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The selections of Kesko Food, Kespro and
K-food stores do not contain species given
a red rating in the traffic light type format
in WWF Finland's (www.wwf.fi) fish guide,
such as eel, Atlantic Halibut and fresh tuna.
Kesko Food, Kespro and K-food stores promote
the species with a green rating, such
as perch, pike, vendace, in their selections.
When making decisions on selections, sustainable
fish stocks and MSC certified suppliers
are preferred. Kesko Food supports
retailers' opportunities to sell fish caught
in local waters using sustainable methods.
At the end of 2011, there were six MSC certified
products in the Pirkka range.
GUIDANCE FOR SUSTAINABLE
PURCHASING
For supplier audits, Kesko uses international
assessment systems – BSCI auditing
and SA8000 certification. The objective is
to do business in high-risk countries only
with those suppliers who have passed the
audit. Kesko's suppliers in high-risk countries
have around 247 BSCI audited factories.
Kesko has a Steering Group for Responsible
Purchasing, which promotes the sharing
of best practices within the Group. The
steering group, which meets approximately
four times a year, consists of the purchasing
representatives of various divisions.
In China, Kesko supports its suppliers of
home and speciality goods by monitoring
activities. The local monitor guides, trains
and oversees the terms of employment and
working conditions of Kesko's Chinese suppliers,
and the observance of environmental
and chemical regulations. A total of 64 factory
visits were conducted in China in 2011.
Rautakesko monitors and improves
the working conditions of its suppliers in
the Far East through Eurogroup cooperation.
BSCI audits cover the evaluation of
occupational health and safety practices,
compliance with legislation concerning
working time and compensation as well
as management practice in the factories of
Rautakesko's suppliers.
Kesko's buyers are provided regular training
in responsible purchasing practices.
Kesko Food's buyers of processed foods
received more information on BSCI and
responsible purchasing in December 2011.
“The event was useful for the whole product
line. There was a wide-ranging discussion
on how we could better promote and
monitor BSCI audits of suppliers in high-risk
countries. Responsible operating practices
have a comprehensive impact on the whole
purchasing process. At the very beginning,
when searching for new possible suppliers,
we observe the candidates and take up possible
drawbacks. The aim is to find suppliers
who share the same responsible principles
as Kesko Food,” says Product Group Manager
Tuuli Luoma.
Tuuli Luoma became a member of the
BSCI's Food Working Group at the beginning
of 2012.
“From the group meetings, I'm expecting
plenty of open dialogue with participants
from different countries and a joint view
on how to improve the processes. I believe
that group work will increase the knowledge
of the various sectors of responsible
purchasing across the entire product line,”
says Tuuli Luoma.
TOP PRIORITy TO DOMESTIC
PRODUCTS
When products are selected to the Pirkka
range, top priority is always given to the
domestic alternative, provided that it meets
the quality and price criteria.
The domestic content of Pirkka products
in fresh foods, such as meat and processed
meat, liquid dairy products, such as milks
and creams, is very high, even 100%.
A significant part of products purchased
from abroad are those which are not available
in Finland, like fruits and canned foods.
The domestic content also depends on the
seasons of the year: domestic products are
not always sufficiently available around the
year.
LABELLING PROvIDES SUPPORT
FOR CUSTOMERS
In the package labelling of its own brands
and imports, Kesko complies with Finnish
law and with EU legislation. Package labelling
of Kesko's own food brands always comprises
– package size and space permitting
– nutritional values, even if not required
by law.
some 680
K-environmental stores
In the food trade, the building and home improvement trade and the agricultural
trade, environmental management is based on the K-environmental store model.
A K-environmental store works for the good of the environment, helping its customers
to make sustainable choices. When a store becomes a K-environmental
store, all its employees receive training in environmental issues.
REspONsIblE PURCHasING aNd saLEs
All Finnish Pirkka products have had the
name and location of the manufacturer
indicated on packaging for over 25 years.
Foreign Pirkka products bear the name of
the manufacturing country. Finnish Pirkka
products always carry the Swan label to
indicate domestic origin if the criteria set
for this are fulfilled. The current number
of Pirkka products with the Swan label is
nearly 270.
Since summer 2011, the country of origin
of meat has been indicated on the list of
ingredients in those Pirkka products which
have meat as one of the main ingredients.
Legislation requires that the area where
fish has been caught must be indicated,
but Kesko has expanded such information
to concern also fish products in the Pirkka
range, such as fish fingers and canned tuna.
There are now around 260 products for
which the origin of the main ingredient is
indicated. The objective is to have the information
on origin added to most meat and
fish products by the end of 2012.
The country of origin is indicated on most
private label products of K-citymarket and
Anttila. This information will be added to
the remaining products during 2012.
THE PRODUCT RESEARCH
LABORATORy HAS ISO 17025
ACCREDITATION
Kesko Food has a Product Research Laboratory
of its own, which monitors the quality
of groceries and home and speciality goods
sold by K-food stores, K-citymarkets and
Anttila and Kodin Ykkönen department
stores. It is the only research laboratory for
trading sector private labels in Finland to
have ISO 17025 accreditation, which is international
certification. Based on the Food
Act, this accreditation also enables acting
as a self-control laboratory approved by the
Finnish Food Safety Authority Evira.
Obtaining and maintaining ISO 17025
accreditation necessitates a high level and
continuous development from the laboratory.
The accreditation requires that a quality
system in compliance with the standard
has been prepared for the laboratory and the
measuring instruments used are traceably
calibrated and analysis methods validated,
Kesko Corporate Responsibility Report 2011 31