What’s next in sustainability 2020 REPORT continuing to conduct Sedex Member Ethical Trade Audits (SMETA) MAKING LIFE BETTER despite accessibility challenges—and to remain even more vigilant about aligning our environmental impact goals around science-based criteria. It has also meant engaging in COVID-related support initiatives with local communities from South America to Southeast Asia. FOR ALL And with a focus on the world’s pressing need for social justice, we’re Ten years have passed since the publication of our first sustainability also pleased to share that this year will mark the publication of our first report. Ten years of establishing, articulating and implementing goals. dedicated Diversity, Equity and Inclusion report. The report focuses on the Ten years of making progress toward them in the face of changing many positive initiatives we have progressed to strengthen our culture in regulations, unexpected challenges and evolving stakeholder line with our value of “Everyone Belongs.” expectations. And ten years of seeing each report grow in both importance and impact. Finally, as you review these pages, I can’t overemphasize the importance of our employees in helping to advance our shared goals. They embrace We take great pride in what has been accomplished over the past decade our purpose and live our values every day. They make a positive difference even as we’re humbled by the work that remains. Our stakeholders count for our customers, shareholders and communities around the world. And on us to continue executing against the 2030 All Life commitments when it comes to our All Life commitments, they truly understand what it introduced last year and that are described on these pages—and to takes to achieve them—and BE WHAT’S NEXT in sustainability. collaborate with them in advancing each of them.
From a global pandemic to widespread calls for increased social justice, the challenges of 2020 only underscored the importance of business resilience—and the need to “Make Life Better” for everyone on the planet.
While an unprecedented year may have slightly delayed progress toward some of our sustainability agenda, it has also strengthened James P. Zallie our unwavering resolve to deliver on our All Life plan. It has meant President and CEO REPORT CONTENTS
2030 Sustainability Goals 4 2020Materiality Matrix 5 People & Planet Safety 6 EVERYDAY Human Rights 10 LIFE DEI + Belonging 13 01 Innovation 16
PLANET Environmental Impact 19 02 LIFE Biodiversity Protection 23
Sustainable & CONNECTED Regenerative Agriculture 26 LIFE Food Security 30 03 Community Impact 33
Governance 36 EVERYDAY PLANET CONNECTED 01 LIFE 02 LIFE 03 LIFE People & Planet Safety Environmental Impact Sustainable & Regenerative Build a productive culture where the safety of our people Protect and renew the planet’s resources Agriculture and products, as well as the long-term health of our by enacting science-based targets and Make life better for growers, mitigate supply chain employees and supply chain partners, is a priority. other conservation measures as catalysts risks and help drive food security by sustainably to drive continuous innovation. sourcing 100% of primary crops.
Human Rights Advance respect for human rights in our operations Biodiversity Protection Food Security
and demonstrate 100% transparency across our global Implement programs in our crop sourcing Improve food security within our value chain by supply chain. areas to protect biodiversity or deliver a catalyzing food waste reduction, minimizing crop net positive impact. losses at the farm level and enhancing product offerings that support food security objectives. EVERYDAY LIFE
DEI + Belonging Have fully established a culture of belonging where every employee is able to bring their full self to work. Community Impact Make life better for more than 1 million people in the communities where we operate. PLANET LIFE Innovation Drive sustainable innovation in all new product launches by aligning with at least one of the UN SDGs., contributing to society and customers meeting their sustainability goals. The United Nations Sustainable Development Goals (UNSDGs) The 2030 Agenda for Sustainable Development was adopted by all United Nations Member States in 2015 and provides a shared blueprint for peace and prosperity for people and the planet, now and in the future. At its heart are the 17 Sustainable Development Goals (SDGs), which are an urgent call for action by all countries in global partnership. For more LIFE CONNECTED
SUSTAINABILITY GOALS 2030 information on the UN SDGs, please visit https://sustainabledevelopment.un.org We continue to look for opportunities Ingredion Sustainability Materiality Matrix to incorporate relevant inputs and While we continue to incorporate our stakeholders’ sustainability drivers into our efforts, we are further refine our sustainability materiality matrix. increasingly looking at external standards to enhance how we communicate about our program.
