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Maintain a Sustainable Supply Chain

Supply Chain Management

Basic Philosophy

The Nichirei Group’s Nichirei Pledge defines the philosophy behind the CSR initiatives that the Group believes it should pursue. However, it cannot make the essence of its philosophy a reality with the Group’s efforts alone.
The Group believes that it is essential for a company to forge an appropriate relationship with stakeholders to make appropriate contributions to society through the life cycle of its business activities. In particular, because Group businesses harvest raw materials from natural ecosystems, the Group is aware that it may have an impact on the communities in its production site. For this reason, from a long-term perspective, the Group will forge appropriate relationships with its suppliers and partner companies and is aiming to contribute to the vitality and development of communities through its businesses.
In order to build a sustainable supply chain, the Group has established the Nichirei Group Sustainable Supply Chain Policy. The Group procures products and services in accordance with the following Policy and asks suppliers to assent to and comply with this policy.

Nichirei Group Sustainable Supply Chain Policy
The Nichirei Group is committed in working to maintain a sustainable supply chain. The Group procures products and services in accordance with the following policy and asks suppliers to assent to and comply with this policy.
Legal compliance: We comply with the laws and social norms of each country and region where we operate.
Fair business practices: We employ fair, transparent, and impartial business practices.
Human rights: We respect human rights and provide safe, healthy work environments.
Environment: We strive to reduce environmental impact and consider the health of the global environment.
Product quality and safety: We work hard to deliver safe, high-quality products and services.
Information management: We manage information properly and disclose information related to our business activities in a timely, appropriate manner.
Local communities: We seek to build close cooperative relationships with local communities, as a good corporate citizen.
DFF Inc., Nicihrei Corporation, Strategic Planning, Nichirei Corporation, Quality Assurance Division, Nichirei Corporation, Technology Management, Nichirei Corporation, Corporate Internal Audit, Nichirei Corporation, Corporate Supervise, Nichirei Corporation, Legal Affairs, Nichirei Corporation, Human Resources Strategy & General Affairs, Nichirei Corporation, Finance & Investor Relations, Nichirei Corporation, Accounting & Tax, Nichirei Corporation, Public Relations, Nichirei Foods Inc., Nichirei Fresh Inc., Nichirei Logistics Group Inc., Nichirei Biosciences Inc., Hitachi Foods & Logistics Systems,Inc., NIchirei Bisiness Partners .inc

Management System

The Group is aware that it may have various impacts on society and the environment, including in its supply chain, through its domestic and international business activities, so it wishes to forge an appropriate relationship with stakeholders from a social and environmental perspective as well. In April 2017, the Group declared “maintaining a sustainable supply chain” as one of the important items in the Nichirei Pledge of its Basic CSR Policy, and as the foundation for progress on this front, it established the Nichirei Group Sustainable Supply Chain Policy. The Nichirei Group will cooperate with its suppliers and promote initiatives based on this Policy.
At its operating company Nichirei Foods, in terms of business activities that take CSR into account, suppliers and partner companies perform a self-check of the essential items concerning social responsibility related to procurement, and dialogue about the contents of the check sheet occurs during factory quality audits. In FY2019, quality audits were conducted at 17 plants in Japan and 20 plants overseas. In this process, the Nichirei Group Sustainable Supply Chain Basic Policy is shared with suppliers in Japan and overseas to obtain understanding and cooperation.

CSR Management Discussion Meetings

The Group has been holding “CSR Management discussion meetings” since FY2017 primarily to offer an opportunity for discussion on business activities that contribute to social responsibility, what group communication should be like, and building trust with society. This discussion consists mainly of the members of the holding company’s CSR Management promotion project and the Strategic Planning Divisions and Management Divisions of the Group’s four core companies. These meetings were held 12 times in FY2018, 5 times in FY2019, and there were discussions about initiatives related to maintaining a sustainable supply chain, as well as an examination of the Group companies’ environmental and social issues. The Group will continue to hold these meetings and promote CSR management.

DFF Inc., Nicihrei Corporation, Strategic Planning, Nichirei Corporation, Quality Assurance Division, Nichirei Corporation, Technology Management, Nichirei Corporation, Corporate Internal Audit, Nichirei Corporation, Corporate Supervise, Nichirei Corporation, Legal Affairs, Nichirei Corporation, Human Resources Strategy & General Affairs, Nichirei Corporation, Finance & Investor Relations, Nichirei Corporation, Accounting & Tax, Nichirei Corporation, Public Relations, Nichirei Foods Inc., Nichirei Fresh Inc., Nichirei Logistics Group Inc., Nichirei Biosciences Inc., Hitachi Foods & Logistics Systems,Inc., NIchirei Bisiness Partners .inc

Initiatives

Participation in Human Rights Program

As an external activity related to human rights, the Nichirei Group is participating in the Stakeholder Engagement Program operated by the Japan CSR Consortium, for which the Caux Round Table operates a bureau. In the Program, we discussed with NPOs/NGOs and other companies to identify sector specific human rights issues. The result shall be considered in our human rights activities. The report of the program can be downloaded from the web site of CRT Japan.
http://crt-japan.jp/human-rights/she-program_archive/
In addition, the Group participated in an international convention of human rights (hosted by CRT Japan) that was attended by NGOs and human rights exparts.

Membership in the RSPO

Palm oil, obtainable from the fruit of the oil palm, is used as a raw ingredient in edible oils, soap, detergent, and various other products. Last year, progress was made with a large-scale development of oil palm plantations, and the deforestation of the tropical rainforest, CO2 emissions from peatlands, and other environmental issues, along with forced labor and child labor on the plantations, have become global issues.
In August 2018, the Nichirei Group became a member of the RSPO (Roundtable on Sustainable Palm Oil), a non-profit organization that promotes the sustainable production and usage of palm oil. In FY2019, Nichirei Foods' food factories (consolidated subsidiaries in Japan and overseas) aggregated the total amount of palm oil used for frying oil and purchased the appropriate amount of RSPO certified oil credits (Book & Claim model). We will support RSPO's efforts to promote sustainable procurement in the supply chain.

