Important Sustainability Issues (Materiality)

Material Issue 5 Sustainable procurement of raw materials

Commitment

We will procure palm oil, paper, etc. ethically. Our action ranges from protection of forests and biodiversity to execution of corporate social responsibility by sustaining natural and labor environments and respecting human rights throughout all supply chains.

At the Mandom Group, we will follow the Guiding Principles on Business and Human Rights and identify the negative impact on human rights relating to the business conducted by the Company and will engage in action that prevents or reduces such negative impact. If due diligence action on human rights uncovers any occurrence or furtherance of negative impact on human rights, we will strive to take appropriate and effective remedial action.

If our products or services are directly linked to a negative impact on human rights due to our trading partnerships, we recognize the possible need to take corrective action.

Related SDGs

Efforts

Procurement of Sustainable Palm Oil

Environmental and socia impacts of palm oil

Palm oil is the world‘s most produced, consumed and traded vegetable oil. It is widely used in the manufacturing of many products, from margarine to lipstick, biscuits to candles, and chocolate to laundry detergent. It is also extensively used as a biofuel and as animal feed. Palm oil is a very efficient crop and contributes to rural poverty alleviation and rural development in many regions. But its irresponsible production of palm oil has caused widespread rainforest destruction and wildlife loss, exacerbated climate change, and impacted the rights of local communities. And increasing global demand threatens more of the same.

Procurement of RSPO-certified palm oil

In March 2018, Mandom joined the Roundtable on Sustainable Palm Oil (RSPO) in order to procure sustainable palm oil that takes into consideration the social issues and environmental impact of the raw material production area, and in March 2021 acquired RSPO supply chain certification at its Fukusaki Factory, the only production base in Japan, and began procuring mass balance (MB) certified oil in May 2021.
In FY2022, in addition to procuring RSPO-certified palm oil using a mass balance method for some raw materials that were to be used at our Fukusaki Factory, we completed the purchase of certification under the RSPO supply chain certification model “book-and-claim
method” for the entire volume of three raw materials, including the one most commonly used at that factory. We plan to gradually increase our purchase of certifications for other materials in the future. For book and claim credits, we also purchase credits that support small-scale palm farmers who obtained RSPO certification.

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RSPO：Roundtable on Sustainable Palm Oil

Ratio of Raw Materials Including RSPO-Certified Palm
Oil to Palm-Derived Raw Materials

4-1362-21-100-00

Please check our progress at www.rspo.org