Alicorp

Sustainable development strategy
The company discloses its process for identifying and prioritising its most relevant sustainability impacts as well as the outcome of this process in relation to its sustainability strategy. This process involves conducting a materiality analysis, which allows the company to establish three prioritised core components that encompass the 20 material topics and that support its sustainability strategy. These core components include wellbeing, community development and environment.

Scope 1, 2, and 3 greenhouse gas (GHG) emissions
The company has reduced its scope 1 and 2 greenhouse gas emissions, reporting a reduction of over 6% in scope 1 emissions and approximately 8% in scope 2 emissions in 2021 compared to the previous year.

Plastic use and packaging waste
The company demonstrates commitment through policies and activities related to reducing plastic use and transitioning to sustainable packaging. For instance, it has replaced buckets with cardboard boxes for sauces and condiments, and has lightened its PET jars, flour bags and polyethylene covers.

Sustainable fishing and aquaculture
The company demonstrates its dedication to sustainable fishing and aquaculture by providing evidence that aligns with environmental sourcing criteria. It discloses that it has implemented a sustainable supply program and has trained its suppliers of marine byproducts in best sustainability practices. Additionally, it states that it will promote ASC feed certification among producers in the aquaculture industry over the next five years through workshops in collaboration with the Aquaculture Stewardship Council.

No leading practices were identified in the nutrition area.

No leading practices were identified in the social inclusion area.

Act ethically
The company has a policy prohibiting bribery and corruption along with a grievance mechanism for stakeholders to raise concerns and file complaints related to instances of bribery and corruption.

Provide and promote decent work
The company has a publicly available policy committing to respect worker health and safety in its operations and discloses how it monitors the health and safety performance of its business relationships. Additionally, it discloses the proportion of its total direct operations workforce in each employee category by age group and gender.

Respect human rights
The company has a publicly available policy statement committing it to respect human rights along with a grievance mechanism accessible to all workers and external stakeholders who may be adversely impacted by the company.

Governance and accountability for sustainable development
The company states that one of the board committees determines orientation of the strategy for ESG integration. However, the company has an opportunity to disclose which sustainability topics are included in the strategy. Furthermore, it could link senior executives’ compensation to sustainability targets and objectives. Additionally, it could disclose if the highest governance body has expertise in its most material sustainability topics.

Lobbying and advocacy
The company has an opportunity to disclose a list of trade associations of which it is a member. Furthermore, the company can provide a clear and detailed framework for assessing the alignment of these trade associations with its sustainability targets. Additionally, the company can report any potential misalignments between the lobbying activities of its trade associations and its sustainability targets.

Stakeholder engagement
The company has an opportunity to disclose how it engages with stakeholders, the issues raised during such activities, and the outcomes of its stakeholder engagement.

Sustainable development strategy
The company has an opportunity to disclose group-wide targets on key sustainability topics for the most material parts of its value chain and to report consistently against all targets.

Scope 1, 2, and 3 greenhouse gas (GHG) emissions
The company has the opportunity to establish time-bound targets for reducing its scope 1 and 2 greenhouse gas emissions and report on the progress made toward these goals. Furthermore, it can align its scope 1 and 2 emissions targets with a 1.5-degree trajectory. Additionally, the company can reduce its scope 3 greenhouse gas emissions by setting time-bound reduction targets and reporting on the progress. It also has the opportunity to align its scope 3 emissions targets with a 1.5-degree trajectory.

Animal welfare
The company has an opportunity to set animal welfare targets applicable to all species, geographies and products.

Food loss and waste
The company has an opportunity to disclose its food loss and waste (FLW) reduction targets and report progress towards achieving these targets. Additionally, the company has the chance to align its FLW reduction goal with SDG12.3, which aims for a 50% reduction by 2030.

Plastic use and packaging waste
The company has an opportunity to disclose quantitative evidence regarding plastic use reduction and use of sustainable packaging.