We continue to look at the Sustainability Accounting Standards Board (SASB) Materiality Map, Brian Nash as well as programs like the Task Force on Climate-related Financial Disclosures (TCFD). VP, Sustainability
Continuous Occupational Water Improvement Safety & Health Management
Quality & Climate Product Safety Change
Diversity, Equity Sustainable & Inclusion VERY HIGH VERY Agriculture
Ethical Business Sustainable
Operations Innovation
EVERYDAY LIFE Human Rights – Human Rights – Suppliers Ingredion Operations Employee Community Training Impact HIGH Renewable Food
Energy Security RELEVANCE TO INGREDION TO RELEVANCE
PLANET LIFE Indigenous Biodiversity Populations Protection Sustainability Reporting
Everyday MODERATE Life Planet Life Connected MODERATE HIGH VERY HIGH Life
Governance LIFE CONNECTED MATERIALITY MATERIALITY MATRIX RELEVANCE TO STAKEHOLDERS CONNECTED PLANET EVERYDAY LIFE LIFE LIFE 01 HIGHLIGHTS QUALITY SAFETY & 2020
testing issuesinNorth America. year-over-year reduction ofmicrobiological Greater qualitysuccessevidencedbya35%, complaints compared to2019. by an18%reduction inregistered Increasing customersatisfaction evidenced adjusted protocols asneeded. health andsafetyconditionsatsites Our pandemicmanagementteamevaluated time cases. zero injuriesand92%reported nolost 79% ofourmanufacturingsitesreported SAFETY PRODUCT PEOPLE &
EVERYDAY LIFE 20 20
CONNECTED PLANET EVERYDAY LIFE LIFE LIFE (AND SAFER) challenging climate. our employees,wedelivered notableresults inavery of ourlong-standing safetyculture andthe diligenceof maintaining product qualityatthehighestlevels.Because operations whilesimultaneouslykeeping peoplesafeand 2020 aswestrove tomaintaintheessentialworkofour And neverhasthatculture beenmore challengedthanin interacts withourcompany, eitherdirectly orindirectly. customers, suppliers,consumersandanyoneelsewho we approach theimportantworkofprotecting employees, business strategy. It’s DNAandhow partofourcompany’s For us,safetyfirstisn’tjustsomecomponent ofalarger LIFE BETTER LIFE BETTER MAKING
partners, isapriority. and supplychain health ofouremployees as wellthelong-term people andproducts, where thesafetyofour Build aproductive culture 2030 GOAL Senior VicePresident, GlobalOperations Eric Seip with that commitmentinmind. to be—conducted safety initiativeshavebeen—and willcontinue than humanlifeitself. Ourpeopleandproduct Nothing ismore importanttoourAll Lifeplatform
2020 PEOPLE PROGRESS & PLANET ON SPECIFIC SAFETY MILESTONES 02 03 MILESTONE Establish programs to enhance health MILESTONE 01 and well-being in each major area of Increase the average hours operation by the end of 2025. MILESTONE of training per employee by Achieve an employee and contractor Total 50% by the end of 2027. 2020 Progress Recordable Incidence Rate (TRIR) of 0.18 by 2020 Progress the end of 2025 and 0.15 by the end of 2030. Much of our 2020 effort went toward protecting workers from Due to the challenges of 2020 Progress COVID-19, which included a conducting training during a pandemic management team to 2020 global health crisis, the number of 2019 2019 continually evaluate health and hours declined from 20.5 in 2019 * safety conditions at sites and to 16.2 in 2020. We are, however, 0.27 0.28 0.26 2020 EVERYDAY LIFE adjust protocols as needed. * actively working toward reversing 0.22 that decline moving forward. Employee Progress Contractor Progress *Results do not include South Sioux City, Nebraska plant brought online in 2020 or other plants which were part of recent acquisitions.
PLANET LIFE
MILESTONE
2020 Progress 2020Further enhance our processes to achieve There was a single quality withdrawal in 2020 04 zero significant food safety-related incidents resulting from a 2019 incident and we continue reaching consumers by the end of 2025. to work toward our goal. LIFE CONNECTED This milestone was moved up to 2025 from 2030 due to its importance. CONNECTED PLANET EVERYDAY LIFE LIFE LIFE PEOPLE & PLANET SAFETY NUMBERS BEHIND THE 02 11 since May2016. the absenceofrecordable incidents Alliance SafetyAward, recognizing the SouthCarolina Manufacturers Charleston, SC(USA)facilitywon past twoyears,Ingredion’s North of safetyexcellence. Andforthe recently recognized for11years our plantinKalasin,Thailand,was successes atoursitesworldwide, As justtwoexamples ofmanysafety THAILAND TO SOUTHCAROLINA SAFETY FIRSTFROM
07 languages withmore ontheway. It’s currently available inseven maintain asafeworkenvironment. their healthstatusandhelp an Ingredion email—to declare employees—and contractors with Care First mobileapptoallow work program, weintroduced the As partofourphased,return-to- appreciation forhealthyworkplaces. The pandemicdeepenedtheworld’s ENVIRONMENT APP THE SAFERWORK (click toexplore) DIGGING DEEPER Testing Policy Ingredion Animal
CONNECTED PLANET EVERYDAY LIFE LIFE LIFE Member EthicalTrade Audit (SMETA) auditorstooursites. both in-personand virtualalternativestosafely connectSedex disruption,wecombined pandemic wouldcause little-to-no despite thechallengesof2020. For example, toensure the auditing practices—and havecontinuedtoconduct theseaudits that inmind,weadhere tothegloballyacceptedhumanrights without acorresponding commitmenttotransparency. With It’s impossibletodocumentprogress toward anygoal 02 CHALLENGES REGARDLESS OF TRANSPARENCY: RIGHTS HUMAN Engaged APAC suppliersinSedexregistration: most plannedauditsatIngredion facilities. wewereDespite thepandemic, abletocomplete (by spend)notalready inourprogram. formulate planstoengagetopregional suppliers transparency byworkingwithregional teamsto Continued globalengagementaround supplychain new SedexSelf-Assessment Questionnaire (SAQ) Worked toupdateglobalmanufacturingsitesthe 2020 in China. 41 2030 % GOAL HUMAN RIGHTSHIGHLIGHTS in Korea. 22 % global supplychain. transparency across our and demonstrate 100% rights inouroperations Advance respect forhuman in Thailand. 56 % complete. 75 % 2020 PROGRESS HUMAN ON SPECIFIC RIGHTS 03 MILESTONES MILESTONE Audit 100% of suppliers meeting high-risk criteria for human rights by the end of 2027. NATURE PHOTOGRAPHY 02 2020 Progress 04 When it comes to nature photography, we look for imagery that is rich and has depth. 01 MILESTONE On track.Avoid In anything2021, weoverly plan slick toor styled. As with sweeteners, natural is better. When it comes to humanity interacting with nature, don’t be afraidMILESTONE of original details like soil Assess human rights across 100% of finalize the high-risk criteria that MILESTONE under fingernails and sun-lined faces. Validate human agricultural supply chain for Tier 1 will be used to identify suppliers Implement ISO 26000 rights protection priority crops by the end of 2024. needing audits. This will then by end of 2023. against Ingredion’s serve as the starting point for operations and 2020 Progress our work addressing the needs of 2020 Progress supply chain by the While the pandemic both customers and stakeholders On track. The year % end of 2030. limited access to moving forward. EVERYDAY LIFE saw progress toward 25 growers in the past complete. 2020 Progress assessing our year, we remain operations against ISO On track with committed to assessing 26000 and assessing suppliers being human rights factors as improvement gaps to engaged to register part of our sustainable reach our 2023 target. in Sedex. agriculture program. PLANET LIFE
Obviously, demonstrating a deep concern for and an intentional, ongoing 2020commitment to human rights is important for the advancement of life on the planet. And it’s equally essential to state unequivocally and without hesitation that, when it comes to human rights, we can never stop our efforts to continually improve.
