Climate Change Data

Environmental Metrics

ESG Focus Areas

• Business Practices
• People
• Environment
• Community

Environmental Achievements

• Dobrinski factory invested in an automated system in the boiler room to switch energy from oil to gas, reducing CO2 emissions by about 10%
• Atmis-Sakhar factory achieved ISO 14001 certification
• Waste recovery rate reached 99%
• Significant water savings at Dobrinski and Tbilisski plants through various improvements
• Sucden's vessels have lower fuel consumption and higher fuel efficiency than standard designs

Social Achievements

• Atmis-Sakhar factory achieved ISO 45001 (Health & Safety) certification
• Implementation of a comprehensive compliance framework in Russia
• Sustainable cocoa and coffee programs implemented, reaching numerous farmers
• Contributions to local communities in Russia (school buildings, wastewater treatment, heating systems)
• Support for various charitable organizations (OPALS, Sidaction, ICM, Coup de Pouce)

Governance Achievements

• Established a senior leadership committee to monitor compliance issues
• Adopted a clear Personal Data Protection Policy
• Sucden Armateurs became a member of the Maritime Anti-Corruption Network (MACN)

Climate Goals & Targets

Environmental Challenges

• Risks related to talent attraction and management, particularly in Russia
• Environmental or accidental risks in Russian operations
• Supply chain risks, especially in cocoa production in West Africa
• Climate change affecting agricultural production

Mitigation Strategies

• Thorough recruitment system and employee development programs
• ISO 9001, ISO 45001, and ISO 14001 certifications in Russian operations
• Implementation of IT tracking systems in West Africa to monitor supply chain
• Use of climate-suitable seeds in Russia, support for farmer adaptation to climate change

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Supplier Code of Conduct
• CSR clause in all sugar contracts

Climate-Related Risks & Opportunities

Physical Risks

• Climate change affecting agricultural production

Transition Risks

• Not disclosed

Opportunities

• Growing demand for sustainable commodities

Reporting Standards

Frameworks Used: Null

Certifications: ISO 9001, ISO 45001, ISO 14001, FSSC 22000, Bonsucro

Third-party Assurance: KPMG S.A.

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Not disclosed

Environmental Metrics

ESG Focus Areas

• Business Practices
• People
• Environment
• Supply Chain
• Communities

Environmental Achievements

• Reduced water consumption per ton of sugar produced by 31% in 2022 (3.2 m3 compared to 4.7 m3 in 2021) in Russia due to investments in cooling towers and better water management.
• Reduced GHG emissions per ton of sugar produced by 25% compared to 2015 in Russia (though increased by 9% in 2022 due to meteorological factors).
• Achieved 89% sugar beet pulp recovery rate in Russia.
• Reduced fleet’s plastic waste by nearly 30,000 bottles a year and carbon footprint by over five tons of CO2 through installation of mineral water plants onboard vessels.
• Energy Efficiency Design Index (EEDI) for vessels is 4.18 grams of CO2 per ton-mile, compared to a standard target of 5.9 grams.

Social Achievements

• Launched an annual Group Skill Development program in each of the 4 sugar plants in Russia to enhance employee skills.
• Introduced a free lunch policy for all sugar plant employees in Russia.
• Implemented comfort, ventilation, training, and feed balancing to improve animal welfare.
• Expanded cocoa programs in Côte d’Ivoire, Ghana, Nigeria, and Ecuador, incorporating a greater number of farmers and suppliers.
• Removed 4,489 children from child labor in Côte d’Ivoire and 201 in Ghana.

Governance Achievements

• Maintained Gold level in EcoVadis assessment for main French entity.
• No whistleblowing events during the year.
• Continued to monitor compliance-related activities, including training sessions and internal audits.

Climate Goals & Targets

Environmental Challenges

• High volatility in commodity markets due to the Russia-Ukraine conflict.
• Incorporation of grains and oilseeds into Sucden’s portfolio.
• Setting targets to reduce Scope 3 carbon emissions.
• Attracting and managing the best people.
• Climate change affecting agricultural production.
• Regulatory risks related to human rights, carbon emissions, and deforestation.

Mitigation Strategies

• Worked diligently to remain steadfast in beliefs and values, connecting supply and demand.
• Adapted processes and logistics to comply with new regulations.
• Continuously assessed indirect carbon footprint and established key milestones.
• Developed internal processes to meet regulations and best practices for safety.
• Strengthened industrial operations processes and promoted safety culture.
• Developed a thorough recruitment system and working environment that encourages employee development.
• Invested in modern work environments and integrated new technologies into agricultural processes.
• Implemented a sugar supplier Code of Conduct.
• Joined Bonsucro’s Members council.
• Expanded programs and engaged in new partnerships to deliver services to cocoa farmers.
• Developed a farmer segmentation model to tailor service delivery.

