Climate Change Data

Kerry Group plc

Climate Impact & Sustainability Data (2022, 2023)

Reporting Period: 2022

Environmental Metrics

Total Carbon Emissions:10,432,204 tCO2e/year (Scope 1+2+3)
Scope 1 Emissions:460,731 tCO2e/year
Scope 2 Emissions:25,415 tCO2e/year
Scope 3 Emissions:9,971,498 tCO2e/year
Renewable Energy Share:100% of purchased electricity
Total Energy Consumption:3,276,271 MWh/year
Water Consumption:21,551 megalitres/year
Waste Generated:499,743 tons/year
Carbon Intensity:0.14 tCO2e/tonne of finished product (Scope 1 & 2); 2.90 tCO2e/tonne of finished product (Scope 3)

ESG Focus Areas

  • Sustainable Nutrition
  • Climate Action
  • Water Stewardship
  • Waste and Circular Economy
  • Responsible Sourcing
  • Biodiversity
  • Diversity, Inclusion and Belonging
  • Employee Health and Wellbeing
  • Business Ethics and Integrity
  • Human Rights

Environmental Achievements

  • Achieved 100% renewable electricity across operations in 2022
  • 48% reduction in Scope 1 & 2 GHG emissions since 2017
  • 32% reduction in food waste since 2017
  • 95% of total waste volume diverted from landfill in 2022
  • 74% of plastic packaging volumes met reusable, recyclable, or compostable criteria in 2022

Social Achievements

  • Launched Evolve programme in Ireland to address Scope 3 emissions with dairy suppliers
  • Launched KerryNutri Guide to help companies create nutritionally-optimized products
  • Launched Wellbeing Support Centre, an online platform providing educational material on employee wellbeing
  • Further reduction in health and safety incidents (11% reduction in recordable incidents rate compared to 2021)
  • 36% women in senior management

Governance Achievements

  • Established a comprehensive governance structure for sustainability, including a Global Sustainability Council and functional councils
  • All colleagues completed new Code of Conduct training in 2022
  • Robust mechanisms in place for reporting non-compliance

Climate Goals & Targets

Long-term Goals:
  • Scale up of low/no carbon technologies across sites
  • Increase proportion of zero carbon plants
  • Carbon removals to address residual emissions
  • Net Zero emissions before 2050
  • 100% of priority raw materials responsibly sourced by 2030
Medium-term Goals:
  • Expanded deployment of energy efficiency measures
  • Testing low and no carbon technologies across sites
  • Zero carbon pilot plants across our operations
  • 80% of dairy ingredient volumes meeting SDP level three criteria or higher by 2025
Short-term Goals:
  • 100% renewable electricity across operations
  • Identify and invest in energy efficiency measures
  • Switching to cleaner fuels across selected sites
  • 15% improvement in water efficiency by 2025

Environmental Challenges

  • Supply chain disruptions due to global events and extreme weather
  • Addressing Scope 3 emissions (95% of total emissions)
  • Maintaining water quality in areas of water stress
  • Achieving traceability and sustainability in complex supply chains (e.g., soy, cocoa)
  • Ensuring responsible sourcing of raw materials from thousands of global suppliers
Mitigation Strategies
  • Developed alternative sourcing strategies
  • Launched Evolve programme with dairy suppliers in Ireland
  • Implemented energy efficiency measures and switched to cleaner fuels
  • Improved water efficiency through various initiatives
  • Updated policies and requirements for priority raw materials (palm oil, soy, paper, coffee, cocoa)
  • Engaged suppliers on Sedex platform for ethical trade audits

Supply Chain Management

Supplier Audits: 1,400 supplier and third-party manufacturer audits in 2022

Responsible Procurement
  • Supplier Code of Conduct
  • Supplier Requirements Manual
  • Sedex platform for supplier engagement
  • Evolve programme for dairy suppliers

Climate-Related Risks & Opportunities

Physical Risks
  • Extreme weather events, flooding
Transition Risks
  • Regulatory changes, market shifts
Opportunities
  • Development of energy-efficient products

Reporting Standards

Frameworks Used: GRI Standards (2021)

Certifications: ISO 14001 (68% of sites), ISO 50001 (almost 20% of energy demand)

Third-party Assurance: Jacobs UK Ltd (AA1000 Assurance Standard)

UN Sustainable Development Goals

  • Goal 2: Zero Hunger
  • Goal 3: Good Health and Well-being
  • Goal 12: Responsible Consumption and Production

Kerry's initiatives contribute to these goals through sustainable nutrition solutions, health and wellbeing programs, and responsible resource management.

