UNISSULA Prioritises Local and Sustainable Food Procurement

Universitas Islam Sultan Agung (UNISSULA) prioritises the purchase of food and food-related products from local and sustainable sources as part of its institutional procurement and campus sustainability practices.

During the 2025 reporting period, UNISSULA strengthened this approach through the implementation of the Close Loop System, an institutional procurement mechanism designed to direct purchasing through entities within the Sultan Agung foundation ecosystem.

This approach supports local supply chains, regional economic activity, and more sustainable procurement by prioritising suppliers and service providers connected to Semarang and Central Java.

Institutional Procurement Policy: Close Loop System

UNISSULA formalised the implementation of the Close Loop System through Rector Circular Letter No. 4493/J/SA/V/2025, dated 14 May 2025.

The circular directs faculties, study programmes, administrative units, institutions, bureaus, UPTs, and other university units to implement the Close Loop System when purchasing goods and using services through business units under Yayasan Badan Wakaf Sultan Agung (YBW-SA).

The designated business units include:

• PT Lumintu Agung Sejahtera;
• PT Generasi Sultan Agung;
• PT Setia Amanah Ummat; and
• PT SAFA.

For food-related procurement, PT Generasi Sultan Agung (Genesa) is particularly relevant because its services include:

• catering;
• snacks;
• supermarket services; and
• other food-related supplies.

These business entities operate within the local and regional economy and utilise local resources in their operations. By directing institutional procurement through these entities, UNISSULA supports local businesses, strengthens regional supply chains, and promotes the use of locally available goods and services.

The circular also explicitly requires university units to implement the Close Loop System while prioritising Sustainable Development Goals (SDGs) values.

This policy establishes a formal institutional mechanism for integrating local procurement practices and sustainability considerations into university purchasing decisions, including food-related procurement.

Local Food Sourcing from Semarang and Central Java

Food supplies within UNISSULA’s Close Loop System are sourced through suppliers located in Semarang and Central Java.

This local sourcing approach supports the regional food economy by strengthening demand for:

• local farmers;
• local food producers;
• regional suppliers;
• local food processors;
• catering providers; and
• small and medium food enterprises.

By prioritising suppliers from the surrounding region, UNISSULA strengthens relationships with local producers and businesses while reducing dependence on more distant supply chains.

Supporting Regional Food Systems

UNISSULA’s procurement model contributes to the development of more resilient local and regional food systems.

Prioritising local sources can help:

• shorten supply chains;
• improve traceability;
• strengthen relationships with regional suppliers;
• support local economic activity;
• improve responsiveness to campus food demand; and
• strengthen regional food availability.

This approach connects university procurement with broader community and regional-development objectives.

Sustainable Procurement Principles

UNISSULA’s sustainable food procurement approach considers not only the location of suppliers, but also the quality, affordability, safety, and responsibility of food sourcing.

Food procurement supports the availability of:

• safe food;
• nutritious food;
• affordable food;
• appropriate-quality ingredients;
• locally available products; and
• environmentally responsible food options.

These considerations support responsible procurement while maintaining the quality and accessibility of food provided within the university environment.

Integration with Campus Food Services

The Close Loop System supports food procurement for a range of university activities and services, including:

• catering;
• institutional meetings;
• university events;
• staff activities;
• student activities;
• campus food services;
• snacks and refreshments; and
• other institutional food requirements.

This creates a university-wide mechanism through which local and sustainable food sourcing can be integrated into routine institutional purchasing.

Prioritisation Through Institutional Channels

The 2025 Rector Circular demonstrates that local procurement is implemented through a formal institutional mechanism rather than relying only on informal or occasional purchasing preferences.

The university directs organisational units to use the Close Loop System when purchasing goods and services through the designated YBW-SA business units.

UNISSULA’s procurement approach can therefore be represented as:

University procurement → Close Loop System → Local and regional suppliers → Food products and services → Sustainable regional food system

This structured approach strengthens the consistency of local procurement practices across the university.

Contribution to Local Farmers and Food Producers

Local food procurement contributes to the sustainability of the regional food economy.

By purchasing food-related products and services through local and regional supply chains, UNISSULA helps support:

• demand for locally produced food;
• business continuity for regional food suppliers;
• local food-processing enterprises;
• community-based producers;
• local employment; and
• regional economic resilience.

This procurement model complements UNISSULA’s other SDG 2 initiatives that support farmers and food producers through knowledge transfer, training, technology, facility access, and community engagement.

Environmental Benefits of Local Sourcing

Local sourcing may also contribute to more environmentally responsible food procurement.

Shorter supply chains can support:

• lower transportation requirements;
• reduced logistics distances;
• more efficient distribution;
• fresher food supply;
• improved coordination with suppliers; and
• stronger regional resource cycles.

These factors are consistent with UNISSULA’s broader commitment to sustainable campus operations and responsible resource use.

Food Safety and Quality Considerations

UNISSULA’s sustainable food-purchasing approach also considers food safety, product quality, and reliability of supply.

Food and catering suppliers are expected to provide products appropriate for university consumption and to support safe and reliable campus food provision.

Important considerations include:

• food quality;
• hygiene;
• food safety;
• appropriate handling;
• reliable supply; and
• suitability for campus consumption.

These considerations help ensure that local sourcing is combined with responsible food procurement and appropriate service standards.

Institutional Commitment to Sustainable Food Procurement

UNISSULA recognises that institutional purchasing can contribute to the sustainability of local food systems.

By using the Close Loop System, prioritising suppliers from Semarang and Central Java, and integrating local sourcing into routine institutional purchasing, the university creates a structured procurement framework that supports both campus needs and regional economic activity.

This approach connects institutional procurement with:

• local economic development;
• support for regional suppliers;
• shorter supply chains;
• responsible food sourcing;
• food safety and quality; and
• sustainable campus operations.

Through this procurement framework, UNISSULA strengthens the role of university purchasing in supporting local and sustainable food systems.

Evidence of Implementation

UNISSULA’s prioritisation of local and sustainable food purchasing is demonstrated through the following institutional evidence:

1. Rector Circular Letter No. 4493/J/SA/V/2025.
2. Institutional implementation of the Close Loop System.
3. Direction for university units to purchase goods and use services through designated YBW-SA business units.
4. Food-related procurement through PT Generasi Sultan Agung, including catering, snacks, supermarket services, and other food supplies.
5. Use of suppliers from Semarang and Central Java within the Close Loop supply chain.
6. Prioritisation of locally available food products and regional suppliers.
7. Integration of food safety, affordability, quality, and environmental considerations into procurement practices.
8. Institutional purchasing that supports local food producers, processors, catering providers, and regional suppliers.