As a leading producer of staple foods in South Africa, Premier FMCG is committed to ensuring food security so that nutritious food options are available to all citizens. This is to support the sustainable development goals (SDGs) set out by the United Nations, specifically Goal 2 (Zero Hunger) and Goal 12 (Responsible Consumption and Production). To this end, Premier FMCG has a sustainable sourcing policy for food ingredients and implements measures to reduce food waste throughout its production and supply chains.
“Food safety and security remain a priority for Premier. In our day-to-day operations, we are mindful of the importance of our products in the staple food basket, and we continuously do what we can to minimise the impact of cost increases on the end consumer,” says Julian Singonza, Managing Executive: ESG.
Studies by the World Bank show that over 65% of the South African population is urbanised and that food insecurity is widespread. It is further estimated that approximately 60% of consumers live below the poverty line, with 2.5-million adults and 600 000 children experiencing hunger on a daily basis.
Climate change is a very real issue that poses a threat to food security in the future. A 2021 NASA study reveals that global climate change may affect the production of maize and wheat as early as 2030 under a high greenhouse gas emissions scenario. This high-risk scenario will pose a major threat to food security if there is no increase in planting. Premier FMCG strives to reduce climate change impacts on its products and operations by strengthening its resilience and adaptive capacity.
As a country, we need to be able to provide access to sufficient, affordable, quality food for all. Premier FMCG supports genetically modified grains to address the food security challenges facing the country.
Genetically modified organisms (GMOs) are plants that have had their DNA changed to fight off bugs and other potential risks, which ensures an increased yield for farmers and reduces the need for fertilisers. This reduces input costs and environmental risks and improves food quality. Overall, farmers with GMO crops report using less water and less fuel, which has benefits for climate change.
As one of South Africa’s largest producers of staple foods such as bread, wheat flour and maize meal, some of Premier FMCG’s products do contain GM ingredients. In South Africa, 95% of soybean and 85% of maize crops are genetically modified, but our bread has less than 1% GMO (soya content in the premix). Our stringent quality management systems ensure we adhere to product labelling for our consumer’s safety and assurance.
Premier FMCG is committed to improving access to nutritional food by providing consumers with a choice of products available in diverse trade outlets at affordable prices and fortified as per regulations. Our 10 mills and 13 bakeries have the capacity to produce 680 000 tonnes of maize, 980 000 tonnes of wheat and 747 million loaves of bread per annum. With 25 distribution depots and a fleet of bakery vehicles delivering to 45 000 trade outlets per day, Premier FMCG has approximately 26% share of the bread market, 26% share of the wheat flour market, and 17% of the maize market.
Established in 1824, Premier FMCG is South Africa’s largest unlisted consumer goods business that has expanded from its traditional maize, wheat and bread business into a broad portfolio of product categories, including sugar-based confectionery, mageu (fermented liquid mealie-meal porridge) and sanitary protection.
At Premier FMCG, we believe in earning the right to operate in our communities by being a responsible employer and producer of quality branded products that are made available to our consumers. We go to great lengths to uplift the communities in which we operate, where our employees live and where our brands are consumed. Premier FMCG works with local communities through partnerships to support the implementation of the UN SDGs through mobilising and sharing knowledge, expertise, technology and financial resources.
Since the start of the global Covid-19 pandemic, Premier FMCG has worked with more than 700 NGOs and charities, donating food products to those who need it most, including participation in World Hunger Month, World Food Day and Mandela Day events. To date, we have donated more than 6.3-million loaves of bread, 4 270 tonnes of maize and wheat products, and mageu and sanitary products valued at more than R115-million. Premier FMCG has also provided about 18-million meals to the underprivileged.
“A key pillar of our strategy is to earn the right to operate in our communities. This encompasses our commitment to providing safe and quality products to our consumers, but includes assisting those in our communities who are at risk. We are extremely proud of our association with more than 700 NGOs that work tirelessly to distribute food and alleviate hunger,” concludes Singonza.