Sustainable Products & Innovation

  • Kerry Tastesense® Salt solutions for sodium reduction
  • Liquid Probiotic Delivery System BC30TM
  • No/Low Alcohol Solutions with Kerry Tastesense® Sensations
  • Lower-carbon cheese powders
  • Food protection and preservation technologies

Awards & Recognition

  • 2022 Sustainable Plant of the Year (Rome, Georgia facility)

Reporting Period: 2023

Environmental Metrics

Total Carbon Emissions:Not disclosed
Scope 1 Emissions:420,000 tonnes of CO2e
Scope 2 Emissions:50,000 tonnes of CO2e
Scope 3 Emissions:8,871,000 tonnes of CO2e
Renewable Energy Share:94%
Total Energy Consumption:3235 GWh
Water Consumption:19591 Megalitres
Waste Generated:Not disclosed
Carbon Intensity:Not disclosed

ESG Focus Areas

  • Climate Change
  • Diversity & Inclusion
  • Responsible Sourcing
  • Food Waste Reduction
  • Human Rights
  • Community Engagement

Environmental Achievements

  • 48% reduction in Scope 1 & 2 carbon emissions compared to 2017 baseline
  • 39% reduction in food waste compared to 2017 baseline
  • 94% of electricity purchases from renewable sources or backed by renewable energy certificates

Social Achievements

  • Expanded nutritional reach to 1.25 billion people
  • Launched Global All Employee Share Plan ‘OurShare’
  • Launched Women in Leadership programme
  • Zero recall notifications

Governance Achievements

  • Established standalone Sustainability Committee
  • Improved Board diversity (43% female representation)
  • Completed independent Human Rights Assessment

Climate Goals & Targets

Long-term Goals:
  • Achieve Net Zero emissions before 2050
Medium-term Goals:
  • Reduce Scope 1 & 2 emissions by 55% by 2030
  • Reduce Scope 3 emissions intensity by 30% by 2030
  • Reduce food waste by 50% by 2030
  • Reach over 2 billion people with sustainable nutrition solutions by 2030
Short-term Goals:
  • Reduce water withdrawal intensity by 15% by 2025
  • Make all plastic packaging reusable, recyclable or compostable by 2025
  • Achieve 100% renewable electricity by 2025

Environmental Challenges

  • Challenging macroeconomic conditions (inflation, customer destocking, cautious consumer behavior)
  • Significant change in dairy market conditions
  • Supply chain disruptions
  • Evolving consumer demands (health, sustainability, value)
  • Climate change related risks (extreme weather, water stress, regulatory changes)
Mitigation Strategies
  • Accelerate Operational Excellence programme
  • Portfolio developments (acquisitions and divestments)
  • Pricing mechanisms
  • Investment in digital initiatives
  • Sustainable sourcing initiatives
  • Emissions reduction projects
  • Food waste reduction strategies
  • Business continuity and crisis management plans
  • Supplier engagement and training

Supply Chain Management

Supplier Audits: 11 sites underwent SMETA audit in 2023; 88% of suppliers in high-risk countries enrolled on Sedex; 65% of these underwent SMETA audit

Responsible Procurement
  • Supplier Code of Conduct
  • Risk-based approach to supplier assessment
  • Evolve Dairy Sustainability Programme

Climate-Related Risks & Opportunities

Physical Risks
  • Extreme weather events
  • Rising sea levels
  • Water stress
  • Raw material supply disruptions
Transition Risks
  • Carbon pricing
  • Decarbonization costs
  • Shifting consumer demand
  • Regulatory changes
Opportunities
  • Energy efficiency
  • Renewable energy
  • Lower-carbon alternatives
  • Growth in sustainable products

Reporting Standards

Frameworks Used: GRI, TCFD, EU Taxonomy

Certifications: Null

Third-party Assurance: Jacobs UK Ltd (AA1000 Assurance Standard)

UN Sustainable Development Goals

  • Goal 2: Zero Hunger
  • Goal 3: Good Health and Well-being
  • Goal 12: Responsible Consumption and Production

Initiatives such as ALIVE Programme, Project Amata, and focus on sustainable nutrition, emissions reduction, and responsible sourcing contribute to these goals.

Sustainable Products & Innovation

  • TastesenseTM Advanced (sugar reduction)
  • Kerry AccelTM (natural meat cure)
  • Probiotic-fortified UHT Lactose Free Milk
  • IsoAge antimicrobial technologies

Awards & Recognition

  • World Benchmarking Alliance top 10 ranking
  • ISS ESG Prime status
  • FTSE4GOOD constituent
  • MSCI ESG Rating of AAA
  • Origin Green gold member
  • Irish Institute for Learning and Development Excellence Award