Climate Change Data

Partner in Pet Food Hungária Korlátolt Felelősségű Társaság

Climate Impact & Sustainability Data (2022, 2023)

Reporting Period: 2022

Environmental Metrics

Total Carbon Emissions:592,734 tCO2e
Scope 1 Emissions:47,139 tCO2e
Scope 2 Emissions:30,629 tCO2e
Scope 3 Emissions:503,934 tCO2e
Total Energy Consumption:299,781 MWh
Waste Generated:17,672.67 tons
Carbon Intensity:0.782 tCO2e/t

ESG Focus Areas

  • Performance
  • Environment
  • Team
  • Society

Environmental Achievements

  • Reduced operational food waste by approximately 138 tonnes across six factories.
  • Submitted GHG emissions reduction target of 42% by 2030 to SBTi for validation.
  • Completed solar panel installation at Westervoort factory in the Netherlands.

Social Achievements

  • Launched Wellbeing Programme in October 2022.
  • Recorded a lost time injury (LTI) rate of 12.7, a 17% improvement.
  • Launched learning and development programme for office-based colleagues.
  • Achieved a company-wide engagement survey score of 58%, an 11% increase.

Governance Achievements

  • Redesigned anti-bribery and anti-corruption training programme, 100% completion by office-based colleagues.
  • Established internal procedures for annual Sustainability Report publication.
  • Strengthened Supplier Code of Conduct and merged it with a new Sustainable Sourcing Policy.

Climate Goals & Targets

Long-term Goals:
  • Reduce Scope 1, 2, and 3 GHG emissions by 42% by 2030
Medium-term Goals:
  • Reduce operational food waste by 50% by 2027
  • Ensure 50% of pouch packaging is recyclable or made from recycled materials by 2030
  • Reach a minimum of 40% female representation within our leadership team by 2030
Short-term Goals:
  • Reduce operational food waste by 30% by 2025
  • Reach employee engagement levels of 75% by 2025
  • Ensure 100% of dry portfolio’s own-sourced packaging is recyclable by the end of 2024
  • Implement anti-bribery training for factory-based employees by the end of 2023
  • Establish a local community support policy by the end of 2023

Environmental Challenges

  • Decoupling emissions from growth.
  • Gathering accurate data on Scope 3 emissions (purchased goods and services, raw materials).
  • Transitioning to recyclable pouch packaging due to technological and supply challenges.
Mitigation Strategies
  • Investing in renewable energy, energy efficiency, and innovative product solutions.
  • Examining recipes to replace high-emission raw materials.
  • Reducing energy consumption and utilizing renewable energy in factories.
  • Reducing emissions within the distribution network.
  • Improving product circularity to reduce waste and packaging emissions.
  • Working with suppliers to find recyclable pouch packaging solutions.

Supply Chain Management

Supplier Audits: 1 SMETA audit in 2022 (Veselí nad Lužnicí factory), additional audit planned for 2023 (Citta di Castello factory)

Responsible Procurement
  • Supplier Code of Conduct and Sustainable Sourcing Policy

Climate-Related Risks & Opportunities

Opportunities
  • Recipe development using lower-emission raw materials
  • Renewable energy utilization
  • Improved distribution efficiency

Reporting Standards

Frameworks Used: GRI, SASB

Certifications: IFS (International Food Standard)

Third-party Assurance: Denkstatt (GHG emissions calculation), ERM (report development)

Reporting Period: 2023

Environmental Metrics

Total Carbon Emissions:83634 tCO2e (Scope 1&2) + 579667 tCO2e (Scope 3) = 663301 tCO2e
Scope 1 Emissions:49,351 tCO2e
Scope 2 Emissions:26,217 tCO2e
Scope 3 Emissions:599,380 tCO2e
Total Energy Consumption:305,313,896 MWh
Waste Generated:21,435 tons
Carbon Intensity:0.81 tCO2e/t in 2023

ESG Focus Areas

  • Performance
  • Environment
  • Team
  • Society

Environmental Achievements

  • Reduced Scope 1 and 2 emissions by 2% relative to 2021 baseline.
  • Reduced Scope 3 emissions by 7% relative to 2021 baseline.
  • Installed solar panels at Dunajský Klátov factory, covering 4% of energy needs.
  • Switched 28% of dry portfolio packaging to recyclable materials.
  • Reduced operational food waste by 13.6% compared to 2022.

Social Achievements

  • Delivered 126 community support initiatives.
  • Introduced a Community Support Policy.
  • Ran campaigns supporting animal shelters, donating over 180 pallets of pet food.
  • Achieved a 63% company-wide engagement survey score (9 percentage point increase from 2022).
  • Reduced employee absence rate to 6.7% (from 7% in 2022).
  • Launched an emotional safety training program.

Governance Achievements

  • Obtained an EcoVadis bronze medal.
  • Delivered anti-bribery and anti-corruption training to 94% of permanent employees.
  • Began developing a new internal governance, risk, and compliance framework.

Climate Goals & Targets

Medium-term Goals:
  • Achieve 42% reduction in absolute GHG emissions by 2030 (from 2021 baseline).
  • Reach a minimum of 40% female representation in leadership team by 2030.
  • Ensure 100% of pouch packaging is recyclable or made from recycled materials by 2030.
Short-term Goals:
  • Reduce operational food waste by 30% by 2025 and 50% by 2027 (from 2021 baseline).
  • Reach 90% supplier acceptance of Supplier Code of Conduct by end of 2024.
  • Reach employee engagement levels of 75% by end of 2025.
  • Ensure 100% of own-sourced dry packaging is recyclable by end of 2024.

Environmental Challenges

  • Unlikely to meet 100% recyclable dry packaging portfolio target in 2024.
  • Integrating sustainability standards into acquired businesses.
  • Industry-wide sustainability credential development.
Mitigation Strategies
  • Continuing discussions on recyclable packaging solutions with partners.
  • Switching own-brand packaging to recyclable packaging by end of 2024.
  • Focusing on integrating sustainability standards into acquired businesses.
  • Collaborating within and outside PPF to deliver sustainable pet food.

Supply Chain Management

Supplier Audits: 78% of direct material suppliers confirmed agreement with updated policy in 2023.

Responsible Procurement
  • Supplier Code of Conduct and Sustainable Sourcing Policy

Climate-Related Risks & Opportunities

Opportunities
  • Development of energy-efficient products
  • Use of alternative proteins (insects, single-cell proteins).

Reporting Standards

Frameworks Used: GRI, SASB

Third-party Assurance: EY Denkstatt

Sustainable Products & Innovation

  • New recipes with alternative proteins (insects, single-cell proteins) under evaluation.

Awards & Recognition

  • EcoVadis bronze medal