Climate Change Data

Environmental Metrics

ESG Focus Areas

• Sustainable and environmentally responsible development
• People – Providing safe and meaningful jobs
• Profit – Attractive financial results

Environmental Achievements

• Reduced reliance on soya products in feed
• Minimal packaging, predominantly silo to silo feed delivery in Bjugn factory
• Successful pioneers in mechanical lice treatment in Norway Region North

Social Achievements

• Providing safe and meaningful jobs
• First region with ASC certification (Marine Harvest Norway – Region South)
• 6 years in Agder of non-medical lice treatments (Marine Harvest Norway – Region South)

Governance Achievements

• Comprehensive restructuring ongoing in 2016 (Chile)
• Restructuring in 2016, reduced cost base (Scotland)
• Changed management (UK, Consumer Products)

Climate Goals & Targets

Environmental Challenges

• Sea lice challenge and feed raw materials driving production costs up
• Challenging biological situation (Scotland): lice, AGD and blooms
• Main challenge – Lice and PD (Marine Harvest Norway – Region South)
• Main challenge – lice (Marine Harvest Norway – Region West)
• Main challenge is lice and PD (Marine Harvest Norway – Region Mid)
• Main challenge – spread of PD from South (Marine Harvest Norway – Region North)
• Main challenge is sea lice (Marine Harvest Scotland)
• Challenging environment, both nature and people (Canada): Sea lions and Blooms
• Main challenge – sanitary control and structure in industry (Chile)
• Unsustainable regulatory framework (Chile)
• Feed quality issue (fat leak from pellets) at Bjugn factory

Mitigation Strategies

• Cost initiatives: centralized buying, standardizing equipment, changing payment terms, Mowi breeding program, increasing smolt size, site structure evaluation, sharing best practices, general frugality
• Non-medical lice tools in place 2016 (Scotland)
• 100% capacity of non-medical treatment in place 2016 (Marine Harvest Norway – Region Mid)
• 100% capacity of non-medical treatment in place 2016 (Marine Harvest Norway – Region North)
• Solved main challenge, Kudoa in 2013 (Canada)
• Comprehensive restructuring ongoing in 2016 (Chile)
• Issue related to feed quality addressed (Bjugn factory)

Supply Chain Management

Responsible Procurement

• Centralized buying of big items
• Internal feed production

Climate-Related Risks & Opportunities

Physical Risks

• Algae blooms

Environmental Metrics

ESG Focus Areas

• Sustainability
• Resource Efficiency
• Climate Change
• Fish Health
• Social Responsibility

Environmental Achievements

• Reduced carbon footprint compared to other protein sources
• Reduced water consumption compared to other protein sources
• Reduced use of fishmeal and fish oil in feed

Social Achievements

• Employment in various countries
• Contribution to local economies
• Implementation of ASC standards

Governance Achievements

• Implementation of strict biosecurity and health management strategies
• Transparency in reporting

Climate Goals & Targets

Environmental Challenges

• Sea lice infestations
• Disease outbreaks (e.g., SRS, PD, IPN, ISA)
• Price volatility
• Regulatory compliance
• Feed cost fluctuations

Mitigation Strategies

• Good husbandry and health management practices
• Vaccination
• Use of lice prevention barriers and cleaner fish
• Medicinal treatment (when necessary)
• R&D in feed, sea lice control, and vaccines
• Geographic diversification of production

Supply Chain Management

Responsible Procurement

• Sustainable sourcing of feed ingredients

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: ASC

Environmental Metrics

ESG Focus Areas

• Sustainability
• Brand
• License utilization in Farming
• Digitalisation and automation
• Develop our people and leaders

Environmental Achievements

• Total of 99 ASC certified sites in 2019 (78 in 2018), representing 33% (34% in 2018) of all ASC certified sites producing Atlantic salmon globally.
• It takes only 0.66 kg of wild fish to produce 1 kg of Atlantic salmon (0.75 kg in 2018).
• In 2019, 68% of the sea lice treatments were non-medicinal.
• Reduced dependency on wild fish for salmon feed.

