FrieslandCampina

Governance and accountability for sustainable development
The company provides evidence of linking performance criteria in senior executives’ remuneration policies to specific targets and objectives which cover nature, including biodiversity, and social issues.

Lobbying and advocacy
The company discloses a list of trade associations of which it is a member wherever it operates.

Stakeholder engagement
The company discloses how it engages with stakeholders, the issues raised during such activities, and the specific outcomes of its stakeholder engagement. Moreover, its stakeholder engagement activities cover nature, nutrition, and social areas.

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. Furthermore, it has established group-wide targets on key sustainability topics for the most material parts of its value chain.

Scope 1, 2, and 3 greenhouse gas (GHG) emissions
The company is dedicated to reducing its scope 1 and 2 greenhouse gas (GHG) emissions, aiming for a decrease of 63 percent by 2030 compared to the 2015 baseline year. Progress towards these targets is regularly reported. Additionally, the company aims to reduce its scope 3 GHG emissions by 37.5 percent by 2030, with progress against these targets also being reported. The company shows leadership by aligning all its GHG emissions reduction targets with a 1.5-degree trajectory.

Plastic use and packaging waste
The company partakes in activities related to plastic use reduction and transitioning towards sustainable packaging. This includes the company’s investment in a recyclabe plastic for food packaging.

Soil health and agrobiodiversity
The company discloses activities to improve soil health, including by reducing tillage and the use of artificial fertilizers as well as the aim to improve nutrient retention and availability.

Accessibility and affordability of nutritious foods
The company has in place a nutrition model which focuses on improving access for lower-income groups and discloses related projects such as the Broadening Access to Nutrition Programme. Furthermore, it discloses 2025 targets to improve the affordability of nutritious foods which include having half of the volume of affordable food products sold in low-income countries meeting the Affordable Nutrition Standards and improving the affordability of nutritious foods by 15%, with a particular focus on low-income groups. Moreover, the company provides regular updates on its progress towards these targets.

Availability of nutritious foods
The company has established its Global Nutritional Standards (GNS) based on the Choices International Criteria (version 2019). It is disclosed that the company’s objective is to ensure that 74% (of the total volumes sold) of its consumer products meet the Global Nutritional Standards by 2025. In 2022, it is reported that 72% of the company’s consumer products already meet this criteria.

Clear and transparent labelling
The company discloses that its policy is to place the guidelines on daily amounts (GDA), energy icons (outside the EU), or reference intake energy icons (within the EU) on all relevant packaging labels, front of pack.

Responsible marketing
The company has a responsible marketing policy tailored to children.

Farmer and fisher livelihoods
The company engages in dairy development activities, collaborating with farmers to enhance their productivity and the quality of milk. It facilitates access to the market for local dairy farms in different countries through initiatives like knowledge sharing, partnerships, and upgrading milk collection centers. In Nigeria, for instance, it supports local dairy farmers in boosting milk production and quality to enable direct purchases from them. Furthermore, the company is owned by dairy farmers who are members of the cooperative and also serve as supervisors. It provides financial support to its members to help achieve sustainability goals.

Act ethically
The company discloses a public commitment to protect personal data, a policy prohibiting bribery and corruption and includes anti-bribery and anti-corruption clauses in its contracts with direct business relationships. It also has a grievance mechanism for stakeholders to raise concerns and complaints regarding bribery and corruption. Furthermore, the company discloses its approach to lobbying and political engagement in a policy statement, specifies that it does not make political contributions and discloses that it requires third-party lobbyists to comply with its lobbying and political engagement policy.

Provide and promote decent work
The company has a publicly available policy statement in which it commits to respecting the health and safety of workers and expects its business relationships to commit to respecting the health and safety of their workers, and discloses how it monitors the health and safety performance of its business relationships. The company also discloses the proportion of its total direct operations workforce covered by collective bargaining agreements, the proportion of women in its total direct operations workforce for each employee category and publicly commits to gender equality and women’s empowerment.

