Hans Meeuwis (Cosun): 'We Attribute a Heroic Role to Plants'

Hans Meeuwis (Cosun): 'We Attribute a Heroic Role to Plants'
The international agrifood cooperative Cosun recently won the prestigious 'Koning Willem I Prijs' (an award for entrepreneurship, named after King Willem I of the Netherlands). CEO Hans Meeuwis wants Cosun to get the most out of its crops, contributing to the food transition and a further improvement in the farmer's income potential. ‘Plants offer a variety of solutions to societal challenges.’

The imposing Cosun factory near Dinteloord (a town in Brabant, the southern part of the Netherlands) is clearly visible from several kilometers away. Since 1908, from September to January, sugar beets have been processed here into granulated sugar. Many people know Cosun for the Van Gilse sugar products or Aviko fries. But these days Cosun gets much more out of the root crop than just sugar granules or syrup. From shampoo to make-up, from healthy snacks to meat substitutes, ingredients from Cosun's crops appear increasingly in daily products. Parent company Cosun - an international agricultural cooperative with 8,100 members - is strongly committed to processing and adding value to sugar beet, potatoes, chicory, co-products and, more recently, field beans. The company actively focuses on growth, sustainability and developing plant-based solutions for the transition to a more sustainable and healthier planet.
This ambition won Cosun the Koning Willem I Prijs, which is awarded every two years to companies that distinguish themselves through courageous, resilient, innovative and sustainable entrepreneurship. In May 2024, CEO Hans Meeuwis was presented with this ‘Oscar for businesses’ by Queen Máxima of the Netherlands and Klaas Knot, president of De Nederlandsche Bank. ‘A magnificent prize and great recognition for 125 years of entrepreneurship, the major transitions we at Cosun work on and our commitment to a future-proof sustainable chain,’ Meeuwis believes. Cosun is the parent company of, among others, Cosun Beet Company - until four years ago Suiker Unie - potato producer Aviko, co-product processor Duynie, inulin producer Sensus and the new and fast growing Cosun Protein. Altogether, Cosun works with more than 11,000 farmers. The cooperative has 8,100 growers who are also owners. Cosun has twenty-two production sites in six countries and employs 4,600 people.
Sugar and potato products - and their growth - will in future remain important. But Cosun furthermore wants to get the most out of agricultural crops. To this end, an innovation center was built in 2017 to study and test new plant applications. ‘The possibilities of plants are immense,’ states the CEO during an interview with Marcos Meibergen, partner at Kearney. Meeuwis points to the stroopwafels (Dutch syrup waffles) presented with the coffee. The waffles are made with inulin, a soluble dietary fiber, prebiotic and natural sugar substitute that is beneficial for intestinal health and can improve metabolism. ‘They are available at Albert Heijn,’ he adds. By 2030, the CEO plans to generate 30 per cent of the turnover from health-promoting and green, plant-based alternatives.

Meeuwis has been CEO of Cosun since 2021. After completing a degree in chemistry, he started his career at DSM. In 2014, he moved to FrieslandCampina, where he became responsible for the Business Group Dairy Essentials. At DSM and FrieslandCampina, he became captivated by the importance of nutrition and the food chain. Even in his childhood, Meeuwis already had a special connection with sugar beet. ‘I grew up in a working-class neighborhood in Breda-Noord and I clearly remember the former sugar factory in Breda. During the annual sugar beet campaign, we went hunting for sugar beet that fell off the trucks. And as a little boy, with Sint Maarten, I walked as a big sugar beet with my lantern. I loved that. I was also a paperboy in those days. In the early mornings, I would cycle under the steam clouds from the factory.’

What does the Koning Willem I Prijs mean for Cosun?
‘It reinforces our vision that plants offer diverse solutions to societal challenges. That we are the kind of player that can make a difference by getting the most out of plants. This makes us proud and encourages us to keep accelerating. As Queen Màxima put it during the ceremony: the award is not a license to sit back. Winning the King Willem I Prize comes with responsibilities and we are happy to accept them.’

How is Cosun contributing to the various transitions?
'We are seeing several transitions that have a major impact on our entire chain. Think about the agricultural, climate and food transition. These present challenges but also a vast number of opportunities for Cosun. And we are dedicated to addressing these, with the plant as our hero. Our portfolio resonates with the growing demand for food and vegetable ingredients. We are developing vegetable proteins as an alternative to animal proteins, for instance, but are also working on biobased products that can replace fossil raw materials.'

How will Cosun ensure that these transitions are feasible for farmers too?
‘Our industry is constantly evolving, with entrepreneurial and innovative farmers who are committed to doing good every day for both current and future generations. Yet the agricultural transition is a substantial challenge. The average agricultural farmer in the Netherlands has about seventy-five hectares of land, earning around 65,000 euros a year from it. Every year, the costs in the supply chain increase. If a farmer wants to make the transition according to the Green Deal guidelines, it will cost another 500 to 800 euros per hectare. That includes further optimization of plant health, improving water quality and reducing CO₂ emissions. If this does not increase the financial yield, the farmer will earn nothing. So, that does not work. As a cooperative, we therefore are here primarily to improve our members' earning power and support this transition. Our strategy focuses on improving the underlying results, focusing on profitable growth and the development of a sustainable chain. A future-proof portfolio with increased added value and a spread of the risk of our earning power forms the basis for this. Our business for many years has had three pillars: sugar beets, potato products and the processing of co-products - including biogas and animal feed. Activities that will continue to play a significant role at Cosun in the future. We are now also focusing on a fourth pillar: the development and marketing of green, health-promoting and plant-based ingredients.'