Social Achievements

• Improved safety record with all-time low rolling LTIs per million hours worked at 4.3, down from 5.2 in 2018
• A new Diversity and Inclusion policy was released in 2019, along with a supporting Global Ambassador Group.
• Mowi ranked the most sustainable protein producer in the world (FAIRR)

Governance Achievements

• Chief Sustainability Officer appointed
• Mowi Sustainability Strategy, Leading the Blue Revolution Plan, successfully launched
• 7-year EUR 150 million Schuldschein loan with coupon of EURIBOR + 170 bps
• 5-year EUR 200 million green bond issuance in January 2020 with coupon of EURIBOR + 160 bps

Climate Goals & Targets

Environmental Challenges

• Increased biological issues and production costs in recent years
• Higher competition within the European value-added segment
• Challenging biological situation with mass mortality in Canada East
• Fierce market conditions in 2019 with margin pressure, especially in Europe

Mitigation Strategies

• New farming strategies and production processes, including investments in smolt facilities, improved treatment capacity and new sea pen technologies
• Establishment of a Global Processing Excellence Team to realize improvements related to Mowi’s processing plants
• New global EUR 25 million cost savings program
• Organizational structure in Farming and the Group Management Team changed to increase focus on the farming entities

Supply Chain Management

Responsible Procurement

• Global Procurement Policy
• Code of Conduct

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather, high seawater temperatures

Transition Risks

• Regulatory changes, market shifts

Opportunities

• Development of energy-efficient products and processes

Reporting Standards

Frameworks Used: GRI

Certifications: ASC

UN Sustainable Development Goals

• SDG 3
• SDG 5
• SDG 8
• SDG 9
• SDG 10
• SDG 11
• SDG 12
• SDG 13
• SDG 14
• SDG 17

Alignment of strategy, guiding principles, material long-term value drivers, and SDGs is provided in the report.

Sustainable Products & Innovation

• MOWI brand

Awards & Recognition

• Ranked the most sustainable protein producer in the world (FAIRR)

Environmental Metrics

ESG Focus Areas

• Greenhouse Gas Emissions
• Deforestation and Biodiversity Loss
• Water Use and Water Scarcity
• Waste and Water Pollution
• Antibiotics
• Working Conditions
• Animal Welfare
• Food Safety
• Governance
• Sustainable Proteins

Environmental Achievements

• Three companies (Mowi, Maple Leaf, and Grieg Seafood) announced or approved science-based targets (SBTs) for Scope 1, 2, and 3 emissions.
• A quarter of Index companies now disclose Scope 3 emissions.

Social Achievements

• 22 firms meet best practice in sustainable protein diversification (compared to 15 in 2019 and 5 in 2018).

Governance Achievements

• Inclusion of a new Risk Factor for analyzing company performance: Governance. This assesses awareness of ESG risk at management and board levels.

Climate Goals & Targets

Environmental Challenges

• 86% of major Meat and Dairy suppliers rank as ‘high risk’ on greenhouse gas emissions; 35% show annual increases in emissions.
• 42 companies (70%) rank as high risk for antibiotic stewardship.
• Over half of Index firms (57%) rank as high risk on working conditions.
• High risk across multiple ESG factors for a significant number of companies.

Mitigation Strategies

• FAIRR launching a stand-alone engagement on working conditions with eight companies.
• Companies are increasingly transitioning towards alternative protein sources.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Not disclosed

Climate-Related Risks & Opportunities

Physical Risks

• Droughts and other extreme weather events

Transition Risks

• Changing consumer preferences, new regulations

Opportunities

• Innovation in alternative proteins

Reporting Standards

Frameworks Used: Sustainable Development Goals (SDGs)

Certifications: Global Food Safety Initiative (GFSI)

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

The report states that all factors are aligned with the Sustainable Development Goals (SDGs).

Sustainable Products & Innovation

• Plant-based meat alternatives

Awards & Recognition

• Not disclosed

Environmental Metrics

ESG Focus Areas

• Sustainability
• Environmental impact of aquaculture
• Fish welfare
• Sea lice management
• Medicine use
• Biodiversity
• Carbon footprint
• Plastic management
• Escape prevention

Environmental Achievements

• In 2021, 56% of sea lice treatments were non-medicinal, compared with 12% in 2015.
• On average, 95% of its sea sites surveyed in 2021 have a minimal impact on faunal communities and/or sediment chemistry near to the fish pens.
• Assuming that global salmon production replaced a mix of poultry, pork and beef production in 2021, 11.3 million tonnes of CO2 emissions were avoided.

Social Achievements

• Mowi Group employed 13,984 people (including third-party employees), in 25 countries worldwide as at 31 December 2021.
• Mowi is ranked as overall best performer in the Coller FAIRR Index, and there are three salmon producers in the top five.
• Mowi ranks 2nd in the WBA Seafood Stewardship Index.

Governance Achievements

• Sustainability data is audited by third parties and reported according to global standards such as CDP and FAIRR.