LIFE CONNECTED Kimberly White, Global Compliance Officer
15 CONNECTED PLANET EVERYDAY LIFE LIFE LIFE HUMAN RIGHTS NUMBERS BEHIND THE 04 Responsibility initiatives. of Corporate Social in theimplementation award recognizes progress Chambers (CONCAMIN). The Confederation ofIndustrial in theIndustryAward by the received theEthicsandValues year, Ingredion inMexico For thefourthconsecutive IN MEXICO ETHICS RECOGNITION 72 expectations toprovide ingredient transparency. works closelywithcustomerstomeet and exceed their have beenauditedtoSAIPlatform standards. Thecompany contracting directly withsteviafarmers,72%ofwhom protocols tomaintainethical humanrightspractices, supply chain,andcontinuestoestablish andenhance significant investmentsintoitsvertically integrated stevia sweeteners andflavormodifiers. PureCircle hasmade PureCircle, thelargest globalmanufacturer ofstevia In late2020, Ingredion acquired controlling interest in SUPPLY CHAINJOURNEY PROGRESS ON A (click toexplore) DIGGING DEEPER Statement. Conflict Minerals Populations. Respecting Indigenous
CONNECTED PLANET EVERYDAY LIFE LIFE LIFE which havebeenestablished andthrivingforyears. of theworkcurrently beingdoneatIngredion, aswellinitiatives first-ever DEI whichprovidesreport, a more comprehensive picture to theprogress reported here, thisyearmarkstheintroduction ofour team todevelopstrategic goalsandguideallourefforts.Inaddition Inclusion (DEI).For us,DEIstartsbyassemblinga diverse, global longstanding andongoingcommitment toDiversity, Equity and Everyone belongs—that’s thecore valuedrivingIngredion’s EVERYONE BELONGS BY MAKING SURE MAKING LIFE BETTER 03 BELONGING DEI +
bring their full self to work. bring theirfullself towork. every employee isableto culture ofbelonging where Have fullyestablished a Latin Americantalentandculture. disabilities andLIDERfortheinclusionof Resource Groups: Power forpeoplewith Introduced twoadditionalBusiness Human Resources Asia. Diversity andInclusionStrategy from Received theGold Award forBest year-to-date2019 to22.2% in2021. executive level from atyear-end 14.5% Increased womenrepresentation atthe 2020 2030 DEI + BELONGING HIGHLIGHTS GOAL increase. 7.7 % 2020 PROGRESS DEI + ON SPECIFIC BELONGING MILESTONES 03 MILESTONE Minimize bias and maximize equity in our hiring and promotional 01 02 practices by the end of 2022. 04 2020 Progress MILESTONE MILESTONE MILESTONE Achieve 100% on the Conducted inclusive leader education Reach industry benchmarks on Improve the Human Rights Campaign that focuses on challenging gender inclusion and belonging indicators representation of women Foundation’s Corporate and racial bias with more than 100 on our employee engagement in management with a Equality Index as an top leaders. survey by the end of 2022. goal of gender balance employer of choice for by the end of 2025. LGBTQ+ employees by 2020 Progress the end of 2022. 2020 Progress
EVERYDAY LIFE Increased our score by six points. Increased representation of 2020 Progress 2019 2020 women in management by Score 2.3% since year-end 2019. achieved % 64 70 in 2020. 95
Inclusion Score PLANET LIFE In my 30-plus years at Ingredion, I have never been more optimistic and encouraged by our commitment to DEI than today.2020 We are truly transforming our culture through education, best practice sharing, employee empowerment, leader accountability, and targeted actions.
