THE POWER OF BEING TRUSTWORTHY 2020 Corporate Social Responsibility Report

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New Hope Liuhe Co., Ltd.

Chengdu office address: No.376 Jinshi Road, Jinjiang Industrial Park, , Province Beijing office address: 11F, Block A, T3, Wangjing SOHO, No.10, Wangjing Street, Chaoyang District, Beijing

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The present report is available in both online and hard copy

The online version is available on the company website at: New Hope Liuhe Co., Ltd. ABOUT THE THE POWER OF BEING TRUSTWORTHY REPORT NEW HOPE LIUHE

Introduction Scope of report

The present report is the 13th Corporate Social Responsibility Report issued by New Hope Liuhe Co., Ltd. The report covers New Hope Liuhe Co., Ltd. and its subsidiaries.

Compilation basis Report data description

This report is prepared with reference to GRI Standards issued by the Global Sustainable Standards In the event of discrepancies between the financial data disclosed in this report and the 2020 Annual Report of Council(GSSB), National standards Guidelines for the Preparation of Social Responsibility Reports(GB/T36001- New Hope Liuhe Co., Ltd., the annual report shall prevail; Other data are from internal statistics. Amounts in 2015), Guidelines for the Preparation of Corporate Social Responsibility Reports in (CASS-CSR4.0) issued by the currencies mentioned in this report are denominated in RMB, unless otherwise specified. Chinese Academy of Social Sciences, the Guidance on Social Responsibility(ISO26000) issued by the International Organization for Standardization(ISO), as well as the relevant requirements of China Securities Regulatory Commission, Shenzhen Stock Exchange,etc., at the same time, based on the industry background, the report highlights the enterprise characteristics. Description of reference Time frame For the purpose of this report, "New Hope Liuhe Co., Ltd." is also referred to as "New Hope Liuhe", "Company" or "We". This report covers a time frame from January 1, 2020 to December 31, 2020, with proper forward and backward extension of some presentations and data. Report acquisition Release period This report is available in Chinese and English in both electronic and printed versions. The electronic version can This report is an annual report, which is issued simultaneously with the annual report of New Hope Liuhe Co., Ltd. be viewed and downloaded from the information disclosure website (www.cninfo.com.cn) designated by the Shenzhen Stock Exchange, or the Company's website (http://www.newhopeliuhe.com). CONTENTS

Page 01-12 Page 13-22 Page 23-34 Page 35-43

About Report 01 Corporate Governance Serve customers Leading the Industry Fight to stick to long-termism Safeguarding life with life Building smart urban and rural areas Chairwoman's Speech 05 with science and technology

Corporate Governance 14 Food Safety 24 Science & Technology 36 About New Hope Liuhe 07 Investor Communication 18 Industry Service 29 Digital Enterprise 42 Risk Control 19 Feed E-commerce 33 Our 2020 08 Anti-corruption 20 CSR Management 11 Party Construction 22

Page 44-52 Page 53-56 Page 57-68 Page 68-70

Giving Back to Society Environmental protection Activating the organization Sustainable Development 68 Key Performance Table of Creating beauty with hope Giving back to nature with Achieve yourself with growth circular agricultural New Hope Liuhe

Salary Anti-epidemic & Supply Guarantee 45 Reduction 54 Talent Strategy 58 Incentive 61 Feedback 70 Targeted Poverty Alleviation 47 Ecocycle 54 Rights Protection 59 Staff Care 62

Rural Revitalization Recycle Health & Safety Training& 49 55 60 Education 64 Social Good 52 05 The Power of Being Trustworthy - 2020 Corporate Social Responsibility Report of New Hope Liuhe NEW HOPE LIUHE THE POWER OF BEING TRUSTWORTHY 06

CHAIRWOMAN'S SPEECH NEW HOPE GROUP: A PYRAMID OF NEW HOPE CULTURE ROOTED IN THE EARTH Hope, makes life better

Looking back in 2020, COVID-19 stopped the world for a while, but we did not stop. The vast numbers of farmers Basic principles Enterprise spirit and animal husbandry colleagues actively participated in the battle against the COVID-19. We try to resume We stick to the moral standard of kindness and We have the character of perseverance and work and rehabilitation and protect people's livelihood. In this magnificent year, as a livelihood enterprise, New trustworthiness bearing hardships Hope Liuhe deeply feels the heavy responsibility. In the agricultural industry chain, we make every effort to We believe in simple, direct, honest and We advocate the learning attitude of being ensure the continuous supply of livestock and poultry feed; In the urban and rural supply chain, we fully transparent interpersonal communication modest, studious and good at rethinking guarantee the supply of meat and protein; On the production line of the factory, we make every effort to ensure We advocate the enterprise belief of rooting in One vision We create working atmosphere of being caring, the safety and health of our employees. At the same time, we are also facing multiple difficulties such as society and repaying society Hope makes equal and inclusive. antibiotic prohibition of feed and African swine fever containment, thus we must quickly respond to market life better changes such as traffic blockade, epidemic prevention upgrading and consumption stagnation, and explore the Two missions upgrading method of survival and transformation such as scientific and technological innovation, product Cultivator of smart city innovation, channel innovation and service innovation. and countryside Creator of the After the ups and downs, we strengthen our belief in "long-term doctrine" and strive to become a "trustworthy wonderful life force": "Five new" We hope to be a trusted partner for consumers and customers. New Hope Liuhe strives to build a whole process “Three likes” gene concept controllable and traceable food safety system from farm to table, and provides full life cycle services, high- New mechanism, new youth, quality and convenient feed, and e-commerce services for livestock and poultry customers. Like an army, like a school, new technology, new track like a family and new We hope to become the reliable organizer of industrial partners. New hope Liuhe develops digital platforms responsibility such as Liaonifu, Huiyangzhu and Jubaozhu to build a digital industrial ecology with intelligent management, intelligent breeding and intelligent service. We hope to become a reliable technology explorer in the industry. In the first year of antibiotic-free policy, we “Four-dimensional” launched antibiotic-free program of 6H feed, and organized to tackle key problems of "pig chip" with values independent intellectual property rights, and committed to depicting the bright future of the industry with (New 10 ) scientific and technological innovation. Development concept Attitude We hope to become a livelihood enterprise trusted by the public. We continue to help the poor through profits of We believe in the beliefs of pursuit of excellence, We adhere to the cooperation concept of the industry, train more green collar talents online for rural revitalization, expand the Hope Plan to an action of professionalism and dedication opening up, win-win, co-creation and sharing thousands of people, and host the Warm Winter Action in Snow Mountain Yi Town again. We adhere to the innovative thinking of "half a We adhere to the customer-oriented, step faster " and continuous update market-oriented business purpose We hope to become the power of harmonious development between man and nature. We build ecological pig farms with the mode of "planting and breeding cycle", turn the three wastes of breeding into renewable resources, improve the soil and biological carbon fixation after returning them to the field scientifically, so as to realize the purpose of regeneration and feed back the nature. NEW HOPE LIUHE: VISION AND MISSION We hope to become the "family" trusted by 100,000 employees. We carry out the "three likes” culture, as like an army, like a family and like a school. We adhere to the people-oriented principle, protect the rights and interests of employees, encourage employees to learn continuously and realize a better life in the their endeavours. Becoming the trustworthy force is our corporate gene to root in the earth and repay the society. It is our long- term vision to devote ourselves to the career of social responsibility. It is also the belief and dream that all New Hope Liuhe people always adhere to and contribute to. Looking forward to 2021, the strategy of rural revitalization will be launched in an all-round way, and China is marching into the heroic new journey of the 14th five-year plan. New Hope Liuhe will continue to play a leading role in driving small and medium-sized enterprises, family farmers and industrial workers in the industrial chain to meet the transformation and upgrading of modern agriculture, to face the opportunities and challenges of rural revitalization, and to continue to make due contributions to agricultural strength, rural beauty and farmers' prosperity! We believe that striving can always make hope came true. Our vision Our mission We believe that hope makes life better. Profiting the A leader in farmers, agri-food industry Liu Chang New Hope Liuhe Co., Ltd. benefiting the April 30, 2021 consumers 07 The Power of Being Trustworthy - 2020 Corporate Social Responsibility Report of New Hope Liuhe NEW HOPE LIUHE THE POWER OF BEING TRUSTWORTHY 08

ABOUT Our 2020 NEW HOPE LIUHE Comparison of business data in three years

New Hope LiuHe Co, Ltd. (stock code: 000876) was founded in 1998 and listed on the Shenzhen Stock Exchange on March 11th, 1998. Based on the agri-food industry, the company pays 1200 2400 2392 1200 240 attention to the steady development, the business involves feed, breeding, meat products, 1100 2200 1100 220 financial investment, trade and so on. The company business spreads all over the country as 1098.25 well as Vietnam, Philippines, Bangladesh, Indonesia, Cambodia, Sri Lanka, Singapore, Egypt 1000 2000 1872 1000 200 181.1185.73 and other 16 countries. 900 1800 1704 900 180 820.51 829.25 179.13 800 1600 800 160

700 691 1400 700 140

600 1200 600 120

500 1000 500 100

400 800 400 354.99 80 300 600 300 255 60

200 400 200 40

100 200 100 20

0 0 0 0 Sales revenue Feed sales Feed sales Poultry sales (100 million yuan) (ten thousand tons) (ten thousand tons) (ten thousand tons)

95,993 60000 60000 120 96000

55000 55000 110 88000 50,765 50000 50000 100 80000 50,030 45000 45000 90 88.45 72000 70,600 45,719 42,364 40000 40000 80 64000 61,918 71.49 35000 35000 32,392 70 56000

30000 30000 60 48000 54.34 26,062 25000 25000 50 40000

20000 20000 40 32000

15000 15000 30 24000

10000 10000 20 16000

5000 5000 10 8000 THE POWER 0 0 0 0 Poultry seedling sales Sales of commercial Sales revenue of Staff numbers (ten thousand) chicken and ducks food business (person) OF BEING TRUSTWORTHY (ten thousand) (100 million yuan)

NEW HOPE LIUHE Business data in 2018 Business data in 2019 Business data in 2020 09 The Power of Being Trustworthy - 2020 Corporate Social Responsibility Report of New Hope Liuhe NEW HOPE LIUHE THE POWER OF BEING TRUSTWORTHY 10

HONORS Technology awards

“Key technology innovation and industrialization promotion of healthy, efficient and environmental breeding of meat ducks”

Top 500 of Chinese enterprises on Fortune Magazine in 2020 The project won the third prize of advance of science and technology of Shandong Province in 2020

"Research and demonstration application of safe and efficient innovative technology for feed Top 100 of agricultural industrialization leading enterprises in China material fermentation” The project won the first prize of Animal Science and Technology of Shandong Province in 2020 Top of agricultural enterprises in China 500 "Research and application of purification and prevention and control technology of main epidemic diseases in duck breeding farm" won the first prize of Outstanding enterprises of leading rural industry Animal Science and Technology of Shandong Province

Top 20 of enterprises with comprehensive strength in China's meat and food industry "Top 10 highly-praised ferment feed brands in 2020" "Top 20 aquatic feed companies in China in 2020"

Social responsibility awards Products awards

Top of cases of targeted poverty alleviation projects of 50 Meihao brand hot pot ingredients package won the gold medal of "Food and Meat Carnival" Poverty Alleviation Office of the State Council of China International Meat Industry Week in 2020 2020 Golden Tripod Award for social responsibility of Chinese food enterprises Meihao PURE series products won the gold award of "Cooking Delicious Food With Good Ingredients Show" in China International Meat Industry Week in 2020 Environmental social responsibility enterprises in 2020 Meihao crispy meat won the "Best Meat Product Award" in global innovative food evaluation competition in 2020 The most socially responsible listed companies Meihao brand won the "Top 10 Brands With Customer Satisfaction" selected by the 9th Quality Model of Sichuan Daily Top 50 of green credit index of China's food in 2020 (Number ) 2 Meihao food won the "Comfort Brand" award at the (issued by China Investment Association, Huasheng Green Industry Foundation, 10th Internet+ Dining Summit. China International Green Food Industry Innovation Alliance, etc.) "2020 excellent enterprise award of consumption innovation" of National Business Daily Meihao crispy pork won the "2020 general review of better life - the most popular Sichuan specialty snack of the year”

Meihao food won the "Consumer’s Favorite Brand of 2020" in the 10th Quality Model of Media Award 11 The Power of Being Trustworthy - 2020 Corporate Social Responsibility Report of New Hope Liuhe NEW HOPE LIUHE THE POWER OF BEING TRUSTWORTHY 12

CSR MANAGEMENT Stakeholder communication The company insists on building a diversified communication mechanism, establishing close contact with stakeholders, actively and extensively communicating with all parties through more channels and ways, and Company vision of CSR management understanding and timely responding to the demands of stakeholders. New Hope Liuhe is committed to be a trustworthy force. Stakeholder Participation Company philosophy of CSR management Stakeholder Main Topics Communication Channels New Hope Liuhe should be more responsible for the iterative upgrading of industry and sustainable social development. We have always believed that social responsibility shall be closely integrated with the company's development strategy and daily operation, and that we shall implement the social responsibility Prevention of epidemic diseases Cooperation in poverty alleviation strategy into the company's management system, thus integrating the concept of social responsibility into Assist in poverty alleviation projects the corporate culture and guiding employees to identify with and practice the concept of social Honest and Compliant Operation Project approval and supervision responsibility. Government and Boost industrial clusters Routine communication and reporting regulatory agencies

Company strategy of CSR management Honest and compliant operation Periodic report and announcement General meeting of shareholders Combining with business characteristics, social responsibility management vision and the United Nations Optimize corporate governance Investor's research sustainable development goals, the company confirmed the five major social responsibility strategy Improve the return on investment for Performance presentation implementation directions that the company should assume. These five social responsibilities also Shareholders shareholders Interactive questions and answers on online correspondingly support the company’s social responsibility management vision and strive to become the and investor Scientific and technological innovation platform of Shenzhen Stock Exchange power of trustworthy.

