Bunge SWOT and PESTLE Analysis

Strengths

1. Strong presence in agro business and food production: Bunge has entered into diverse fields in agro business and food processing industry like trading of grains, oil seeds, fertilizers, milling, edible oils, sugar and bioenergy. It connects farmers to consumers and ensure food security, also improve environmental efficiency. It produces high quality products mostly in America, Eastern Europe and Asia. It has emerged as leader in the industries of agribusiness, food and ingredients, fuel and fertilizer.

2. Existence of multiple portfolios: Bunge has multiple portfolios in agribusiness and food processing such as food and ingredients, food processing, oil refining and packing, wheat, rice and corn milling. Through this, it is able to maintain supply chain efficiency. Availability of dependent portfolios within the same firm will lead to reduction of production costs. In 2020, Bunge successfully completed its startups in Ghana and China, that supports its specialty oil business. In September 2021, Bunge added a new product in its nutrition portfolio called the Betapol Organic, which is inspired by the natural composition of human breast milk.

3. Expanding portfolios through acquisitions: The American agribusiness and food company, Bunge made multiple portfolio enhancements to build sustainability. Its food and ingredients portfolio were enriched with the acquisition of edible oil producers, Walter Rau Neusser and Ana Gida in Europe. They also complemented strong Soy crushing presence in Spain, Portugal and Itay with the acquisition of two plants in Northern Europe. These acquisitions have broadened product offerings and capabilities apart from providing expanding market and customer access.

The remaining section under "Strength" is available only in the 'Complete Report' on purchase.

Weaknesses

This section is available only in the complete report on purchase.

Opportunities

This section is available only in the complete report on purchase.

Threats

This section is available only in the complete report on purchase.

Political

This section is available only in the complete report on purchase.

Economic

This section is available only in the complete report on purchase.

Social

This section is available only in the complete report on purchase.

Technological

This section is available only in the complete report on purchase.

Legal

This section is available only in the complete report on purchase.

Environmental

1. Environmental efficiency: Results in agribusiness and food processing industry are highly dependent on environmental conditions; As agribusiness and food processing are by and large based on farming, which is dependent on weather conditions. Adverse weather conditions impacts the business in a negative manner. For example, use of synthetic pesticides in non-organic systems, to control potential disease causing organisms pose concerns to environmental health, including water quality impairment by pesticides in 90% of water bodies in the USA as per survey of US Fish and Wild service. Measures are to be adopted for environmental protection in the firms.

2. Loss of habitat and environmental degradation: Unsustainable agricultural practices pose great threat to the ecosystem. Modern agricultural practices by agro industries have turned toxic to the atmosphere and speedily advancing global warming. IPCC reports highlights that agricultural land use contributes to 12% of the greenhouse gas emissions and reported that specially in the US, 20% of the Carbon-di-oxide emissions comes from agricultural sources. Hence, it is necessary to adopt sustainable value chain by agro business firms to protect and prevent loss of habitat and environmental degradation.