Marcus Payne Co-Chair of Global DEI Council LIFE CONNECTED CONNECTED PLANET EVERYDAY LIFE LIFE LIFE DEI + BELONGING NUMBERS BEHIND THE 07 learn, and grow professionally atIngredion. we willinspire newwaystocommunicate, develop, Serves asasupport communityforearlytalent; in theworkplacetoforefront. leveraging alliestobringthevalueofauthenticity aimed atempoweringtheLGBTQ+ communityby Promotes asafe,open,andinclusiveenvironment, of boththecompanyandmembers ofthegroup. in mattersimportanttothemutual interest andsuccess andactiveengagement support, dialogue, development, Recruits, advances,andretains Blackemployeesthrough individuals) toreach their full potential. with theirallies(includingmen,womenandnon-binary white, LGBTQIA+ andwomenwithdisabilities,along Builds aninclusivenetworkthatempowersBIPOC, equitable policiesandprocesses. Theseinclude: seven BRGs addingtheircontributionstomore two newadditionsin2020, Ingredion nowhas in drivingDEIinitiativesatIngredion. With Business Resource Groups playapivotalrole AT INGREDION BRG ACTIVITIES and cultures. inclusion ofLatin Americantalent greater businessresults through the Leads theorganization toachieve disabilities. Quality ofLifeforpeoplewith Opportunities, Accessibility, and in Professional Inclusion,Equal Makes Ingredion areference communities. us, forourcustomers,and life betteracross theglobe—for our organizational culture tomake people around theworldandenable Fully embraces DEItoconnectour 30 Paradigm forParity PARITY MOVEMENT THE PARADIGM FOR and achievegenderparity. to eliminateworkplaceinequality organization’s proactive actionplan committed toimplementingthe this movementandweremain senior roles). Ingredion hasjoined having womenholdatleast30%of 2030 (with anear-term goalof achieving fullgenderparityby of businessleadersdedicatedto (click toexplore) DIGGING DEEPER Equity Certification. Ingredion Mexico-HRCF and InclusionReport. 2020 Diversity, Equity ® isacoalition
CONNECTED PLANET EVERYDAY LIFE LIFE LIFE Development Goal, suchasGoodHealthandWell-Being. product developmentdirectly toatleastoneUNSustainable sustainability goals.To wehavecommittedtotieallnew dothat, customers stayon-trend whilemeetingtheirown(and society’s) in auniquepositiontocreate consumer-preferred products thathelp As anexclusively plant-based ingredients company, wefindourselves INNOVATION BETTER THROUGH MAKING LIFE 04 INNOVATION
Idea Labs Engaged inapproximately 1,300virtual Development Goals. to mapproducts toUNSustainable Began developmentofassessmenttool customers meeting theirsustainabilitygoals. Goals (SDGs), contributingtosociety and one oftheUNSustainable Development product launches byaligningwithatleast Drive sustainableinnovationin all new 2020 and partnerships. through acquisition,dedicatedfacilities plant-based protein (PBP)capabilities Invested $250milliontoenhanceour even duringapandemic. exciting, newways tosupportcustomers— ® sessionsthatresulted in INNOVATION HIGHLIGHTS 2030 GOAL 2020 From sustainable ingredients PROGRESS INNOVATION to customer-preferred product ON SPECIFIC innovation, we strive each day MILESTONES to unlock substantial value for our customers – and become an integral partner in their success. Our innovation team works to 03 deliver solutions for our customers using sustainable technologies.
Manish Shah MILESTONE Vice President, Research & Development Engage in three circular 01 economy projects by 02 the end of 2025. MILESTONE Develop and deploy a MILESTONE 2020 Progress mechanism to assess Have 40% of all new products On track with initial products against UN SDGs aligned with the UN SDGs by internal and customer by the end of 2021. the end of 2025 and 75% by conversations focused the end of 2027. EVERYDAY LIFE on opportunities 2020 Progress to upcycle waste 2020 Progress On track with streams within our assessment tool Tracking will begin supply chain. currently in after completion of the development. assessment tool in 2021. PLANET LIFE
2020 LIFE CONNECTED CONNECTED PLANET EVERYDAY LIFE LIFE LIFE INNOVATION NUMBERS BEHIND THE 03 customerswithfunctionalquinoa flours. andpartnered withNorQuintosupplyglobal protein facilityinSouthSiouxCity, Nebraska processing capabilities, openedadedicatedplant we acquired Verdient toincrease ouryellowpea To address theneedformore (and better)options, role inthefuture offood—and thatfuture isnow. plant-based proteins (PBPs) willplayanessential As globaldemandforprotein continuestoincrease, THE IMPORTANCE OFPLANTPROTEINS 02 as amemberoftheboard. Director ofGlobalCulinology, serves on staff, JanetCarver, Ingredion’s to maintainingafulltimeculinologist emerging entrepreneurs. Inaddition food andbeverage trends from and provides insightsintothelatest facilitates customercollaboration incubator, TheHatcheryofChicago, Our partnershipwithfoodbusiness INCUBATOR IN FOCUS (click toexplore) DIGGING DEEPER Process AdvancementCenter. Expansion ofIndianapolis in Canada. Yellow Pea Processing
PLANET20 ENVIRONMENTAL LIFE 01 IMPACT 20
Recognition on the 2020 CDP
2020 ENVIRONMENTAL Supply Chain Engagement IMPACT Leaderboard for driving HIGHLIGHTS environmental solutions
EVERYDAY LIFE across the supply chain.
Agreement to procure 100% renewable energy by 2023 at our manufacturing facility in Cabo, Brazil.
PLANET LIFE Evaluating on-farm carbon emissions in Brazil and the
U.S. using the Cool Farm Tool, currently in its pilot stage. LIFE CONNECTED USING SCIENCE 2030 IN OUR TARGET GOAL Protect and renew SETTING the planet’s resources by enacting science- From electricity sourcing to water use, we have committed based targets and other to using science in the setting of our targets. We did this conservation measures for a simple reason: It is the best way to identify and as catalysts to drive implement change that will make a lasting difference. This continuous innovation. EVERYDAY LIFE has also led to productive, company-wide conversations around our environmental impact reduction objectives, as well as collaboration with our customers around supply chain (Scope 3) emissions. Better understanding the ways to measure and reduce the carbon emissions of our agricultural suppliers is another way we’re striving to reduce our overall environmental impact. PLANET LIFE
At Ingredion, we take the science of sustainability
seriously. When it comes to protecting the planet’s most vital resources, there’s simply too much at stake to approach the challenge in any other way.