Supply Chain Management

Responsible Procurement

• Sugar supplier Code of Conduct
• Environmental and social management system for long-term and financed partners
• Know Your Supplier (KYS) procedures
• Child Labor Monitoring and Remediation Systems (CLMRS)
• Supplier Handbook on Forced Labor

Climate-Related Risks & Opportunities

Physical Risks

• Climate change affecting agricultural production

Transition Risks

• Growing regulations pertaining to human rights, carbon emissions, and deforestation

Opportunities

• Demand for sustainable and responsible commodities

Reporting Standards

Frameworks Used: Global Compact, Cocoa & Forest Initiative (CFI), International Cocoa Initiative (ICI), Bonsucro, Maritime Anti-Corruption Network (MACN), Sustainable Coffee Challenge, Global Coffee Platform

Certifications: EcoVadis Gold, Bonsucro, GMP+, UTZ, Rainforest Alliance, Fairtrade, Organic, 4C, Café Practices, ISCC, ISO 9001, ISO 14001, ISO 45001, FSSC 22000

Third-party Assurance: KPMG S.A.

UN Sustainable Development Goals

• Goal 7 (Affordable and clean energy)
• Goal 8 (Decent work and economic growth)
• Goal 12 (Responsible consumption and production)
• Goal 13 (Climate action)
• Goal 15 (Life on land)

The report details how Sucden's activities contribute to these goals through various initiatives.

Environmental Metrics

ESG Focus Areas

• Climate Change
• Supply Chain Responsibility
• Food Security
• Deforestation
• Child Labor
• Forced Labor
• Employee Well-being
• Safety
• Water Stewardship
• Waste Management
• Biodiversity
• Community Investment
• Compliance
• Governance

Environmental Achievements

• Reduced GHG emissions per ton of white sugar produced by 5% in the CIS.
• Reduced fleet’s plastic waste by nearly 30,000 bottles a year, reducing carbon footprint by over five tons of CO2.
• Achieved 2030 target of reducing water consumption per ton of white sugar produced by 50% compared to 2018 baseline eight years ahead of schedule.
• Improved pulp pressing in Kamenski and Tbilisski sugar plants, reducing CO2 emissions.
• Energy Efficiency Design Index (EEDI) for vessels at 4.18 grams of CO2 per ton-mile, compared to a standard target of 5.9 grams.

Social Achievements

• Expanded Child Labor Monitoring and Remediation System (CLMRS) coverage in Côte d’Ivoire to 40,032 households and 48,094 children, removing 3,303 children from child labor.
• Implemented various support measures for employees in the CIS, including medical insurance, school bonuses, and housing construction programs.
• Reduced absenteeism rate to 4.1% in 2023 from 4.3% in 2022.
• Trained 335 field agents in Côte d’Ivoire on Good Agricultural Practices (GAP), climate-smart agriculture, and agroforestry.
• Established 120 new Village Savings and Loans Associations (VSLAs) in Côte d’Ivoire, enrolling 2,985 members.

Governance Achievements

• Maintained Gold level in EcoVadis assessment for main French entity.
• Continued monitoring of compliance-related activities, including anti-corruption measures and training sessions.
• Implemented Sucden Sustainable Cocoa Sourcing Standard in Côte d’Ivoire and Ecuador.

Climate Goals & Targets

Environmental Challenges

• Geopolitical crises and tension.
• Climate change impacts on agricultural production.
• EU Deforestation Regulation (EU DR) compliance for cocoa.
• Attracting and retaining talent, especially in the CIS.
• Ensuring safety in industrial operations.
• Understanding and mitigating Scope 3 GHG emissions.
• Addressing child labor and forced labor risks in cocoa supply chain.

Mitigation Strategies

• Growing and training sustainability teams.
• Achieving compliance with EU DR and other regulations.
• Aligning food security objectives with sustainability principles.
• Closely monitoring Scope 3 GHG emissions.
• Investing in modern work environments and technologies.
• Implementing safety policies and training programs.
• Developing and implementing sustainability programs in cocoa supply chain, including CLMRS, agroforestry, and income diversification initiatives.

Supply Chain Management

Responsible Procurement

• Sugar Supplier Code of Conduct
• Forest Protection policy
• Anti-corruption policy
• Sucden Sustainable Cocoa Sourcing Standard

Climate-Related Risks & Opportunities

Physical Risks

• Climate change impacts on agricultural production

Transition Risks

• Regulatory changes
• Market shifts

Opportunities

• Development of energy-efficient products

Reporting Standards

Frameworks Used: Global Compact, Bonsucro, Cocoa & Forest Initiative (CFI), International Cocoa Initiative (ICI), Maritime Anti-Corruption Network (MACN)

Certifications: ISO 9001, ISO 14001, ISO 45001, GMP+, Rainforest Alliance, Fairtrade, 4C, Café Practices, Organic, ISCC, FSSC 22000

Third-party Assurance: KPMG S.A.

UN Sustainable Development Goals

• Goal 1: No Poverty
• Goal 2: Zero Hunger
• Goal 5: Gender Equality
• Goal 8: Decent Work and Economic Growth
• Goal 12: Responsible Consumption and Production
• Goal 13: Climate Action
• Goal 15: Life on Land

The report details how Sucden's activities contribute to these goals through various initiatives.