Climate Change Data

HORTIFRUT S.A.

Climate Impact & Sustainability Data (2020, 2021, 2023)

Reporting Period: 2020

Environmental Metrics

Total Carbon Emissions:32,263 tonCO2eq (Chile only, July 2019 - June 2020); 23,083 (Chile), 26,817 (Peru), 16,078 (Mexico) tonCO2eq (July-Dec 2020)
Scope 1 Emissions:4,940 (Chile), 2,086 (Peru), 5,230 (Mexico) tonCO2eq (July-Dec 2020)
Scope 2 Emissions:713 (Chile), 4,041 (Peru), 2,015 (Mexico) tonCO2eq (July-Dec 2020)
Scope 3 Emissions:17,430 (Chile), 20,690 (Peru), 8,833 (Mexico) tonCO2eq (July-Dec 2020)
Renewable Energy Share:Not specified
Total Energy Consumption:29,180,152 MJ (Chile only, July 2019 - June 2020); 11,802,036 (Chile), 70,687,000 (Peru), 19,666,550 (Mexico) MJ (July-Dec 2020)
Water Consumption:1,431,812 m3 (Chile only, July 2019 - June 2020); 1,476,897 (Chile), 15,532,068 (Peru), 3,089,665 (Mexico) m3 (July-Dec 2020)
Waste Generated:316 tons (Chile only, July 2019 - June 2020); 332 (Chile), 1,063 (Peru), 332 (Mexico) tons (July-Dec 2020)
Carbon Intensity:2.14 (tonCO2eq/Kg) (Chile only, July 2019 - June 2020); varies by region (July-Dec 2020)

ESG Focus Areas

  • Environment
  • Social
  • Governance
  • Economic

Environmental Achievements

  • Built 18 photovoltaic plants in Chile to mitigate greenhouse gas emissions and strengthen renewable energy use.
  • All clamshells for fruit packaging have a high percentage of recycled PET (58% 100% recycled PET, 42% 70-80% recycled PET).

Social Achievements

  • Provided over 1,568 permanent and 31,300 temporary job positions worldwide.
  • 59,295 hours of training for collaborators (4% increase compared to the previous year).
  • Implemented Covid-19 preventive measures, Mental Peace Health Program, and Influenza Vaccination Program impacting 900 collaborators and their families.
  • Support programs for communities in Chile, Peru, and Mexico during the COVID-19 pandemic focusing on nutrition, health, and education.

Governance Achievements

  • Implemented a Crime Prevention Model, certified by BH Compliance Ltda., to comply with Law Nº 20,393 and Law N°21,132.
  • Established a “Conflicts of Interest Declaration Portal” for directors, executives, and collaborators.
  • Maintained the continuity of the work position evaluation process to establish a policy of equal compensation.

Climate Goals & Targets

Long-term Goals:
  • Not disclosed
Medium-term Goals:
  • Not disclosed
Short-term Goals:
  • Not disclosed

Environmental Challenges

  • Climate change impacts on operations (addressed through life cycle analysis and renewable energy initiatives).
  • Supply chain disruptions (not explicitly stated, but implied by the global nature of the business and pandemic response).
Mitigation Strategies
  • Developed and implemented life cycle analyses in Chile, Peru, and Mexico to identify and address environmental impacts.
  • Implemented renewable energy projects (photovoltaic plants).
  • Developed Covid-19 response plans including home office, shift work, and safety protocols.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement
  • Not disclosed

Climate-Related Risks & Opportunities

Physical Risks
  • Not disclosed
Transition Risks
  • Not disclosed
Opportunities
  • Not disclosed

Reporting Standards

Frameworks Used: Null

Certifications: B Corporation (Hortifrut Chile S.A.), Global GAP, SMETA, Organic

Third-party Assurance: EY Servicios Profesionales de Auditoría y Asesorías SpA

UN Sustainable Development Goals

  • SDG 2 (Zero Hunger)
  • SDG 4 (Quality Education)
  • SDG 8 (Decent Work and Economic Growth)
  • SDG 12 (Responsible Consumption and Production)
  • SDG 13 (Climate Action)

Hortifrut's initiatives contribute to these goals through genetic diversity, training programs, job creation, responsible waste management, and renewable energy projects.