Elaine Harmon Director, Environmental Affairs CONNECTED LIFE 2020 PROGRESS ON SPECIFIC PLASTIC EMISSIONS ENERGY MILESTONES MILESTONE MILESTONE MILESTONE Achieve plastic neutrality across all Achieve a 25% reduction in Source 50% of our purchased operations by the end of 2025. absolute GHG emissions by the electricity from renewable sources ENVIRONMENTAL end of 2030. by the end of 2030. IMPACT 2020 Progress In 2020, we evaluated plastic 2020 Progress 2020 Progress recycling in our operations and Carbon Emissions/GHG were 2019: 20.5%, 2020: 20.7%* We see began identifying areas where 2019: 4,050,381 metric tonnes; strategic purchase of renewables single-use plastic challenges persist. 2020: 3,998,666 metric tonnes as critical to reaching our long- (which is a 1.3%* reduction) term goals and maintaining energy
*Absolute reduction due to reduced production in 2020. security across our global operations. *Renewable content in purchased grid energy. LIFE EVERYDAY
WATER WASTE COD/BOD
MILESTONE MILESTONE MILESTONE Reduce our water use intensity by Achieve 100% avoidance of waste Reduce Chemical Oxygen Demand
PLANET LIFE 30% in all extremely high-stress to landfill by the end of 2030. (COD) or Biological Oxygen Demand geographies where we manufacture (BOD) by 10% from our wastewater products by the end of 2030. 2020 Progress discharges by the end of 2030.
Landfill Avoidance: In 2020, 19% of 2020 Progress our waste globally went to landfills. 2020 Progress There was a 2.25% increase in water This number was negatively We are working to standardize our use intensity across extremely impacted by the pandemics global reporting in this area and CONNECTED LIFE high-stress sites, due to impacts of impacts on recycling markets. anticipate reporting in 2021. reduced production in 2020. CONNECTED PLANET EVERYDAY LIFE LIFE LIFE ENVIRONMENTAL IMPACT NUMBERS BEHIND THE 02 customers todriveimprovement. longer-term collaborations with mechanisms asthefirststepin We seealignmentondatacollection geographies –Brazil andtheUS. pilot theCoolFarm Tool intwo customers in2020toevaluateand Ingredion collaborated with To assesson-farm carbonemissions, PILOT PROJECT THE COOL FARM TOOL
07 solutions across thesupplychain. work withstakeholderstodrive demonstrates ourcommitment to supplier engagement—and further were amongthetop7% assessedfor leaderboard recognizes thosewho Based on2020CDPdisclosure, the Supply ChainEngagementLeaderboard. Ingredion wasnamedtotheCDP CDP SUPPLY CHAINENGAGEMENT (click toexplore) DIGGING DEEPER 2020 CDPWater Report. Change Report. 2020 CDPClimate
CONNECTED PLANET EVERYDAY LIFE LIFE LIFE proactively improve where needed. (CEFP) tobetter assesswhere westandtoday—and howwecan Agriculture Initiative(SAI) andCriticalEcosystemPartnership Fund our 2030goal,werely ontoolsandinsightsfrom theSustainable as thoseareas where wesource crops. To continueprogressing toward positive impactwithzero deforestation wherever weoperate, aswell At Ingredion, ourbiodiversityeffortscenteraround havinganet BIODIVERSITY BY PROTECTING MAKING LIFE BETTER 02 PROTECTION BIODIVERSITY
2030 with deforestation). crops nottypicallyassociated tapioca, 98% of our global sourcing is for corn and issues amongourgrowers (approximately validate theabsenceofdeforestation Began exploringdigitalsolutionstohelp in Pakistan. contamination amongourgrowers Advanced effortstocombataflatoxin growers havebiodiversitychallenges. (FSA), whichalsohelpsusevaluatewhere Platform Farm SustainabilityAssessment agricultural suppliersusingtheSAI Assessed approximately 25%ofour PROTECTION HIGHLIGHTS 2020 GOAL BIODIVERSITY sourcing areas. impact inourcrop to driveanetpositive improve biodiversity to protect and Implement programs tapioca. corn and 98 assessed. 25 % %
2020 PROGRESS ON SPECIFIC ENDANGERED SUSTAINABLE MILESTONES SPECIES AG
BIODIVERSITY MILESTONE MILESTONE PROTECTION Engage with an NGO partner to identify any Assess agricultural biodiversity risks for priority crops endangered species impacted by agricultural and sourcing regions by the end of 2023. operations from which we source raw materials by the end of 2022. 2020 Progress On track. As we expand the number of growers in our 2020 Progress sustainable agriculture program, we leverage data in
On track. We plan to engage an NGO partner SAI Platform’s Farm Sustainability Assessment (FSA) in this area in 2021. and engage with NGOs to assess risks. Since our products are made from agricultural LIFE EVERYDAY raw materials, the protection of biodiversity and ecosystems is critical to our business.
