Sustainability report

AAK Sustainability Report 2020 Reporting framework | 77 UN SDG UN SDG sub-targets AAK’s impact Increasing positive impact Direct/ Indirect impact Reducing negative impact Direct/ Indirect impact Business- critical SDG Progress and supporting key performance indicators Promote inclusive and sustainable economic growth, employment and decent work for all Target 8.8: Protect labor rights and ensure stable working environments. AAK has impact and is committed to protect labor rights and ensure stable working environments throughout its operations. AAK’s rules regarding workers’ rights and working environment is part of its Group Code of Conduct. Workers’ rights and working environment are covered in AAK's Group Code of Conduct and AAK's Code of Conduct for Suppliers of Raw Materials. Human rights risk assessment will be carried out across all operations and supply chains starting 2021. Ethical behavior training will be developed for AAK's employees. Direct AAK will maintain high focus on work environmental risk to prevent incidents and ensure a safe working environ- ment. YES 18 LTIs during 2020. Accident frequency of 0.4. During 2020, 92 percent of employees had signed the Group Code of Conduct. 100 percent of our palm oil suppliers have signed the Code of Conduct for Suppliers of Raw Materials and work is ongoing to provide a global percentage as the suppliers are currently managed in different regional systems. During 2020, 42 percent of our employees were covered by collective bargaining agreements. Training material on our Code of Conduct for Suppliers of Raw Materials was planned for 2020. Within coconut and soy, supplier webinars were held. Within shea, we have developed supplier self-assessments as well as supplier training sessions reaching 70 and 67 percent of suppliers, respectively. In 2020, 91 percent among our agents and 95 percent among our distributors signed our Code of Conduct for Agents and Distributors. Due to Covid-19, no palm mill trainings have taken place in 2020. Target 8.10: Strengthen the capa­ city of domestic financial institutions to encourage and expand access to banking, insurance and financial services for all. AAK has identified an opportunity to further strengthen its positive impact in the shea supply chain based on impact assessment. One Kolo Nafaso ambition is to provide a minimum of 95 percent of groups with an individual financial solution by the end of season 2024/2025. Direct NO We are committing to improving the access to financial services for our members in the Kolo Nafaso program. In the season 2020/2021, we achieved 84 percent. Build resilient infrastructure, promote sustainable industrialization and foster innovation Target 9.1: Develop quality, reliable, sustainable and resilient infrastructure, including regional and transborder infrastructure, to support economic development and human well-being, with a focus on affordable and equitable access for all. AAK has identified an opportunity to contribute to better infrastructures by providing logistics services in its shea supply chain. Our Kolo Nafaso program is provid- ing logistics services for all women. Even women that are not part of Kolo Nafaso can sell to AAK and use the logistics services. With the AAK logistics services, women can easily sell more kernels and do not have to pay for transportation. Direct NO Since 2009, we have given more than 320,000 women access to the logistics services and increased the area covered in accordance with our Kolo Nafaso commu- nities.