Sustainable fishing and aquaculture
The company has the chance to provide clear and measurable evidence demonstrating its efforts in enhancing sustainable fishing and aquaculture practices. Specifically, it can disclose its targets for sustainable fisheries and aquaculture, covering 100% of its portfolio, and report the progress made towards achieving these targets.

Water withdrawal
The company has disclosed its water consumption for the years 2020 and 2021. However, there was an increase in total water consumption in 2021 compared to the previous year. To address this, the company has the opportunity to disclose a time-bound target for reducing water withdrawal in its own operations and report progress on achieving the target. Additionally, it can report the amount of water withdrawn for its own operations in water-stressed areas. Furthermore, the company can engage with suppliers to collaborate on reducing water withdrawal.

Availability of nutritious foods
The company currently provides examples of reformulated products. However, there is potential for improvement in reporting its overall efforts to reduce sugar, salt, and fat, and increase the presence of fruits, vegetables, nuts, and whole grains in its entire portfolio. Additionally, there is an opportunity for the company to adopt a nutrient profiling system and to set a sales-based target to increase the proportion of more nutritious products.

Clear and transparent labelling
The company has an opportunity to disclose how it provides nutritional information on its products and how it supports consumers with making healthy food choices through its labelling schemes.

Food safety
The company has an opportunity to disclose its commitment to food safety, and demonstrate that its operations and supply chain adhere to food safety standards.

Responsible marketing
The company has an opportunity to disclose its commitment to responsible marketing and its marketing activities to promote healthy food options.

Child labour
The company has an opportunity to disclose a commitment to prohibit child labour in its supply chain and establish an age-verification system for its value chain. Further, it could provide evidence of how it builds the capacity of its suppliers to prevent child labour impacts.

Farmer and fisher livelihoods
The company has set up initiatives to improve the productivity and sustainability of the farms but it could demonstrate how it improves farmers’ income resilience through its procurement practices and supply chain relationships. Also, it has an opportunity to identify living income benchmarks and assess living income gaps for some regions or commodities.

Forced labour
While the company guarantees that employment is freely chosen, it has an opportunity to disclose similar commitments for its supply chain. Furthermore, it could prohibit the payment of recruitment fees or related costs in its value chain. To conclude, the company has an opportunity to indicate how it is building the capacity of its suppliers to prevent forced labour impacts.

Land rights
The company has an opportunity to disclose a commitment to respect ownership and use of land and natural resources and related legitimate tenure rights. Furthermore, it could describe a process at its operations and supply chain levels to identify legitimate tenure rightsholders when acquiring, leasing or making other arrangements to use land and to negotiate with them to provide adequate compensation.

Living wage
The company has an opportunity to set a target for paying a living wage across its direct suppliers and describe how it determines a living wage for the regions where it sources. Also, it could disclose the percentage of workers across its own operations or suppliers that are paid a living wage.

Act ethically
The company has an opportunity to strengthen its commitment against bribery and corruption by including anti-bribery and anti-corruption clauses in its contracts with business relationships. While it has a process for identifying bribery and corruption risks and impacts, it could disclose further details of this process.

Furthermore, it has the opportunity to demonstrate ethical practices by disclosing its approach to lobbying and political engagement, clarifying its non-participation in political contributions, and transparently disclosing lobbying expenditures.

Provide and promote decent work
The company has an opportunity to strengthen its commitment to workers’ health and safety by extending the expectation to its business relationships. Additionally, it could set a time-bound target for ensuring all workers receive a living wage, describe the living wage determination methodology, and disclose strategies to support suppliers in paying a living wage.

Furthermore, the company could commit to gender equality and women’s empowerment and disclose related targets. It could also disclose the representation of women on the highest governance body and the ratio of the basic salary and remuneration of women to men.

Respect human rights
The company has an opportunity to strengthen its commitment to human rights by disclosing a policy statement that respects the ILO fundamental rights at work in its operations and supply chain. Additionally, it could describe the process for identifying human rights risks and impacts across all its activities, including its suppliers, as well as the process for assessing and identifying its salient human rights issues. Moreover, it could establish a global system to address these salient human rights issues by implementing preventive, mitigative, or remedial measures.