Where is Cosun at present in its transformation?
‘We made great progress in recent years but there remains much to be done. Developing new areas takes time and requires focus, decisions, and commitment. For our fourth pillar that I have just mentioned, we want to generate a billion euros of sales in the long term, about 30 per cent of our total sales. That is a bold ambition which will need momentum. We will create this momentum through organic growth, innovation, and acquisitions. We have, for example, also set up a venture team to learn more about startups and scale-ups.'

Can you give some examples?
'An excellent example is inulin, which has been on the market for a while. The substance is extracted from the roots of chicory, a plant which looks much like sugar beet. This ingredient is beneficial for the intestines and the immune system. We sell it worldwide and it is used not only in stroopwafels, but also in applications such as baby foods and granola bars. Another example is the fava bean from which we separate the protein isolate and use it, for instance, to replace milk protein in various dairy products. The first of these products are already on the shelves. We also have a number of promising developments to isolate nutritional protein from co-products and sell it as a fully circular protein to the food industry. We have a specialized team working on that.'

How does leading a cooperative differ from running a publicly traded company?
‘Our members are shareholders; they are in it for the long haul and want to invest so that the company can be passed on to the next generation successfully. That does not mean that the short term is not important. When we introduce a strategy, we make sure it is with the support of our members. This is well addressed in our governance structure. With a board of directors and supervisory board - a cooperative board - and a members’ council representing the 8,100 members.’

Does it sometimes mean balancing between fast operations and innovation on the one hand and creating support on the other?
‘In my experience, if you prepare planned decisions well and take your stakeholders seriously, the speed of decision-making is not an issue. In that sense, it is no different from a non-cooperative company. Of course, we are no start-up or scale-up. But I do not see our business model as a bottleneck for the transition we are going through. I consider the cooperative to be the model of the future. It may require somewhat more preparation, but results in solid support.'

How does Cosun cope with volatile markets?
‘I have been CEO for three years now. In my entire career, I have not experienced so much turbulence before - the aftermath of the covid pandemic, political and economic turmoil, the energy crisis, extreme cost increases and challenging weather conditions. The challenges to our company and our members have been unprecedented. Having a clear direction and an agenda with a full focus on the things we can affect makes it possible for me, together with my team, to navigate the company through this turbulence.'

What is your message to politicians in The Hague?
‘Having three agriculture ministers in three years is of no help to the sector. My message to The Hague is therefore: create stability, perspective and execution power. Help companies to do their job, think in terms of goals instead of extra rules. Also, facilitate the transition with appropriate resources. There is no one-size-fits-all solution. With proper cooperation and dialogue, we can go far. In addition, let us recognize the importance and the strength and splendor of the agricultural sector. A sector that will be vital into the future as well.’

Despite all the complex challenges, you come across as a calm leader, is that true?
'I get that feedback more often. I can absorb a great deal, but also know to not unnecessarily expend energy on disturbing developments outside our influence.'

How do you manage to keep that calm?
'I am at my best when I have balance. For me, that means being active in an environment that matters to me and where I can make a difference. Despite the many and wonderful hours the job demands, I really try to spend time with my family and loved ones. And I want to be in shape. To stay physically fit, I exercise a lot. I consciously make time for that. In my current role, it all comes together fantastically.'

What qualities are important for future leaders?
'Courage, decisiveness and entrepreneurship. Do not be too self-important but know what you stand for. And then, a high degree of self-reflection and vulnerability too, which are essential to keep learning, getting feedback and working together even better.'

How do you inspire your employees within the organization?
‘First, by setting a clear direction and ambition that resonates and which we can make a difference with. Additionally, by ensuring that everyone at Cosun is maximally empowered and can be their best, every day. I invest in dialogue sessions and gather as much diversity as possible around me. This leads to constructive discussions and inspiration. We also have a young board, where we have colleagues under the age of thirty-five. They are critical and bring stimulating ideas. This keeps us sharp. We also introduced the so-called 1,000 dialogues: with our CHRO, I regularly engage in conversations with various teams across the organization. These can be colleagues in the factory or sales teams. The aim is to speak with 1,000 people a year. It is a challenge, especially in busy times, but it is enormously constructive to listen and discuss whether we are doing the right things.’

What is your personal drive as CEO of Cosun?
‘Cosun has everything to make a real difference in the future. What drives me is unlocking that potential to lead the company to its next phase.  –  with an impact on the world around us, future-proof, and a great place to work. My philosophy is that much can be achieved. That if you believe in something, you should go for it. This originates from my background. I come from a working-class family. My father was a welder, without any formal education. He wished for his children to have better opportunities than he had and worked hard for that. He taught me that you should seize opportunities when they arise. That has really inspired me, and I am eager to pass this on to the many people I work with.’

How do you continue to develop yourself as a leader?
‘That is a great question and more relevant than ever. I to this day learn enormously from my conversations within and outside Cosun. I frequently talk with farmers about their challenges, but also with other companies in the food chain. This is how I gain inspiration and knowledge. Additionally, I regularly speak to (former) executives of respected companies. From them I learn tremendously. And I look for critical people around me, so that we can challenge and improve each other. After three years as CEO, it is time to reassess our strategy. But how do you maintain a fresh perspective? One of my mentors gave me an excellent tip: write a resignation letter to yourself, describing what did not go well. Then reapply for the position and think about how things can be improved. The question is: what would you do if you succeeded yourself? What would I change and what would I keep? Answering these questions requires a lot of self-reflection, and that is incredibly valuable.’

Interview by Marcos Meibergen, Partner at Kearney. Published in Management Scope 09 2024.

This article was last changed on 22-10-2024

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