In 2024, the company reviewed the material topics based on the GRI Universal Standards 2021, specifically GRI 3: Material Topics 2021, while considering the principles of the OECD Due Diligence Guidance for Responsible Business Conduct and the Double Materiality approach of the European Sustainability Reporting Standards (ESRS). This evaluation assessed sustainability materiality issues based on their impact on stakeholders, society, and the environment (Impact materiality), as well as their significant implications for the company in terms of financial performance and future business value creation (Financial materiality) with a process for identifying sustainability materiality issues as follows:
| 1. Analyze the context of the company and the industry | Study and analyze the activities within the supply chain carried out by the company and its business partners. Examine external factors such as global changes, economic challenges, environmental concerns, human rights issues, and social dynamics at local, regional, and global levels that are relevant to the company and its business relationships. |
| 2. Identify impacts occurring throughout the supply chain | Identify both actual impacts and potential impacts on the economy, environment, and society, including human rights implications, resulting from the company's activities and its business relationships. This should encompass both negative and positive impacts, short-term and long-term effects, intended and unintended consequences, as well as reversible and irreversible impacts. The identification process may involve brainstorming sessions, in-depth interviews, survey results, complaints, and various performance statistics. |
| 3. Assess the significance of impacts on the economy, environment, and society, including human rights | Assess the significance of impacts through input from executives and experts from various departments within the company, in conjunction with feedback from both internal and external stakeholders via multiple channels. The assessment should consider criteria such as the severity of impacts, nature of the impacts, scope of the impacts, likelihood of occurrence, and ability to mitigate these impacts. Negative and positive impacts should be evaluated separately. |
| 4. Evaluate the importance of impacts on the company | Group the impacts on the economy, environment, and society, including human rights, into sustainability issues. Consider the likely material topics as outlined in GRI Sector Standards GRI 13: Agriculture, Aquaculture and Fishing Sectors 2022 to obtain a comprehensive perspective across all dimensions. These topics will then be used to assess the level of impact on the company regarding financial performance and its ability to create future value, as evaluated by senior management. This assessment should take into account the likelihood of occurrence and the severity of impacts in both financial and non-financial terms. |
| 5. Prioritize sustainability issues | Prioritize the issues by establishing criteria or thresholds to determine which sustainability topics are of high, moderate, and low significance. |
| 6. Review and approve key sustainability issues | Review the prioritization and accuracy of the process by the Corporate Sustainability Development Committee and external sustainability experts. Subsequently, approve the sustainability materiality issues by the Corporate Governance and Sustainability Development Committee and the Board of Directors, respectively. |
The company presents the identified sustainability materiality issues by illustrating their prioritization in a Materiality Matrix, with the following criteria:
The vertical axis (Y-axis) represents the significance level of impacts from sustainability issues on the company regarding financial performance and future value creation.
The horizontal axis (X-axis) indicates the significance level of impacts on the economy, society, and the environment resulting from the company’s business operations across various sustainability issues.
| Critical Impact Materiality Issues | Moderate Impact Materiality Issues |
|---|---|
| 1. Climate adaptation and resilience | 3. Energy |
| 2. Emissions and air pollution | 6. Customer responsibility |
| 4. Waste | 7. Labour practices and human rights in supply chain |
| 5. Water and effluent | 8. Employee retention and development |
| 10. Local communities | 9. Occupational health and safety |
| 11. Sustainable supply chain | 12. Innovation and technology |
| 14. Compliance to law and regulations | 13. Corporate governance and business integrity |
| 15. Privacy and data security |
The company identified a total of 15 materiality issues, which were prioritized using a Materiality Matrix. Among these, 7 topics were categorized as having critical impacts. Details on the management of all 15 materiality issues are disclosed in the 2024 Sustainability Report.