Guaranteeing food safety Create a win-win situation in Environmental protection News media coverage Technology leads industrial upgrading the supply chain and ecocycle Provide high-quality healthy protein food Social media Consumers Food safety to protect health Poverty eradication and social goods

Employee safety and healthy Year-end summary and commendation ESG substantive analysis Employee care conference High Employee training and development Corporate culture activities and issue recognition 11 Employees Corporate culture construction Regular training Promote local Reduce 12 01 11 08 Protect the rights and interests of employees Social media employment environmental impact 07 Support local Develop circular 02 community 12

construction economy D Technician on-site e Provide industrial services Regular visit

Protect the rights g Boost industrial 13 14 03 13 and interests of r Cooperation in poverty alleviation e Provide technical support clusters employees 15 e Cooperative 09 projects

o farmers Lead the industrial Perfect supply 18 04 14 f 16 development chain management i 01 10 m 02

p Perfect supply chain management Safeguard Scientific and 03 04 Procurement and sales platform 05 15 technological a animal welfare c 17 Boost industrial clusters Supplier training innovation t 19 o 05 06 Value chain Customer feedback channel Biodiversity Optimize corporate n Customer service and complaint handling 06 16 partners conservation governance E S Guarantee food Employee training G 07 17 Assist in poverty alleviation safety and development Promote local employment Public welfare and charity activities Prevent epidemic Employee health 08 18 disease Develop circular economy Media communication and safety Community Support local construction Assist in poverty Corporate culture 09 19 alleviation construction Surrounding environment monitoring Honest and Water resources management, energy saving 10 Communication with environmental compliant operation Low and carbon reduction Importance to New Hope Liuhe High protection departments Develop circular economy Popularize the mode of combining Environment Compliance discharge planting and breeding 13 The Power of Being Trustworthy - 2020 Corporate Social Responsibility Report of New Hope Liuhe NEW HOPE LIUHE THE POWER OF BEING TRUSTWORTHY 14

CORPORATE GOVERNANCE

In accordance with the Company Law, Securities Law, Code of Corporate Governance for Listed Companies in China, Stock Listing Rules of Shenzhen Stock Exchange, Guideline for Standard Operation of Listed Companies of Shenzhen Stock Exchange, and laws and regulations and normative documents of China Securities Regulatory Commission, combined with the actual CORPORATE situation of the corporate, the corporate governance structure has been perfected continuously, including general meeting of shareholders, board of directors, board of supervisors, management responsibilities, and operational regulations, and the effectiveness of the GOVERNANCE corporate governance has been improved continuously.

As of the end of the report period, there are 8 members in the board of directors, including 3 independent directors (including 1 female), accounting for over one third of total members of the Fight to stick to board of directors, and 5 non-independent directors (including 1 female). Independent directors serve as the convener of audit, nomination, remuneration and assessment, and risk control long-termism committees. Issues involving specialized items must first be approved by the specialized committees before submitted to the board of directors for deliberation, which is conductive for independent directors to better play a role. Corporate governance Investor communication THE POWER Risk Control OF BEING TRUSTWORTHY NEW HOPE LIUHE Anti-corruption Party Construction Independent directors

8 directors 15 The Power of Being Trustworthy - 2020 Corporate Social Responsibility Report of New Hope Liuhe NEW HOPE LIUHE THE POWER OF BEING TRUSTWORTHY 16

CORPORATE GOVERNANCE

Strategic Development Committee

The board of directors has established five specialized committees: auditing, remuneration and The strategic development committee had held a total of 2 meetings in 2020. Combined with domestic assessment, strategic development, nomination, and risk control. In auditing, remuneration and economic situation and the industrial features, the strategic development committee deeply analyzed assessment, nomination, and risk control committees, the number of independent directors should the present operation situation and the development prospect of the corporate, and the industrial risks account for over a half and these independent directors should serve as the convener. and opportunities, gave valuable suggestions on the implementation of the development strategy of the corporate, guaranteed the scientificity of the corporate development planning and the strategic policy, and provided strategic support for the sustainable and steady development of the corporate. Audit Committee

The audit committee had held a total of 4 meetings in 2020. The audit committee performed duties in Nomination Committee terms of relative regulations, knew the financial position and the business condition of the corporate in detail, deliberated the periodic report of the corporate, daily audit, and specialized audit work of The nomination committee had held a total of 2 meetings in 2020. The nomination committee the internal audit department, reviewed the formulation and implementation of the internal control performed duties in accordance with relative regulations, deeply discussed and demonstrated the system of the corporate, and carried out effective guidance and supervision of the financial position affairs such as the qualification of directors and senior managers, and actively participated in the and the business condition. recommendation and election of directors and senior managers in the fifth general election of the board of directors.

Remuneration and Assessment Committee Risk Control Committee

The remuneration and assessment committee had held a total of 2 meetings in 2020. The The risk control committee had held 1 meeting in 2020. The risk control committee performed duties in remuneration and assessment committee deliberated and checked the release of remuneration and accordance with relative regulations, guided and assessed the work of the total risk management of allowance of directors and senior managers, reviewed the qualification, conferring condition, vesting the corporate, supervised the operational effectiveness of the risk management system of the conditions of persons in the corporate stock incentive plan, and provided guidance for remuneration corporate, achieved control and prevention of internal and external risks of the corporate, and management and stock incentive management of directors and senior managers. protected all shareholders’ and stakeholders’ rights and interests. 1 7 T h e O P o w R e r

General Meeting of Shareholders o G f B e i n A g T r N Board of Supervisors Board of Directors Secretary of the Board of Directors u s t w o I r t Z h y -

Remuneration and Strategic Development Nomination A Audit Committee Risk Control Committee 2 Assessment Committee Committee Committee 0 2 0 T C o I r

Audit and Supervision Department Executive Director & CEO Board Office p O o r a t e N S S o

Strategic Operation c i and Reform Center a l

Development and Command Poultry Development and Command R Strategic Investment Feed BU Overseas BU e

Department of Pig Industry industry BU Department of Food industry s T Department p o n R

Finance s i (Operation Department) b A i C l U

Poultry i n t

u Districts Digital Technology y i Partner districts integration s m R Department t o e a C G p m C l H r o e F C

Technology and Research & F o e r F i n o e u t n T r S Development Department e r t o e K o A p m e a a r d k f a C a s n l n e B t e U N h f

Safety and Environmental l K F c r h i r m d f v e P e G e e c e i G Protection Department o R i s w e o i r a a a c e l t u t e e w o u d w o c e D r l C r d l H R f a u H m e S

o Subsidiary i h m r d B o c i i n a o

Legal Department n d B g e r o t

i company e k n g r p e x s g s e n B o l u X B a s a E u U e p d X i r r h X p n a r i n l U k m a o n i t e L o X t e i p g B n t G h U s i n i r n h p e Public Affairs Department e o u r n i l l h t c u C n w y C v G g F i a d e D n m h u P a o e a h i u o T i u e a c r n p e n n a s S e C a e h n

Brand Promotion u J g C e n t i g i H i C i i n n a r a g C n e g B c p

Department t d a u g e i h c n d e a n M o o l P o b h x s u g n r l o n r s D m n e i n t

Human Resources u a s t e m l l g n e i d o u d u m n d a e p Department a r e l e m i e S d n a o n n i w d

n Strategic regions: North China, p u e s i a n g i n i s d n s t t s a w d b

g East China, South China, y y r t g Office t r s i r e r c i and Southwest China t i i i i s m m c s d t c t i t t t i s r r e e Development and a i t i c c n n r r

Construction Department t i y c t t t c t

Finance Shared o Service Center m p a

Asset Management Group n y Supply Chain Management Department Departments of the Demutualization support headquarters platform of the headquarters Strategic Business Unit (BU) o g t e e T q T q r A I A s f T e s T s R T ( S c m e M I e e o n n w h h u h h h h s h q p s o o u u u f e a l 3 generalmeetings s a r t c p a p a r a e e e e e e u r e o e e c l v w r e I u s e e n r e n n c e p r r u r i s s d r t of shareholders c e N l s c e s c t e e s c w a a r c t t t c a e t h r u y o h h o i c o i o s i i h h h i i i n t g c s o o f s , g t o a . t a n i a a r r i o r m c a o o i t t l o f n e b n n p t p e e V f p l n y l v r o r n r l t a l l l n o m v a s s e r e s m y , o o y d d e e o t r i i t a i h e , u , n h h c e m r r n r , h t e e f r r C m E e m J e l a n s i a a b e r c a f o f o o l m r i r e e l o n o t i n n a o n t e s t s u t a n u i s i l o l - e e S e n m n t d d . . ’ t g t G r i e s d h s m c g r r n i o d t o o s p e e o n i S l e e h o a s p n y f i r , a T 2 r a r r r y a n i m a a o t m n r v a m r e , t e i a s i s o n a e 8 s e t i t u r l n r e d l ’ ’ l y s y f d i , e 3S t t O p e m , 3 l . c h n d a a d r i e m m m a s c i i c e a S n a l s s o d a r s t , i n m u o t a i e r i h h h m s e t c i l e p n l d o l ) o h s y R C e w t d u l e y o l a a a , , e M e i a e d n e e o e n o u r o e , p t r r t n t i a n a p i t r v s d e t o i e i e s c l n n r i a s o n e n h o d g e o n u s h r s , e h h h i v e n n n l g e m g f i l h o n d r c t a n h e o o o d a r e t i d d a i l s s a a n directors’ meetings n t e n a i w s a g a l p l i i n O h I n t d d s r t i n i t u l n g w g Convening oftheBoardMeetingsin2020 h a k v c n t m t a o t y c e e d e e e h e s S v s e o e e i a l e e t t r r r e o f t t n e e e o e i h h M I m c n o r s o o h s r 18 boardof v s n e c d s k n e s t c s e o e ’ ’ e u o d n i t r f e o i q o t u t e u p o f a t r r r e o t t r n f S m c s u i e r y i p r o l h a n s l e e l l g r g M e r e o i h h l a m a a d a t o t e i n c o m n 2 h h b t r n i n w t a a w R t c l c e e t r a n h f a o t o e t u c i e v a r r h e t s u s s v l s i s t u a e i e i 1 o y t U b e s t e t n o l r e n n I t a a a a e t h h . a 4 i m i n n N l h g a s t n n l n 0 i i e t n a t l y a o n o c g T t e e n u e y i e i ’ M v a N s b e r a 2 o n d l h i l d l P d a , w l d e s n s s e d d n r i t n d v m e l n t a , 0 s a s s i p i e e a i d a i i s e o n s e n h o n t h a r n I c t o r r , a t c a n o s e n e t e h t t s a f s n t e C d M t o e r t n e i o n o d i r a g ’ p h e o o t r o l e , r o r r r d a r d r e n i a u m e e e e n p i a r e n n c d m A f t n t g , h s d n l c n s h l a s n o v a e f i e e L P a a o e o o t a t i e e n n c e d r s i t r n e g s t f l S f n m f s r l a T i g o d a h s o . f d , o t d a t a t e g f c d t l a t t i e m o t e e r u i p h e e 11 meetingsofthe n n e m o s n c l f v I i m d s i o t l r n v . r r e u Board ofSpecial r s g e r c m g l h O s s o e r e d r y p o , r t i r s e C i e u e s a m p p n v i g i u c t o w A t i Committees n s n 2 w e p o a e l a m i i a o t l h n r d c N e y r m t m o d r i N u n o a d o v n l l t t t i a s e i p l o c i s h r S n n a t d f E s r a c i p i d t n e a l o a k s n y W H g D i S l l d e t 0 a n a u e t e s a t p a n s b h d m e e i a m o s i n g s n t d 2 e o t n n r t g e e e i r t o i f a o o d v i l n e O r d s a u n 0 e o m o n y i i i e t f p t t i n n P c n i a q i s e , o n f f a z h n r f r t e , E L t t f , i e l i h c u s n v t n e a h n o t t c A r a h t a t t r e a h c e e e l a d i n h e t h r e s i I o l c e o n e i s e s n m s n U e n i d e n c s e p c d n h t r t d r c e H g c o o o t i o i i e d e o S a r o g o a , n o c t E i c m r d r A s t s p e r t t h r o r n f o d o r i i i t a t o p e a f r m o o r p e , s m i w s r T o c f a e t n n e h r o t p H l n e t i o k f i l a m n c a h l n f d E P d u o o s r o o c a r r 2 l r a c c E e i a e n t o e l n Board ofSupervisors r f a t n t n t r 0 d s e y O x t i a h d o s i t s i m , o t c e e 2 g c e W c e 9 meetingsofthe i t i t e i o w S o o o o g , n a s 0 I h s e e h h . r E n e f n t r c s R O n f i , n s t x e a i a t l n p f t i c ’ i l i s y t . p o A a a o n h n o m n h v e u o t . r F I a n n h c t r v s s s g i e i e n q r

