Climate Change Data

Environmental Metrics

ESG Focus Areas

• Sustainable Products
• Environmentally Responsible Production
• Health & Safety
• Social Responsibility

Environmental Achievements

• 70% reduction in packaging waste for main raw material between 2015 and 2017
• 95% of water used in the production process recycled
• 24% reduction in water use per slab since 2015
• 5% decrease in global GHG emissions (Scope 1,2) from 2019 to 2020
• 13% reduction in paper usage in production facilities from 2018 to 2020
• Eliminated nearly all single-use plastic and paper cups in corporate offices in 2020
• Transitioned payroll system to a digital platform in 2020 to reduce paper usage

Social Achievements

• Launched Master of Stone program for fabricators focusing on health and safety, with 884 people completing training modules by July 2021
• 72% reduction in Loss Time Injuries (LTI) from 2018 to 2020
• 9% reduction in employee turnover rate in 2020 vs 2019
• Supported local community initiatives in Israel, including Yad LaYeled HaMeyuchad and Beit Taf Youth Hostel
• Supported Camp Quality in Australia

Governance Achievements

• Established Nuphar & Lotus programs to implement EHS best practices and reduce hazardous materials
• Implemented an EHS system based on global requirements, including OSHA and local standards
• Issued an anti-corruption policy, included in the Caesarstone Code of Conduct, with zero legal actions related to corruption during the reporting period
• Maintained a robust corporate governance structure with a diverse board of directors (55% independent, 33% women)

Climate Goals & Targets

Environmental Challenges

• Supply chain disruptions due to COVID-19
• Finding a secondary use for sludge produced as a byproduct of the production process
• Increased hazardous waste in Israel in 2020 due to a rise in acrylic use and packaging material, and a change in disposal methods

Mitigation Strategies

• Established Covid crisis teams in all regions to assess local needs and publish directives to employees
• Arranged for employees to work from home where possible, providing necessary equipment and improving IT infrastructure
• Implemented separate shifts and strict quarantine rules in production plants
• Made use of government furlough programs to avoid layoffs
• Conducted a study in 2019 to investigate potential commercial usage of Caesarstone sludge, planning a pilot program with a local company in 2021

Supply Chain Management

Supplier Audits: 1-2 annual audits for major raw material suppliers, at least one audit every 3 years for smaller companies

Responsible Procurement

• Supplier code of conduct for responsible sourcing
• Environmental and social criteria for supplier selection
• On-site visits to high-risk facilities
• Commitment for compliance from raw materials suppliers

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: GRI, SASB

Certifications: ISO 14001, ISO 45001, NSF, GREENGUARD, GREENGUARD GOLD

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• SDG 3
• SDG 8
• SDG 9
• SDG 12
• SDG 13

Initiatives contribute to these goals through sustainable products, environmentally responsible production, health and safety practices, and social responsibility

Sustainable Products & Innovation

• Outdoor Collection

Awards & Recognition

• Good Housekeeping Seal

Environmental Metrics

ESG Focus Areas

• Environment
• Social
• Governance

Environmental Achievements

• Reduced energy consumption by 7% (compared to 2018)
• Reduced carbon footprint by 12% (Scope 1 & 2, compared to 2018)
• Achieved zero water discharge at two facilities
• Increased recycled material content in some products up to 40%
• 13% decrease in minerals used per ton of product from 2020 to 2022
• 18% decrease in resins used per ton of product from 2020 to 2022

Social Achievements

• 14% decrease in long-term injury rate from 2020 to 2021, and a further 6% decrease from 2021 to 2022
• Zero work-related ill health incidents in 2022
• Launched global Learning Management System (LMS) for employee training
• Over 4,400 fabricators certified through Master of Stone program
• Donated 2,000 kitchen surfaces for rebuilding homes affected by the 2023 war in Israel

Governance Achievements

• Updated Caesarstone Code of Conduct and Whistleblower policy
• Implemented a comprehensive enforcement program for compliance
• Five of nine Board members are independent (55%), two have specific financial skills (23%), and three are women (33%)

Climate Goals & Targets

Environmental Challenges

• Supply chain disruptions
• Climate change impacts
• Managing silica content in products
• Reducing waste and achieving zero landfill

Mitigation Strategies

• Collaborating with suppliers to reduce their carbon footprint
• Increasing the number of suppliers for closer proximity to resources
• Developing low-silica products
• Investigating sludge reuse for circular economy
• Implementing energy efficiency measures
• Transitioning to renewable energy sources

Supply Chain Management

Supplier Audits: Annual on-site audits at major sand suppliers

Responsible Procurement

• Strict EHS evaluations before working with suppliers
• Collecting ESG data from suppliers
• Collaboration on reducing suppliers' carbon footprint

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Regulatory changes
• Market shifts

Opportunities

• Development of energy-efficient products
• Transition to renewable energy

Reporting Standards

Frameworks Used: GRI, SASB

Certifications: ISO 14001, ISO 45001

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Low-silica products
• Products with increased recycled content

Awards & Recognition

• Not disclosed