What's Next in Sustainability

What's Next in Sustainability

What’s next in sustainability 2020 REPORT continuing to conduct Sedex Member Ethical Trade Audits (SMETA) MAKING LIFE BETTER despite accessibility challenges—and to remain even more vigilant about aligning our environmental impact goals around science-based criteria. It has also meant engaging in COVID-related support initiatives with local communities from South America to Southeast Asia. FOR ALL And with a focus on the world’s pressing need for social justice, we’re Ten years have passed since the publication of our first sustainability also pleased to share that this year will mark the publication of our first report. Ten years of establishing, articulating and implementing goals. dedicated Diversity, Equity and Inclusion report. The report focuses on the Ten years of making progress toward them in the face of changing many positive initiatives we have progressed to strengthen our culture in regulations, unexpected challenges and evolving stakeholder line with our value of “Everyone Belongs.” expectations. And ten years of seeing each report grow in both importance and impact. Finally, as you review these pages, I can’t overemphasize the importance of our employees in helping to advance our shared goals. They embrace We take great pride in what has been accomplished over the past decade our purpose and live our values every day. They make a positive difference even as we’re humbled by the work that remains. Our stakeholders count for our customers, shareholders and communities around the world. And on us to continue executing against the 2030 All Life commitments when it comes to our All Life commitments, they truly understand what it introduced last year and that are described on these pages—and to takes to achieve them—and BE WHAT’S NEXT in sustainability. collaborate with them in advancing each of them. From a global pandemic to widespread calls for increased social justice, the challenges of 2020 only underscored the importance of business resilience—and the need to “Make Life Better” for everyone on the planet. While an unprecedented year may have slightly delayed progress toward some of our sustainability agenda, it has also strengthened James P. Zallie our unwavering resolve to deliver on our All Life plan. It has meant President and CEO REPORT CONTENTS 2030 Sustainability Goals 4 2020Materiality Matrix 5 People & Planet Safety 6 EVERYDAY Human Rights 10 LIFE DEI + Belonging 13 01 Innovation 16 PLANET Environmental Impact 19 02 LIFE Biodiversity Protection 23 Sustainable & CONNECTED Regenerative Agriculture 26 LIFE Food Security 30 03 Community Impact 33 Governance 36 EVERYDAY PLANET CONNECTED 01 LIFE 02 LIFE 03 LIFE People & Planet Safety Environmental Impact Sustainable & Regenerative Build a productive culture where the safety of our people Protect and renew the planet’s resources Agriculture and products, as well as the long-term health of our by enacting science-based targets and Make life better for growers, mitigate supply chain employees and supply chain partners, is a priority. other conservation measures as catalysts risks and help drive food security by sustainably to drive continuous innovation. sourcing 100% of primary crops. Human Rights Advance respect for human rights in our operations Biodiversity Protection Food Security and demonstrate 100% transparency across our global Implement programs in our crop sourcing Improve food security within our value chain by supply chain. areas to protect biodiversity or deliver a catalyzing food waste reduction, minimizing crop net positive impact. losses at the farm level and enhancing product offerings that support food security objectives. EVERYDAY LIFE DEI + Belonging Have fully established a culture of belonging where every employee is able to bring their full self to work. Community Impact Make life better for more than 1 million people in the communities where we operate. PLANET LIFE Innovation Drive sustainable innovation in all new product launches by aligning with at least one of the UN SDGs., contributing to society and customers meeting their sustainability goals. The United Nations Sustainable Development Goals (UNSDGs) The 2030 Agenda for Sustainable Development was adopted by all United Nations Member States in 2015 and provides a shared blueprint for peace and prosperity for people and the planet, now and in the future. At its heart are the 17 Sustainable Development Goals (SDGs), which are an urgent call for action by all countries in global partnership. For more LIFE CONNECTED SUSTAINABILITY GOALS 2030 information on the UN SDGs, please visit https://sustainabledevelopment.un.org We continue to look for opportunities Ingredion Sustainability Materiality Matrix to incorporate relevant inputs and While we continue to incorporate our