Sustainable Products & Innovation

  • Not disclosed

Awards & Recognition

  • Not disclosed

Reporting Period: 2021

Environmental Metrics

Total Carbon Emissions:87,927 tonCO2eq (Chile, Peru, and Mexico)
Scope 1 Emissions:Not disclosed
Scope 2 Emissions:Not disclosed
Scope 3 Emissions:Not disclosed
Renewable Energy Share:55% of energy used by own fields in Chile
Total Energy Consumption:100,684,630 kWh (Chile, Peru, and Mexico)
Water Consumption:27,540,299 m3 (Chile, Peru, and Mexico)
Waste Generated:Not disclosed
Carbon Intensity:Not disclosed

ESG Focus Areas

  • Ethics and Anti-corruption
  • Corporate Strategy and Sustainability
  • Economic Growth
  • Brand and Reputation
  • Innovation
  • Transparency and Customer Information
  • Consumer Wellbeing
  • Employee Health and Safety
  • Generation of Formal Employment
  • Quality of Life of Employees
  • Temporary Workers: Work Conditions
  • Availability of Human Resources for Production
  • Talent Retention and Career Development
  • Fair Wages and Employee Benefits
  • Quality and Food Safety
  • Water Management and Residual Water Management
  • Materials
  • Energy Management
  • Sustainable Agriculture and Soil Conservation

Environmental Achievements

  • Generated 2,229,938 kWh of renewable energy through photovoltaic plants, resulting in US$13,486 savings in Chile.
  • Achieved 100% RPET (Recycled Pet Plastic) packaging.
  • Reduced water consumption to 9,284 m3/ha in Chile, Peru, and Mexico.

Social Achievements

  • Launched the “Yo Seguro” campaign in Peru.
  • Implemented the Súmate program for the inclusion of people with disabilities.
  • Provided training and donated tablets to vulnerable communities in Chile.

Governance Achievements

  • Established a Corporate Sustainability Policy.
  • Created the Sustainability Committee.
  • Created Corporate Matters and Sustainability Management.

Climate Goals & Targets

Long-term Goals:
  • Commitment for carbon neutrality within the complete group scope 1, 2 and 3.
Medium-term Goals:
  • Supply 50% of energy from fruit production (own fields) in Chile with NCRE by 2022-2023.
  • 100% RPET packaging by 2022-2023.
  • 100% wash away labels by 2024-2025.
Short-term Goals:
  • Not disclosed

Environmental Challenges

  • Logistical problems due to the COVID-19 pandemic (irregular service and transit times).
  • Increased costs of supplies.
  • Manpower challenges.
  • Climate change effects (heat waves, strong rains, water shortages).
Mitigation Strategies
  • High regional diversification of business model.
  • Development of superior varieties.
  • Digital inscription file to follow up on candidate applications.
  • Incentives program for hired personnel to reduce turnover.
  • Diversification strategy in transit services to minimize delays.

Supply Chain Management

Supplier Audits: 21 key suppliers in Chile audited for socio-environmental performance.

Responsible Procurement
  • Supplier Policy (on-time payments)
  • Third-Party Due Diligence Policy
  • Checklist for suppliers (ethical-labor practices, crime prevention, environmental management).

Climate-Related Risks & Opportunities

Physical Risks
  • Heat waves
  • Strong out-of-season rains
  • Water shortages
Transition Risks
  • Not disclosed
Opportunities
  • Not disclosed

Reporting Standards

Frameworks Used: GRI Essential option

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

  • SDG 2 Zero Hunger
  • SDG 4 Quality Education
  • SDG 8 Decent Work and Economic Growth
  • SDG 12 Responsible Production and Consumption
  • SDG 13 Climate Action

Various initiatives aligned with these goals are detailed in the report.

Sustainable Products & Innovation

  • Pacific Centennial raspberry variety
  • Use of biological products for pest control

Awards & Recognition

  • Finalist in the Business Creativity competition, Human Factor (Peru).

Reporting Period: 2023

Environmental Metrics

Total Carbon Emissions:153,848 tCO2e/year
Scope 1 Emissions:10,814 tCO2e/year
Scope 2 Emissions:15,635 tCO2e/year
Scope 3 Emissions:127,399 tCO2e/year
Renewable Energy Share:42%
Total Energy Consumption:49,807,709 MWh/year
Water Consumption:56,019,000 m3/year
Waste Generated:10,272 tons/year
Carbon Intensity:1.71 tCO2e/metric ton of fruit

ESG Focus Areas

  • Climate Change
  • Water Management
  • Waste Management
  • Human Rights
  • Consumer Health and Nutrition
  • Local Community Development
  • Employee Health and Safety