Andy Utterback
Senior Manager, Sustainability
PLANET LIFE 2020 Progress DEFORESTATION On track. Corn and tapioca, which comprise approximately 98% of Ingredion’s global crop sourcing, are not typically MILESTONE associated with deforestation. In 2020, the only farms Achieve zero deforestation, or 100% sustainable impacted were in Ontario, Canada, where the clearing of use of forest-based resources, by the end of 2030. trees was directly authorized by the government and done in a sustainable manner to enhance food systems. CONNECTED LIFE CONNECTED PLANET EVERYDAY LIFE LIFE LIFE BIODIVERSITY PROTECTION NUMBERS BEHIND THE 25 our supply chain. a templateforengaging growers elsewhere in aflatoxin restrictions. Thisworkalsoprovides then enterhigh-value marketswithstringent as welltheproducts madewiththem,can beneficial alternative.Thehigh-value crops, replace aflatoxin-producing fungiwitha (USDA) developedabiocontrol product to with theU.S. DepartmentofAgriculture destroyed annually. Ingredion, inpartnership 25% ormore oftheworld’s foodcrops tobe Theycancauseanestimated and livestock. toxins posesaserious threat tohumans certain fungiandcontaminationfrom these Aflatoxins are afamilyoftoxins produced by BATTLING AFLATOXINS THE BENEFITSOF
36 areas are thentargeted forproactive efforts. chain—and plan proactive nextsteps.These where challengesmayexist withinoursupply deforestation activitytobetterunderstand (FSA) toevaluatebiodiversityimpacts and SAI Platform’s Farm SustainabilityAssessment source agricultural products. Thenweusethe any areas where wecurrently operate or of 36globalbiodiversityhotspots,weidentify this issue.For example, usingtheCEPF’s list organizations thatare makingadifference on with insightsandtoolsdevelopedbyother We alignourbiodiversityprotection efforts TO EVALUATE HOTSPOTS INSIGHTS ANDTOOLS (click toexplore) DIGGING DEEPER Deforestation. Ingredion Statement on
CONNECTED20 SUSTAINABLE & LIFE REGENERATIVE 01 AGRICULTURE 20
Engaged in SAI Platform work group along
2020 SUSTAINABLE & with other leading food and beverage REGENERATIVE manufacturers to develop a regenerative AGRICULTURE HIGHLIGHTS agriculture standard that will provide the EVERYDAY LIFE foundation for promoting sustainable practices and soil health with growers.
Completed Phase 2 of a sustainable agriculture project in Pakistan with customers and SAI Platform, laying the groundwork for Phase 3 kickoff in 2021. In addition to improving PLANET LIFE agricultural sustainability with our growers, this work will also promote women
empowerment through agricultural training. LIFE CONNECTED SUSTAINABLE & REGENERATIVE 2030 AGRICULTURE GOAL Make life better for growers, Whether it’s working with the SAI Platform on a regenerative mitigate supply chain risks agriculture standard or continuously improving the way waxy corn and help drive food is grown, we’re committed to constantly finding new ways (or security by sustainably enhancing existing programs) with the ultimate goal of advancing sourcing 100% of sustainable and regenerative agriculture practices wherever we primary crops. source the crops that provide our raw material inputs. EVERYDAY LIFE
We continue to see growing customer interest in products PLANET LIFE made from sustainably sourced crops. We were able to work with our growers through a challenging 2020 to continue progressing our sustainable agriculture efforts—
and even conduct several on-farm validation audits to help meet our customers’ needs.
Ricardo Capone Director, Agriculture Supply & Animal Nutrition Business, South America LIFE CONNECTED 2020 SUSTAINABLE & PROGRESS REGENERATIVE ON SPECIFIC AGRICULTURE MILESTONES MILESTONE MILESTONE Educate growers and/or 100% of Tier 1 priority implement integrated pest crops sustainably sourced MILESTONE management in at least 70% by the end of 2025. MILESTONE Confirm that 100% of our agricultural of our agricultural supply 2020 Progress chain by the end of 2027. 100% of global waxy corn supply is not using pesticides of 25%. The limited increase concern as defined by the World Health supply sustainably sourced 2020 Progress in performance is by the end of 2022. Organization by the end of 2025. Surveys of local agriculture attributable to COVID-19, 2020 Progress 2020 Progress programs in 2020 estimated which impacted our ability to work with growers in While evaluation of our larger growers globally (by volume) use IPM. many geographies. is already underway, engagement with
% smaller growers has been delayed. We 95 will work to finalize our baseline in 2021. % complete. 57 % of growers. 25
EVERYDAY LIFE of goal. 01 02 03 04 05
PLANET LIFE 2020 MILESTONE 2020 Progress Implement water conservation Ingredion will finalize our projects with growers in 100% commitment to the Ceres WWF of extremely high water- AgWater Challenge in 2021, stressed sourcing geographies which will then be leveraged to by the end of 2025. start work on this milestone. LIFE CONNECTED CONNECTED PLANET EVERYDAY LIFE LIFE LIFE SUSTAINABLE & REGENERATIVE AGRICULTURE NUMBERS BEHIND THE 95 work stilltodoinPakistan in2021. sourced forwaxycorn,withsome Overall, weare at95%sustainably on coveringthesevolumesfirst. customers, sowedecidedtofocus a higherlevelofinnovationto make specialtyproducts thatbring Waxy cornistypicallyusedto WAXY CORN FARM PRACTICES 14 in thisgeography. sustainable sourcing by14% customer demandandincreased This helpsusmeetgrowing sustainable farmpractices. for on-farm auditstovalidate their larger supplierstoprepare worked closelywithoneof Our US/Mexico agriculture teams ON-FARM AUDITS VALIDATION THROUGH (click toexplore) DIGGING DEEPER Agricultural Sustainability. Ingredion Statement on
2020 FOOD SECURITY HIGHLIGHTS FOOD Ingredion’s Ag team in Colombia launched an app in 2020 to better enable our agronomist to support SECURITY small growers in our supply chain. 02 Our North America business has driven an initiative to find beneficial Like many of our customers, Ingredion is always on the lookout for ways markets for obsolete material, to reduce loss and waste across the food chain. We work with our grower keeping approximately 105 million
suppliers to identify opportunities to improve yields and reduce crop pounds of product out of landfills. loss. In 2020, Ingredion also began evaluating our own product waste streams caused by issues like off-spec products or packer cleanout, to A co-product of our pea protein
EVERYDAY LIFE determine if we could identify a handful of viable products that could be isolate manufacturing process is made from these streams. The next step in this evaluation process will pea starch, which we can utilize begin to identify stakeholders to collaborate with us in finding new ways to further enhance customer food to upcycle these formerly “wasted” ingredients. and beverage products.
