Investor Presentaiton slide image

Investor Presentaiton

Ferrero Group Sustainability Report 2022 Introduction Our sustainability progress Our reporting F Sourcemap ensures all the information we need for full traceability is collected and stored safely. Our suppliers provide their data voluntarily, and Sourcemap ensures it remains anonymous. As we require suppliers to work with us towards achieving our traceability target, they must identify where their commodities originate from, and we ask them to retain records and manage this information. To ensure an impartial verification of the data they provide, we have commissioned an independent, international auditing institution. Since the launch of our Hazelnut Charter, we have been updating the database generated and managed by Sourcemap, and extended the positive effects of supply-chain transparency to all hazelnut suppliers and growers. Building on lessons learned during the roll-out, we continue implementing a set of initiatives to improve how we support our suppliers, putting our traceability understanding at the service of the global hazelnut community. Third-party verification and certification Turkey Since 2012, Scientific Certification Systems (SCS) has overseen the audit programme for the FFV Production Standard in Turkey, and in 2021 it was updated with a stricter requirement. From an audit planning and execution standpoint, we improved the way we define the sample of the farms to audit. In addition, for statistical purposes, we surveyed a group of farms not involved in the FFV Production Standard (as a control group). The audit and survey programme reached 309 farms in five regions, including 114 from the control group. For the 309 FFV farms, all non-compliances identified were tackled through a corrective-action plan. In addition, for a second year, SCS has also been in charge of auditing and surveying the Turkish value chain for traceability purposes. The programme reached 274 entities, delivering direct support to the value chain in traceability data management. Italy We also work with SCS in Italy, and ran an audit programme to farm level during the harvest period, to implement good agricultural and social practices. SCS has also been in charge of auditing and surveying audit and survey through the Italian value chain for traceability purposes. The programme reached 155 entities, consolidating through the value chain the traceability data management. Chile In 2021, SCS carried out the surveillance audit remotely due to Covid-19. It also reviewed employee working conditions, health and safety, and social practices. We retained the Sustainably Grown Standard we have had since 2019, confirming our commitment to the sustainable development of the hazelnut value chain. Serbia Serbia is also certified under the Sustainably Grown Standard, and the certification programme gives agricultural producers technical support in improving sustainable management at their plantations. This also reassures customers that we are meeting the highest environmental, social and economic sustainability standards, that farm workers and their communities are protected, and that farms are economically resilient. Looking ahead In January 2021, in line with our Supplier Code, Ferrero has published a Charter document dedicated to hazelnuts. The Ferrero Hazelnut Charter outlines our commitments and requirements based on our selected priorities in three areas: Human Rights and Social Practices, Environmental Protection and Sustainability, and Supplier Transparency, towards our aim to be a driving force behind a hazelnut industry that creates value for all. These commitments and requirements have been established until December 2023 and we will work with all the relevant stakeholders to design the new hazelnut charter for the three-year period 2024/26, addressing the new challenges of the sector and incorporating the key learnings of our different activities. Λ 49
View entire presentation