Climate Goals & Targets

Environmental Challenges

• Genetic changes in wild salmon due to escaped farmed salmon.
• Environmental effects of discharges of dissolved nutrients.
• Environmental impact on the seabed as a result of particulate organic emissions.
• Environmental effects on non-target species when using medicine.
• Sea lice.
• Cardiomyopathy syndrome (CMS).
• Salmonid Rickettsial Septicaemia (SRS).
• Heart and Skeletal Muscle Inflammation (HSMI).
• Infectious Salmon Anaemia (ISA).
• Gill Disease (GD).

Mitigation Strategies

• Good husbandry and health management practices.
• Vaccination.
• Use of lice prevention barriers.
• Cleaner fish.
• Mechanical removal systems.
• Licensed medicines (when necessary).
• Stringent biosecurity and mitigation measures.
• Continuous monitoring of seabed conditions.
• Purification systems to remove medicine used in well boat-delivered bath treatments.
• Reduction in the use of medicines to manage sea lice through increased use of non-medicinal tools.

Supply Chain Management

Responsible Procurement

• Sustainable sourcing of vegetable feed raw materials such as soy is ensured by purchasing from Proterra-certified (or equivalent) deforestation-free suppliers.
• Traceability is important to make sure that no raw materials originate from illegal, unregulated and unreported (IUU) catches, or from fish species classified as endangered on the International Union for the Conservation of Nature (IUCN) red list.

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: CDP, FAIRR

Certifications: ASC, Global G.A.P., BAP

Environmental Metrics

ESG Focus Areas

• Climate Change
• Biodiversity
• Responsible use of medicines and chemicals
• Human Rights
• Decent Work and Economic Growth
• Gender Equality

Environmental Achievements

• Reduced scope 1 and 2 GHG emissions by 9% in 2022, and by 33% since 2019. Scope 3 emissions were reduced by 3% in 2022, and by 10% since 2019.
• 99% of harvest volume sustainably certified with a GSSI recognised standard (ASC, BAP or Global GAP).
• 100% sustainable sourced feed according to Mowi's policy.
• 77% of plastic packaging was reusable, recyclable or compostable and contained 15% recycled plastic (92% for MOWI brand).
• 94% of farming equipment recycled or reused.

Social Achievements

• Improved safety record with all-time low rolling LTIs per million hours worked at 2.3 down from 2.5 in 2021.
• FTEs reduced by a total of 1,346 since the start of the productivity programme in 2020, equivalent to a 9% reduction despite 6% volume increase.
• MOWI Brand launched in Germany, Brazil, Argentina, Colombia, China and South Korea during 2022.
• Over EUR 1.6 million spent in sponsoring to different local initiatives and events. More than 3,000 hours of volunteer work delivered.

Governance Achievements

• Ranked the most sustainable animal protein producer in the world (FAIRR index) for the fourth year in a row.
• 21 incidents reported through our whistleblower channel in 2022.

Climate Goals & Targets

Environmental Challenges

• Proposed resource rent tax on salmon farming in Norway.
• Significant post-Covid inflation negatively impacted the cost level in 2022 (feed inflation approx. 70% since beginning of 2021).
• Supply chain disruptions due to biological challenges (Scotland, Canada East).
• High air freight rates negatively impacted demand in Asia.
• Sea lice management.
• Escape incidents.

Mitigation Strategies

• Cost-cutting initiatives (EUR 48 million annualised savings in 2022, new EUR 25 million programme for 2023).
• Productivity programme targeting 10% reduction in FTEs by 2024.
• Improved biological control measures.
• Increased purchase of renewable electricity and energy efficiency projects.
• Cleaner fish and non-medicinal treatment systems for sea lice.
• More robust pen and net designs, improved training programs to minimise human error.

Supply Chain Management

Supplier Audits: All suppliers assessed and given a risk rating. Critical suppliers: 76% in category 2, 24% in category 3. Non-critical suppliers: 80% in category 2, 20% in category 3.

Responsible Procurement

• Global Procurement Policy
• Code of Conduct
• Standardised due diligence process
• Self-assessments by critical suppliers
• Compliance with Transparency Act

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather
• Algal blooms
• Low oxygen levels

Transition Risks

• Regulatory changes
• Carbon pricing
• Market shifts

Opportunities

• Development of energy-efficient products
• Increased demand for sustainable seafood

Reporting Standards

Frameworks Used: GRI, SASB, TCFD, UNGC

Certifications: ASC, BAP, Global GAP, Global Food Safety Initiative (GFSI)

Third-party Assurance: Third-party assurance provider (specified in report, but not explicitly stated in extracted text)

UN Sustainable Development Goals

• SDG 3
• SDG 5
• SDG 8
• SDG 9
• SDG 10
• SDG 11
• SDG 12
• SDG 13
• SDG 14
• SDG 17

Mowi's strategy, guiding principles, and long-term value drivers are aligned with these SDGs. Specific KPIs are detailed in the report for each goal.

