Brazil-born Monica Souza has worked in procurement for the majority of her career and doesn’t regret a thing. Well actually, her one regret is that her young daughter “hates tomatoes”, despite them being “fascinating and delicious”.
Souza has been with The Kraft Heinz Company for close to five years, and is now vice president for procurement and sustainability. It’s not a particularly well known food and drink role, she admits, “but it’s an interesting one that I love and allows me to learn more about culture and international trade”.
Prior to Kraft Heinz, Souza worked in procurement for other big FMCGs including Mondelēz International and AB InBev.
But why are we talking about her daughter’s hatred of tomatoes? Well, Kraft Heinz happens to be the world’s biggest deal – and buyer – when it comes to ‘processing’ tomatoes, specifically for its dominating 148-year-old ketchup brand. So her daughter’s dislike of the red fruit is a bit of a sore point for Souza.
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Some 600m bottles of the red stuff are sold in Europe every year and 40% of its European business is linked to the unique taste Heinz Tomato Ketchup claims to have.
As head of procurement and sustainability, Souza is the keeper of tomatoes. And that’s no easy job. A raft of economic, environmental and biological barriers have to be battled on a daily basis.
But Souza is wise, logical and enthusiastic. Any problem that comes her way is batted back and snuffed out with a solution. The challenge to take better care of the soil where the majority of Kraft Heinz’s tomatoes are sourced, for example, is in hand.
“We’ve been working with second-generation tomato grower Manuel Vászquez and his family at the Conesa Group in Badajoz, southwest Spain, for two decades. Together, we’ve made significant strides,” she says.
Work has been focused on an agricultural technique called cover cropping, where plants are grown for the sake of benefitting the soil and not the harvest.
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As with any business, the hope of implementing an environmentally positive initiative is that it will also generate better returns.
“Through improved farming, including better management of irrigation water, nutrients, crop protection, soil preparation and optimised harvesting, we’ve doubled our yields in Spain,” she says.
That’s an increase from around 70 to 90 tonnes per hectare to 110 tonnes per hectare. “And it’s not exclusive to Kraft Heinz’s farmers, we see other growers applying the technique too.”
Not only that, organic matter has been increased, which has reduced soil erosion and bolstered biodiversity. And this is all from a pilot in just four of the Conesa Group’s fields in Badajoz.
“‘Protect the consumer by owning the product and starting from the soil to the table,’ that’s what our founder Henry J Heinz began the business with, and its meaning is more important now than ever,” says Souza.
Procurement and R&D work hand-in-hand, we’re the closest partners in crime
Monica Souza, Kraft Heinz vice president for procurement & sustainability
Environmental was added to Souza’s responsibilities just a year ago, but it was already a big part of her procurement role. Discussions haven’t been solely about cost for some time, she believes.
“More businesses have to focus on doing the right thing. We’re partnering with our suppliers, like the Conesas, with the long-term perspective in mind.”
Productivity and sustainability have to go hand-in-hand now. For Souza, a responsible business can’t make a decision based solely on profit when natural resources, such as farmland, are involved.
Yet Heinz has been interested in what goes on in the field for decades. “If you take seeds, it’s something we’ve been focusing on since 1934 by breeding our own varieties that are unique to the products in our portfolio.”
The seed in a tomato for ketchup is different to that used for soup or beans in the UK, she explains. “They’re all different varieties and need time to adapt.”
It’s serious business too; Heinz sells over 20 varieties of its ketchup around the world. From No Added Salt & Sugar to new versions including Tomato Pickle, Tomato Smoky Bacon and Curry Tomato.
How much Heinz is sold a year?
Every day, the business sells 1.5m cans of Heinz Baked beans to UK consumers, equating to 540m tins a year.
But a focus on seeds isn’t only about the end product. The business now has to contend with the impact of climate on its crops and “we’re developing different varieties for this too”.
AI, of course, and other new technology is being adopted more by the business, such as for more efficient harvesting and optimum irrigation. “But I don’t believe AI and automation will replace the human touch,” Souza assures. “The competitive advantage we have from having people on the ground and in the fields is tangible.”
While tomatoes take up a large chunk of Souza and her 90-strong team’s time, the business requires other commodities too. This includes anything from pulses for soups and ready meals, to oils, sugar, eggs and also packaging.
And then there’s the need to work with the divisions and departments Souza and her team source for, especially within R&D.
“We usually work in partnership with R&D at the beginning of the process and bring our supply partners in alongside during the development‚” she explains when asked how the two teams’ relationships work.
“But procurement and R&D work hand-in-hand, we’re the closest partners in crime.”
And there’s yet to be an occasion where Souza and her team haven’t been able to source a commodity for the R&D team to launch a product, “though what can happen is sometimes it can’t be sourced within the timeframe”.
Of course, sourcing tomatoes has yet to be an issue. In fact, it’s getting close to the tomatoes and the fields they’re grown in that Souza wants to focus on even more in the future.
“I think as a team we should be more offsite and in the fields, it’s a simple but important thing.”
But there is one problem Souza may be unable to resolve, no matter how much clever thinking goes into it. Her daughter might always hate tomatoes.
And to some, that is a tragedy.