Environmental Achievements

  • 40% of worldwide energy matrix supplied by non-conventional renewable energies
  • Expanded carbon footprint measurement to include all company-owned facilities
  • Measured water footprint of significant orchards and packing plants using ISO 14046 methodology
  • 5,144 tons of compost produced
  • 100% of clamshells and punnets manufactured from recycled material (rPET)
  • 100% of subsidiaries sell berries in FSC or PEFC certified cardboard boxes
  • Energy matrix of facilities in Spain and Portugal 100% powered by non-conventional renewable energies
  • Peru facilities powered by 80% NCRE and Chile facilities with 58% NCRE
  • 5,114 tons of compost made in Peru
  • 2,587 tons of waste recycled

Social Achievements

  • Reinforced compliance with labor rights for all workers
  • Supported social programs in education, health, and wellbeing
  • 9,541 people benefited from various initiatives
  • Launched "Yo Seguro" (I Am Safe) Campaign to promote safety
  • Implemented Súmate Program for people with disabilities
  • Launched "Mujeres que Dejan Huella" (Women Who Leave Their Mark) program in Peru
  • 100% collaborator participation in performance assessments
  • 11,564 hours of training in 2023
  • Cofinancing of studies for 26 collaborators

Governance Achievements

  • Implemented major varietal replacement plans
  • Strengthened intellectual property portfolio of Hortifrut Genetics
  • Structured organization to accelerate transfer of innovative genetics
  • Successfully completed tender offer by PSP Investments
  • Developed Sustainability Manuals for Growers
  • Created Corporate Procurement area

Climate Goals & Targets

Long-term Goals:
  • Net zero emissions
Medium-term Goals:
  • Achieve B Corp certification for all subsidiaries
  • Reduce carbon footprint
Short-term Goals:
  • Increase renewable energy share
  • Expand water footprint measurement to all subsidiaries
  • Implement waste management model in other subsidiaries

Environmental Challenges

  • Global inflationary pressures
  • Macroeconomic uncertainties
  • Climatic events (El Niño)
  • Labor shortages
  • Climate change impacts on water availability and land
  • ESG issues from third-party growers
Mitigation Strategies
  • Geographic diversification and vertical integration
  • Varietal replacement projects
  • Expansion in EMEA and APAC regions
  • Strategic alliance to grow blueberries in Africa
  • Expansion of operations in India and China
  • Water conservation measures (reservoirs, drip irrigation)
  • Waste management systems
  • Renewable energy initiatives
  • Sustainability Guidelines and Manuals for Growers
  • Corporate Procurement area
  • Programs to recruit and retain labor
  • Collaborative partnerships with grower associations and NGOs

Supply Chain Management

Supplier Audits: SMETA audits for higher-risk subsidiaries and growers

Responsible Procurement
  • Supplier Code of Conduct
  • Third-Party Due Diligence Policy
  • Timely payments to suppliers
  • Coupa corporate bidding platform

Climate-Related Risks & Opportunities

Physical Risks
  • Climate change, natural disasters, extreme weather
  • Temperature increase
  • Water supply and availability
Transition Risks
  • Increased ESG requirements and regulations
  • Changes in stakeholder expectations
Opportunities
  • Development of climate-resilient varieties
  • Renewable energy initiatives

Reporting Standards

Frameworks Used: GRI Standards, TCFD framework

Certifications: B Corp (Hortifrut Chile S.A.), SQF-2000 Level 3, BRC AA, Global G.A.P., PrimusGFS, FSMA, Nurture, Costco, SMETA, SPRING, JAS Organic, USDA Organic

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

  • SDG 2 Zero Hunger
  • SDG 3 Good Health and Well-being
  • SDG 4 Quality Education
  • SDG 6 Clean Water and Sanitation
  • SDG 8 Decent Work and Economic Growth
  • SDG 12 Responsible Consumption and Production
  • SDG 13 Climate Action

Various initiatives contribute to these goals through community development, health programs, education initiatives, water conservation, responsible sourcing, and climate action

Sustainable Products & Innovation

  • Recycled packaging materials
  • Wash Away labels

Awards & Recognition

  • Impulsa Award (Gender Equity)
  • AGAP 2023 Sustainability Award (Súmate Inclusion Program)
  • INAPA: Improving the World - Equality and Pay
  • Merco Talento (9th place industry ranking)
  • Human Resources Network: "Best candidate attraction and experience strategy"
  • Merco ESG Responsibility 2023 ranking (6th place in Agribusiness sector)