r t e g m n p B o s w e e n d e i h a s e u t E c d o h v l v r d s t i d t e I t e . a e h N e a p o e h r o e c t c t m o t e s r G T w a s l i o t s o r C e t i t a l h o s o i p r t y n h t r o r a n e e T o s t , R h e r p a n . p l n e i m n g n b i U i g r o m e m e t o r e s m S d t s e a a i n D d p T p e r ’ o n l i a e i W b n s a t , e n i d a i r b p c e s s i n t a O i o t o t n t v s i o n z c e , e e o h p R t n u i u c e t e c l e y n n r T C a o o l e d 1 t c n s m a H d t e r e h r i L d s d t h , e Y i r t n s u 0 o f n u a a i i t t e u s t i o n e h h f 1 l a r t h f r w o k a t y o r s s o n a d e 1 s e 9 e s e e e , f l , ’ r 8 , , 19 The Power of Being Trustworthy - 2020 Corporate Social Responsibility Report of New Hope Liuhe NEW HOPE LIUHE THE POWER OF BEING TRUSTWORTHY 20

RISK CONTROL ANTI-CORRUPTION

New Hope Liuhe continued to carry “sunshine action”in 2020, built the anti-embezzlement system of “cannot corrupt, do not want to corrupt, and do not dare to corrupt”, established the continuously iterative risk control system and closed-loop management, perfected the running quickly forward and restless, and effective anti-fraud publicity and training system, and coordinated with the anti- embezslement field survey and supervision linking mechanism.

Anti-embezzlement closed loop

With “better serving the corporate strategy, assisting in business and development, and promoting the sustainable healthy development of the corporate” as the core objective, and “maintaining the corporate benefits, cultivating and outputting talents, and promoting the sustainable healthy development of the Auditing Compliance THE POWER corporate” as the mission, the corporate carried out auditing and supervision work; the corporate OF BEING TRUSTWORTHY implemented the auditing responsibility by laws, created auditing methods, and enhanced the auditing NEW HOPE LIUHE efficiency; the corporate achieved the full coverage of auditing and supervision, and promoted the Combination of corporate digital transformation and the enterprise social responsibility. Human resources / The corporate established the digital intelligent risk control system 3.0, set up three defensive lines in the legal affairs / brand / core business department, the support functional department, and the guarantee functional department, audit and Supervision and handled a problem before it appeared” through auditing before and during the affair. Whistling supervision (disciplinary Six red inspection) lines New three defensive line

Strictly forbid any form of bribery, The third Audit bribe-taking, and jobbery defensive line Guarantee Audit behaviors. Committee The second Support Legal Risk Human Research and defensive line Finance affairs management resources development Strictly forbid betraying the corporate business secrets, including but not Creator limited to remuneration information. Manufacturing The first of the Customer Sunshine culture training 95%defensive Procurement and Sales Profits Strictly forbid any form of direct line basic production service or indirect interest transmission value The corporate carried out sunshine culture training by on- behavior. site + online methods for the key field and sensitive The second Internal Safety and Support Informatization Technology Environmental Quality positions in 2020, and reminded new employees and Strictly forbid falsely keeping an account, defensive line control Protection sending in an account, providing false persons in the sensitive positions of observing professional information or concealing information. The third Guarantee Disciplinary inspection Supervision defensive line ethics through training education ahead. Strictly forbid violating laws and regulations of food safety and environmental protection, or the The first defensive line—risk owner / core business department Six red lines behaviors incurring serious production safety accidents. The second defensive line—risk management / support functional department The corporate modified Six Red Lines of New Hope Liuhe, The third defensive line—risk guarantee / guarantee functional department Strictly forbid individuals to directly or cautioned against “red lines” through e-poster, Branch indirectly participate in business with or subsidiary company poster posting, examination, and the company's competing peers.

The corporate has establish an industrial risk map, sort a risk grid chart, pay attention to the key risk field so on, in order to establish a clean-fingered, self- and risk points of sensitive positions. disciplined, fair, and righteous professional environment. 21 The Power of Being Trustworthy - 2020 Corporate Social Responsibility Report of New Hope Liuhe NEW HOPE LIUHE THE POWER OF BEING TRUSTWORTHY 22

Internal control system PARTY CONSTRUCTION The corporate achieved the formation of the During business management, New Hope Liuhe gave full play to the core leading role of the Party PDCA closed-loop management from organization, namely, all party members seriously learnt and implemented the spirit of the 19th National formulation, release, to implementation of the Congress of the Communist Party of China under the leading of the Party committee, and profoundly internal control system through system training understood rich connotations of Xi Jinping thought on socialism with Chinese characteristics for a new and year-end check of systems, to ensure that era and the spirit of the fifth plenary session of the 19th Central Committee of the Communist Party of each system can be executed effectively. China; the corporate organized and carried out ten significant tasks, gave full play to the exemplary vanguard role of the Party organization, and became an important strength for promoting social Holiday integrity posters progress and enterprise development. The corporate released holiday integrity posters on Spring Festival, New Year's Day, Ten significant tasks: prevention and control of the epidemic, organization and construction, information Dragon Boat Festival, Mid-Autumn Festival, and collection, awarding advanced unit, development of Party members, cultural activities, Party National Day to remind employees of keeping construction and common construction, employee care, public welfare, and targeted poverty alleviation. incorruptible compliant interaction activities with business partners in holidays and festivals. The corporate has established 86 grass-roots party branches, including 3 grass-roots Party committees, 83 External anti-embezzlement grass-roots party branches, and 5820 party members. The communication and coordination compliance rate of credit hours was 100% in the Party members E family-Rongcheng Pioneer in 2020, and the The corporate joined Trust and Integrity grass-roots Party organizations of the corporate also carried THE POWER The company is prohibited from demanding and OF BEING TRUSTWORTHY Enterprise Alliance in 2020, and with integrity accepting bribes, and collecting kickbacks. out over 80 activities with the red theme. Receiving any remuneration, gift or other benefits NEW HOPE LIUHE management as the mission, jointly build a may be regarded as commercial bribery, and will safe great wall of anti-corruption, anti-fraud, lead to the termination of the labor contract or illegal consequences. and anti-counterfeit and shoddy products.

The sunshine culture training had been carried out for 16 times, with 11,685 persons.

11,219 persons were trained in the online sunshine forward “new youth” course of New Hope University. The branch and subsidiary companies posted 2,830 posters of six red lines, and organized an accumulative total of 139,600 employees to take the staff scene examination.

The interest conflict relation was declared by 24,625 persons, and there were 28,035 items of declared information.

The Party committee of New Hope Liuhe and the Party branch of the Division of The Party committee of New Hope Liuhe carried out the Party building and joint The internal system training was conducted for times. construction activity “stabilizing enterprise and guaranteeing employment” jointly 24 Foreign Economic Cooperation of Sichuan provincial Development of Commerce with Sichuan Branch of State Administration of Foreign Exchange and Sichuan jointly carried out and organized the life meeting on November 26, 2020. Branch of Industrial and Commercial Bank of China in July 2020. 23 The Power of Being Trustworthy - 2020 Corporate Social Responsibility Report of New Hope Liuhe NEW HOPE LIUHE THE POWER OF BEING TRUSTWORTHY 24

FOOD SAFETY

As a leading enterprise in China's agri-food industry, New Hope Liuhe is committed to building a whole process controllable and traceable food safety system from farm to table, bringing consumers safe, healthy and delicate food. New Hope Liuhe has always actively responded to the national strategy, participating in the "three reductions, three health" campaign, the "same production line, same production SERVE standard and same production quality" campaign; participating in the "National Nutrition Plan" and creating a safe and healthy large food industry chain. New Hope Liuhe joined GFSI and worked with outstanding foreign companies to standardize and unify the supply chain system.

CUSTOMERS Relying on its industrial advantages, the company has built a whole process controllable and traceable model of the entire industrial chain in breeding, feed, farming, slaughter, and deep processing of meat products. Safeguarding Breeding, Feed, Farming Through the "Assisted Poultry" and "Hope Farm", technical support and industry chain services are provided for the breeding process of livestock and life with life poultry, and the whole process is provided with unified seedling, feed, breeding, epidemic prevention and sales, which ensure the source of live pigs and poultry food safety is controllable. Food safety Industry service Slaughter Production is carried out in strict accordance with the requirements of the food safety and quality management system throughout the process to Feed e-commerce ensure the whole process traceable and product safety and security. The live pigs and poultry food safety is controllable.

Deep processing

The meat raw materials come from our own industrial chain, and clean production is carried out in strict accordance with the requirements of the food safety and quality management system throughout the entire process, which has realized the whole process controllable and traceable from farm to table, ensuing the food safety.

At the same time, the company makes full use of modern and information equipment to create a full-process transparent, visual monitoring and tracking system. That is, self-owned feed companies, breeding farms, and slaughterhouses achieve real-time video transmission, and terminal meat products can be scanned and traced through QR codes. In our processing plant, the real-time video situation of each link in the upstream can be retrieved at any time through online video, so as to understand the management and control situation of each link in time. 25 The Power of Being Trustworthy - 2020 Corporate Social Responsibility Report of New Hope Liuhe NEW HOPE LIUHE THE POWER OF BEING TRUSTWORTHY 26

FOOD SAFETY AND QUALITY MANAGEMENT CERTIFICATION

The Company actively promotes the standards approved by GFSl, and benchmarks the food safety management plan approved by GFSl to carry out food safety management and system certification, such as China-HACCP, BRCGS certification, Global-GAP and FSSC22000.

At present, subsidiaries of New Hope Liuhe engaged in food business have all passed the food safety system certification and are running well; and 59 subsidiaries have passed HACCP system certification. In addition, the company has also passed BRCGS, FSSC22000 and ISO9001 quality management system certification.

3-LEVEL MANAGEMENT COMPLETE SUPPLIER SUPERVISION MODEL MANAGEMENT SYSTEM

First-class Second-class Third-class Carry out classified and level-to-level management of raw and auxiliary material suppliers, Supervision Supervision Supervision establish supplier selection, evaluation and re-evaluation criteria, implement access audits, and only verified suppliers can be listed as qualified suppliers before they can cooperate. The company The Safety and conducts dynamic management of the suppliers that have cooperated, conducts regular Environmental performance reviews, and realizes closed-loop management. The daily supervision Protection Department of the safety and of the headquarter quality department conducts unannounced Each BU regularly of each subsidiary inspections and supervises the process company conducts a regularly sample control situation. full range of food products from the safety supervision market to verify the and management. food safety of each company. 27 The Power of Being Trustworthy - 2020 Corporate Social Responsibility Report of New Hope Liuhe NEW HOPE LIUHE THE POWER OF BEING TRUSTWORTHY 28

INTERNATIONAL EXCHANGE NEW AND COOPERATION TECHNOLOGY R&D

The Consumer Goods Forum (CGF) is the world's leading industry organization in the consumer goods We are committed to promoting healthy breeding technology from the source of breeding, and industry. It originated in 1953, with the world's best retailers, manufacturers and service providers as promoting antibiotic-free and antibiotic-reduced breeding members. Mrs. Liu Chang, chairwoman of New Hope Liuhe Co., Ltd., and the chairman of Alibaba's 【 Intelligent diagnosis and control technology of bacterial resistance in broiler board jointly serve as CGF global directors and co-chairs of CGF China's board of directors. breeding】:This project is supported by the scientific and technological project of the Ministry of Science and Technology's key research and development plan. Two new New Hope Liuhe actively participated in the related work of the four pillars of CGF. antibiotic replacement products have been developed, which will significantly promote the antibiotic-reduced breeding of broiler chickens. Food and non-food Environmental and Health and Logistics and data flow in the product safety social sustainability welfare end-to-end value chain 【 Research on the mechanism of bacterial contamination of breeding eggs and research and development of new disinfection technology】:The use of new electron The Global Food Safety Initiative (GFSI) is one of the four strategic pillars of CGF. It is composed of the beam disinfection technology to improve the penetration of disinfection, which world's leading food production, retail, and catering supply chain service providers, and advocates significantly reduces the level of pathogenic microorganisms in the eggshell of breeding fundamental solutions to food safety issues. On the one hand, New Hope Liuhe, as the joint vice- eggs and improve the health rate of poultry seedlings. This technology has applied for 3 chairman unit of the GFSI China Council, is committed to conducting standard comparisons, mutual invention patents. recognition of standards, "one certification, everywhere certification", to achieve global convergence TM between different food safety standards, and to improve the cost efficiency of the food supply chain. 【 3M Clean-Trace ATP Fluorescence Detection System】 : It can better prevent and On the other hand, it has made outstanding contributions to promoting supplier food safety solve microbial problems in the production and ensure the food safety of the product. regulations and establishing industry management practices for allergens. Branch plant laboratory

