Climate Change Data

Livestock Feeds Plc

Climate Impact & Sustainability Data (2020, 2023)

Reporting Period: 2020

Environmental Metrics

Total Carbon Emissions:2300 tons (Scope 1)
Scope 1 Emissions:2300 tCO2e/year
Total Energy Consumption:900,000 KWh/year
Waste Generated:3.1 tons/year
Carbon Intensity:0.323 (GHG emissions per unit of final product)

ESG Focus Areas

  • Poverty reduction
  • Food security
  • Health and well-being
  • Education
  • Clean water and sanitation
  • Decent work and economic growth
  • Industry, innovation, and infrastructure
  • Sustainable cities and communities
  • Responsible consumption and production
  • Peace, justice, and strong institutions
  • Partnerships for the goals

Environmental Achievements

  • Implemented waste-to-wealth approach, reducing, recovering, refurbishing, reusing, recycling, and reselling waste products/materials
  • Implemented an Environmental Management System (EMS) focused on Extended Producer Responsibility (EPR) to control environmental impacts of operations, products, and services.

Social Achievements

  • Launched various agricultural extension, research & development programs, including a Farmer-Led Initiative and Farm Trials, to enhance productivity.
  • Implemented CSR initiatives targeting peasant farmers and secondary school students for agricultural development programs.
  • Prioritized employee health and safety, resulting in improved productivity.
  • Supported various institutions through SIWES programs and industrial tours for students.

Governance Achievements

  • Established a strong anti-corruption approach based on core values (CRITIO: Customer Focus, Respect for Individuals, Integrity, Team Spirit, Innovation, Openness & Communication).
  • Fostered good working relationships with notable institutions/bodies like PAN, MAN, and NIAS.
  • Engaged in industrial stakeholder groups with key regulatory agencies (NAFDAC, SON, FMEnv, NESREA, LASEPA).

Climate Goals & Targets

Medium-term Goals:
  • Reduce reliance on fossil fuels by 50% within the next decade
  • Reduce CO2 emissions by 50% by 2030
  • Reduce energy intensity by 30% within the next decade

Environmental Challenges

  • High interest rates
  • Weak GDP growth
  • Weak consumer demand
  • Deficient infrastructure
  • Energy issues
  • Transportation challenges
  • Heightened industry rivalry
  • COVID-19 pandemic and lockdown
  • Raw material sourcing disruptions
  • Distribution and transport logistics disruptions
Mitigation Strategies
  • Cost optimization initiatives
  • Innovation on key production lines
  • Extensive route-to-market architecture improvements
  • Investments in animal health products
  • Strategic alliances with livestock farmers and stakeholders
  • Adherence to guidelines from relevant authorities
  • Business continuity plans (phases 1 and 2) to minimize disruptions
  • Contingency plans with suppliers and customers

Supply Chain Management

Responsible Procurement
  • Thorough inspection of raw materials before receipt
  • Strategic partnerships with suppliers, including stationing quality assurance personnel

Climate-Related Risks & Opportunities

Physical Risks
  • Increased temperatures
  • Frequency and intensity of heat waves
  • Impacts on livestock health

Reporting Standards

Frameworks Used: GRI Standards

Certifications: ISO 9001, ISO 14001:2015

UN Sustainable Development Goals

  • Goal 1
  • Goal 2
  • Goal 3
  • Goal 4
  • Goal 6
  • Goal 8
  • Goal 9
  • Goal 11
  • Goal 12
  • Goal 16
  • Goal 17

The company's initiatives contribute to these goals through various CSR programs, employee well-being initiatives, sustainable production practices, and partnerships.

Reporting Period: 2023

Environmental Metrics

Social Achievements

  • Employee Training & Development: Employees were exposed to targeted trainings which include but not limited to soft skills trainings such as Emotional Intelligence, Mental Health, Stress Management, Customer Service, Grooming & Etiquette, Use of Digital & Social Media and Problem Solving. Incentive and recognition schemes designed to improve employee engagement and value index are periodically implemented wherever appropriate and some of these include but are not limited to Performance Incentives and Employee of the year Recognition award.
  • Employee Welfare: The Company provides free canteen services to employees in its various operations for health and motivation reasons. Employees were encouraged to go on annual vacation as at when due to enable them to enjoy a work-life balance.

Governance Achievements

  • Board Changes: Mrs. Chiamaka Uwaegbute was appointed as a Non-Executive Director effective July 21, 2023.

Climate Goals & Targets

Environmental Challenges

  • High inflation rate of 28.92%, rapidly increasing operating expenses, particularly in the second half of the year following subsidy removal and currency deregulation.
  • Astronomically high prices of key raw materials such as Maize and Soya Bean Meal.
  • Increased energy costs due to almost doubled diesel prices compared to 2022.
  • Declining infrastructure (poor road conditions) leading to supply chain disruptions and elevated raw material and feed prices.
  • Widespread insecurity in grain and oil seeds producing areas, affecting livestock and leading to the emergence and resurgence of infectious diseases.
Mitigation Strategies
  • Implementing prudent measures to recover and ensure sustainable growth and profitability.
  • Improving operational efficiency.
  • Expanding investment in product development.
  • Continuing strategic alliances with partners.

Supply Chain Management

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: IFRS

Third-party Assurance: KPMG Professional Services