First Half Fiscal Profits Hit DKK 85 Million Before Tax

The significance of sustainability and Corporate Social Responsibility (CSR) in the food sector, including the seafood industry, is undeniable. However, most research tends to overlook the buyers who dictate market availability. In light of this, Royal Greenland initiated a study in late 2014 to explore the impact of sustainability and CSR on purchasing decisions. The study aimed to delve into the motivations and key factors related to CSR and sustainability, with a goal to comprehend what aspects are crucial to decision-makers in seafood purchasing companies. The study involved 152 participants from Royal Greenland's clientele and contacts, representing 17 different countries across Europe and Asia. These participants included retailers, foodservice operators, and industrial processors. Alongside the online survey, seven in-depth interviews were conducted with representatives from various regions. The findings revealed that sustainability is a priority for seafood buyers, with sustainable fishing being the most important aspect of CSR. This was further confirmed when participants were asked to choose from a list of areas where a supplier's poor performance would lead them to consider terminating their business relationship. Here, sustainable fishing topped the list, closely followed by working conditions. Interestingly, the Marine Stewardship Council (MSC) certification was rated lower than sustainable fishing, suggesting that buyers do not always associate sustainable fishing with MSC certification. Environmental performance was rated similarly to MSC certification. The study also looked at the demands that seafood buyers face from their own customers, including other businesses, restaurant patrons, or supermarket shoppers. The findings indicated a strong demand for sustainable seafood and MSC certified products across regions. In retail, end-users appeared willing to pay more for sustainable products, a trend less evident in the foodservice and industry sectors. Furthermore, the willingness to pay was less pronounced in markets severely impacted by the financial crisis, such as Spain. The study also explored the factors influencing seafood buying behavior. Customer demands were rated as the most influential, followed by the company's own CSR or procurement policy, and then NGOs. Despite this, NGOs still play a significant role in shaping the agenda and public discourse through the media. Both end-users and seafood buying organizations rely on "safe-to-buy/eat" guides issued by NGOs to navigate the market, with the World Wildlife Fund (WWF) being viewed as the most influential NGO. The survey's results underscore the interest in and demand for sustainable fishing as the primary CSR theme. As more fisheries and species achieve certification, it will be intriguing to observe how the demand for sustainability in seafood will evolve in relation to other CSR areas like environmental issues, working conditions, and so on. The full report can be accessed here.