Sustainable Products & Innovation

• MOWI Pas Fumé
• Smoked salmon with 25% less salt

Awards & Recognition

• Ranked #1 in Coller FAIRR Protein Producer Index for four consecutive years.
• Best Annual report in Norway (2022).
• Best Product of the Year award (2022-2023) for smoked salmon with 25% less salt.
• Nr. 1 ranking in Healthy Innovation Awards for lower-salt smoked salmon.
• Eletto prodotto dell’anno (Elected Product of The Year) in Italy for MOWI brand.
• Saveurs de l’année 2022 (Taste of the Year) award in France for MOWI smoked salmon.
• Seafood Star Award in Germany for MOWI smoked salmon.
• 3-star Superior Taste Award from International Taste Institute for MOWI Supreme Fresh Salmon.
• 2-star Superior Taste Award from International Taste Institute for MOWI Supreme Cold Smoked Salmon and Rope Smoked Salmon.
• Food Innovation Award in Taiwan for Salmon Bar.

Environmental Metrics

ESG Focus Areas

• Climate Change
• Biodiversity
• Water Stewardship
• Responsible Use of Medicines and Chemicals
• Fish Welfare
• Sea Lice Management
• Sustainable Fish Feed
• Circular Economy and Responsible Waste Management
• Human Rights
• Responsible Supply Chain
• Employee Safety
• Community Engagement

Environmental Achievements

• Reduced scope 1 and scope 2 GHG emissions by 5% in 2023, and by 36% since 2019.
• 99% of harvest volume sustainably certified with a GSSI-recognised standard.
• 100% sustainably sourced feed according to Mowi's policy.
• 82% of plastic packaging reusable, recyclable, or compostable; 22% recycled plastic.
• Reduced waste to landfill to 5%.
• Four escape incidents resulting in 3,497 escaped fish (significantly reduced from 2022).

Social Achievements

• Improved safety record with all-time low rolling LTIs per million hours worked at 2.1.
• 70% response rate in Employee Engagement survey, showing a 4% increase in employee engagement.
• 46 incidents reported through the whistleblower channel.
• Over EUR 1.7 million spent sponsoring local initiatives; 1,600+ hours of volunteer work.

Governance Achievements

• Ranked #1 in the 2023 Coller FAIRR Protein Producer Index for the fifth consecutive year.
• Completed 2023 cost savings program with annual savings of EUR 55 million.

Climate Goals & Targets

Environmental Challenges

• Higher realised feed costs due to previous inflation.
• Increasingly challenging environmental conditions in Scotland (rising seawater temperatures).
• Higher than normal levels of harmful algae in Chile (El Niño).
• Resource rent tax on salmon farming in Norway.
• Challenging market conditions for salmon of Chilean origin.
• Reduced harvest volumes in Canada West due to site mix and reduced license footprint.
• Environmental and biological incidents in Canada East (improved in recent years).
• Lice challenges affecting the Icelandic industry.
• Winter sores in Norway.
• Sea lice management.
• Antimicrobial use.
• Biodiversity loss.
• Plastic waste.
• Food safety incidents.

Mitigation Strategies

• Global cost savings programs (EUR 285 million saved since 2018).
• Postsmolt initiatives in Norway and Scotland.
• Acquisition of Dawnfresh bankruptcy estate's Loch Etive trout sites (Scotland).
• Development of a new broodstock and egg facility in Scotland.
• Improved biological control in Chile and Canada East.
• New sales agreement with Mowi Sales & Marketing (Iceland).
• Improved vaccines and treatment strategies for winter sores.
• Preventive management tools for sea lice (skirts, deep lights, deep feeding).
• Non-medicinal treatment systems for sea lice.
• Cleaner fish for lice control.
• R&D on novel solutions for sea lice control.
• Improved practices to reduce antimicrobial use.
• Biodiversity framework, "In Harmony with Nature."
• Plastic use and waste management policy.
• Comprehensive monitoring program for undesirable substances.
• Global incident reporting tool and crisis management teams.

Supply Chain Management

Supplier Audits: 100% of suppliers assessed by global indexes; high-risk suppliers undergo further assessment.

