Incorporating sustainable development into life and business vision is very important for the food sector. Food waste significantly affects food efficiency. Globally, food productivity has decreased by approximately 21%. Around 13% of food is wasted right after harvest, and 17% is wasted at sales points or in homes.
To increase efficiency, both economic and ecological resilience must be strengthened. Food systems can be resolved with the responsibility of all stakeholders, from farm to fork. This transformation encompasses not only environmental sustainability but also economic and social sustainability. To make our production systems sustainable, we need to abandon old methods. Our goal should be to accelerate the transition to inclusive food systems. We call this a “zero-waste company,” and a zero-waste company is an efficient company.
Through our companies and individual efforts, we contribute to a sustainable life and food story. We believe that these efforts reinforce our faith that we will not only leave a world to our children but also a sustainable life.
However, no matter how much we discuss it, food production efficiency has decreased by 21%. Food waste has reached such significant levels that if it were a country, it would rank third globally after the U.S. and China. Considering these figures, the wasted food could feed a population as large as the U.S. About 13% of food is wasted after harvest, and 17% is wasted at sales points or in homes.
We all demand larger refrigerators and spend energy to store more food. Yet, unfortunately, much of it ends up in the trash. Food waste not only results in economic loss but also wastes water, soil, energy, and labor. This means that natural resources are wasted through a multiplier effect. The magnitude of the problem clearly shows that we need to produce striking and innovative solutions.
Times are changing, the climate is changing, as it has before. We say that we migrated to Anatolia from Central Asia due to droughts there. What about now? If these regions become arid, where will we go? Or if other places become arid, who will come here? I am talking about climate refugees. This is not something that can be prevented with weapons. Hungry and homeless people cannot be stopped by anything. This could lead to significant social upheavals.
In fact, these are issues that well-fed people need to think about and take precautions against. Only in this way can we leave behind a world where our children can live safely in the future. Therefore, as authorities and decision-makers, we should adopt a more holistic approach when making decisions. Food systems, from seed to our tables, are a process that needs to be managed through the collaboration of all stakeholders. If we take shared responsibilities, we can overcome these problems.
This transformation should encompass not only environmental food sustainability but also economic and social sustainability. Let me give an example: If you do your job properly, you become sustainable. Otherwise, sustainability is already impossible. The word “to sustain” perfectly expresses this: If you cannot sustain, you will perish. Similarly, our world, businesses, peace, and comfort will also disappear if they are not sustainable.
So, what does it mean to do our job properly? Let me give a simple example: We are quite good at distribution. We can deliver a newly launched product to every corner of Turkey within a week. How do we achieve this? Thousands of people work, thousands of vehicles operate; it’s a massive operation.
We made some changes to make this process more sustainable. My late uncle used to manage our distribution work. Goods would be loaded onto vehicles, taken to customers one by one, and introduced through hot sales. In my youth, I worked as a warehouse clerk in Mecca and did similar jobs. Later, as the general manager, I realized the need for more effective management. We had nine warehouses across Turkey; I closed all of them. This provided freshness and logistical advantages, making our work more sustainable. Sustainability is not just an environmental issue; when you work properly and systematically, economic and social sustainability are also achieved.
Now, when we look, we see that we sell millions of products every day. This means hundreds of millions of products reach customers annually. For example, a product recently became popular under the name Dubai Chocolate. I don’t know why it was named that since there’s nothing from Dubai in it. However, we quickly developed this product and managed to deliver tens of thousands of units to customers in a short time. This is how our working system is fast and effective.
How do we make this system sustainable? Our vehicles no longer operate randomly as they used to; they are planned more intelligently. We reduce the number of vehicles but not the number of employees. First, we take orders, then produce and deliver them. This method allows us to travel 20,000 fewer kilometers each year.
In fact, when you organize your work properly, sustainability naturally follows. Continuing with old methods no longer makes much sense. Our goal should be to rebuild our systems in a more efficient and modern way.
We call this approach the “zero-waste company model.” We implement this approach with all our stakeholders, starting with our holding company. This fundamental principle, inherited from my late father, has been embraced and developed by our team over time. The “zero-waste company” concept refers to a company and way of doing business that is efficiency-focused. This approach encompasses our entire value chain and includes the broad ecosystem we impact.
We believe that if we manage this process correctly and implement waste-reducing practices at every stage, from harvest to consumption, it will create positive effects beyond just us, influencing the entire ecosystem positively.
What are we doing to achieve this goal? We are developing various projects. Our aim is to work for the future of the world, strengthen ourselves with our stakeholders, and inspire the future with purpose-driven products and business models. We carry out all our projects under the Ülker, Bizim, Super Fresh, Aytaç, and Şok brands as commitments.
We have significant commitments, and we both measure and successfully achieve them. In addition to our projects aimed at preventing food loss and waste, we conduct many studies on energy savings, carbon reduction, and renewable energy. For instance, all the energy used at Aytaç’s factory in Çankırı comes from the sun, utilizing a completely renewable resource.
Furthermore, as Ülker, we have been included for the fourth consecutive time in The Sustainability Yearbook prepared by S&P Global’s Corporate Sustainability Assessment. With this achievement, we became one of nine Turkish companies on the list and the only Turkish company among the 19 global companies in the food products category.
According to the environmental, social, and governance (ESG) performance evaluation results conducted by the international financial analysis and reporting organization LSEG (London Stock Exchange Group), Ülker ranked first in January 2024, demonstrating the highest ESG performance among over 450 companies evaluated globally in its category.
We must focus on digitization because efficiency-enhancing digitalization projects are highly important. For example, Super Fresh is running a joint project with the European Union. This is a TÜBİTAK-approved EU project and is of great importance for the sustainability of agriculture. Our aim is to increase productivity from nature and soil. Specifically, in potato fields, we aim to achieve a 10% increase in product quality and yield and a 15% reduction in production inputs by using drones. However, don’t think that potato prices will increase; while it’s a better solution for farmers, we would still accept this situation.