2.1 OCP’s sustainability context

2.1

OCP’s sustainability context

As a major contributor to the global fertilizer market, our mission is to contribute to sustainably feeding a growing world population. This implies caring about the environmental, social and governance impacts of our daily decisions, large and small, that are shaping our future. In dubio pro malo (when in doubt, listen to the worst prognosis rather than to the best) is the leitmotif that guides our whole organization as we comprehensively address sustainability challenges and turn emerging risks into opportunities.

GRI 102-11

The salient megatrends we face:

Climate change

Changing climate, from warming temperatures to changes in precipitation, is increasingly impacting the way plants grow all around the world. Agriculture contributes to around 20% of greenhouse gas (GHG) emissions – through intensive farming leading to soil erosion & loss of biodiversity, expansion of arable lands leading to deforestation and cattle. The sector is facing increasing pressure to reduce its footprint. Climate change could influence demand for fertilizers as land becomes unproductive while regulations tend to reduce fertilizer use.

Water stress

Irrigation of crops comprises 70% of global water use. Water is essential for agriculture; both in terms of quantity and quality. Climate change involves significant changes in precipitation patterns while agriculture taps into aquifers and impacts on quality through salination. Water supply restrictions as well as legal constraints will shape fertilizers markets outlooks while we work on smart products and practices to offer solutions for water-scarce agriculture.

Growing world population

Increasing the crop yields significantly through the use of fertilizers is essential to ensure food security. The global food system is expected to provide safe and nutritious food to a population - increasingly urban - that will likely grow from 7.9 billion people today, to nearly 10 billion by 2050.

Providing a livelihood to farmers

The agri-food sector also provides a livelihood for millions of people and is a key driver of economic development. Most of the people living in extreme poverty are in rural areas where food production is often the most important economic activity. There is an estimated 570 million farms worldwide today, and millions of workers in food-related jobs.

Transforming food systems

Agriculture and the food value chain are increasingly joining forces to improve the way we produce, process and consume food and galvanize global actions to provide safe, nutritious food for all within our planetary boundaries – and achieving the Sustainable Development Goals and the Paris Agreement. As a major contributor to the global fertilizer market, OCP group needs to participate to the systemic transformation of food systems hinged on the move towards regenerative agriculture, dietary shifts and zero waste.