Climate Change Data

Environmental Metrics

ESG Focus Areas

• Modern Slavery
• Human Trafficking
• Human Rights
• Labor Rights
• Supply Chain Responsibility

Social Achievements

• New CSR policy committed to healthy and safe workplaces, fair wages, rest and leisure, equal remuneration, anti-discrimination, and equal opportunities.
• Initiated cross-organisational initiatives and internal knowledge sharing to establish a uniform approach to working conditions.
• New HR partnership structure to ensure closer relationship between headquarters and employees globally.
• Development of numerous initiatives to improve employee working conditions (to be rolled out in coming years).

Governance Achievements

• Established a group sustainability function to lead, develop, and coordinate sustainability activities.
• Developed a new sustainability strategy with defined actions and KPIs.
• Defined a governance structure with a CSR board and operational structure to drive development in key areas.
• Implementation of the EU General Data Protection Regulation to protect employee data.

Climate Goals & Targets

Environmental Challenges

• Risk of modern slavery and human trafficking in the supply chain, particularly among farm workers, suppliers without direct management control, temporary agency labor, and transportation/logistics/construction suppliers.

Mitigation Strategies

• Overall risk assessment of modern slavery and human trafficking in the value chain.
• Development of due diligence processes to identify, prevent, and mitigate negative human rights impacts.
• Development of a group-wide supplier management system.
• Establishment of a new group procurement function to integrate CSR and focus on human rights.
• Increased awareness and training of procurement staff.
• Focus on fewer suppliers and stronger relationships to better manage CSR.
• Commitment to UN Sustainable Development Goal 8, with a focus on target 8.8 (protecting labor rights and promoting safe working environments).

Supply Chain Management

Responsible Procurement

• Development of a group-wide supplier management system.
• Establishment of a new group procurement function integrating CSR and focusing on human rights.
• Increased awareness and training of procurement staff.
• Focus on fewer suppliers and stronger relationships to better manage CSR.

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: UN Global Compact, Global Reporting Initiative (GRI) (future aspiration)

UN Sustainable Development Goals

• SDG 8: Decent Work and Economic Growth

Commitment to UN Sustainable Development Goal 8, with special focus on target 8.8 (protecting labor rights and promoting safe working environments).

Environmental Metrics

ESG Focus Areas

• Feeding the world
• Sustainable farming
• Sustainable food production
• Good jobs for everyone
• Together with customers and consumers

Environmental Achievements

• Reduced greenhouse gas emissions from agricultural operations by 18% relative to pig weight gain since 2005.
• Reduced land use for feed production by 8% since 2005.
• More than 75% of total fibre volume is produced using material from FSC/PEFC-certified forests.

Social Achievements

• Employs more than 28,000 employees with 80 different nationalities.
• Improved employee satisfaction scores to 2011 levels.
• Launched organic bacon on Danish and Swedish markets.
• Introduced meat from pigs raised without antibiotics in 497 shops.

Governance Achievements

• Implemented a CSR due diligence process in acquisitions.
• Developing a common group management system for better internal controls and uniform procedures.
• Preparing a new Code of Conduct for all managers and employees.

Climate Goals & Targets

Environmental Challenges

• High employee turnover (22%).
• Need to reduce water consumption in highly automated production facilities.
• Ensuring high-quality data for sustainability KPIs.
• Addressing ethical dilemma of killing non-meat-producing bull calves.

Mitigation Strategies

• Implementing local solutions to address high employee turnover, including promoting training opportunities and enhancing managers’ skills.
• Investigating ten possibilities for recycling process water.
• Initiating a process to ensure high-quality standards for all CSR data points and measurements.
• Partnering with a large Danish wholesaler to sell meat from crossbred calves under the Dansk Gastro Kalv brand.

Supply Chain Management

Supplier Audits: CSR risk mapping at 51 production sites in 2018.

Responsible Procurement

• Supplier Code of Conduct (to be implemented stepwise until 2021)
• 100% of purchased fibre-based materials to be sourced from FSC/PEFC-certified forests.

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI Standards (not in accordance), UN Global Compact

Certifications: ISO 14001 (Danish Crown Pork abattoirs)

UN Sustainable Development Goals

• Goal 2: Zero hunger
• Goal 3: Good health and well-being
• Goal 8: Decent work and economic growth
• Goal 12: Responsible consumption and production
• Goal 13: Climate action
• Goal 15: Life on land
• Goal 17: Partnerships for the goals

The five strategic focus areas contribute to these goals.

Sustainable Products & Innovation

• Organic bacon
• Veggie products
• Products from pigs raised without antibiotics

Awards & Recognition

• Sokołów winner of the ‘2017 Reliable Employer of the Year’ award in Poland

Environmental Metrics

ESG Focus Areas

• Climate Change
• Animal Welfare
• Biodiversity
• Responsible Sourcing
• Waste Reduction
• Packaging
• Food Safety
• Human Rights
• Labor Standards

Environmental Achievements

• Reduced scope 1 and 2 CO2e emissions by 16% since 2020
• Reduced scope 3 CO2e emissions by 8% per produced volume since 2020
• Increased renewable electricity to almost 9% of total consumption in 2022/23
• 60% plastic reduction in packaging of diced bacon
• 65% plastic reduction in minced beef packaging

Social Achievements

• 80% Supplier Code of Conduct acceptance in 2022/23
• 100% of Danish suppliers of pigs and producers of ‘Dansk Kalv’ are part of the Climate Track program
• Working with Too Good To Go to prevent food waste in selected Sokołów stores in Poland
• Introducing the label “Look, Smell, Taste” from Too Good To Go on the packaging of Mou soups
• Implementing the “best before” and “often good after” labelling for new packaging in Denmark

Governance Achievements

• SBTi approved targets for emission reductions
• Annual training on ESG matters for Board members and representatives
• Integration of ESG into long-term incentive programs for Executive Management

Climate Goals & Targets

Environmental Challenges

• Reducing farm-level emissions (85% of scope 3 emissions)
• Improving data collection and validation for ESG reporting
• Managing supply chain risks related to deforestation and land conversion
• Reducing logistics emissions

Mitigation Strategies

• Climate Track program engaging farmers in emission reduction initiatives
• Investing in renewable energy sources and energy efficiency improvements
• Collaborating with suppliers to reduce emissions throughout the value chain
• Implementing CLEARPATH logistics program to reduce transport emissions
• Developing and testing methane flaring technology
• Transitioning to deforestation- and conversion-free soy and palm oil

Supply Chain Management

Responsible Procurement

• Supplier Code of Conduct
• Codes of Practice for livestock suppliers
• Responsible Procurement Policy
• Participation in stakeholder initiatives for soy and palm oil

Climate-Related Risks & Opportunities

Opportunities

• Development of energy-efficient products
• New revenue streams from sustainable products

Reporting Standards

Frameworks Used: GHG Protocol, SBTi, Global Logistics Emissions Council (GLEC) framework

Third-party Assurance: Planning to seek external assurance in the future

Sustainable Products & Innovation

• Plant-based and hybrid products
• Products with reduced salt, sugar, and fat