Get results in less than 30 seconds Branch plant laboratory Branch plant laboratory New Hope Liuhe actively participates in CHL China’s “Health Guidance Goods Shelf Landing Project”, provides health products that meet the “three reductions”, and promotes the industry’s value pursuit Convenient The quantitative of health products through collaboration between retailers and manufacturers. result has a linear dependence relation with Detection limit the total Precise Precise N O T 10-15molATP E

F amount of ATP W H H

B

E Advantages O I E P

N Central laboratory P G T E L Branch plant laboratory Branch plant laboratory I R U U H O E S T W W Convenient Advantages O R T E

H Portable design Microorganism+ Branch plant laboratory Branch plant laboratory Y R Food remain

Branch plant laboratory 3M Clean-Trace™ ATP Fluorescence Detection System Data trend analysis software

【 Data trend analysis software】 : It can realize online collection and summary of center-to- point data, and unified analysis and management. 29 The Power of Being Trustworthy - 2020 Corporate Social Responsibility Report of New Hope Liuhe NEW HOPE LIUHE THE POWER OF BEING TRUSTWORTHY 30

INDUSTRY SERVICE HOPE FARM

Hope Farm is a pig breeding model in which the company cooperates with raisers to achieve mutual benefit and win-win results. The company provides management models, high-quality CUSTOMER SERVICE piglets, feed, vaccine drugs, sales services, and technical services; farmers provide labor, pig farms, water and electricity and other production costs. The company bears the breeding risks, and the farmers bear the necessary production costs to increase their income.

At present, Hope Farm’s cooperative pig raising business covers 29 provinces across the country, mainly in Hebei, Shandong, Sichuan, Chongqing, Henan, Shanxi and other provinces.

Piglet Labor

Water and Company Technology Farmer service electricity

Feed and drug Site

We uphold the "customer first" corporate values, actively respond to customer needs, and improve Sale Slaughter service quality. On the agricultural and animal husbandry side, we provide customers with leading technology and supporting services throughout the entire breeding process, and on the food side, we provide customer with swift response services. Hope Farm follows the principle of "six unification of company, three non-responsibility of farm".

Customer feedback system Providing Unified Unified Unified Customer service contact information is printed on all product packaging. unified Unified drugs management farm Unified weaned feed and and construction recycling Establish convenient and quick customer feedback channels such as 400 call and WeChat piglets vaccine technology standards official accounts. Provide 7*24 customer service. Customer feedback content is distributed in real time, with dedicated personnel for answering in real-time. Hope Farm will provide standard fattening piggery and pig-raising labor Real-time follow-up of customer complaints, which ensures that customers' reasonable without undertaking market risk,epidemic risk and capital risk. requests are properly resolved. 31 The Power of Being Trustworthy - 2020 Corporate Social Responsibility Report of New Hope Liuhe NEW HOPE LIUHE THE POWER OF BEING TRUSTWORTHY 32

FINANCING SERVICES Pu Hui’s financial service products:

New Hope Liuhe’s Pu Hui Guarantee Company is supported by the agricultural and animal husbandry industry chain system, relying on the professional industry chain of livestock, Short-term liquidity financial services poultry, pig, cattle and fish that integrates feed, seedlings, slaughter and refrigeration, Provide working capital financial support for large-scale farms through banks and other capital veterinary drug supply and technical services. The core operating model of "All in one" and suppliers, mainly used to purchase feed, veterinary drugs, seedlings and other short-term liquidity a strict and prudent risk control system connect with the financial sector and related needs, including broiler, meat duck, pig, layer hen, rabbit, dairy cow, fish, etc. The loan term is up to 12 companies and other resources to carry out guarantee business to serve the majority of months. agricultural and animal husbandry customers.

This service has fast lending speed and low cost, which solves the difficulty of farmers' inability to All-in-one Operation Mode effectively and quickly obtain financing and high financing costs.

Pu Hui innovates "government + enterprise + bank + guarantee company + insurance Through cooperation with funder, upstream feed mills, and downstream cold storage plants, Pu Hui company + farmers" multi-integrated operation model. The funds will be paid to the controls the inflow and outflow of funds, ensures that funds are closed within the industrial chain, and corresponding poultry plant and feed plant. The bank designs products according to the realizes the use of special funds. breeding cycle, with fast capital turnover and strong funding liquidity. Farming fixed assets financial services Funds flow within the industry chain, guaranteed farmers will settle their profit margin after their livestock has been slaughtered and sold. The entire process is closed and risk is In order to meet the financial needs for developing modern and large-scale breeding farms, Pu Hui controllable. That ensures the safety, rationality, effectiveness and scientific nature of bank provides financing services for the fixed asset investment of large-scale breeding farms, including the funds. construction of sheds and the purchase of breeding equipment. The main channel is financial leasing.

Features of Pu Hui guarantee model The farm’s one-time loan is repaid in batches according to the breeding cycle, which reduces the burden of the farm’s repayment, effectively solves the problem of customers without capital expansion and large capital occupation after expansion, and realizes the operation of farming with light assets.

Closed operation The company implements an access mechanism for equipment factories to improve equipment of special purpose loan standardization. To implement unified collection and payment, realize capital closure, and improve capital security. Take advantage Card payment of industry supervision Other services Realize the industrial chain Controllable funds Pu Hui provides farmers with a full range of breeding services, including plant planning guidance, Closed cycle breeding service guidance, a full range of guidance and support for the entire breeding process, and assistance in selling after successful breeding. Pu Hui also solve breeding difficulties for farmers and help farmers achieve successful breeding and stable profitability.

Production cycle Commodity ownership Accumulative secured loans of 45 billion yuan to 150,000 farmers and 140 billion yuan in output Cycle transfer circulation and logistics value of guaranteed farmers. This led to the creation of 3,400 standardized broiler farms with 210 Controllable Fund information million amount of livestock, and 1,250 new standardized duck farms with 87 million amount of and visible Complete livestock. Moreover, drove nearly 2,500 new standardized pig farms with 3 million amount of synchronization livestock. 33 The Power of Being Trustworthy - 2020 Corporate Social Responsibility Report of New Hope Liuhe NEW HOPE LIUHE THE POWER OF BEING TRUSTWORTHY 34

360 comprehensive risk control management system CHANG NENG Pu Hui implements a 360 comprehensive risk control management system, upgrading from a single NEW HOPE LIUHE business risk control to a comprehensive risk control, ensuring the safety and reliability of the business in an all-round way. 360 comprehensive risk control management system includes operational risk Chang Neng Biological Environmental Protection Feed series management, legal contract management, seal management, operation authority and approval has entered the O2O feed e-commerce platform-New Hope authority management, file management, employee moral hazard management, important customer Liuhe Excellent Online Mall. So far, the online mall has management, etc. registered more than 30,000 farmers, served more than 20,000 farms and corporate users, and sold more than 20,000 tons of premixes annually. FEED E-COMMERCE

During the epidemic, the traffic was inconvenient. New Hope Liuhe feed CHANG XIAO520 industrialization turned crisis into an NEW HOPE LIUHE opportunity, vigorously developed e- commerce channels, quickly launched digital New Hope Liuhe has worked closely with Zhuyi Mall to create construction projects, and promoted the the Chang Xiao brand. Its “Chang Xiao 520” has been well continuous upgrading of the feed industry received. So far, it has served 100,000 online farm users, and through digital procurement, digital nutrition, its sales cover more than 98% of the country. It has won many digital intelligence factories and digital brand awards such as the "Trustworthy" popular e-commerce marketing, building a digital ecosystem of Chinese Pig Farmers, popularity star products and other together with users. honors. Meanwhile, it has ranked as the top sales of settled e- commerce platforms for many years.

Relying on the resources of the entire industry chain, the company makes full use of the Internet, big data, cloud computing and other technologies to combine traditional feed sales with the Internet to vigorously develop digital e-commerce business. Brand promotion, user training, and product ordering are carried out through WeChat official accounts, self-owned platforms, and third-party platforms to reshape sales channels, which not only broadens market channels, but more importantly, provides customers with convenient and efficient purchase channels. And that reduces intermediate costs, CHANG WANG improves supply efficiency, service quality and customer satisfaction. NEW HOPE LIUHE

The company established the Chang Wang brand and In 2020, there are total of 196 live broadcasts, e-commerce sales of 3.2 million tons, and 38,120 members. entered the Golden Pig Mall and Taobao Mall. Starting from the needs of users, in addition to providing stable quality products for large-scale farms, it also provides personalized Total of 196 E-commerce sales 38,120 services such as raw material testing, technical guidance, and product customization, and has long-term friendly live broadcasts of 3.2 million tons members cooperation with thousands of customers. 35 The Power of Being Trustworthy - 2020 Corporate Social Responsibility Report of New Hope Liuhe NEW HOPE LIUHE THE POWER OF BEING TRUSTWORTHY 36

SCIENCE & TECHNOLOGY

“5+3”S&T INNOVATION SYSTEM

New Hope Liuhe adheres to scientific and technological innovation-driven, continuously increases the intensity of scientific and technological research and development and innovation, promotes the LEADING THE transformation and application of scientific and technological achievements, and strives to be a leader of scientific and technological innovation in agri-food industry. Under the guidance of the new three- year industrial development strategy, the research fields consists of biological breeding, animal INDUSTRY nutrition, breeding technology, disease prevention and control, etc. A "5+3" scientific and technological innovation system has been set up with five major research institutes as the main part, and the Breeding Division, the Animal Healthcare Center and the Safety and Environmental Protection Department as the auxiliary parts, basically realizing the scientific and technological empowerment to Building smart cover the whole industrial chain of agriculture and animal husbandry, and helping the company to develop sustainably and with high quality in various fields such as feed, pig industry, poultry industry, urban and rural food processing and safety, and animal husbandry, etc. areas with science In 2020, the company's R&D investment reached 267 million yuan, a year-on-year increase of 53.44%, and technology and the number of scientific and technical personnel reached 1,013. The company has applied for 2,006 patents and obtained 1,371 authorizations. In 2020, it applied for 295 patents, including 93 invention patents. Science & Technology Digital Enterprise The company’s Overall patent R&D investment applications 267 million 2006 Year-on-year yuan Authorizations growth obtained Invention 53.44% Scientific 1371 patents Patent and technical 93 personnel applications 1013 in 2020 295

The company’s R&D investment The company’s patent applications 37 The Power of Being Trustworthy - 2020 Corporate Social Responsibility Report of New Hope Liuhe NEW HOPE LIUHE THE POWER OF BEING TRUSTWORTHY 38

6H ANTIBIOTIC FREE FEED THE POWER Under the background of feed "anti-biotic free", livestock feeding management is facing great challenges. In order to keep the breeding benefits of farmers unaffected, New Hope Liuhe has OF BEING TRUSTWORTHY launched a comprehensive 6H anti-biotic free solution after years of research and development. NEW HOPE LIUHE Focusing on intestinal health, we achieve six core competitiveness: "heart nutrition, heart raw materials, heart technology, heart environmental protection, heart health and heart production". We optimize the plan in terms of the feed nutrition, processing technology, additive scheme and different customer types.

Heart nutrition Heart production

According to the actual needs of pigs at different growth stages for We implement 6S management system of production workshop, nutrients, the accurate raw material database model is used, and strictly abide by production process control and cleaner balanced amino acid low protein technology, net energy system and production management requirements, report in real time, to unconventional raw material application technology are combined to truly achieve "clean production" and "standard production", and realize multi-directional accurate nutrition. ensure the stability of product quality.

Heart raw materials Heart technology

We firmly believe that good raw materials can make good products, and It is equipped with high-grade equipment such as numerical we carefully select high-quality animal and plant raw materials, strictly control bulking machine, concocted quality assurance device, control procurement, and implement comprehensive and rigorous raw imported ripening device, etc., to carry out all-round processing material quality standards to ensure that all raw materials are high- production, and improve the digestibility and safety of feed. quality and fresh.

