Pineapple Production Business Promoting Local Employment, Supporting Living Infrastructure, and Improving Productivity

The history of Dole Philippines’ pineapple division (Dolefil), which is part of the ITOCHU Group’s Dole International Holdings Corporation, dates back to 1963, when Dole Food Company first settled in Mindanao, the Philippines. Back then, Dolefil’s pineapple production required intense labor in a region where the business infrastructure is not well developed. For this reason, Dolefil consistently focused on harmonious coexistence with the region and has achieved sustainable business development over the past 60 years. For example, when the farmers start pineapple cultivation, it requires a fixed period of financial commitment (one cycle for every three years). Therefore, in addition to purchasing the harvest from farmers, we support new pineapple farmers by lending them heavy machinery and providing them with know-how on how to improve production efficiency through a local cooperative, and we also support the stability of the cultivation business. At pineapple processing plants, we actively employ local residents (including indigenous people and ethnic minorities) and thoroughly train them to maintain workplace safety and improve product quality. In addition, Dolfil runs a program to support the construction of housing for employees to simultaneously support their living infrastructure and improve their productivity.

Also, Dolefil is forming strong industry clusters in the region with wide-ranging initiatives conducted in collaboration with regional governments and the Mahintana Foundation, Inc. (below, MFI), an NGO spun out from Dolefil’s CSR department. These initiatives include industry and employment creation, environmental protection and forest restoration, education, livelihood support, employee benefits and health and safety.

For example, Dolefil is conducting ongoing donations to regional schools. Each employee who agrees with the significance and purpose of the activity contributes 5 pesos per month from their salary, and the labor union and Dolefil contribute an additional five times the amount of the employee’s contribution, which is used to continuously donate to local schools. Additionally, we use the donations to create jobs by ordering chairs for children from local woodworkers, and to recycle materials by providing used pallets as wood for chairs. In exchange for these donations, Dolefil is, among other initiatives, expanding participation in regional contribution by calling for children to take part in afforestation efforts and creating a cycle of employment creation by ordering saplings for reforestation from local vendors.

We are also carrying out initiatives targeting environmental conservation. Dolefil and MFI have led the “Ridge to Reef Project,” which has planted a total of 5.4 million trees and protected river banks since its inception in 2003. By controlling sediment runoff, the project aims to strengthen and promote environmental conservation, including water resource protection, biodiversity conservation, and protection of marine resources beyond that. This large project also involves regional governments, local businesses, and business partners. A portion of the donations for this project are used to support local nursery suppliers in seeding cultivation and procurement. This approach helps fulfill seeding demand for Dolefil’s afforestation efforts and also contributes to creating employment for regional citizens.

In addition, Sierra Tropical Limited provides local employment and vocational training at pineapple plantations and pineapple processing plants in Sierra Leone which was developed as the second source after the Philippines.
While Sierra Leone still struggles with poverty and high unemployment rates, the company has already hired more than 1,700 locals with salaries well above the local minimum wage and is expected to reach over 3,000 in the future. The project creates additional local employment, further improves the livelihood of the surrounding communities and has positive impacts in terms of poverty reduction.
For Details: IDA Private Sector Window Support for Dole Asia Holdings in Sierra Leone (worldbank.org)

An Oil Project in the Caspian Sea, which Ensures a Stable Resource Supply and Contributes to Local Communities for Harmonious Cooperation

As a member of an international consortium operated by BP, ITOCHU Corporation participates in the ACG field, a crude oil development and production project in the Caspian Sea in Azerbaijan, and the BTC oil feed pipeline project.

Crude oil produced by the ACG project is supplied primarily to the European market via the BTC Pipeline, thus contributing to the stable supply of energy in the world. These projects operate in strict compliance with environmental and labor-related laws and industry standards, as well as initiatives to reduce carbon emissions from operations. In addition to contributing to the creation of local employment, both projects are involved in a number of activities that contribute to the local community, such as education and employment support, support for the agricultural industry, etc. As a unique initiative, we make annual social contributions through our subsidiaries. Recent examples include the donation of PCs to elementary and junior high schools and solar panels to national parks. In FYE 2024, the Company donated solar panels to Baku Zoo at the request of the Ministry of Environment and Natural Resources.

Solar panels donated to Baku Zoo

Initiatives with Business Partners to Improve the Livelihood of Farmers in Sesame Producing Areas

Demand for sesame products in Japan is expected to continue to grow due to diversification of use and export demand. However, more than 99% of raw sesame seeds are imported, and stable procurement of high-quality, safe and reliable sesame in key production areas, such as Africa and Central and South America, is an issue. As a leading sesame importer, ITOCHU is supporting to help improve the livelihood of farmers in the producing regions for the stable procurement of sesame.

Providing Infrastructure to Sesame Producing Areas in Malawi

Malawi’s main industry is agriculture, and it is one of the production areas where sesame production has been increasing in recent years due to rising demand. However, Malawi is considered one of the poorest countries in the world, and improvement of the living conditions of local farmers is essential for stable production.

ITOCHU, together with Takemoto Oil & Fat Co., Ltd. has established a system to support the improvement of the country’s livelihood infrastructure through local suppliers and NGOs. As a first step, ITOCHU provided emergency vehicles and medical equipment to a newly established health center in the Chikwawa district in FYE 2023. In FYE 2024, we are constructing 9 wells to provide access to safe water. We will continue to promote our initiatives in the future.

Support for Small Sesame Farmers in Paraguay

In Paraguay, the government is encouraging sesame cultivation as a measure to raise the standard of living in some rural areas. ITOCHU, together with Kadoya Sesame Mills Incorporated is supporting the Paraguayan Ministry of Agriculture and livestock and DULSAN ORGANICA S.A. in technical guidance to farmers and providing agricultural tools such as sowing machines and sifters, and seeds.