Responsible Procurement

• Global Procurement Policy
• Code of Conduct
• Sustainable feed sourcing policy
• Environmental due diligence process
• Human rights due diligence process

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather
• Harmful algal blooms
• Sea lice

Transition Risks

• Regulatory changes
• Carbon pricing
• Market shifts

Opportunities

• Development of energy-efficient products and processes
• Increased demand for sustainable seafood

Reporting Standards

Frameworks Used: GRI, SASB, TCFD, TNFD, UNGC

Certifications: ASC, BAP, Global GAP, Global Food Safety Initiative (GFSI)

Third-party Assurance: Third-party assurance provider (specified in report, but not explicitly stated as a single entity)

UN Sustainable Development Goals

• SDG 3: Good Health and Well-being
• SDG 5: Gender Equality
• SDG 8: Decent Work and Economic Growth
• SDG 9: Industry, Innovation and Infrastructure
• SDG 10: Reduced Inequalities
• SDG 11: Sustainable Cities and Communities
• SDG 12: Responsible Consumption and Production
• SDG 13: Climate Action
• SDG 14: Life Below Water
• SDG 17: Partnerships for the Goals

Mowi's initiatives contribute to these SDGs through various programs and actions (detailed in the report).

Sustainable Products & Innovation

• MOWI-branded products
• Ducktrap Lightly Smoked Salmon
• MOWI Sushi Wrap
• MOWI Gourmet Infusions
• MOWI Gourmet Deli
• MOWI Cartoccio
• MOWI-branded sushi

Awards & Recognition

• Coller FAIRR Protein Producer Index (#1 for five consecutive years)
• Best Annual Report in Norway (five times in the last six years)
• CDP Climate Change rating (A-)
• CDP Water rating (A-)
• CDP Supplier Engagement Leader (top 8%)
• Seafood Stewardship Index (ranked fourth)
• Food and Agriculture Benchmark (ranked fifth)
• Nature Benchmark (ranked fourth)
• PwC Norway Climate Index (Winner of the Year)

Environmental Metrics

ESG Focus Areas

• Climate change
• Sustainable seafood production
• Employee safety
• Responsible farming practices

Environmental Achievements

• Mowi's scope 1 and 2 emissions were reduced by 5% in 2023, and by 36% since 2019. Mowi's total emissions, including Scope 3 is 9% lower than in the reference year of 2019.
• 100% of harvest volumes in Q2 2024 were sustainably certified with a Global Seafood Sustainable Initiative (GSSI) recognised standard (ASC, BAP or Global GAP).
• Mowi's production of sustainable seafood in 2023 accounted for a total of nearly 1.8 million tonnes of avoided CO2 emissions compared with producing the equivalent volumes by using a mix of land animal proteins.

Social Achievements

• Mowi was ranked the most sustainable animal protein producer in the world for the fifth time in a row in the Coller FAIRR Protein Producer Index for 2023.
• Mowi was named among the top 500 world’s most sustainable companies by TIME Magazine.
• Several Mowi staff were honored by the Kitasoo Xai’xais First Nation in Canada West.

Governance Achievements

• Mowi has been ranked A in the leadership band of the CDP Supplier Engagement Rating for 2023.
• Mowi's Integrated Annual Report has been awarded gold in the Farmand Sustainability Report Award.

Climate Goals & Targets

Environmental Challenges

• Knock-on effects from string jellyfish and seasonal winter sores impacted biological performance in Norway.
• Price achievement for Norwegian origin in the quarter negatively impacted by quality downgrading due to knock-on effects from winter sores and string jellyfish in the first quarter.
• Price achievement in Americas affected by temporarily muted US demand following increased cost-of-living.
• Challenging market situation for Canadian salmon and algae bloom in Canada West.
• Government of Canada's decision to phase out traditional marine salmon farms in British Columbia.

Mitigation Strategies

• Improved growth conditions in sea coupled with solid feeding have contributed to an estimated standing biomass at the end of June of 1% higher year-on-year.
• Positive scale effects from higher volumes and lower feed prices are expected to contribute to a further reduction of the cost level in the second half of 2024.
• Initiating strategic review of Mowi Canada West.
• Mowi is much better positioned for the 2025 winter season due to an improved vaccine with increased availability.
• Ongoing efforts to improve farming efficiency include installation of larger 160 metre pens at several sites which reduces the number of pens needed.

Supply Chain Management

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: Science Based Targets initiative (SBTi)

Certifications: ASC, BAP, Global GAP

Sustainable Products & Innovation

• MOWI Burgers
• MOWI Bistro range

Awards & Recognition

• TIME's list of the World's 500 Most Sustainable Companies for 2024
• TIME’s 200 Best Inventions of the Year 2023 (for collaboration with Tidal)
• Gold in the Farmand Sustainability Report Award