  • 4-1055-18-100-00
Questionnaire Survey and Progress with Major Suppliers

https://www.nichirei.co.jp/english/csr/supplychain

To work on building sustainable supply chains, the Nichirei Group undertakes the procurement of products and services in accordance with its policy and encourages its suppliers to understand the policy and put it into practice.

  FY2018 FY2019
Nichirei Foods Shared Nichirei Group Sustainable Supply Chain Policy with important suppliers in Japan and overseas, conducted surveys in a questionnaire format Collected all questionnaires Analyzed questionnaire content
Nichirei Fresh Visited some suppliers and exchanged opinions

ASC/MSC-certified Products

As of June 2019, Nichirei Fresh has three types of marine products that have obtained ASC certification*1 and 17 types of marine products that have obtained MSC certification*2. In FY2018, Nichirei Fresh developed herring roe Kazunoko Matsumae-Zuke and herring roe Kazunoko Wasabi-Zuke made with MSC-certified Pacific herring (roe) with a business partner that has obtained CoC certification*3. Going forward, the Group will continue making efforts to keep its marine products sustainable, and will continue to grow the number of ASC-certified and MSC-certified marine products.

  • *1 ASC certification: Marine products certified by the ASC (Aquaculture Stewardship Council) as having been cultivated in a sustainable manner
  • *2 MSC certification: Natural marine products certified by the MSC (Marine Stewardship Council) as having been cultivated in a sustainable manner
  • *3 CoC certification: Certification of the management of the processing and distribution processes
Nichirei Fresh Products That Have Obtained ASC/MSC Certification (as of June 2019)
Certification Number Certified
ASC
Certification Registry Number ASC-C-01632
Three types (Black tiger shrimp, Whiteleg shrimp, Pacific oyster*)
MSC
Certification Registry Number MSC-C-52165
17 types
Salmon varieties (pink salmon, king salmon, coho salmon, chum salmon, sockeye salmon), Walleye pollack, Pacific cod, Flatfish varieties (Kamchatka flounder, yellowfin sole, dusky sole, white flounder), Scallops, Herring, Capelins, Snow crabs, Arctic surf clams, Red king crab*
* The products that newly obtained the certification in FY2020
DFF Inc., Nicihrei Corporation, Strategic Planning, Nichirei Corporation, Quality Assurance Division, Nichirei Corporation, Technology Management, Nichirei Corporation, Corporate Internal Audit, Nichirei Corporation, Corporate Supervise, Nichirei Corporation, Legal Affairs, Nichirei Corporation, Human Resources Strategy & General Affairs, Nichirei Corporation, Finance & Investor Relations, Nichirei Corporation, Accounting & Tax, Nichirei Corporation, Public Relations, Nichirei Foods Inc., Nichirei Fresh Inc., Nichirei Logistics Group Inc., Nichirei Biosciences Inc., Hitachi Foods & Logistics Systems,Inc., NIchirei Bisiness Partners .inc

Supplier Rasing

Nichirei do Brasil Agricola Ltda. provides contractors with acerola seedlings and cultivation technology, and the fruits that are the result are all purchased by Nichirei do Brasil Agricola, and contributes to the local society including the guidance for the farmers, employment and income.

DFF Inc., Nicihrei Corporation, Strategic Planning, Nichirei Corporation, Quality Assurance Division, Nichirei Corporation, Technology Management, Nichirei Corporation, Corporate Internal Audit, Nichirei Corporation, Corporate Supervise, Nichirei Corporation, Legal Affairs, Nichirei Corporation, Human Resources Strategy & General Affairs, Nichirei Corporation, Finance & Investor Relations, Nichirei Corporation, Accounting & Tax, Nichirei Corporation, Public Relations, Nichirei Foods Inc., Nichirei Fresh Inc., Nichirei Logistics Group Inc., Nichirei Biosciences Inc., Hitachi Foods & Logistics Systems,Inc., NIchirei Bisiness Partners .inc
Maintain a Sustainable Supply Chain
Supply Chain Management

Basic Philosophy

The Nichirei Group’s Nichirei Pledge defines the philosophy behind the CSR ...

Maintain a Sustainable Supply Chain
Supply Chain Management

Management System

The Group is aware that it may have various impacts on society and the envi...

Maintain a Sustainable Supply Chain
Supply Chain Management

Initiatives

Participation in Human Rights Program As an external activity related to...

Maintain a Sustainable Supply Chain
Supply Chain Management

ASC/MSC-certified Products

As of June 2019, Nichirei Fresh has three types of marine products that hav...

Maintain a Sustainable Supply Chain
Supply Chain Management

Supplier Rasing

Nichirei do Brasil Agricola Ltda. provides contractors with acerola seedlin...

Maintain a Sustainable Supply Chain
Human Rights Initiatives

Basic Philosophy

The Nichirei Group believes that respecting the human rights not only of th...

Maintain a Sustainable Supply Chain
Human Rights Initiatives

Human Rights Policy

https://www.nichirei.co.jp/sites/default/files/inline-images/english/ir/int...

Maintain a Sustainable Supply Chain
Human Rights Initiatives

Management System

In the Group’s endeavors to respect human rights in its business activities...

Maintain a Sustainable Supply Chain
Human Rights Initiatives

External Communications

During the Caux Round Table stakeholder engagement program held between Jun...