PLANET LIFE Improve food security within our value chain by catalyzing food waste reduction, minimizing crop losses at the farm level and enhancing product 2030 GOAL offerings that support food security objectives of the UN SDGs. LIFE CONNECTED 2020 PROGRESS FOOD ON SPECIFIC SECURITY MILESTONES
MILESTONE Catalyze food waste awareness and reduction by MILESTONE implementing at least five projects with customers Implement agricultural efficiency initiatives and/or suppliers to minimize food waste in our supply in support of smallholder farmers in 100% chain by the end of 2025. of applicable geographies in our supply chain by the end of 2027. 2020 Progress 2020 Progress On track. We continue to engage with customers to
On track. While our efforts to engage identify opportunities, such as our program to take face-to-face with growers was limited in customer potato co-streams, which we upcycle into 2020, we still advanced work in support value-adding performance starch for those customers. of small farmers in our supply chain (see EVERYDAY LIFE accompanying “Digging Deeper” story).
PLANET LIFE
01 02 LIFE CONNECTED 2020 CONNECTED PLANET EVERYDAY LIFE LIFE LIFE FOOD SECURITY NUMBERS BEHIND THE 25 years had thewaspnotbeen introduced. would haveincreased over thenext3-4 year, anditwasestimated that thisnumber bugs wipedout25% ofcrops inthefirst Themealy devastating impacts ofthispest. protect theirtapiocacrop yieldsfrom the infestations, wehelpedsmallfarmers small wasptohelpcontrol mealybug practices inThailand.Byintroducing a Integrated Pest Management(IPM) weplayedakeyrolethat, indeveloping way toreduce foodwaste.To helpachieve Reducing agricultural lossisoneimportant REDUCING TAPIOCA CROP LOSS Vice President, Sustainability Vice President,Sustainability Brian Nash challenging issue,butonethatIngredion iscommittedtotackling. and promoting circular economypractices across oursupplychain.It’s a plant-based proteins thatsupporthealthydietstoreducing foodwaste There are multiple aspects tofoodsecurity, from producing products like
02 and address any gapsinsafetypractices. practices usingSAI Platform’s FSAtoidentify continued educating growers onfarmsafety education. InThailand, ourlocalteamalso empowerment through agricultural farmers, whilealsosupportingwomen sustainable agriculture practices with and SAIPlatform, thisproject isexpanding in partnershipwithstrategic customers of thePhase 3launchin2021.Conducted agriculture project inPakistan inanticipation We completedPhase 2ofoursustainable SMALLHOLDER FARMERS BIG EFFORTS WITH (click toexplore) DIGGING DEEPER
with Farmers. Digital Engagement
2020 COMMUNITY IMPACT HIGHLIGHTS Aligned community relations activities with COMMUNITY UN Sustainable Development Goals. IMPACT Prepared a comprehensive digital strategy for launch in 2021 that will make it easier 03 for employees to identify engagement opportunities and track their community To align our efforts to UN SDGs, such as Zero Hunger and Quality impact work. Education, we first needed to gain a better understanding of the issues that most impact our communities. This included reevaluating Made a $100,000 donation to longtime
geographic water stress in the areas where we operate to gain a better partner The Global FoodBanking Network sense of which communities will benefit most from water conservation to further their work combating hunger efforts. We also asked our long-term partners GFN to help us understand during the pandemic. By their estimate, this
EVERYDAY LIFE where childhood hunger is most prevalent in the communities where helped provide more than 1.2 million meals we operate. In 2021, we will continue prioritizing efforts with the help to people in the communities where we of NGOs and other groups. Despite the challenges with the pandemic operate globally. and our ability to volunteer, Ingredion’s global facilities were able to still engage in 31 activities in support of food banks or other efforts to combat hunger.
PLANET LIFE 2030 GOAL Make life better for more than 1 million people in the communities where we operate. LIFE CONNECTED 2020 While the pandemic made 2020 an extraordinarily PROGRESS COMMUNITY challenging year for volunteering and connecting with ON SPECIFIC IMPACT communities, we still found ways to lend support and lay MILESTONES the foundation for enhanced efforts in 2021 and beyond.
