Climate Change Data

Environmental Metrics

ESG Focus Areas

• Health and Nutrition
• Eco-friendly Management
• Expansion of Social Values

Environmental Achievements

• Reduced GHG emissions intensity by 19.53 million tCO2eq/KRW hundred million
• Reduced energy intensity by 0.4185 million TJ/KRW hundred million
• Achieved 65% recyclable plastic packaging materials

Social Achievements

• Maintained Best Family-Friendly Management certification since 2017
• Achieved 66.9% employee satisfaction
• KRW 3 billion total donation

Governance Achievements

• Established the Outside Director Candidate Recommendation Committee
• Established the Audit Committee with all outside directors
• Maintained CCM certification for 6 consecutive times

Climate Goals & Targets

Environmental Challenges

• COVID-19 pandemic impacting face-to-face activities and supply chains
• Increasing customer demand for healthy and sustainable products
• Climate change risks impacting raw material supply and production costs

Mitigation Strategies

• Introduced online training and contactless social contribution activities
• Established a Health Ingredient Research Center
• Actively participated in government GHG reduction projects and implemented early reduction strategies

Supply Chain Management

Responsible Procurement

• Win-win cooperation programs
• Benefit sharing program
• Quality control guidelines

Climate-Related Risks & Opportunities

Physical Risks

• Disasters such as heat waves, wildfires, and floods
• Increased production facility operating costs due to climate change

Transition Risks

• Increase in the cost of purchasing carbon credits
• Increase in investment costs due to strengthened climate change laws
• Decrease in profitability due to increased supply and demand of raw materials

Opportunities

• Development of energy-efficient products
• Early GHG emissions reduction projects

Reporting Standards

Frameworks Used: GRI Standards (Core Option), AA1000AP

Certifications: ISO 14001, ISO 9001, HACCP, FSSC 22000, CCM

Third-party Assurance: Korea Management Registrar (KMR)

Sustainable Products & Innovation

• Eco-friendly packaging
• Health-conscious products
• Vegan, organic, Lohas, kosher, and Halal products

Awards & Recognition

• Fair Trade Commission commendation for CCM Win-Win Cooperation Division
• Recertified family-friendly excellent company
• Grand prize at the Korea Agricultural Food Logistics Awards
• Accreditation plaque for local community contribution recognition system
• CEO Industry Award on 1st Kimchi Day
• Ministry of SMEs and Startups Prize at Win-Win Growth Week
• Grand Prize at 17th Korea Economy Social Contribution Company

Environmental Metrics

ESG Focus Areas

• Climate Change
• Resource Conservation
• Human Rights
• Supply Chain ESG Management
• Social Contributions

Environmental Achievements

• Reduced amount of plastic waste by 393 tons in 2022
• Reduced GHG emissions by 18 thousand tCO2eq since 2016 through government support program
• Developed all paper packaging for gift sets, eliminating plastic
• Improved water recycling system in BIO Factory

Social Achievements

• Conducted company-wide human rights impact assessment in 2023
• Strengthened ESG strategy of supply chain through ESG evaluation and support for partners
• Implemented various social contribution programs aligned with UN SDGs
• Launched Jongga Generation Preservation Campaign to conserve plant biodiversity

Governance Achievements

• Enacted and disclosed Corporate Governance Charter in 2021
• Established a company-wide integrated risk management system
• Obtained ISO 37301 certification for compliance management in 2022
• Obtained ISO 27001 and ISO 27701 certifications for information security and personal information protection in 2022

Climate Goals & Targets

Environmental Challenges

• Climate change impacts on agricultural product supply and demand
• Water resource risks in some workplaces
• Increased cabbage waste due to kimchi production
• ESG management of supply chain

Mitigation Strategies

• Building GHG inventory for workplaces
• Setting short-term and long-term GHG emission reduction targets
• Developing eco-friendly packaging
• Establishing water recycling systems
• Developing cabbage waste drying facility and converting waste into feed
• Establishing supply chain management policy and ESG evaluation system for partners
• Providing ESG education and consulting support to partners

Supply Chain Management

Supplier Audits: ESG evaluation of selected supply chains

Responsible Procurement

• Code of Conduct for Partners
• Sustainable procurement policy
• ESG evaluation system for partners

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events
• Supply chain disruptions

Transition Risks

• Regulatory changes
• Market shifts

Opportunities

• Development of energy-efficient products
• Transition to eco-friendly business

Reporting Standards

Frameworks Used: GRI Standards 2021, AA1000AP, K-IFRS, SASB, TCFD

Certifications: ISO 14001, ISO 45001, FSSC 22000, BRC, Halal, Kosher, ISO 27001, ISO 27701, ISO 37301, ISMS

