JAPANESE CHINESE

Materiality

Basic Approach

The Maruha Nichiro Group’s businesses span an integrated value chain from procurement and distribution to production, processing and storage focused on marine products.

We are implementing initiatives focused on the materiality in our Medium-term Sustainability Management Plan in order to fulfill our social responsibilities based on the impacts we have on society and the environment during each process of our business operations.

Mapping of Value Chain and Materiality

Mapping of Value Chain and the Main Objectives

Management Situation for the Materiality

Steps for Identifying Materiality

Basic Approach

The Maruha Nichiro Group identified the materiality in the field of sustainability as required by the GRI Standards in February 2018. This was against a backdrop of growing interest on a global level in sustainability challenges including in society and the global environment. The Group believes that the creation of such social value and environmental value will lead to the creation of economic value. We launched the Medium-term Sustainability Management Plan centered around the creation of these three types of value from FY2018.

Steps for Identifying Materiality

Step 1 Identification of Social Issues

We have identified social issues in consideration of international standards and guidelines including the GRI Standards, ISO 26000 core subjects, the Ten Principles of the UN Global Compact, and the Sustainable Development Goals (SDGs).

Step 2 Mapping of Social Issues

We mapped social issues on the two key coordinate axes of importance from a social perspective and the perspective of the Group. We then narrowed down issues with a high priority level.

Step 2 Mapping of social issues

Step 3 Deciding on Materiality

The Board of Directors approved the Medium-term Sustainability Management Plan including the materiality in February 2018 and we started implementing the four-year plan in April 2018.

Step 4 PDCA Management of Materiality

Reports and reviews on the progress of the materiality are conducted at meetings of the Sustainability Committee.

Materiality Review Project

We believe it is our objective to respond to changes in social conditions, to promote materiality within the company, and to reflect the opinions of external stakeholders, and we are moving forward with the materiality review project in conjunction with the formulation of the next Medium-term Management Plan (we will report promptly after the formulation is completed).

Materiality Review

Main Feedback from External Stakeholders

  • Consideration of human rights, including forced or compulsory labor and child labor, is important since economic losses are significant should human rights violations occur. (Investor)
  • Maruha Nichiro, which has built a supply chain network around the world, should actively work to promote international marine resource management. (Expert: marine resources)
  • In B to C businesses, reducing the environmental impact of packaging and containers is essential. (Investor)
  • The development and transition of fishing gear considerate of marine resources and the surrounding ecosystem (organisms) is urgently needed. (Expert: sustainability)
  • Addressing climate change issues are also very important in the fisheries industry. (Investor)
  • Responding to food loss, which has become a serious problem in Japanese society, is also urgently needed. (Expert: human rights)

Collating Extensive Opinions from within the Maruha Nichiro Group

  • The opinions of 1,576 employees (65% of all employees) of Maruha Nichiro Corporation, including 66 executive officers, unit directors, and department heads were collated.
  • To secure a wide range of perspectives, including the Group's perspective, opinions are collated from 50 President & CEOs of Japan and overseas consolidated Group companies, as well as from production bases in various regions.
  • In the evaluation from the company's perspective, the majority of respondents supported GRI Standards, such as supplying safe and secure food as well as the problems of marine plastics and food loss.
  • Opinions from executives focused on climate change, the risk of depletion of marine resources and active investment in human resources, while unit directors emphasized GRI Standards such as the promotion of research and new product development to strengthen competitiveness and a diversified Board of Directors, all with an awareness of the sustainability of the business.

Dialogue with Stakeholders (Institutional Investors)

In reviewing the company's materiality, Executive ESG Analyst Megumi Sakuramoto of Asset Management One, Co., Ltd., and the Company’s President & CEO Masaru Ikemi, discussed the sustainability issues that should be emphasized.