Heart environmental protection Heart health

After more than ten years of technical precipitation, the microbial Using advanced big data management platform and perfect fermentation engineering technology was used to realize iteration from three-level closed-loop R&D system, we systematically screened four dimensions of raw materials, nutrition, flavor and technology, so as a series of functional additives, such as intestinal health to improve the palatability of feed, improve the digestibility and regulators and immune enhancers, and worked out a number absorptivity of nutrients, reduce the emission of fecal nitrogen, regulate of non-resistant programs to promote the rapid development of the intestinal health of animals and enhance the immunity of the piglets' intestines and fundamentally reduce the occurrence of organism. We try to create ecological breeding environment, to produce diarrhea and other diseases in piglets. safe and high-quality meat food and realize ecological security. 39 The Power of Being Trustworthy - 2020 Corporate Social Responsibility Report of New Hope Liuhe NEW HOPE LIUHE THE POWER OF BEING TRUSTWORTHY 40

BIO-ENVIRONMENTAL FEED BREEDING SYSTEM FOR PIG BREEDING

In view of the development trend of eco-environmental protection and feed antibiotic-free, New Hope In 2020, New Hope Liuhe formally established a breeding company. The company is committed to Liuhe developed and launched bio-environmental feed. By microbial fermentation and other technical maximizing the value of the industrial chain, balancing breeding and creating "pig chips" with means, bio-environmental feed can effectively reduce anti-nutritional substances, convert protein into independent intellectual property rights. We do not just take one end of the pork industry chain as the easily absorbable small peptides, degrade macromolecular substances into small molecular starting point of interest. We analyze the value of each link through big data, carry out balanced substances, and convert inorganic substances into organic substances, which greatly improves the breeding, and comprehensively select breeding pigs, so as to maximize the benefits of the industrial utilization rate of nutrients by animals, especially the absorption and utilization of nitrogen, chain when the production of commercial pigs meets the regional stage. phosphorus and heavy metals, and reduces animal excretion and reduce the emission of nitrogen, phosphorus and heavy metals, which reaches more than 15%. Technical system

As one of the important solutions for the substitution of feed antibiotics, bio-environmental feed is rich We adopt the dynamic core group breeding system for breeding. Statistics of reproductive traits and in organic acids, probiotics and metabolites of probiotics, which can effectively regulate the intestinal growth traits are collected and managed by breeding software with independent intellectual property health of animals, enhance the immunity of organisms and effectively boost healthy farming. rights, and the multi-trait breeding value is estimated.

After many years of research and development iteration and exploration, New Hope Liuhe has HUGE HOPE: a genome breeding software with independent intellectual property rights, covers launched a series of star products of bio-environmental feed covering all livestock species, including production management and the genome breeding evaluation system with simultaneous operation of pig feed "Green Imprint" and "Confinement Meal", poultry feed "Many Eggs", aquatic feed "Happy Fish 6 growth characters + 6 reproduction characters, and has the international leading level. and Fishing", ruminant feed "Proud Sheep" and "Good Cattle Luck", etc., and is committed to building the first brand of domestic bio-feed. Intelligent management system: includes a variety of intelligent control and monitoring systems. For example, intelligent temperature and humidity control system in the house can create comfortable and superior growth environment for breeding pigs through ventilation system, wet curtain cooling system, Core technology gas heating system and electric heating automatic insulation board. This system has reached the international leading level.

Accurate growth detection system: the data of feed consumption and weight gain during the growth of Different from the common drying and fermentation of raw materials in China, the bio-environmental breeding pigs can be obtained through electronic feeding station equipment, and the accurate long feed adopts a new wet-base fermentation technology, which is the first mobile platform fermentation curve of breeding pigs can be drawn. After measuring accurate backfat and eye muscle area by high- technology in China, and the finished products with uniform particle size and up-to-standard quality precision B-ultrasound instrument, combining with genome breeding software HUGE, the breeding can be finished by one fermentation. value of accurate breeding pig performance can be obtained. The raw materials such as rapeseed meal/soybean meal were fermented by unique dominant strains Accurate management system of wireless electronic ear tag: after breeding pigs are born, they wear and fermentation technology, which were directly applied to feed preparation without drying, and the wireless electronic ear tags for life, and with the help of electronic ear tag identifier and HUGE built-in nutritional components of the raw materials were preserved to the maximum extent. management system, they can achieve individual precise positioning management, so that every Scientific compatibility of wet-base fermented feed can promote intestinal health, optimize feed intake breeding pig produced can achieve the goal of traceability throughout the whole process. and promote absorption and utilization of nutrients through the regulation function of dietary fiber and intestinal probiotics. Development planning Used in perinatal period of sows, it is beneficial to shorten the labor process of sows, increase the lactation yield of sows and greatly improve the survival rate of piglets. In the aspect of white pigs, we are committed to cultivating "New Hope Breeding Pigs", and have covered the world's excellent breeding pig varieties in the company's pig industry system, as an The company continues to research and develop bio-environmental feed, and has applied for 13 important breeding material for breeding technology and an important resource for improving the invention patents related to bio-environmental feed up to now. performance of breeding pigs. At present, New Hope Liuhe has built nearly 100 production lines of fermentation raw materials in In terms of local pigs, taking the cultivation of "high-quality and low-price local pork" as the guide, the China, with an annual output of over 3.5 million tons of bio-environmental feed, over 115,000 tons of local pig breeds in China are utilized and protected, and the breeding and utilization work is carried out wet-base fermentation raw materials, and a national production capacity of over 6 million tons. in combination with the advantages of the food business of the company. 41 The Power of Being Trustworthy - 2020 Corporate Social Responsibility Report of New Hope Liuhe NEW HOPE LIUHE THE POWER OF BEING TRUSTWORTHY 42

ANIMAL HEALTH DIGITAL ENTERPRISE

The company is committed to providing domestic testing tools with cost effetive diagnosis and monitoring of major diseases in large-scale farms, food safety testing, feed With the goal of building an excellent enterprise driven by mycotoxin testing, etc. Through independent or digital intelligence, New Hope Liuhe has developed from cooperative research and development, a total of 16 kinds "digital" to "intelligent", with "intelligent enterprise" and of diagnostic kit products for animal diseases such as pigs "industrial interconnection" as the main developmental line, and poultry have been developed. firmly and continuously promoting digital transformation and intelligent upgrading, and building an excellent operation Establishing the monitoring and early warning network of enterprise driven by digital intelligence with "full chain online, pig disease. A total of 165 rapid inspection laboratories at all employees online, comprehensive intelligence and the breeding end were set up nationwide. Through comprehensive optimization of indicators". standardized laboratory operation guidance and technical The company actively explores the new infrastructure of smart agriculture and animal husbandry and system training, a livestock and poultry disease monitoring the upgrading of digital enabling industry, focusing on major cutting-edge science and technology network covering the breeding business was formed to projects such as SaaS platform, industrial Internet, artificial intelligence, Internet of Things and serve large-scale farms and small and medium-sized biosafety. The company has developed and promoted a number of scientific research innovations such farmers, so as to facilitate timely detection of epidemic as intelligent pig breeding platform "Huiyangzhu", "cloud stocking" platform, "pig breeding-Xiujie situation and early prevention and control. system", "intelligent biosafety prevention and control of pig farms" and "precise feeding", breaking through the technological monopoly of foreign head companies and filling the domestic gap. Among them, the "Liaonifu" breeding ecosystem and the "Jubaozhu" pig trading platform are the most ZHONGXIN complete pig breeding ecosystem in China, which have provided tens of thousands of farmers and upstream and downstream enterprises in the industrial chain with digital services and tools of "buy, WHITE FEATHER DUCKS raise and sell" in the whole chain, and effectively promoted the efficiency and empowerment of the whole industry ecology.

"Zhongxin White Feather Meat Duck System" is a meat duck supporting system with fast growth speed, high feed SOFTWARE ECOSYSTEM conversion efficiency, high breast meat rate and low sebum rate, which is bred from Beijing ducks in China. Liaonifu After nearly 10 generations of high-intensity continuous breeding, its reproduction, growth, appearance and other New Hope Agricultural Materials Mall provides farmers and distributors with an online platform with indicators have reached or surpassed the mainstream lines high quality and low price. It is convenient and quick to place orders with one click and access the in the market, and have been unanimously recognized by financial services of New Hope Industry; At the same time, it provides farming services such as market the market. At present, the market share of ancestors has quotation, consultation, professional technical training, and policy release to help farmers grow. exceeded 15%, and that of commodities has exceeded 10%. ①Buy feed online and place an order with one click. Pay online. Pick-up reminder and in-transit tracking make it easier and more convenient to buy feed; ②Industrial financial services with direct connection, which can be used as you borrow to help customers In 2020, our company independently developed the meat grow;

duck breeding system and started molecular breeding, ③Provide technical live broadcast, breeding technology, market information, dealer bookkeeping and which significantly improved the breeding efficiency. other products and services to make breeding easier. Liaonifu 43 The Power of Being Trustworthy - 2020 Corporate Social Responsibility Report of New Hope Liuhe NEW HOPE LIUHE THE POWER OF BEING TRUSTWORTHY 44

Huiyangzhu

A pig farm production management software based on self-reproduction and self-support. The aim is to establish digital pig raising, manage pigs in the whole life cycle, and transform the original pig raising with experience to pig Huiyangzhu raising with data, so as to realize production visualization, management traceability and risk early warning. Cloud stocking GIVING BACK A pig stocking management platform based on "internet + big data", which is used to realize the comprehensive intelligent, standardized, visualized and controllable management of the whole life cycle management of raising TO SOCIETY households and stocking production process, to realize the comprehensive Cloud stocking management of seedling feeding, feeding, dead scouring, immune medication, patrol monitoring, sales and settlement, and to help standardize the production process of commercial pig stocking business management, and monitor the asset safety, feed and drug use Creating beauty compliance. with hope Jubaozhu Anti-epidemic & Supply Guarantee Targeted Poverty Alleviation Rural Revitalization

Jubaozhu Social Good

Live pig trading platform, which gathers buyers and sellers, provides various trading modes such as bidding, pricing and purchasing, provides more convenient trading channels, and improves the efficiency of trade matching.

①The safety of pigs can be traced, from breeding to pig sales, and the whole process is opened, making the transaction safer and traceable; ②Open transaction matching platform, unified product standards and transaction standards. Sellers put pigs on shelves to make a direct access to national buyers, to improve the efficiency of buying and selling pigs, and reduce transaction costs; ③Collect the national pig prices, and provide services such as pig price market analysis and industry information through big data technology.

Serve in total nearly The cumulative number of transaction volume of Jubaozhu 50,000 farming practitioners exceeded 10 billion yuan 45 The Power of Being Trustworthy - 2020 Corporate Social Responsibility Report of New Hope Liuhe NEW HOPE LIUHE THE POWER OF BEING TRUSTWORTHY 46

ANTI-EPIDEMIC & SUPPLY GUARANTEE STORIES Support Wuhan at First Time In response to the outbreak of COVID-19, New Hope Liuhe took the lead in taking prevention and In February 2020, Hope Food Company, a subsidiary of control measures in the industry and quickly resumed production to ensure meat supply. In 2020, the the company, gave up its Spring Festival holiday and company’s live pig sales were 8,292,500 heads and supplied 1,857,300 tons of poultry meat, 207,700 worked overnight to make 3,000 pieces of ham tons of pork, and 216,800 tons of various types of deep processed meat products and convenience sausages, self-heating hot pot of Meihao brand and vegetables. other convenience foods worth 440,000 yuan to start the action of supporting Wuhan. These supplies were

ANTI-EPIDEMIC MEASURES sent to Hubei Charity Federation on January 30 to support frontline pandemic prevention and control in Wuhan and surrounding epidemic areas. The company set up an pandemic prevention and control steering group, hired an pandemic prevention and control consultant, developed COVID-19 prevention and control guidelines and Love Transmission at Home and Abroad disinfection measures covering the agri-food business, and quickly implemented them to its overseas branches and subsidiaries. In February 2020, when the pandemic was at its peak in China, there was an extreme shortage of medical supplies, so the overseas company purchased 500,000 masks locally and transferred The company developed a series of COVID-19 prevention and control measures for food: standardized them to China. disinfection treatment and certificates of procurement for the outer packing of cold chain raw material; adopted a comprehensive disinfection and prevention and control measures during processing to As the pandemic overseas gradually became severe, the company organized its overseas prevent food contamination; and adopted a new anti-freezing disinfectant formula to ensure a good employees to get coronavirus vaccine in batches, helping them to fight the pandemic. disinfection effect in cold chain environment, keeping food safety and hygiene.