Luz del Carmen Najera Colunga Corporate Affairs Senior Director and North America Sustainability Lead MILESTONE Enact programs in 100% of the communities where we produce MILESTONE products to help eradicate childhood MILESTONE Enact initiatives to support hunger by the end of 2025. women entrepreneurs in 100% Enact programs in support MILESTONE of the communities in which we of local water conservation 2020 Progress Enact programs to operate that have a high gender in 100% of extremely high- support education and/or equality imbalance. Approximately 61% of sites water-stress communities educational gender equality engaged in activities to combat where we produce products in 100% of our operational 2020 Progress hunger in 2020. areas with low graduation by the end of 2027. rates by the end of 2025. We are still in the EVERYDAY LIFE 2020 Progress process of evaluating
2020 Progress our operations areas % Approximately 33% with regard to gender 61 We are still in the process of of communities have of sites. inequality imbalance. evaluating our operations water conservation areas with regard to gender activities underway. educational inequality.
PLANET LIFE 33% of communities.
01 02 03 04 LIFE CONNECTED 2020 CONNECTED PLANET EVERYDAY LIFE LIFE LIFE COMMUNITY IMPACT NUMBERS BEHIND THE 61K groups inourcommunities. supplies donatedtohelpvarious masks, blankets,andother addition tohygienesupplies, across theregion. Thiswasin over 61,000mealstofoodbanks American teamalsodonated the corporate level,ourSouth In additiontodonationsat INGREDIENTE SOCIAL HELPING OTHERS THROUGH
11K intention tolaunchadigitalsolutionin 2021. us totrack activityat agloballevel.Itisour support ourphilanthropy efforts,andallow employees opportunitiesforvolunteerism, with ourstrategic goals. Thiswillofferour global employeeswithnot-for-profits aligned of digitalsolutionstoconnectour11,000 To makethathappen,wereviewed anumber engage inthecommunitieswhere weoperate. organize andmobilizeouremployeesto We understandthattechnologycanhelp MOBILIZING A DIGITAL STRATEGY (click toexplore) DIGGING DEEPER Supporting OurCommunities.
Further strengthen Global Reporting Initiative (GRI) and Beyond governance and We seek to drive enhanced transparency within our disclosure to operations and across our global supply chain. In assure the delivery addition to creating a Global Reporting Initiative 2030 of our sustainability (GRI) index, we continue to evaluate other common aspirations with reporting frameworks preferred by our stakeholders. GOAL These include mechanisms such as CDP, the transparency Sustainability Accounting Standards Board (SASB), and integrity. the Taskforce for Climate-related Financial Disclosure (TCFD), and other programs. We see the need to succinctly and openly communicate our sustainability progress with our stakeholders as an ongoing dialogue. UN Global Compact Ingredion is proud to be a signatory to the United Nations Global Compact and is EcoVadis committed to upholding its Ten Principles in how we do business. This sustainability We continued to use the EcoVadis online assessment report serves as our Communication on Progress in implementing those principles. platform as one of several means to communicate our sustainability progress with customers. In 2020, # GUIDING PRINCIPLE INGREDION PROGRAM PAGE # Ingredion again completed the assessment process of our operations at the global level and were pleased 1 Support and protect international human rights. HUMAN RIGHTS 10 EVERYDAY LIFE to have been rated Silver by EcoVadis. Our biggest 2 Do not be complicit in human rights abuses. HUMAN RIGHTS 10 opportunity for improvement moving forward is in 3 Uphold freedom of association and collective bargaining. HUMAN RIGHTS 10 the category of Sustainable Procurement, and we are 4 Eliminate all forms of forced or compulsory labor. HUMAN RIGHTS 10 already working to drive improvements in this area. 5 Effective abolition of child labor. HUMAN RIGHTS 10 6 Elimination of discrimination. HUMAN RIGHTS 10 Updated code of conduct
7 Support a precautionary approach to Ingredion updated its Code of Conduct, reflecting our environmental challenges. ENVIRONMENTAL IMPACT 19 updated corporate values and purpose, and better 8 Undertake initiatives to support greater
PLANET LIFE clarifying the manner in which we do business. Our environmental responsibility. ENVIRONMENTAL IMPACT 19 new values-based Code of Conduct sets behavioral 9 Help develop and share environmentally SUSTAINABLE & expectations and provides guidance on ethical environmentally friendly technologies. REGENERATIVE AGRICULTURE 26 decision making and ethics reporting channels so that 10 Work against all forms of corruption. GOVERNANCE 36
employees can more easily seek advice, ask questions or report concerns. UN Global Compact Ingredion’s This is our Communication on Progress in implementing the Ten Principles of the United Nations LIFE CONNECTED Code of Conduct Global Compact and supporting broader UN goals. We welcome feedback on its contents. GOVERNANCE WHAT’S NEXT IN SUSTAINABILITY 2020 was a unique year that saw dramatic impacts across the globe—one We are also working to enhance our efforts within Ingredion by that, among other things, only intensified the focus of our stakeholders on evolving our Global Sustainability Council and establishing an sustainability. Specifically, we noted a rising interest from both customers Executive ESG Advisory Committee to oversee our strategy. and investors on important issues like climate change and sustainable agriculture, as well as social issues, such as human rights and diversity, With all these changes, I look forward to our continued growth in equity, and inclusion (DEI). This interest only underscores the need for sustainability and the exciting opportunities it continues to bring transparency across our operations and supply chain. It remains the best our business and our relationships with key stakeholders. and only way to identify and address whatever challenges remain to achieving the goals of our All Life plan. Thank you for your interest and taking time to review this report.
Going into 2021 and beyond, we are looking to further deepen our stakeholder engagement. We know that as organizations begin to align with external programs—such as the UN Sustainable Development Goals—we can start to leverage the expertise of customers and non- government organizations (NGOs) to accelerate progress collectively.
Larry Fernandes Senior Vice President and Chief Commercial and Sustainability Officer