Climate Change Data

Environmental Metrics

ESG Focus Areas

• Black Economic Empowerment (BEE)
• Corporate Social Investment (CSI)
• Sustainability
• Health and Safety
• Employee Wellness
• Environment (Energy, Water, Waste, Packaging)

Environmental Achievements

• Progress in reducing energy usage and carbon emissions.
• Set targets for water usage and effluent volume.
• Improved waste segregation practices.
• Inclusion in the JSE Social Responsibility Index (SRI) and South African Carbon Disclosure Project (CDP) Leadership index.

Social Achievements

• Maintained Level 3 BEE rating.
• Invested R23.8 million in CSI, benefiting 54,281 people.
• Launched Tiger Brands Foundation's in-school breakfast feeding scheme.
• Improved score in Deloitte’s Best Company to Work For survey.
• Retained 85% of key and critical talent.

Governance Achievements

• Compliance with King III corporate governance principles (with some exceptions noted).
• Established a confidential ethics hotline.
• Adopted a policy on dealing in company shares.

Climate Goals & Targets

Environmental Challenges

• Difficult macroeconomic conditions in South Africa (rising unemployment, declining disposable incomes, rising costs).
• Intense competition and price discounting in the South African retail market.
• Pressure on sales volumes and profitability in the milling and baking business.
• Industrial strike actions at various sites.
• Fluctuating water quality at manufacturing sites.
• Counterfeit products in export markets.
• Strong Rand impacting exports.
• Margin pressures due to cost push pressures in raw materials.

Mitigation Strategies

• Implemented cost savings and efficiency initiatives.
• Focused on brand building and innovation.
• Expanded geographic footprint in Africa through acquisitions.
• Implemented performance-focused trading terms with retailers.
• Improved customer skills capability.
• Introduced initiatives to reduce energy and water consumption.
• Improved waste segregation practices.
• Multipronged approach to address counterfeit products.
• Cost reduction initiatives at Langeberg and Ashton Foods.
• Product mix and margin management, brand portfolio review, core brand renovation and innovation.

Supply Chain Management

Supplier Audits: Over 70% of total spend on B-BBEE compliant suppliers.

Responsible Procurement

• Policy to encourage suppliers to improve B-BBEE performance.

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI, King III

Certifications: ISO 9000

Third-party Assurance: Ernst & Young Inc. (financial statements only); EmpowerLogic (Pty) Limited (B-BBEE information)

Awards & Recognition

• Koo named top consumer brand in South Africa (Sunday Times Top Brands Awards 2011)
• Tastic retained its number one position in the “essential foods” category (Sunday Times Top Brands Awards 2011)

Environmental Metrics

ESG Focus Areas

• Black Economic Empowerment (BEE)
• Corporate Social Investment (CSI)
• Environmental Sustainability
• Employee Well-being
• Ethical Business Practices

Environmental Achievements

• Progress made in reducing energy consumption through various cost-saving measures (light sensors, low wattage globes, geyser control systems, power management tool)
• Monitoring of water usage and effluent volume through impact assessments and on-site water meters

Social Achievements

• Maintained Level 3 B-BBEE rating for the third consecutive year
• R55.9 million spent on enterprise development (2011: R49.5 million)
• Launched Purity Goodies Rusks and Biscotti, a range of healthy snacks
• Supported various community development projects focusing on food security, nutrition education, hygiene, and sanitation
• Tiger Brands Foundation served 6,076,714 breakfasts to primary school learners

Governance Achievements

• Commitment to highest standards of corporate governance and ethical business behavior
• Compliance with King III report on corporate governance, Global Reporting Initiative (GRI), and JSE’s Socially Responsible Investments (SRI) Index
• Established a confidential ethics hotline

Climate Goals & Targets

Environmental Challenges

• Challenging trading conditions due to weak South African economy, intense market competition, and increased volatility in soft commodity prices
• Muted domestic growth and slower consumer spending
• Increased competition from economy and private label brands
• High input costs across the value chain
• Challenges at Deli Foods (Nigeria) due to sectoral violence and aggressive competitor pricing

Mitigation Strategies

• Initiatives to drive top-line volume growth and achieve cost efficiencies
• Focus on optimizing price points and increasing marketing investment
• Cost-saving initiatives including ERP platform standardization and manufacturing facility consolidation
• Innovation and brand investment to maintain market leadership
• International expansion into the rest of Africa

Supply Chain Management

Supplier Audits: Over 70% of discretionary spend with B-BBEE compliant suppliers

Responsible Procurement

• Preferential procurement policy
• Policy to encourage suppliers to improve their B-BBEE performance

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: Global Reporting Initiative (GRI), King III Report on Governance, JSE Limited Listings Requirements

Third-party Assurance: Ernst & Young Inc. (financial statements only), Empowerlogic (Pty) Limited (B-BBEE information)

Awards & Recognition

• Koo named top consumer brand in Sunday Times Top Brands Awards 2012
• Tastic retained number 1 position in Essential Foods Category for 12th consecutive year

Environmental Metrics

ESG Focus Areas

• Transformation
• Corporate Social Investment
• Environmental Impact
• Employee Well-being
• Skills Development
• Ethical Leadership
• Health and Safety

Environmental Achievements

• Met and exceeded targets for energy, water, and waste reduction; 19% improvement in energy, 29% in water, and 25% in waste.
• Reduced energy intensity by 10% over three years.

