Barry Callebaut Ag · SIX:BARN
Barry Callebaut — ESG Presentation (June 2021)
29 slides from Barry Callebaut's sustainability presentation, Jun 4, 2021
Slide 1: Forever Chocolate Sustainability Roadshow
Forever Chocolate Sustainability Roadshow June 4, 2021 1
Slide 2: Cautionary note
Cautionary note Certain statements in this presentation regarding the business of Barry Callebaut are of a forward-looking nature and are therefore based on management’s current assumptions about future developments. Such forward-looking statements are intended to be identified by words such as ‘bel
Slide 3: Agenda
Agenda Barry Callebaut at a glance Forever Chocolate – our plan to make sustainable chocolate the norm • Forever Chocolate Strategy • Materiality assessment • Social aspects: prospering farmers and zero child labor • Environmental aspects: thriving nature, sustainable chocolate Corporate Governance
Slide 4: Barry Callebaut at a GLANCE
Barry Callebaut at a GLANCE 4 Forever Chocolate - Sustainability Roadshow
Slide 5: Strong values & a strong team
Strong values & a strong team FY 2019/20: We are the heart and engine of the chocolate and cocoa industry 120 years of Big enough to Chocolate matter, Small experience enough to care 5 Forever Chocolate - Sustainability Roadshow
Slide 6: We are present in the key parts of the cocoa and chocolate value chain
We are present in the key parts of the cocoa and chocolate value chain From the cocoa bean to the chocolate and cocoa products 6 Forever Chocolate - Sustainability Roadshow
Slide 7: A global footprint and local service: over 60 factories worldwide
A global footprint and local service: over 60 factories worldwide Cocoa & Chocolate Total world harvest (20/21E): 4,843 TMT factories Chocolate Academy Rest of World Brazil* 12% 4% Indonesia* 5% Côte d’Ivoire* 43% Nigeria 6% 6% Cameroon* 7% Ecuador 17% Ghana* Source: ICCO Estimates Cocoa factories i
Slide 8: A broad offering with cost plus model for majority of business
A broad offering with cost plus model for majority of business Cocoa Products Food Manufacturers Gourmet & Specialties % share: 20%* of volume 69%* of volume 11%* of volume Customer: Small, medium and Global Small, medium and Global Professionals, Food Chains, Food Manufacturers Food Manufacturers D
Slide 9: A strong global market leader
A strong global market leader Cocoa grinding capacity Industrial Chocolate Market impact (kMT) (open market – kMT) Barry Callebaut Barry Callebaut Cargill Cargill Olam Fuji Oil Guan Chong Puratos Fuji Oil Cémoi ECOM Clasen Mondelez Guan Chong Ferrero Irca JB Foods Kerry Golden Harvest Guittard Other
Slide 10: Diversity & Inclusion
Diversity & Inclusion It’s about growth • As a company, as individuals, as teams • Attracting and retaining talents wherever they are It’s about inclusion • United by our values • Nurturing a more inclusive environment for all It’s about equal opportunities for all • Enabling everyone to be at their
Slide 11: Consistent long-term strategy – sharpened business model
Consistent long-term strategy – sharpened business model management COVID-19 11 Forever Chocolate - Sustainability Roadshow
Slide 12: Forever Chocolate: our plan to make sustainable chocolate the norm
Forever Chocolate: our plan to make sustainable chocolate the norm 12 Forever Chocolate - Sustainability Roadshow
Slide 13: Forever Chocolate: our plan to make sustainable chocolate the norm by 2025
Forever Chocolate: our plan to make sustainable chocolate the norm by 2025 13 Forever Chocolate - Sustainability Roadshow
Slide 14: Our Measured Impact 2019/20
Our Measured Impact 2019/20 14 Forever Chocolate - Sustainability Roadshow
Slide 15: Materiality Assessment 2021
Materiality Assessment 2021 Very high Child Labor Living Income Deforestation & Forest Restoration Supply Chain Traceability Poverty Alleviation and Relevance according Farmer Livelihood to Stakeholders Forced or Compulsory Labor Farmer Productivity Women’s empowerment Climate Change & Biodiversity
Slide 16: Over 70% of the world's cocoa supply comes from Côte d'Ivoire and Ghana
Over 70%, of the world’s cocoa supply comes from Côte d’Ivoire and Ghana. 16 Forever Chocolate - Sustainability Roadshow
Slide 17: The majority are smallholder farmers, with less than 4 hectares
The majority are smallholder farmers, with less than 4 hectares. Farming is typically located in remote regions with poor access to social services, such as health care and good quality education. 16 Forever Chocolate - Sustainability Roadshow
Slide 18: Low productivity as a result of poor agricultural practices
Low productivity as a result of poor agricultural practices, nutrient-depleted soils and aging cocoa trees continue to keep cocoa farmers and their families in a cycle of poverty. 16 Forever Chocolate - Sustainability Roadshow
Slide 19: By 2025, more than 500,000 cocoa farmers in our supply chain will have been lifted out of poverty
143,233 farmers in our supply chain lifted out of poverty 71,972 farmers receiving farm services 181,861 By 2025, more than 500,000 cocoa farmers in farms with geographical our supply chain will have been lifted out of mapping and farmer census poverty Over Unique and extensive farm mapping database
Slide 20: By 2025, we will eradicate child labor from our supply chain
22,965 number of child labor cases identified1 4,971 cases of child labor cases in the process of being remediated 42% farmer groups we directly source from By 2025, we will eradicate child labor with whom we undertake child labor from our supply chain monitoring and remediation activities Child Rig
Slide 21: By 2025, we will be carbon and forest positive
-8.1% reduction in our carbon footprint 3.65t CO2e intensity per tonne of product 34% sourced raw material demonstrated By 2025, we will be carbon and not to be contributing to deforestation forest positive. Assess the carbon impact of our entire supply 52,558 chain (scope 1, 2 and 3) farmers mapped
Slide 22: By 2025 we will have 100% sustainable ingredients in our products
61% Sustainable non-cocoa raw materials sourced 37% Products sold containing 100% sustainable cocoa or chocolate 47% By 2025 we will have 100% sustainable Of agricultural raw materials ingredients in our products sourced Leading the market on sustainable chocolate with our global gourmet brands and
Slide 23: Making Forever Chocolate the norm
Making Forever Chocolate the norm 23
Slide 24: Corporate Governance
Corporate Governance 22 Forever Chocolate - Sustainability Roadshow
Slide 25: Governance model anticipates changing policy landscape
Governance model anticipates changing policy landscape Internal Governance External Governance • Sustainability part of long term strategy, Existing reporting structure… which is set out by Board of Directors • Annual Forever Chocolate Progress reporting verified by PWC • Sustainability roll out led
Slide 26: #2 sustainability strategy in the foods industry, leader among peers
#2 sustainability strategy in the foods industry, leader among peers 1
Slide 27: Leading on carbon reduction
Leading on carbon reduction CDP assesses the carbon reduction plans of more than 8,000 companies every year, scoring them on a scale of A to F. We received an A- on our carbon footprint reduction activities.
Slide 28: Q&A session
Q&A session Ben De Schryver Pablo Perversi CFO Chief of Innovation, Sustainability & Quality Officer; Global Head of Gourmet 28 Forever Chocolate - Sustainability Roadshow
Slide 29: Appendix
Appendix Financial and Governance Reports A.Annual Report 2019/20 B.Corporate Governance Social and Environmental: 1.Forever Chocolate Progress Report 2019/20 2.Forever Chocolate Report web page 3.Global Reporting Initiative (GRI) and Index 4.Forever Chocolate Assurance statement (PwC), Management S