Compliance: the importance for agribusiness

The more transparent and ethical the positioning of companies, the more consolidated and lasting the relationships built will be.

25.09.2019 | 20:59 (UTC -3)

Agribusiness is one of the most relevant sectors that drive the national economy and, therefore, it is extremely important that the sector's activities meet the compliance standards established to guarantee the sustainability of the business and the production chain as a whole. In this way, the compliance area has gained increasingly strategic spaces within companies. And not for nothing, since the term covers, among other things, being in absolute compliance with legislation, certifications and ethical principles.

However, it is worth remembering that more than respecting standards, the compliance area also works to increasingly encourage transparency in all operations, which is fundamental for the competitiveness of the sector and the maintenance of a healthy relationship between the parties involved, such as rural producers, customers and partners. 

With new government rules – such as the Anti-Corruption Law and international agreements – organizations linked to the agro sector are redefining their practices to be aligned with new expectations of conduct. The way such rules are implemented and monitored varies from one country to another, so companies that wish to do business globally must adapt to meet the necessary requirements.

Furthermore, there is a growing demand from consumers and partners to establish relationships with socially, environmentally and institutionally responsible companies. Credibility is directly linked to the actions taken.

Therefore, the more transparent and ethical the positioning of companies, the more consolidated and lasting the relationships built will be.

And when it comes to this matter, all parties benefit. A correct and complete understanding of compliance helps everyone from large corporations to small agricultural producers. The production cycle is strengthened when it is permeated by an integral culture that acts transparently at all ends.

Awareness is the first step for the sector to ensure sustainable progress and the consolidation of its security, in addition to strengthening the notoriety of the country's companies in the international market.

Emerson Teixeira is legal vice president of Mosaic Fertilizers

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