Investor Presentaiton
Ferrero Group
Sustainability Report 2022
About this report
Introduction
Our sustainability
progress
Our reporting
F
Along with the objectives set out in previous
reports, the issues in this 14th edition have
been selected via a materiality process
involving internal and external stakeholders,
described in the 2020 Sustainability Report.
This report has been prepared in reference to
the revised GRI Universal Standards. The GRI
Content Index is available in the section
'Sustainability Reports' on our website:
www.ferrerosustainability.com. Previous
reports are also available on this page.
The following points of reference were also
taken into consideration when developing the
report:
• The 'Ten Principles' of the United Nations
Global Compact (UNGC).
The GRI and the UN Global Compact
publication 'An Analysis of the Goals
and Targets.
The report was prepared by the Strategy, CSR
& Sustainability organisational unit with the
contribution of several internal departments.
The scope of financial data included in the
report corresponds with Ferrero International's
consolidated financial statement.
With regard to the qualitative and quantitative
data on social and environmental aspects, the
following entities were excluded from the
scope of reporting (except where specified):
The companies belonging to Kellogg's are:
cookie, fruit snack, ice cream cone and pie
crust businesses, Ice Cream Factory Comaker,
Eat Natural and FULFIL Nutrition (acquired
in 2022).
Information on the Piera, Pietro and Giovanni
Ferrero Foundation ('Ferrero Foundation')
is included in a specific chapter.
This report was the subject of a limited
assurance engagement (under the
International Standard on Assurance
Engagements 3000) (Revised) 'Assurance
Engagements other than Audits and Reviews
of Historical Financial Information') by PwC
Luxembourg in some of its parts.
The details of the assurance are reported
on page 90.
Changes in calculation methodologies of
previously published figures, provided for
comparison, are clearly indicated.
This report was published on 21 June. We will
continue to publish reports on an annual basis.
A note about disruptions
For Ferrero, many of our goals are set as 100%
achievements. This comes from our real and
honest intention to implement credible and
sustainable practices across our supply chain
and within the spheres of our control and
ability to influence.
For instance, whenever we report that we have
achieved or aim to achieve 100% sustainable
supply of a specific raw material, our
commitment is to always maintain minimum
operational levels above 95%, considering that
farmers can face many types of issues and
supply chain disruptions can affect the supply
of our own plants.
Where we encounter situations that
temporarily disrupt our sourcing volumes,
and hence drop our achievements below
100%, our commitment is to quickly
understand and mitigate the conditions that
affect us and our suppliers - all the way to our
farmers so that we can return to the desired
100% achievement as quickly as possible.
About our environmental data
Data collection
We manage the collection and analysis of
plants' data through an internal platform
called SuRe (Sustainability Reporting). This
tool allows better management, flow
optimisation and data transfer. Moreover, we
have developed with Exentriq, a dedicated
platform to aggregate, validate and manage
all Group environmental data, using innovative
technologies and allowing more complex
analyses.
Standards and methodologies
Our carbon footprint is based on the Corporate
Accounting and Reporting Standard - GHG
Protocol - developed by the World Resources
Institute (WRI) for the World Business Council
for Sustainable Development (WBCSD), today
used globally as the main internationally
recognised measurement tool and carbon
reporting standard. We account our GHG
emissions using an operational control
approach. The environmental impact
assessment is carried out following the
ISO 14040 and ISO 14044 LCA standards,
including the relevant Principles and Reference
Framework, Requirements and Guidelines.
Within the GHG calculations, the conversion
and emissions factors were unchanged as of
fiscal year 2017/18 to keep consistency with
the same SBTi baseline year.
The emission factors related to the conversion
of energy from fuels come from Ecoinvent
3.4 database datasets and EPA Centre for
Corporate Climate Leadership - GHG
Emissions Factors Hub (March 2018). Products
made in-house from renewable sources and
the electricity supply from a marketplace
certified by renewable sources do not
contribute to greenhouse gas emissions,
which follows best practice examples stated
in GHG protocol. Emissions from cooling gases
have been calculated using the IPCC Fifth
Assessment Report, 2014 (AR5) emission
factors, 100-year horizon. The emissions
resulting from leased cars were calculated
based on data collected internally from all
30 countries in which we have leased cars.
Calculation details
The percentage of recycled materials in
packaging represents an estimate on the
quantity of recycled content, as per our total
packaging materials. For paper and cardboard,
the data is based on a calculation based on the
composition of the materials purchased. For
rPET and rPP, the data is the exact calculation
of the recycled material purchased in the
reference year of this report. For glass and
aluminium the data comes from the suppliers'
surveys and takes into account the different
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