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Sustainability report

SUSTAINABILITY REPORT 2018

Responsibly Sourced

Seafood

The

Food Division

believes ocean

sustainability is important. The Division’s

PNG subsidiary, IFC, responsibly

sources their fish supply to support

and ensure the long-term viability

and conservation of fish resources.

Sustainability and traceability are high

on IFC’s agenda when making purchase

decisions.

By only sourcing tuna from an

approved list of fishing vessels, i.e.

those registered under the ProActive

Vehicle Register, IFC is able to ensure

it is not supporting illegal fishing or

sourcing from vessels on the Illegal,

Unreported and Unregulated (“IUU”)

blacklists supplied by the relevant tuna

management bodies. For each catch,

IFC is also able to determine when,

where and how it was caught. Observers

are regularly on board the vessels

that catch tuna to ensure the vessel

operators are adhering to the required

standards. During FYE2018, IFC did not

incur any IUU-related violations.

All of the tuna that IFC purchases are

caught by purse seine fishing. Purse

seine fishing is among the more efficient

methods of catching tuna as the amount

of bycatch is minimal compared to

other fishing methods. The majority of

the tuna that IFC buys is skipjack and

yellowfin which is widely considered to

be highly fertile and abundant. Moreover,

tuna fishery in PNG is managed under

the National Tuna Fishery Management

Plan, which regulates among others

total allowable catches of tuna thereby

maintaining sustainable stock levels.

Moving forward, IFC intends to source

more tuna caught without the use of

fish aggregating devices (“FAD”). FAD

is defined by the Western and Central

Pacific Fisheries Commission as

any

object or group of objects, of any size,

that has or has not been deployed,

that is living or non-living, including

but not limited to buoys, floats,

netting, webbing, plastics, bamboo,

logs and whale sharks floating on or

near the surface of the water that fish

may associate with

.”

FADs are used

by purse seine vessels largely to catch

tuna. A concern with using FAD is the

impact on all other non-tuna marine life

which become attracted to the FAD and

gets trapped in the net. That bycatch can

include sharks, swordfish and juvenile

fish. During the year, 98.6% of the tuna

purchased by IFC are caught without the

use of FADs (FYE2017:92.9%). Ultimately,

IFC endeavours to have its tuna source

and products to be 100% FAD-free.

Occupational Safety

& Health

We regard the safeguarding of our

employees, neighbours, visitors and

assets as a core indicator of our

business success.

Towards this end, we comply with all

the relevant national laws, regulations

and other requirements relating to

best practices in occupational safety

and health; and continuously carry out

activities aimed at preventing workplace

injuries. Preventive and scheduled

maintenance is regularly performed on

all the Group’s facilities, plants, storage

tanks and terminals; whereupon repairs

and replacements are made when

necessary or appropriate. Employees

who use any machinery are trained to do

so correctly, while training programmes

in the use of personal protective

equipment for workers handling or

exposed to hazardous materials are

regularly conducted and have been,

and will continue to be, a vital part of

the Group’s operations.

Chemical Industries

Council of Malaysia

All divisions have health and safety

committees which consist of divisional

management and employees. It is to

these committees that incidences are

reported, and where compliance with

policies is monitored, and improvements

are discussed.

For the third consecutive year, Fimachem

Sdn Bhd was presented with Merit

Awards in the Employee Health and Safety

Code and Distribution Code categories

at the Chemical Industries Council of

Malaysia Responsible Care Awards

2017/18. During the year, PTNJL’s palm

oil mill retained its accreditation of Sistem

Manajemen Keselamatan dan Kesehatan

Kerja (or “SMK3”), a local Indonesian

Government safety certification that is

comparable with the globally recognised

OHSAS 18001:2007.