Respect human rights
The company has a publicly available policy statement committing it to respect human rights and discloses the results of its human rights risk assessments. It also discloses categories of stakeholders whose human rights have been or may be affected by its activities and indicates it has a human rights 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 has an opportunity to disclose whether its highest governance body has expertise with respect to the company’s most material sustainability topics, including biodiversity, climate, ecosystem conversion, nutrition, social inclusion, and water.

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

Sustainable development strategy
While the company reports against some targets including climate, nutrition, and social inclusion, it has an opportunity to report consistently against all its targets.

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

Ecosystem conversion
The company has an opportunity to disclose activities and time-bound targets to achieve conversion-free supply chains.

Food loss and waste
The company has an opportunity to disclose its FLW reduction targets and report progress against them. It could also align its FLW reduction goal with SDG12.3 (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.

Protein diversification
The company has an opportunity to set a sales-based target to increase alternative proteins across its portfolio, as well as report progress against this target.

Soil health and agrobiodiversity
The company has an opportunity to disclose a target to improve soil health in its production or sourcing practices and report progress against it.

Water withdrawal
The company has an opportunity to enhance its disclosures relating to water use and withdrawal.

Availability of nutritious foods
The company has an opportunity to share data on its efforts to reduce sugar, salt, and fat in all its products. The company’s goal is to maintain a balance between consumer products meant for daily use (at least 70% of sales volume annually) and indulgence products for occasional use (maximum 30%). According to the 2022 report, the company achieved a balance of 74% for nourishing products and 25% for indulgence products. However, there is room for the company to clarify how they define nourishing products and whether they align with government-endorsed or externally validated nutritional guidelines.

Clear and transparent labelling
The company has an opportunity to disclose the percentage of products for which its front-of-pack labelling schemes have been rolled out.

Food safety
The company has an opportunity to demonstrate that 100% of its own operations are certified to a GFSI food safety scheme/certification programme or other widely recognised (industry-specific) certification. Additionally, it can disclose the percentage of food suppliers that are certified to a GFSI-recognized food safety scheme.

Responsible marketing
The company has an opportunity to provide evidence of marketing activities to promote healthier and more nutritious food options (in accordance with government-endorsed or externally validated nutritional guidelines).

Child labour
The company could provide examples of remediation programmes when a case of child labour is found in its operations and indicate how it is building the capacity of its suppliers to prevent child labour impacts. While the company has in place expectations on the prohibition of child labour for its suppliers, it could disclose related policy requirements including the use of an age verification system for the workers recruited.

Farmer and fisher livelihoods
The company has an opportunity to identify living income benchmarks and assess living income gaps for some regions or commodities.

Forced labour
The company has an opportunity to disclose forced labour requirements for its operations and supply chain such as a prohibition to pay recruitment fees, to retain workers’ personal documents or to restrict workers’ freedom of movement. Further, it could provide evidence of how it builds 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 level 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 could describe the process for identifying its bribery and corruption risks and impacts in specific locations or activities covering its own operations and disclose its expenditures on lobbying activities.

Provide and promote decent work
While the company states that it pays minimum wage to its employees, it has an opportunity to commit to paying a living wage by setting a time-bound target and to disclose how it determines a living wage for the regions where it operates and how it works to support the payment of a living wage by its suppliers. It could also disclose the ratio of the basic salary and remuneration of women to men in its total direct operations workforce for each employee category, by significant locations of operation.

Respect human rights
The company has a publicly available policy statement committing it to respect specific workers’ rights and expecting its suppliers to respect specific workers’ right, but has an opportunity to reference all the ILO fundamental rights at work. It could also describe the process for identifying its human rights risks and impacts in specific locations or activities, covering its own operations and supply chain. The company could also describe its process for assessing and identifying what it considers to be its salient human rights issues and disclose a global system to act on, prevent or mitigate its salient human rights issues.