Social Achievements

• Maintained a Level 3 B-BBEE contributor rating.
• 80% of total measured spend with B-BBEE compliant suppliers.
• Implemented various enterprise development projects (Nceku Trucking, Khayelitsha Cookie Company, Limpopo tomato farmers’ project).
• Provided 12 million meals daily and 107,000 monthly food parcels.
• Employee turnover rate decreased to 10.2% from 10.6%.

Governance Achievements

• Adopted a Code of Ethics applicable to all employees and the board.
• Established an independent confidential ethics hotline.
• Implemented a combined assurance model involving the board, executive directors, management, Commercial Audit Unit, internal auditors, KPMG, external auditors Ernst & Young Inc, and Alexander Forbes.

Climate Goals & Targets

Environmental Challenges

• Difficult trading conditions due to global economic slowdown and domestic constraints in South Africa.
• Decreased growth in consumer expenditure and increased competition.
• Higher input costs due to volatile soft commodity prices and weaker Rand.
• Disappointing performance of Dangote Flour Mills (DFM) in Nigeria.
• Weak performance of the Groceries business.
• Two fatal accidents at manufacturing units.

Mitigation Strategies

• Strategic initiatives to regain volume share in the domestic market.
• Strengthening of DFM management team.
• Implementation of cost-saving initiatives to reinvest in brand support and innovation.
• Supply chain optimisation projects to improve cost competitiveness.
• Restructuring of the Groceries business to improve category and customer focus.
• Focus on health and safety improvements and risk mitigation.

Supply Chain Management

Responsible Procurement

• Policy to encourage suppliers to improve their B-BBEE performance.
• Partnership with key growers to secure sustainable raw materials.

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI, King III

Third-party Assurance: Empowerlogic (Pty) Limited (B-BBEE), Ernst & Young Inc. (Financial Statements), Alexander Forbes (Risk and Environmental)

Environmental Metrics

ESG Focus Areas

• Corporate Governance
• Ethical Leadership
• Responsible Corporate Citizenship
• Stakeholder Engagement
• Risk Management
• Sustainability

Social Achievements

• Commitment to responsible corporate citizenship reflected in work undertaken by Corporate Affairs Function and monitored by the board through relevant committees. Reporting on social and community projects provided in the 2018 Supplementary Sustainability Report.

Governance Achievements

• Application of all King IV principles during the financial year ended 30 September 2018.
• Establishment of a code of ethics and operational ethics committee.
• Implementation of a risk management policy and framework.
• Annual performance evaluation of the board, committees, and individual members.
• Delegation of authority matrix detailing powers reserved for the board and those delegated to management.

Climate Goals & Targets

Supply Chain Management

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: King IV

Environmental Metrics

ESG Focus Areas

• Health and Nutrition
• Enhanced Livelihoods
• Environmental Stewardship

Environmental Achievements

• 5.34% absolute energy-use reduction in 2020
• 4.18% reduction in absolute (Scope 1) carbon emissions in 2020
• 8.84% absolute water-use reduction in 2020
• 74% reduction of waste-to-landfill at Tastic site in 2021
• 20.4% YOY reduction in absolute energy use in 2021
• 16% YOY reduction in absolute (Scope 1) carbon emissions in 2021

Social Achievements

• R2.9 million spent on socio-economic development activities in 2020
• R3 million spent on disaster food relief in 2021
• 100+ new jobs created in small farmer sector by 2021
• 843 jobs created to date in small farming sector by 2021
• Supported 50 emerging entrepreneurs through business incubation training by 2021
• 8 food community gardens established
• 200+ school gardens established (EduPlant)
• 4,500 hampers across five universities (Plates4Days) distributed in 2020
• 5,200 food hampers across seven universities (Plates4Days) distributed in 2021
• 30,000 reached through Family Food programme in 2021

Governance Achievements

• Not disclosed

Climate Goals & Targets

Environmental Challenges

• Not disclosed

Mitigation Strategies

• Not disclosed

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Prioritise local/regional sourcing of agricultural raw materials
• 50% of total procurement spend towards black/black-woman owned suppliers by 2030
• 100% of our products ethically sourced

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: Null

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Not disclosed