The company formed a medical supplies security team to urgently coordinate the procurement of 400km to Transfer Goods for Customer masks, forehead thermometers, goggles, protective suits, disposable gloves, disinfectants and other medical supplies to ensure the demand in its factories. On February 4, 2020, PengShan New Hope Company’s marketer He Ping received a call from a customer in of Ya'an for help-there was a serious shortage of feed in his field. The company resumed production quickly. More than 90% of the factories resumed work on the But, PengShan New Hope Company didn’t produce as planned, what should He Ping do? seventh day of the Lunar Year, and all the branches included Wuhan company resumed work and production on February 19, 2020. He Ping decided to go to brother company Jiahao Company to buy feed for the customer and send it to the customer's home. But the one-sided journey from Mingshan to Ziyang and The company responded to the government's call to reduce the movement of people and the difficulty then to Baoxing was more than 400 kilometers. He Ping drove day and night, knocked on the of pandemic prevention, organizing employees to spend the Lunar New Year in their city of work. customer's door at 1:00 am on February 5, and sent livestock and poultry "life-saving feed", masks, disinfectants, salt, grain and oil and other daily necessities.

JOINT HANDS TOGETHER Fight Pandemic Together with NanGong, Hebei Province

The company donated 10 million in cash through Sichuan Green Collar Charity Foundation to On January 3, 2021, the first case of COVID-19 pandemic was reported in Nangong, Hebei. Hebei participate in the formation of the “Special Fund for Pandemic Prevention and Care for Agriculture, Kinghey, a subsidiary of New Hope Liuhe, donated 1,000 pieces of ham sausages and 2,000 Rural Areas and Farmers”; pieces of milk to Nangong Anti-Epidemic Headquarter. Facing the closed roads, blocked provided convenience food and disinfection supplies worth more than 700,000 yuan to the communities and inconvenient shopping for the public during the pandemic, Hebei Qianxihe construction personnel of Huoshenshan Hospital and Leishenshan Hospital and medical workers in the implemented strict closed management, operated production for more than 16 hours a day, first line of anti-pandemic in various regions; formed twenty welfare wechat groups of five-hundred people and supplied the community every branch and subsidiary donated cash and supplies worth 1,132,700 yuan to the relevant local directly with small packages, ensuring a daily supply of more than 8,000 kg of pork products. authorities; and employees donated 1,362,782.63 yuan. 47 The Power of Being Trustworthy - 2020 Corporate Social Responsibility Report of New Hope Liuhe NEW HOPE LIUHE THE POWER OF BEING TRUSTWORTHY 48

TARGETED POVERTY ALLEVIATION POVERTY ALLEVIATION EFFECTIVENESS

In 2020, the company invested 1.34 billion yuan for the development of 10 industrial projects to lift 83,551 people out of poverty. Since 2017, the T N O company has developed a total of 106 poverty alleviation projects in three E F

W H years, distributed in 15 provinces (and municipalities directly under the H

B Central Government), including Sichuan, Guizhou, Yunnan, Gansu and E Chongqing. The cumulative number of people helped to increase income is O I E P N

P more than 100,000. G T E L I R U U H POVERTY ALLEVIATION SAMPLE O E S

T Shandong Xiajin Live Pig Industry Poverty Alleviation Base W W The company integrated more than 43 million yuan of provincial, municipal O and county funds for poverty alleviation and industrial development, and R T E invests in the pig farm for poverty alleviation. New Hope Liuhe were in

H charge of the project, the company promoted green, low-carbon, high- Y R quality and high-efficiency supply-side structural reform in agriculture, and organically combined with farming environment management and targeted poverty alleviation by supporting industry to advance rural development through industrial prosperity. The project provided jobs for more than 30 people and brought 5,955 poor households with11,038 poor people in Xiajin County to achieve stable income growth. POVERTY ALLEVIATION MODEL Sichuan Liangshan Zhaojue Tekoujiagu’s “4+N” Model

With the support of the government's poverty alleviation policies, New Hope Liuhe actively That is: " Government + People's Bank of China Chengdu Branch + New Hope Liuhe devoted in targeted poverty alleviation by focusing on industrial poverty alleviation , and + Village Collective + N poor people in Tekoujiagu". The first batch of fat pigs was successfully supplemented by educational poverty alleviation, employment poverty alleviation, donation slaughtered in November 2018, and Tekoujiagu yielded more than 300,000 yuan. The village poverty alleviation and other poverty alleviation causes. The company relies on the cooperative paid dividends of 2,500 yuan per household to 62 poor households and 500 yuan per advantages of the company’s breeding, feed, slaughter and other industries, through "3+N", household to 43 non-poor households. The second dividend was paid on July 8, 2020, with 3,000 "4+N" and other industrial poverty alleviation modes, and combines archived poor households yuan per household for poor households and 1,500 yuan per household for non-poor households. and its breeding base into a community of shared interests, bringing stable benefits to poor The per capita income of Tekoujiagu has reached 9,000 yuan, realizing the whole village out of households and realizing a win-win outcome for the country, enterprises, large farmers and poverty. The base annually has two batches of live pigs, contributing to the sustained poverty poor households. alleviation and income growth of the poor people in the village. 49 The Power of Being Trustworthy - 2020 Corporate Social Responsibility Report of New Hope Liuhe NEW HOPE LIUHE THE POWER OF BEING TRUSTWORTHY 50

Training RURAL REVITALIZATION 532,789 participants

GREEN COLLARS TRAINING

The company planed to complete the training of 100,000 new 1513 farmers and other goals by 2023 and actively give full play to the sessions advantages of leading enterprises in scientific and technological innovation, financial support, technical training, market connection, Training etc. The company will train a group of talents in short supply for the 127,000 construction of modern Chinese villages, and actively advance the participants integrated development of rural primary, secondary and tertiary industries to contribute to the rural revitalization strategy. Training 46,702 New Hope Green Collar College and 100,000 270 participants New Farmers Training Base sessions 102 sessions The young generation with culture, technology and quality is the reserve force for the rural revitalization, and is the target that New Hope needs to train carefully. We have established New Hope Green Collar Colleges together with Shandong Vacational Animal Science and 2020 Accumulated Accumulated Veterinary College, Jiangsu Vocational College of Agriculture and New Farmer Training offline training online training Forestry, Xinjin County Government, Jiangmen Polytechnic and Chengdu Agricultural College, successively opened modern New Hope Training sessions Number of participants Liuhe classes, and at the same time built 100,000 new farmers training bases complemented each other’s advantages. At present, more than a thousand college students have been trained to be the reserve force of the agriculture and husbandry industry. Green Collar Public Lecture

New Farmers Teaching Materials and At the beginning of 2020, the traffic was closed because of the COVID-19 pandemic and it Online Micro-courses was difficult to organize onsite training. We changed our way and took advantage of the situation to innovate. We jointly launched Green Collar Public Lecture with Farmers’ Daily, Farmers had different levels of education, and the relevant teaching China News, China Rural Magazine, Kwai App, and National Rural Industry Integration and materials on the market were too professional and obscure for farmers. Development Alliance. It aimed to build the Republic of China Military Academy in the field Thus, the company organized a number of senior experts to write and of agriculture, rural areas and rural people to train more green collar talents online. In just edit and complete two teaching materials of standardized operating one year, the short video of Green Collar Public Lecture has been broadcasted 13 million procedures for pig and chicken raising in a month, which are both times on the whole network. interesting and professional. The use of fragmented time to learn In 2020, 270 public lectures for new farmers were conducted, training 127,000 people in knowledge from online has become a learning trend. The micro- total. The cumulative number of offline public lectures is 1,513, training sessions with courses of raising pig and chicken are to factor out systematic 46,702 participants; 102 online public lectures, training 532,789 people. knowledge to 5-minute online micro-courses in a way that farmers can understand, and teach farmers a farming skill each time. 51 The Power of Being Trustworthy - 2020 Corporate Social Responsibility Report of New Hope Liuhe NEW HOPE LIUHE THE POWER OF BEING TRUSTWORTHY 52

THE POWER OF BEING TRUSTWORTHY NEW HOPE LIUHE

SOCIAL GOOD

HOPE PROJECT WARM WINTER PROJECT

On November 18, 2020, ICBC Liangshan Yi Financial Poverty Alleviation Since 2016, New Hope Liuhe has continuously Investment Seminar was held in , where New Hope Liuhe's seventh the Activity for a organized the June 1st Wish Campaign for five Warm-hearted Winter donated 2 million yuan to Government and warm winter years in Zhaojue, Liangshan Prefecture, Mujiaba, supplies worth of 60,000 yuan to through Sichuan Green Collar Public Welfare City, Sichuan Province, Babu Township, Foundation. Ya’an City, Sichuan Province, Meigu County, Liangshan Prefecture and other places, The seventh the Activity for a Warm-hearted Winter also sent warm winter supplies to local mobilizing employees and social loving people farmers and teachers and children in kindergartens in Youri Village, Rangtang County of Aba to send June 1st wish gifts to children in poor Prefecture. mountain areas, establishing one-to-one contact with children, and letting more people to Every year when winter comes, New Hope Liuhe takes the pay attention to the growth of poor children. lead in organizing employees to send warmth and care to the poor areas, old revolutionary base areas and Tibetan and Yi minority areas, helping them build schools and In June 2020, in order to send more care to nursing homes, continuing to give love to society and children during the pandemic, the 5th Wish actively fulfilling corporate social responsibility. So far, New Campaign was upgraded to the Wish for 10,000 Hope Liuhe has organized the Activity for a Warm-hearted Children Project, raising more than 1.3 million Winter for seven seasons, and continuously gave love to the yuan and helping 10,869 children to fulfill their elderly and children in poor areas, old revolutionary base wishes. areas and Tibetan and Yi minority areas. 53 The Power of Being Trustworthy - 2020 Corporate Social Responsibility Report of New Hope Liuhe NEW HOPE LIUHE THE POWER OF BEING TRUSTWORTHY 54

REDUCTION

Through solar energy, waste heat recycling and other energy saving measures, natural gas can be saved about 235,600 cubic meters. Through photovoltaic power generation, electricity can be saved about 7,235,000 kWh. Waste heat recycling by steam condenser saves 260,600 cubic meters of natural gas.

ENVIRONMENTAL Through innovation in management and process, water can be saved about 440,000 cubic meters, and through water reuse PROTECTION saved about 873,500 cubic meters. ECOCYCLE Giving back to New Hope Liuhe has always been holding the concept of nature with circular combination of planting and breeding, which means "promot breeding by planting, driven planting by breeding", and agricultural committed to transforming the cultivation waste and pollutants from pig farm into available resources with fermentation, so as to return to the field. New Hope Liuhe has planted appropriate Reduction plants according to local conditions such as crops, fruits and vegetables, therefore the circular agricultural could be truly Ecocycle realized. Besides, soil quality has improved by returning the fields with organic fertilizers, allowing nature to return to its Recycle original ecology, in order to realize "The Use of Recycle, Giving Back to Nature".

In 2020, New Hope Liuhe joint pig husbandry and crop farming together. With the rapid expansion of pig husbandry, the planting area of the company has increased dozens of times; the internal supply has grown to more than 500,000 Jin from 70,000 Jin; the absorption net was built about 6,138 mu which Scan to read the story of the combination of planting and breeding absorbed 2,520,000 cubic meters recycled water. “Reborn field in the heart”

In 2020, New Hope Liuhe has improved "pig-biogas-fertilizer-fruit/vegetable/grain" planting and breeding circular agricultural model. The planting area was divided into forest, fruit, grain and vegetable. The area mainly grows crops, and matches a certain area of fruits, vegetables and nursery stock at the same time. This model could neutralize more than 4,500 tons of carbon dioxide a year.

In 2020, total planting area is 95,934.81 mu, organic fertilizers quantity is 34,864.49 tons; biogas production is 191,523 cubic meters. 55 The Power of Being Trustworthy - 2020 Corporate Social Responsibility Report of New Hope Liuhe NEW HOPE LIUHE THE POWER OF BEING TRUSTWORTHY 56

RECYCLE Hubei Xinhao Guling Village Program Hubei Xinhao Guling Village is a breeding pig farm project with an annual stock of 13,500 pigs. The farm is located in Guling Village, Zishan Street, Wangcheng Town, Zaoyang City, under the jurisdiction of Xiangyang City, Hubei Province. Construction started in September 2019 and officially put into operation in April 2020. The total area is about 1,731 mu, including more than 800 mu of pig breeding area, 862 mu of planting area, and 108 mu of fish ponds.

New Hope Liuhe actively responded to the national strategic guidance and initiated the "The Use of Recycle, Giving Back to Nature". New Hope Liuhe invited social volunteers to the pig farm to learn about the transforming of the cultivation waste and pollutants from pig farm into available resources The crops of Guling Farm are all planted in the combination of "pig-biogas-fertilizer- through fermentationt to realize the process of resource regeneration and reuse, and to participate in fruit/vegetable/grain" planting and breeding circular agricultural model. The planting area was planting activities to experience the "benefits for future centuries" of the cycle of planting and breeding divided into forest, fruit, grain and vegetable. Various types of forest land cover more than 400 mu, and model through time and experience. fruit occupy more than 400 mu. It covers an area of more than 130 mu, with rice fields covering nearly 100 mu and more than 20 mu of vegetable area. The main crops planted and managed this year include: peach trees, loquats, bayberry, plum trees, rice, poplars and various seasonal vegetables, etc. “The Use of Recycle” activity in Hainan

On December 10, 2020, “The second New Hope Liuhe ‘The Use of Recycle’ giving back to nature” activity was held in Hainan Lingao New Six Cycle Agriculture Demonstration Base. Volunteers from the media, investment and research institutions and other units learned in detail about the company’s pig industry development, environmental protection concepts, ecological recycling agriculture model, and the basic situation of the Hainan Lin Gao Binglian Sow Farm. They learned that planting pineapples is beneficial to the absorb of recycled water, which is a good partner with pig farm for the ecological cycle.

