Message from the C“ESG”O
The Fuji Oil Group places importance on the concept “Work for people” as one of our values. The word “people” here does not only mean individual persons; it also encompasses people’s livelihoods and the Earth as a whole, and is meant to convey our intent to serve the global community through business. As a means to this end, the Group practices ESG management to achieve both sustainable growth and positive social impacts through Plant-Based Food Solutions.
As the Chief “ESG” Officer (C“ESG”O), my role is to work closely with the board of directors to meet the expectations of stakeholders. In FY2020, the year after this position was created, we put into practice our philosophy to “Work for people” with the aim of raising our ESG initiatives to global standards. The ESG Committee, an advisory body to the board of directors of Fuji Oil Holdings Inc., reviews the progress of these initiatives. It identified the Group’s material ESG issues for FY2021 in light of the latest situations around the world. The committee has about 30 members — including chief officers and advisors at Fuji Oil Holdings Inc., managing officers of the material ESG issues, and related personnel — whose task is to advance these initiatives through open-minded discussions.
Let me go into some detail on current developments. First, in the area of creative food solutions, we offer meat and milk alternatives made from plant-based food ingredients with the aim of securing stable, environmentally conscious food resources, as well as preventing frailty and improving the health of people of all ages. Beyond food alternatives, we are also developing curating technologies for good taste to help make plant-based food products more diverse and taste better than animal-based ingredients. With an approach unique to the Group as a food ingredient manufacturer, we have been proposing the use of these technologies to revive the taste of foods that can still be eaten and help reduce food loss and waste.
In procurement, we joined the Roundtable on Sustainable Palm Oil (RSPO) in 2004 and have since focused on addressing supply chain issues for our main raw materials — palm oil, cocoa and soybeans — and our strategic raw material, shea kernels. These raw materials provide variety and satisfaction to consumers. However, their production gives rise to issues such as deforestation, exploitation of workers, forced labor and child labor that cannot be overlooked by the Group. We are working to protect and restore forests and biodiversity throughout the supply chain, as well as to protect the rights of farmers and other workers involved in their production. We developed responsible sourcing policies for palm oil and cocoa in 2016 and 2018, respectively. We also set ambitious medium- to long-term goals for each in 2020. Moreover, we established sourcing policies and set medium- to long-term goals for soybeans and shea kernels in June 2021. These sourcing policies and goals by 2030, together with KPIs aimed at addressing issues, complete the Group’s procurement initiatives for the three main raw materials and strategic raw material.
For environmental initiatives, our CO2 emissions reduction targets in the Environmental Vision 2030 formulated in FY2018 were approved by the Science Based Targets initiative (SBTi) in May 2020. In response to the Task Force on Climate-related Financial Disclosures (TCFD) recommendations, we further developed our analysis of climate change scenarios conducted in FY2019, carried out a financial impact assessment of climate risks and opportunities for the Group, and disclosed the assessment results in this report.
In recognition of these efforts, we received a triple A rating on the 2020 investor-requested Forests, Climate Change and Water Security questionnaires from CDP, an international non-profit organization focused on environmental disclosures. We were also selected for their Supplier Engagement Rating Leaderboard.
The Fuji Oil Group is making steady progress in practicing our philosophy to “Work for people.” Meanwhile, the responsibilities and roles expected of corporations are shifting to even higher levels. This is exemplified by the move to adopt mandatory human rights and environmental due diligence in Europe, the growing number of declared commitments to reach net-zero emissions globally, as well as biodiversity conservation and restoration efforts. To “Work for people” is a value that overlaps with the SDGs as well. We will continue working to provide value that has a positive social impact by focusing on ESG initiatives based on feedback from our stakeholders.
Chief “ESG” Officer (C“ESG”O)
Fuji Oil Holdings Inc.