Ferrero invests in hazelnut sourcing as it grows US production

Diving overview:

• Ferrero Hazelnut Company, a division of confectionery maker Ferrero Group, has invested $350,000 to ramp up hazelnut production in the United States, according to a report. November 14th press release.
• The investment will be split between the two universities, with Oregon State University receiving a $180,000 grant and Rutgers University receiving a $160,000 grant, according to the release.
• In addition to advancing the industry’s sustainability efforts, the grant is designed to support the university’s efforts to collaborate with local hazelnut farmers, growers, and distributors.

Dive Insight:

Ferrero is working to diversify its hazelnut sourcing in North America, where demand for hazelnuts will increase for seasonal events such as the upcoming winter holidays.

“Our mission is to master the hazelnut value chain from end to end, creating and delivering value in service to customers, brands and products,” said Tommaso, Director of Ferrero’s Agri-Competence Center. De Gregorio said in a statement.

The Willamette Valley accounts for 99% of U.S. hazelnut production. According to the US Department of Agriculture. Ferrero has a long-standing partnership with OSU, and the latest grant aims to support ongoing projects such as invasive species, disease, fungus and weed management in Willamette Valley hazelnut orchards, according to a press release. It is said that To date, Mr. Ferrero has donated more than $760,000 to OSU’s agricultural programs.

On the East Coast, Rutgers University is breeding trees resistant to eastern snake blight, which negatively impacts hazelnut production in New Jersey and other eastern states, said Thomas Molnar, associate professor in the Rutgers University School of Environmental and Biological Sciences. said. release.

Ferrero is focused on strengthening its North American supply chain through logistics, research and development, and manufacturing investments. For example, Ferrero partnered with software services company Alloy in 2019 to improve supply chain visibility and reduce food waste by better leveraging data.

Outside the United States, Ferrero sources hazelnuts from Italy, Chile, Turkey, France, Azerbaijan, Georgia, Argentina and Serbia, the company said in a statement. 2023 Sustainability Report. The company strives for complete visibility of the entire hazelnut supply chain, achieving 90% traceability to the origin of all sourced hazelnuts.

The confectionery company operates a total of 37 manufacturing plants on five continents. According to Ferrero’s website. In the U.S., the confectionery company has manufacturing campuses in Illinois and Ontario, as well as other facilities in Georgia, Kentucky, Ohio, Arizona, Pennsylvania and New Jersey, according to a press release.

Correction: An earlier version of this article included a lower number for the award to Rutgers University. This figure and the corresponding total investment amount have been revised.