesson to learn and it gave us hope on how we can continue and accelerate our sustainability work, from the coffee farmer’s beans to the consumer’s cup.
When looking back, Löfbergs has under 2020/2021 handled the present situation and worked with renewal and long-term development at the same time. The year has meant that the sale was quickly adjusted to the changed consumption patterns. Coffee lovers that have worked at home have bought their coffee digitally and started enjoying their coffee breaks in new ways. It has forced us to make quick adjustments and have a more agile attitude. That, together with our loyal consumers and customers, has made us tackle the year quite successfully, which is something we should be proud of. The new, climate-smart roastery for whole beans and the switch to renewable gas in the roastery for ground coffee have lead to strides towards our goal of being 100 per cent fossil-free, and we have reduced our climate impact with 42 per cent compared to last year. The packaging development in the industry, where Löfbergs is a driving force, has taken important steps towards 100 per cent renewable/recycled material in all packages. And we have stepped up our efforts to increase the organisation’s knowledge in inclusion and what it means in behaviour in practice.
Kathrine, if we look out in the world, 125 million people depend on coffee for their livelihood. How has the past year affected the coffee farmers of the world?
They have suffered significantly. Closed borders, logistical challenges with for example a global lack of containers, closed markets and curfews have made it difficult for coffee farmers to run their small-scale companies. We see that our long-standing and close relationships with cooperatives and farmers are very valuable in crises like this, and that they are something that reduce our and the farmers’ vulnerability.
We have also intensified our work to strengthen small-scale coffee farmers within the framework of International Coffee Partners. So far, we have reached 105,000 participants and have already reached the goal of 100,000 participants by 2023. We have devoted much effort in developing new digital ways of reaching and supporting the participating coffee farmers. And we have seen much proof that our work gives effect during the year. Participants that have been a part of ICP has a higher resistance and have performed better than many others during the pandemic.
Our work with Coffee & Climate, where we support farmers to manage climate change, is another tool that we have worked hard with this year. We will spread this widely to make sure that it reaches and supports even more coffee farmers around the world.
The coffee is threatened. Fewer young people see a future in coffee. Climate change hits hard, with the frost in Brazil as an example that has forced up the market price on coffee. How is Löfbergs working to secure the morning cup and strengthen the next generation of coffee farmers?
We are a family business and have been since 1906. As owners, our vision is to create good moments for coming generations. The coming generations of coffee drinkers, coffee farmers, suppliers and also coming generations of the Löfberg family. All our efforts are all about that.
Another example is that we are the first roaster to join the platform Era of We with the goal to democratise the value chain. The platform offers the coffee farmers a practical opportunity to reach the consumer directly and get a higher value for their coffee. I believe that we, in a few years, will look back at the establishment of Era of We as a big and important step to change and improve the coffee industry.
How are the board and you as the chair working to spur the sustainability agenda?
Sustainability is an integrated part of the business and a way of making business, so it is therefore natural that sustainability permeates the strategic work of the board and the decisions we make. Of course, we follow up to see that we are in line with our goals. To secure a sustainably long-term business – financially, environmentally and socially – is certainly also the CEO’s most important task from the board.
Anders, how will Löfbergs work with sustainability under your leadership?
The ambition can only be to be leading in sustainability matters within the coffee industry. Löfbergs will take the lead and push on towards a sustainable future on this planet. We must have the courage to lead and be first, and we will be successful together with customers and partners. This year, we have updated our framework for our sustainable business strategy, which is based on the global goals, our values and the greatest risks and possibilities for our business. This framework will lead us forward towards even tougher goals and ambitions.