After that, the volunteers planted 10 pineapple seedlings per person under the demonstration and guidance of the experts. The sewage absorbed by these 10 pineapples each year is equivalent to the annual sewage output of a piglet. In 2020, the total harvest of peach trees in the planting area will be more than 21,000 kg, and the total output of rice will be more than 30,000 kg. The 862 mu of planting land in the Guling Village project has The volunteers wrote down their feelings about participating in the activity and their messages to the a cumulative annual treatment of 1,980 tons of organic fertilizer raw materials and 118,000 recycled pineapple, then put it into time capsules, and buried them in the ridge of the planted pineapple. water, which basically solved the environmental protection problem of the farm. 57 The Power of Being Trustworthy - 2020 Corporate Social Responsibility Report of New Hope Liuhe NEW HOPE LIUHE THE POWER OF BEING TRUSTWORTHY 58

TALENT STRATEGY

DEVELOPMENT IDEA

New Hope Liuhe always adheres to the talent first strategy, and every hardworking employee is the most important asset of the company.

The company focuses on providing lifelong learning opportunities for its employees, cultivating their lifelong ACTIVATING THE employability, giving hardworkers a competitive income, and emphasising the continuous appreciation of human capital. The company respects individuality, adapts and accommodates diverse values and behavioural patterns, supports and helps employees to develop their potential, and nurtures and reserves ORGANIZATION talents needed for continuous development. Talents before business The "benevolent talent" Speciality and teamwork Training before talents standard

The company puts the management of We emphasize the virtue, talent, ability and hard Downplaying authority, strengthening Achieve yourself talents in the first place of the company's work of talents, emphasizing that virtue comes competence and concerning people with facts management, regards human resources as first, and regard those who have virtue + ability + and not with individuals. Emphasize team the first resource of the company, and gives value creation as "benevolent talents", and awareness and build a harmonious team. Treat with growth priority to the development of human "benevolent talents" are those who have others other relationships as well as you can, and resources. in mind, love them and have the ability to create achieve harmonious development between value for them and bring them benefits. New Hope Liuhe and the value chain.

Full empowerment and Learning, openness Simple and positive Talent Strategy growth through work and development New Hope Liuhe dares to provide a platform We ask people in New Hope Liuhe to be sunny New Hope Liuhe requires maintaining the Righst protection for newcomers to grow, stresses pressure to and positive, active, open, friendly and loving, tradition of a review culture, keeping a grow, hones growth, and cultivates and not to do things that go against their humble mindset, making learning work and selects talents through work. Emphasize the conscience, to strengthen their personal work learning, accepting others and Health & Safety ability of doctrine, performance - oriented, training, to cultivate themselves for good, to see integrating them with a happy mindset, and eclectic use of benevolent talents. more of people's strengths, and to be tolerant achieving mutual growth between the Salary Incentive of wells to give others the help they can. company and its value chain partners. The employment mechanism Professionalism, expertise Long-term talent that people and business and specialist development Staff Care grow together orientation. development strategy

New Hope Liuhe is willing to provide a stage We help everyone to find out their core Through a comparative analysis of the Training & Education for outstanding talents. Only under the expertise, attach importance to the training organization's future competency needs and premise of continuous improvement of and development of their core expertise, and the existing competencies of employees, we employees' ability and enhanced team integrate learning and training throughout take a variety of training measures to cooperation, can the overall ability and their careers so that they have the enhance the competencies of employees and performance of the enterprise be improved. opportunity for lifelong learning, thereby help them grow. Only under the condition that the career is full continuously improving their abilities. of promising and continuous development, can the employee obtain more training opportunities and greater development space. PROMOTION CHANNEL

New Hope Liuhe provides diverse career development paths for different types of talents. We provide management development channels for employees who aspire to become managers and professional development channels for employees who aspire to become experts, so that all types of talents can have a stage for their talents and room for growth and development. We create a "3U" model for talent enhancement to achieve progress for those who strive, motivation for those who excel and leapfrogging for those who take up the role. 59 The Power of Being Trustworthy - 2020 Corporate Social Responsibility Report of New Hope Liuhe NEW HOPE LIUHE THE POWER OF BEING TRUSTWORTHY 60

RIGHTS PROTECTION HEALTH & SAFETY

DIVERSITY & EQUAL OPPORTUNITY SAFETY CONCEPT All staff will participate in safety concept, make safety a habit, let safety run through the entire production and New Hope Liuhe strictly abides by the Labour Law, the Labour operation, and strive to achieve the goal of zero safety accidents. Contract Law and other regulations, and creates harmonious labour relations in accordance with the company's KEY MEASURES development needs. It follows the principle of equal employment, insists on equality between men and women, A. Carry out safety education and training at three levels to enhance employees' subjective safety protection equal pay for equal work, opposes employment awareness through publicity and training at all levels; discrimination, signs a written contract with each employee, B. Carry out safety hazard investigation at all levels, form a plan for rectification of hidden dangers, implement and protects employees' personal information and privacy. It rectification measures, responsible persons and time limits, and issue rectification notices, and accept the also clearly prohibits the employment of child labour, forced rectification situation on a regular basis to form a closed-loop management of the hidden dangers investigation labour, restriction of employees' freedom and all other and rectification ledger; potentially illegal employment practices. Fair treatment of C. Regularly carry out routine health check-ups and occupational health check-ups, and establish occupational employees of different nationalities, races, genders, ages., health guardianship files and personal occupational health files of the personnel who are exposed to hazards. All religious beliefs and cultural backgrounds. staff are screened for cardiovascular and cerebrovascular diseases, and professional doctors are consulted to intervene in abnormal cases, so as to achieve early diagnosis and prevention and treatment, and strive to reduce the morbidity rate. D. Conduct regular occupational health inspections in the working environment, strengthen protection and monitoring of posts with occupational hazards; regularly distribute occupational health protective equipment in accordance with national standards as required; HUMAN RIGHTS PROTECTION E. Carry out occupational health and safety "three simultaneous" evaluation or occupational health status quo safety evaluation for the company's projects, and strengthen the identification, assessment and prevention of safety risks in the work environment. The company adheres to the concept of "people-oriented" and F. To improve the physical fitness of all staff by carrying out sports for all staff. We have put forward the requirements safeguards the basic rights and interests of employees; of sports and fitness from the headquarter level, and provided fitness venues and facilities for our staff, and regularly establishes a perfect training system and a scientific carried out team building to promote the physical health of our staff. promotion mechanism, and promotes the growth of G. Strengthen the supervision of transport vehicles. As the African Swine Fever continues, Xinhao Technology increases employees through systematic and in-depth study; actively vehicles to transport live pigs significantly. In order to avoid traffic violations and traffic accidents, Xinhao Technology carries out the warmth project, pays attention to the daily work organizes all public vehicles to install GPS or video, and a total of 2411 sets of Beidou system are installed to control and life of employees, and enhances their sense of gain and speeding, fatigue driving and other traffic safety risks. happiness; pays attention to the physical and mental health of H. Promote construction contact letter, filled out by the construction initiating department, signed by the field (plant) employees, organizes and carries out diversified cultural and director, signed by the safety officer, and targeted on-site training to avoid a vacuum period for construction off-pipe sports activities, and actively carries out occupational health and safety accidents; publicity and education, and establishes a sound system for I. Give full play to the combination of human and technological protection, to ensure that safety control without dead preventing and controlling occupational diseases; organizes ends (additional patrol RBI system, increase, reduce, adjust the field area within, outside the road, turn pig platform regular medical check-ups for our employees, and effectively and key parts, and adjust the terminal control system to the door post, and implement 24-hour supervision). protects their occupational health rights.

The company also provides a variety of communication channels for employees, such as e-mail, telephone, WeChat 18,357 safety public platform, to understand the voice of employees and solve problems for them in a timely manner, so as to promote trainings were Training Emergency drills conducted 634,916 were carried out the common development and progress of enterprises and employees. throughout participants over 1,000 times the year 61 The Power of Being Trustworthy - 2020 Corporate Social Responsibility Report of New Hope Liuhe NEW HOPE LIUHE THE POWER OF BEING TRUSTWORTHY 62

SALARY INCENTIVE STAFF CARE The company adopts a combination of short - medium - and long-term incentives to encourage employees to pursue personal development consistently, thereby enhancing the Company's competitiveness. Targeted performance incentives are adopted for different business characteristics STAFF WELFARE

【Salary System】 【 Parental leave】 : Female employees are entitled to one hour of breastfeeding time for each working day period following the birth of a Establish a broadband salary system that is internally child. If a female employee gives birth to multiple children, one hour of circulating and externally competitive, optimize the salary breastfeeding time will be added to each working day for each additional baby she breastfeeds. adjustment mechanism, and provide guaranteed income for employees; 【Leave】:The company establishes a reasonable and comprehensive leave system in accordance with relevant policies to protect 【Reward and Punishment 【Restricted Stock employees' rights to leave and to promote work-life balance. System for Food Safety, Incentive Plan】 Employees can enjoy paid annual leave, wedding leave, bereavement Production Safety, Bind core executives leave, sick leave, maternity leave, paternity leave and family visit Environmental Protection and key technical leave. In addition to these, the company has increased the number of and Anti-Corruption】 paid holidays in addition to statutory holidays in order to enhance personnel to establish It ensures that the employees' sense of well-being and to fully adjust their physical and and improve the mental state. company focuses on company's long-term safety, environmental incentive mechanism. 【 Insurance】 : The company provides employees with five social p r o t e c t i o n a n d SALARY insurance policies, including basic pension insurance, medical i n t e g r i t y w h i l e insurance, unemployment insurance, work injury insurance and maternity insurance in accordance with government regulations, so as o p e r a t i n g a n d INCENTIVE to maximize the benefits for employees. developing. 【Partner Mechanism】 【 Daily】 : The company provides food and beverage allowance, transportation allowance, communication allowance, team building To implement new 【Incentive Mechanisms for fee, departmental gathering fee, birthday greetings, traditional Patents and Scientific and models and practices, holiday greetings, etc. We also supply fruit and snacks from time to Technological Inventions】 i n c u b a t e n e w time, and strive to improve the working conditions of our staff and enhance their sense of belonging. T o p r o m o t e t h e business, achieve leapfrog growth, and c o n t r i b u t i o n o f 【Entertainment】:We organize fitness and fellowship to encourage sports and researchers to the 【Employee Stock motivate staff to run socialization, and enrich our spare time. t e c h n o l o g i c a l Ownership Plan】 the company with an ownership mindset to 【Salary】:The company is committed to providing a comprehensive development of the To establish and improve the salary and welfare system for all staff, including salaries, bonuses. The achieve a win-win industry. benefit-sharing mechanism for company makes annual adjustments to the overall salary of staff situation for both the employees and shareholders, according to national policies, price costs and other macro factors, individual and the combined with corporate efficiency. improve staff cohesion and company. company competitiveness, mobilize 【Motivation】:To set up a variety of awards to motivate individuals staff motivation and promote long- and encourage them to pursue their personal development term, sustainable and healthy persistently, thus enhancing the competitiveness of the company. Our awards include: Employee of the Quarter Recognition, Annual Merit development of the company. Recognition, Annual Progress Recognition, Performance Excellence Award, Outstanding Contribution Recognition. 63 The Power of Being Trustworthy - 2020 Corporate Social Responsibility Report of New Hope Liuhe NEW HOPE LIUHE THE POWER OF BEING TRUSTWORTHY 64

CULTURE DEVELOPMENT TRAINING & EDUCATION

The company actively organizes culture construction activities to enrich the cultural life of its staff, enhance organizational strength and make culture real. STAFF TRAINING IDEA Through open recruitment, selection and training, the company has formed a team of 180 cultural The four core leadership dimensions: strategy, organization, ambassadors, including executives, cadres, innovation, mission-driven newcomers and blue-collar workers, to promote cultural guidance and dissemination at all levels. A total of 1255 cultural training sessions and league In July 2020, we organized a group trip "Climbing construction activities were held throughout the the Shu Road out of Jianmen, Deep Roots for Tactical deployments that Focusing on the leader's affect the implementation company, and a cultural column called "Hope One Hundred Years", a team of senior executives spent one day to complete a 32km trek through Jiange own leadership spirit of corporate strategy Heart" was set up on the New Hope University App, County, City, Sichuan Province. implementation Focus on the leader's own Stepping up Strategy with a series of cultural courses for online teaching. connection to the company to the plate for access Speed and results of strategy implementation

Focus on the future of the Focus on talent building company's ecological layout and operational efficiency for innovative business that affects the opportunities and Creating Activating the implementation of innovative management long-term value organization corporate strategy.