Third-party Assurance: Korea Management Registrar (KMR)

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• All paper packaging
• Upcycled uniforms
• Low-calorie sweeteners
• Vegan products
• Animal welfare products

Awards & Recognition

• 17th Korea Star Awards 2023
• Great Place to Work
• Great Place for Working Mom to Work
• Agency Friendly Company (2 consecutive years)

Environmental Metrics

ESG Focus Areas

• Climate Change
• Supply Chain ESG Management
• Safety and Health Culture
• Eco-friendly Packaging
• R&D and New Growth Engine Expansion
• Sustainable Consumption
• High-Quality Work Environment
• Environmental Compliance
• Respect for Human Rights and Prohibition of Discrimination
• Product Development Considering Customer Health and Nutrition

Environmental Achievements

• Reduced greenhouse gas emissions by 25,563 tCO2eq compared to the previous year (Scope 1: 14,982.753 tCO2eq, Scope 2: 10,484.237 tCO2eq)
• Reduced plastic waste by 67.5 tons through packaging improvements
• Established an energy management system (EnMS) to optimize energy use and reduce energy loss
• Expanded the use of renewable energy sources such as waste heat incineration, biomass, and solar power
• Achieved ISO 14001 certification for three plants (Lysine, Starch & Sweetener, Bio)
• Reduced water usage through system improvements and process optimization

Social Achievements

• Conducted a human rights impact assessment, resulting in a 3.35%p increase in the overall score compared to the previous year
• Implemented various programs to improve employee wellbeing, including flexible work arrangements, long-term refresh programs, and support for working parents
• Launched the 'Jongga Kimchi Blast' campaign, a unique experiential marketing event that received multiple awards
• Implemented a social value measurement system to assess the impact of social contribution activities
• Provided various support programs for suppliers, including financial aid, training, and consulting

Governance Achievements

• Established an ESG management governance structure with the board of directors and CEO as the highest decision-making body
• Established a compliance committee to oversee compliance risks and promote a culture of compliance
• Achieved ISO 37301 (Compliance Management System) certification for all business units
• Implemented a comprehensive risk management framework to identify and mitigate financial and non-financial risks
• Implemented a robust information security management system, achieving various domestic and international certifications (ISMS, ISMS-P, ISO 27001, ISO 27701)

Climate Goals & Targets

Environmental Challenges

• Climate change risks (physical risks such as extreme weather events and transition risks such as regulatory changes)
• ESG risks in the supply chain (potential for non-compliance with ESG regulations)
• Maintaining a safe and healthy work environment (risks associated with industrial accidents and occupational diseases)
• Meeting increasing consumer demand for eco-friendly products and packaging
• Ensuring the security of information assets (risks associated with cyberattacks and data breaches)

Mitigation Strategies

• Developed a 2030 long-term climate change response roadmap with specific targets for greenhouse gas emission reductions and renewable energy use
• Implemented a supply chain ESG management system to assess and manage ESG risks among suppliers
• Established a comprehensive safety and health management system, including regular risk assessments and safety training programs
• Developed a roadmap for eco-friendly packaging, focusing on reducing, recycling, and renewing packaging materials
• Implemented a robust information security management system, including regular security audits, employee training, and incident response plans

Supply Chain Management

Supplier Audits: 438 suppliers in 2023

Responsible Procurement

• Code of Conduct
• Sustainable Procurement Policy
• Fair Trade Policy

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events (heat waves, heavy rainfall)
• Potential damage to facilities and disruption to production

Transition Risks

• Increased costs associated with carbon pricing and regulations
• Changes in consumer preferences towards sustainable products

Opportunities

• Development and expansion of low-carbon products and eco-friendly packaging
• Potential for revenue generation through carbon credit sales

Reporting Standards

Frameworks Used: GRI Standards 2021, AA1000AP

Certifications: ISO 14001, ISO 45001, ISO 27001, ISO 27701, ISO 37301, FSSC 22000, HACCP, BRC, HALAL, KOSHER, ISMS, ISMS-P

Third-party Assurance: NICE Information Service

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Eco-friendly packaging
• Low-carbon products
• Plant-based products
• Functional foods

Awards & Recognition

• Great Place to Work Institute awards (Best Workplace, Best Workplace for Working Mothers, Best Workplace for Millennials, Best Workplace for Seniors)
• iF Design Award 2024 (Brand Identity, Commercial Exhibition)