stakeholders’ sustainability drivers into our efforts, we are further refine our sustainability materiality matrix. increasingly looking at external standards to enhance how we communicate about our program. We continue to look at the Sustainability Accounting Standards Board (SASB) Materiality Map, Brian Nash as well as programs like the Task Force on Climate-related Financial Disclosures (TCFD). VP, Sustainability Continuous Occupational Water Improvement Safety & Health Management Quality & Climate Product Safety Change Diversity, Equity Sustainable & Inclusion VERY HIGH VERY Agriculture Ethical Business Sustainable Operations Innovation EVERYDAY LIFE Human Rights – Human Rights – Suppliers Ingredion Operations Employee Community Training Impact HIGH Renewable Food Energy Security RELEVANCE TO INGREDION TO RELEVANCE PLANET LIFE Indigenous Biodiversity Populations Protection Sustainability Reporting Everyday MODERATE Life Planet Life Connected MODERATE HIGH VERY HIGH Life Governance LIFE CONNECTED MATERIALITY MATERIALITY MATRIX RELEVANCE TO STAKEHOLDERS PEOPLE & EVERYDAY20 PRODUCT LIFE 01 SAFETY 20 79% of our manufacturing sites reported 2020 SAFETY & zero injuries and 92% reported no lost QUALITY time cases. HIGHLIGHTS LIFE EVERYDAY Our pandemic management team evaluated health and safety conditions at sites and adjusted protocols as needed. Increasing customer satisfaction evidenced by an 18% reduction in registered complaints compared to 2019. PLANET LIFE Greater quality success evidenced by a 35%, year-over-year reduction of microbiological testing issues in North America. CONNECTED LIFE MAKING 2030 LIFE BETTER GOAL Build a productive culture (AND SAFER) where the safety of our people and products, For us, safety first isn’t just some component of a larger as well as the long-term business strategy. It’s part of our company’s DNA and how health of our employees we approach the important work of protecting employees, and supply chain customers, suppliers, consumers and anyone else who partners, is a priority. EVERYDAY LIFE interacts with our company, either directly or indirectly. And never has that culture been more challenged than in 2020 as we strove to maintain the essential work of our operations while simultaneously keeping people safe and maintaining product quality at the highest levels. Because of our long-standing safety culture and the diligence of PLANET LIFE our employees, we delivered notable results in a very challenging climate. Nothing is more important to our All Life platform than human life itself. Our people and product safety initiatives have been—and will continue to be—conducted with that commitment in mind. Eric Seip Senior Vice President, Global Operations LIFE CONNECTED 2020 PEOPLE PROGRESS & PLANET ON SPECIFIC SAFETY MILESTONES 02 03 MILESTONE Establish programs to enhance health MILESTONE 01 and well-being in each major area of Increase the average hours operation by the end of 2025. MILESTONE of training per employee by Achieve an employee and contractor Total 50% by the end of 2027. 2020 Progress Recordable Incidence Rate (TRIR) of 0.18 by 2020 Progress the end of 2025 and 0.15 by the end of 2030. Much of our 2020 effort went toward protecting workers from Due to the challenges of 2020 Progress COVID-19, which included a conducting training during a pandemic management team to 2020 global health crisis, the number of 2019 2019 continually evaluate health and hours declined from 20.5 in 2019 * safety conditions at sites and to 16.2 in 2020. We are, however, 0.27 0.28 0.26 2020 EVERYDAY LIFE adjust protocols as needed. * actively working toward reversing 0.22 that decline moving forward. Employee Progress Contractor Progress *Results do not include South Sioux City, Nebraska plant brought online in 2020 or other plants which were part of recent acquisitions. PLANET LIFE MILESTONE 2020 Progress 2020Further enhance our processes to achieve There was a single quality withdrawal in 2020 04 zero significant food safety-related incidents resulting from a 2019 incident and we continue reaching consumers by the end of 2025. to work toward our goal. LIFE CONNECTED This milestone was moved up to 2025 from 2030 due to its importance. PEOPLE & PLANET SAFETY DIGGING DEEPER (click to explore) Ingredion Animal BEHIND THE Testing Policy NUMBERS SAFETY FIRST FROM THE SAFER WORK THAILAND TO SOUTH CAROLINA ENVIRONMENT APP As just two examples of many safety The pandemic deepened the world’s 11 successes at our sites worldwide, 07 appreciation for healthy workplaces. our plant in Kalasin, Thailand, was As part of our phased, return-to- EVERYDAY LIFE recently recognized for 11 years work program, we introduced the of safety excellence. And for the Care First mobile app to allow past two years, Ingredion’s

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