In October 2020, the third quarterly meeting of New The "Hope Roots" activity organized a visit for more than Hope Liuhe was held with a morning running theme 50 colleagues to visit the Hope Group Museum, the first feed mill and the headquarters of the Hope Group. of "Strengthening the Middle Platform, Making Culture Real, Setting Sail with Dreams” STAFF TRAINING SYSTEM HUI FENG HE CHANG

EMPLOYEE ASSISTANCE Qualified standard Leader Senior Seminar Since 2014, the company has established the "Wonderful Mutual Aid Fund", to which employees Qualified standard Great Talent are deemed to have joined by paying annual Access Warfare Training mechanism membership fees, and can provide assistance to Course members and their parents, spouses and children in case of major illnesses, accidents and injuries, Qualified standard Elite Warfare Access natural disasters, etc. At present, a total of 1,040 Training mechanism Course employee families have been assisted, with a relief expenditure of over 7.76 million yuan. A total of 140 families were assisted in 2020, with a total assistance New Talent Access mechanism amount of 1,479,500 yuan. Boot Camp 65 The Power of Being Trustworthy - 2020 Corporate Social Responsibility Report of New Hope Liuhe NEW HOPE LIUHE THE POWER OF BEING TRUSTWORTHY 66

TRAINING PROGRAMS TRAINING PROGRAMS

Elite Programme Accelerated Training Project for Pig Farm Managers

The programme aims to develop excellent managers by learning and practising new managerial The project has produced a portrait of the pig farm leadership and performance improvement techniques, helping them to change their roles, improve manager, which has become an important reference their ability to lead teams, systematically analyse problems and speak with data. The Performance basis for the selection, breeding and retention of farm Improvement Competition will also be used as a platform to identify outstanding talent while solving manager talents. The project has precipitated 8 full-load real business problems. courses, obtained national intellectual property certificates, promoted the extraction and replication of EMBA programme internal experience, unified standard to carry out production and operation, and played an important role Adhering to the educational philosophy of openness, in achieving the ultimate cost and leading the industrial innovation and the pursuit of excellence, we are live pig farming level. committed to being the EMBA education platform that best understands the management practices of China's agriculture and livestock industry, and to cultivate senior Pig Specialization Sequence Learning Map & Micro Lesson managers with systematic thinking, outstanding leadership and innovative spirit for China's agriculture Development Project and livestock industry. In order to rapidly improve the speed and quality of talent training in the pig industry, accelerate the training of new employees and help the business standardize and scale up the training of professional Pig Farming Great Talent Course talents, multiple parties joined hands to develop online learning micro-courses for key pig positions. This is a talent training programme for outstanding senior managers, targeting at general managers The project organized the production of learning paths for 5 key positions in pig farming, such as and above in management units. It aims to cultivate management talents with continuous learning farrowing, breeding and veterinary, focusing on the key tasks of the positions and the basic qualities ability, quicker response and comprehensive management thinking in terms of strategic thinking, and abilities of the job qualifications, and precipitated the knowledge of the positions through management ability and leadership, in order to meet the company's strategic needs and the standardized tools, and produced 25 micro-courses based on the new employee level of the 5 key requirements of the new market environment. positions in pig farming.

New Talent 365 Programme Pig Farming Experienced Master Training Project It is a talent development programme for new employees recruited from campus by New Hope Liuhe. With the great development of pig farming and the huge From three stages of cultural integration, workplace number of new employees’ induction, in order to achieve competence and problem solving, the programme will the goal of rapid transformation of new employees from improve the comprehensive ability of recruiting new unfamiliarity to familiarity, the business school employees, and cultivate young talents with industrial researched and introduced the advanced TWI-JI master sentiment, continuous self-improvement and the teaching and training methodology, guided the business courage to challenge themselves. Through the design of to make a standard work breakdown table, and trained online and offline courses and activities, the 60 Experienced masters on a pilot basis, and then trained programme is designed to cover new recruits masters and new employees in each district, so that pig throughout the full period. farming skills could be replicated and spread quickly, homogeneously and in large quantities. 67 The Power of Being Trustworthy - 2020 Corporate Social Responsibility Report of New Hope Liuhe NEW HOPE LIUHE THE POWER OF BEING TRUSTWORTHY 68

THE POWER Training data Awards OF BEING TRUSTWORTHY The total number of people trained 18th in the Top 50 Corporate Universities in China offline in 2020 is 11,977, with a total of Best Corporate University in China 2020 NEW HOPE LIUHE 858 hours of training:The total number "Organization and Learning Development-Cloud Star Programme of people trained online is 28,248, with Map Award” a total of 198,473 hours of training. "Organization and Talent Development Institute The Star Programme is a tailor-made talent development programme for the feed sector, divided into Expert Advisor" Award the Starfire Programme and the Starry Programme.

The training targets of the Starfire Programme are Evaluation and feedback mainly the marketing staff of the feed sector, aiming to transform from pure marketing to technical marketing through training, and to improve the technical service New Hope Liuhe Business School's diversified talent training development model, digital exploration and practice, and capability of the marketing staff for farm managers knowledge management are of high reference and promotion value, and can become a benchmark for Chinese corporate universities. through teaching technical knowledge to the trainees, ——Shanghai Jiaotong University 2020 China's Best Corporate University Jury supplemented by practical guidance. "Champion Leadership" focuses on behavioural change and competency enhancement, reinforcing "champion" traits. The The Starry Programme is aimed at technical service course combines cutting-edge, best-in-class theoretical models with various on-site experiences and coaching guide to personnel in the feed sector, with the aim of improving enable new leaders to recognize and master them on the spot, and use them to change their behaviour and guide their practice. In addition, the course uses interactive training modes to enhance individual learning, team interaction and the technical service level of the company's technical Scan to read the story of talent content learning, making the whole course “alive” and creating the best learning and growth atmosphere for New service personnel through training, so that they can training “To be myself” Leaders. become technical experts with the ability to attack and ——New Leaders Programme trainees serve large-scale farms. Leadership can be developed; really love your work and find management or leadership applications anywhere in your life; encourage others more and be more influential. Voyage Programme ——EMBA trainees

The training is tailored to the different stages of career development of the farming personnel, including the Sailing Programme for new students and new employees, the Voyage Programme for excellent SUSTAINABLE DEVELOPMENT KEY technicians and new supervisors, and the Pilot Programme for excellent supervisors and new farm PERFORMANCE TABLE OF NEW HOPE LIUHE managers. The aim of the Sailing training is to train a group of qualified production technicians who can Investor The Company issued 14 investor communication transcripts throughout 2020 master the production operation process of all Communications and responded to 1,019 questions asked by 283 users on the SZSE Interactive.

departments of the pig farm through the "theory + governance practice" learning method. The Voyage Programme aims Corporate 16 training sessions on Sunshine Culture with 11,685 participants. 11,219 people were trained in New Hope University's online Sunshine to train a group of grassroots managers who Positive "New Youth" course. understand farm production management through the 2,830 posters of the six red lines were put up by the branch and subsidiary; Anti-corruption 139,600 copies of the examinations were organized for all staff scenarios. study and discussion of technical theory and general 24,625 declarations of conflict of interest and 28,035 declarations of management knowledge. The Pilot Programme aims to information on party construction work; train a group of reserve farm managers who are able to A total of 24 training sessions on internal systems were conducted.

organize and plan production and achieve annual The company has 86 grassroots party branches with 5,820 members in the production planning targets through the learning of Communist Party. Party construction The rate of attaining the standard of learning hours for the Party Member E Home - management and technical knowledge and the training work Rongcheng Pioneer was 100%, and various grassroots party organizations of the company also carried out various forms of red-themed activities for more than 80 method of "seminar + on-farm practice". times. 69 The Power of Being Trustworthy - 2020 Corporate Social Responsibility Report of New Hope Liuhe NEW HOPE LIUHE THE POWER OF BEING TRUSTWORTHY 70

Three-level food safety inspection system. Customer health All the branches and subsidiaries in the food sector passed the food safety and safety system certification. Feedback 59 branches and subsidiaries passed the HACCP system certification. The present report is the 13th Corporate Social Responsibility Report issued by New Hope Liuhe Co., A total of 45 billion yuan in loans were guaranteed for 150,000 farmers, leading Ltd. To continuously improve the company's ability of fulfilling corporate social responsibility and to the construction of 3,400 new standardised chicken farms with a stocking size Financing services of 210 million chicken and 1,250 new standardised duck farms. The scale of promote the sustainable development of society, industry and enterprises, the company pays close stocking was 87 million, and nearly 2,500 new standardised pig farms were built, with a stocking scale of 3 million. attention to and expects opinions and feedback from all parties.

A total of 196 live broadcasts were carried out, with 3.2 million tonnes of Feed e-commerce Please complete the following feedback and send it to email: 000876@newhope, or mail to address: e-commerce sales and 38,120 members. New Hope Liuhe Board Office, 11F, Block soho-T3-A, Wangjing, 10 Wangjing Street, Chaoyang Investment in R&D was 267 million yuan, an increase of 53.44% year-on-year, and the number of scientific and technical personnel reached 1,013. District, Beiing, Tel. 010-53299899. Technology input The company applied for a total of 2,006 patents and obtained 1,371 authorizations. 295 patents were applied for in 2020, including 93 invention patents. 1、Your overall assessment of the report is A total of 165 fast-testing laboratories at the breeding end have been laid out and Animal health constructed nationwide, and a total of 16 types of diagnostic kits for pig and □1 point □2 points □3 points □4 points □5 points □6 points □7 points □8 points poultry and other animal disease pathogens have been developed. □9 points □10 points A total of nearly 50,000 farmers were served: the cumulative trading volume Digital Enterprise Society of Treasure Pig exceeded 10 billion. 2、Do you think this report reflects the significant economic, social and environmental impact of A total of 8,292,500 live pigs were sold throughout the year, supplying 1,857,300 tonnes of poultry meat, 207,700 tonnes of pork and 216,800 tonnes of various types of deeply New Hope Liuhe processed internal products and pre-prepared vegetables. Anti-epidemic □1 point □2 points □3 points □4 points □5 points □6 points □7 points □8 points Donated 10 million yuan in cash through the Sichuan Green Collar Charity Foundation, and various branches and subsidiaries donated a total of 1,132,700 yuan in cash and □9 points □10 points materials to relevant local departments; employees donated more than 1,360,000 yuan. 3、What do you think of the clarity, accuracy and completeness of the information disclosed in this report In 2020, 1.34 billion yuan was invested in the development of 10 industrial projects, Precise poverty helping 83,551 people to escape poverty and increase their income. alleviation A total of 106 poverty alleviation projects will be developed in three years, helping □1 point □2 points □3 points □4 points □5 points □6 points □7 points □8 points to increase the income of more than 100,000 people. □9 points □10 points

In 2020, 270 training sessions for new farmers were conducted, training a total of Rural revitalization 127,000 people. A total of 1,513 offline sessions with 46,702 people trained: 102 4、What do you think of the content of this report in terms of logic and understanding online sessions with 532,789 people trained.

10,869 wishes were collected and adopted by the Wish Project. □1 point □2 points □3 points □4 points □5 points □6 points □7 points □8 points Social good Over 2 million yuan in funds and materials were donated to “the Activity for □9 points □10 points a Warm-hearted Winter”

Total number of people trained offline in 2020 was 11,977, with a total of 858 Staff education hours of training: Total number of people trained online was 28,248 people, with 5、What do you think are the recognized aspects of this report? a total of 19,8473 hours of training.

A total of 1,255 cultural training and league construction activities were Cultural activities conducted throughout the year.

Relief for staff in distress In 2020, 140 families were assisted, with a total assistance amount of 1,479,500 yuan.

18,357 safety training sessions with 634,916 participants and more than 1,000 Staff safety emergency drills. 6、What do you think needs to be improved in the report and how?

Through the use of solar energy, waste heat reuse and other energy saving measures,

E approximately 235,600 m³ of natural gas was saved, photovoltaic power generation

n Energy saving and saved approximately 7,235,000 kWh of electricity, and 260,600 m³ of natural gas was saved through waste heat recovery using evaporator condenser. v emission reduction

i Through management innovation and process innovation, about 440,000 m³ of r water was saved and 873,500 m³ of recycled water was reused. o

n 7、Do you have any suggestions on the release of our social responsibility report? The total planting area was 95,934.81 mu. m The annual volume of livestock manure fermented and treated was 34,864.49 tonnes, producing 191,523 cubic meters of biogas. e Planting and

n breeding cycle The construction of a consumption pipe network covers 6,138 mu, with 2.52 million cubic meters of recycled water consumed. t More than 4,500 tonnes of carbon dioxide can be neutralised in a year through the combination of farming and breeding. Your contact information: