Sustainability report

AAK Sustainability Report 2020 32 Progressing on responsible sourcing of soy In terms of volume, soybean oil is a relatively small- scale raw material for AAK. However, since there are sustainability risks within the production of soybeans, especially related to deforestation, soy was included in our list of key raw materials for responsible sourcing in 2018. After an initial risk assessment in 2019, where about 90 percent of AAK-sourced soy volumes were rated at “low risk” for deforestation, we have once again partnered with Proforest to fully map our supply base. Deeply understanding our supply base A key part of this process was to engage our suppliers in a survey to assess existing commitments as well as to further progress on traceability, all of which gave us valuable insights into our supply base. Today, we are working towards a 100 percent verified deforesta- tion-free supply chain by 2025. In our 2020 supply chain assessment, we have taken the cautionary approach and only rated certified supply chains as verified deforestation-free (VDF). It means that we need to collect additional assurance before being able to make a claim even though large parts of our supply chain are still originating from rela- tively low risk areas. The current status of VDF volumes in soy is therefore 31 percent. Engaging with suppliers and farmers In order to equip our organization with the tools needed to engage our suppliers, we have created five webinars in partnership with Proforest. The webinars include key suppliers, where relevant, and focus on the following areas: • Assessment and plan implementation • Understanding risks in the supply chain • Engaging suppliers • Establishing purchase control systems • Monitoring, verifying, and reporting The key objective of these sessions is to prepare our organization and our suppliers for our 2021+ ambitions to achieve deforestation-free and conversion-free supply chains by 2025. From 2021 onwards, we will be working with regional risk mitigation strategies, fit for local challenges. Source: www.soytoolkit.net Contributes to: