Bell Food Group AG

The company aims for climate neutrality by 2035 in its operations and by 2050 across its supply chain. It plans to reduce greenhouse gas emissions by 21% in its facilities (Scope 1 and 2) between 2022 and 2026, guided by the Science Based Targets initiative (SBTi) and aligned with the UN's Sustainable Development Goals; however, this target lacks SBTi approval. Additionally, the company does not have, nor is developing, a specific methane emission reduction target.

The company targets a 21% reduction in Scope 1 and 2 emissions by 2026, using a 2021 baseline. It is developing data and targets to reduce Scope 3 emissions, acknowledging that most GHG emissions occur in the upstream value chain, including agriculture.

The company does not discuss whether it is working with suppliers to reduce emissions from agriculture.

The company does not engage in innovative projects to reduce or mitigate emissions from feed farming.

The company is trialling methane-reducing feed additives for its cattle as part of its greenhouse gas reduction strategy. In 2022, it initiated a pilot project testing feed supplements in collaboration with Coop, Mutterkuh Schweiz, DSM, and AgroVet-Strickhof. Additionally, since July 2020, the company has operated an energy-neutral "BTSplus" poultry house in Zimmerwald, certified Minergie-A, expected to set new standards in broiler chicken rearing. Future disclosures are anticipated to provide updates on these initiatives.

The company reports Scope 1 and 2 emissions of 71,297 tCO2e for FY2023, but does not disclose Scope 3 emissions.

The company does not disclose any information on GHG emissions from animal farming. The company does not disclose any information on GHG emissions from feed production. The company does not disclose any information on GHG emissions from land use change.

The company submitted its response to the 2023 CDP Climate Change questionnaire and received a score of C, though the response is not publicly available. It also does not disclose whether its greenhouse gas inventory data is audited by a third party.

The company reports a 1.99% increase in its Scope 1 and 2 emissions, from 69,905 tCO2e in 2022 to 71,297 tCO2e in 2023. The GHG inventory is incomplete as it does not disclose Scope 3 emissions, nor does it provide a quantitative decrease in emissions from feed, enteric fermentation, or manure management. Furthermore, for FY2023, total GHG emissions of 71,297 tCO2e are disclosed without specifying the breakdown between Scope 1 and Scope 2 emissions.

The company does not disclose information on a climate-related scenario analysis.

The company acknowledges that physical risks such as droughts and flooding can significantly affect the availability and price volatility of raw materials, impacting the quality and supply of agricultural products. To mitigate these challenges, it is exploring stronger relationships with upstream suppliers for more secure and consistent access to raw materials. However, the company does not disclose information on heat stress and animal mortality, increased veterinary and medicine costs, or the impact of rising electricity and energy demand and prices. Additionally, it does not discuss the risks associated with a carbon tax on electricity or animal protein, nor does it disclose the number of financially material events resulting from climate risk in the reporting period.

The company does not disclose its commitment to align capital expenditures with its GHG targets.

The company sources soy for animal feed but does not disclose the percentage of feed ingredients this represents. 100% of soy is not sourced from deforestation-free areas or suppliers. The company has not undertaken a deforestation-related risk assessment to identify high-risk sourcing locations.

As part of its 2022–2026 sustainability strategy, the company aims to ensure that by 2026, at least 50% of its soy used in poultry production and its supply chain for meat products is sourced from Europe and is deforestation-free and conversion-free. Additionally, by 2030, the company intends to procure critical plant-based raw materials, such as soy and palm oil, from deforestation-free and conversion-free sources. The commitment does not specify a cut-off date for deforestation.

The company's commitment to deforestation-free raw materials covers its entire value chain, including 100% of at-risk soy in its integrated poultry production and supply chain.

The company reports that 39.76% of its soy is sourced from deforestation-free and conversion-free areas. However, it has not disclosed if this progress has been verified or audited by a third party. Although the company responded to the CDP Forests Questionnaire in 2023, the information is not publicly available.

In 2023, the company reported that 99% of its beef is deforestation and conversion-free, with 90% sourced from the Bell Switzerland area and 10% from overseas. It acknowledges that beef from outside Europe, specifically from high-risk areas like the Amazon and Cerrado in Brazil, the Gran Chaco in Paraguay and Argentina, and Eastern Australia, may pose a greater deforestation risk.

The company's Supplier Code prohibits suppliers from engaging in deforestation and degradation of primary forests, particularly concerning raw materials like soy and beef. However, the company does not disclose whether it supports soy producers in promoting deforestation-free production or improving traceability efforts.

The company does not disclose how compliance is monitored or what actions are taken if non-compliance occurs. Furthermore, the company does not disclose the level of traceability in its soy supply chain.

The company plans to advance the use of alternative protein sources in livestock feed as part of its sustainability strategy for 2022-2026, with projects extending until 2030.

The company analysed 49 production sites using the Aqueduct Water Risk Atlas, identifying three locations in Spain, two in France, and one in Romania as high water scarcity risk areas. The company has implemented initiatives to reduce water usage and improve efficiency, including installing water recovery systems for recycling. It reports water consumption of 5.6 million m3 for 2022 but does not disclose consumption for the current reporting year.

The company has set a target to decrease water consumption intensity by 50% in water-risk areas and by 10% in non-risk areas by 2026. In the current reporting year, water consumption in non-risk areas decreased, but the company is not yet on target in risk areas. Between FY2022 and FY2023, water consumption per product unit sold increased from 6.08 m3/t to 7.01 m3/t in risk areas, compared to a target of 4.58 m3/t by 2026. In non-risk areas, consumption decreased from 10.51 m3/t to 10.24 m3/t, approaching a target of 9.41 m3/t by 2026. However, the company has not reported a time-bound reduction target for water withdrawals at its facilities.

In FY2022, the company consumed 5,598,677 m³ of water, comprising 64% from tap water and 36% from groundwater or spring water. It reports a reduction from 5,611,217 m³ in FY2021. However, there is an overall increase in water withdrawal across all business units compared to FY2021. The company has not disclosed water consumption or withdrawal data for FY2023, nor has it provided data by water stress level. Additionally, it does not disclose water-related CAPEX, OPEX, or whether its water-related data is audited by a third party. Although the company responded to the 2023 CDP Water questionnaire and received a score of D, the report is not publicly accessible.

The company's agricultural producers are predominantly certified under the GlobalG.A.P./SwissG.A.P. certification system, which promotes sustainable farming and responsible water use. The company measures and monitors the water footprint of its key products, identifying water-intensive items and critical regions in its supply chain to reduce water usage and establish efficient irrigation. The Eisberg business unit works with fruit and vegetable farmers to promote sustainable water practices, aiming to maintain or even improve crop yields without wastage. However, the company has not provided explicit details regarding support for suppliers or growers concerning water use in feed production, nor has it disclosed partnerships with third parties to enhance its sourcing or farming strategy for water usage in feed.

The company does not disclose feed water intensity or the proportion of feed sourced from water-stressed areas. Furthermore, the company does not provide evidence that it is investing in sustainable feed production from a water-use perspective.

The company has not disclosed the proportion of animal protein commodities produced or sourced from water-stressed areas. While its contracted agricultural producers are predominantly certified under the GlobalG.A.P./SwissG.A.P. system, which encourages responsible water use, it lacks details on water management in animal farming. Although efforts are made to determine the water footprint of important products by identifying water-intensive products and origins, there is a need for a formal sustainable agriculture policy. The company does not provide comprehensive guidance or incentives on water use specifically in animal farming for suppliers or growers.

The company does not disclose having established partnerships with third parties to input into sourcing/farming strategy, including water use.

The company does not identify facilities that operate in locations with high and medium water stress from a quality perspective. It has not set a quality or volume target for wastewater, nor does it report the number of instances of non-compliance with water quality permits, standards, and regulations.

The company does not disclose the quality or volume of its wastewater discharge, nor does it confirm that this data is third-party audited. It responded to the CDP Water Security questionnaire in 2023, receiving a score of D.

The company does not disclose having improved the wastewater quality at the aggregate level compared to the previous reporting period or reduced the volume of wastewater discharged.

The company’s Supplier Code of Conduct addresses environmental impacts, focusing on preserving soil quality and biodiversity. However, it lacks explicit mention of nutrient management plans or fertiliser use. The company indirectly addresses these through its commitment to minimising negative environmental effects, such as water consumption and harmful substances, but does not offer a comprehensive nutrient management strategy. Furthermore, the company does not require nutrient management plans for its feed suppliers or its own feed production. There is no discussion of providing guidance, support, or incentives to suppliers or growers on nutrient management or fertiliser use in crop production. Additionally, the company has not established a partnership with a third party to manage nutrient pollution or fertiliser use in its sourcing or farming strategy.

The company does not invest in sustainable feed production to improve nutrient management or disclose information about pesticide use in its feed supply chain.

The company does not outline processes for manure management, conversion to biogas, or sustainable slurry application. Additionally, it has not specifically identified farms located in areas at high risk of nutrient pollution.

The company does not make site-specific nutrient management plans part of its supplier’s contractual agreement or its own farms management. Nor does it provide technical or financial support to suppliers or its own farms to develop nutrient management plans and improve manure storage.

The company does not integrate nutrient management performance into incentive schemes for farmers. It does not discuss innovations in manure or provide evidence of a community engagement plan in relation to pollution.

The company limits antibiotic use to necessary cases, monitors applications, and complies with EU and Swiss regulations. It contributes to the Swiss Antibiotic Resistance Strategy (StAR) but lacks a comprehensive antibiotics policy, including specific categories of antibiotics covered by its existing policy. In its poultry operations, the company implements a monitoring system to record and limit antibiotic use and has implemented hygiene protocols, regular cleaning, disinfection, and appropriate housing and feeding practices to reduce the need for antibiotics. It prohibits routine mutilation practices such as castration and dehorning without anaesthesia. However, these measures do not extend to its beef or pork operations, and there is no specific antibiotics policy for these areas. The company adheres to regulations prohibiting the use of antibiotics for growth promotion or preventative purposes and promotes illness prevention, yet it does not explicitly ban all antibiotic types across all operations.

The company does not disclose the quantity of antibiotics used.

The company adheres to animal welfare principles based on the Five Freedoms, prioritising animal well-being throughout its supply chain. It is committed to training employees in animal welfare, offering specialised technical training for those involved in animal handling, transportation, and slaughter. Employees working with live animals receive regular training to ensure humane handling according to best practices and regulatory standards. Each facility appoints a dedicated animal welfare officer for ongoing training. The company's animal welfare policy includes enforcement for suppliers, with breaches risking severe consequences, such as termination of agreements. The company demonstrates leadership in animal welfare through internal research and collaborations, including a partnership with the Mutterkuh Schweiz association to promote humane suckler cow husbandry. It is also modernising the Bell Food Group's cattle slaughterhouse in Oensingen, Switzerland, to enhance animal welfare. However, these efforts primarily focus on poultry and cattle rather than all operations.

The company demonstrates its commitment to advanced animal welfare by avoiding close confinement and implementing lower stocking densities through the PAS (particularly animal-friendly stabling systems) programme. It provides natural environments, such as outdoor areas and winter gardens, and avoids routine mutilation practices, requiring anaesthesia for procedures like castration or dehorning. While the company seeks to minimise transport times to reduce animal stress, it does not explicitly commit to a maximum transport limit of 8 hours. It ensures humane slaughter by mandating proper stunning before exsanguination, employing approved methods, and requiring video monitoring to prevent unnecessary suffering. The company enhances animal welfare by providing enriched environments promoting natural behaviours, with perches and rest areas for poultry and protection against adverse weather, ventilation, and noise control for all animals. Additionally, the company excludes breeds prone to suffering, prohibiting "torture breeding" in poultry and promoting dual-purpose beef cattle breeds like the Simmental, aligning health with production to suit Swiss agriculture.

The company is certified by various farm assurance programmes for its animal welfare standards. It ensures direct control over animal welfare during transport, stunning, and slaughter by operating its own abattoirs and cutting plants. Compliance is overseen by independent bodies, including Swiss Animal Protection and bsi Schwarzenbek. In 2022, 61% of animals slaughtered in Switzerland and 45% across the group were certified for animal welfare. Key certifications include IP Suisse, Naturafarm, Natura Beef, Natura Veal, Freilandpoulet, BTS Poulet/Truten, "Tierwohl verbessert," and organic labels like Bio Suisse, EU Organic, and Demeter. In its beef operations, 59% are certified under programmes like IP Suisse, Natura Beef, Natura Veal, and Pure/Original Simmentaler, focusing on humane husbandry. The Simmentaler Original association also supports welfare-focused practices. The company's pork operations see 39% certified under programmes such as IP Suisse, Naturafarm, Bio Suisse, EU Organic, and Demeter, ensuring higher welfare standards. For broiler chickens, 44% of operations are certified under welfare programmes including Freilandpoulet, BTS Poulet/Truten, Bio Suisse, EU Organic, and Demeter. Integrated poultry production in Switzerland, Austria, and Germany is certified under the PAS (Particularly Animal-Friendly Stabling Systems) programme, which exceeds national welfare requirements.

The company annually reports on its animal welfare progress, including certification under welfare labels. In 2022, 61% of animals slaughtered in Swiss abattoirs and 45% group-wide were certified for improved welfare. There was a 14% increase in organic poultry production at Hubers Landhendl. The company also disclosed sales revenue from products with enhanced welfare labels and set a target of 100% procurement of egg products meeting minimum welfare standards, achieving 92% in 2022.

The company addresses key welfare risks in its beef operations by ensuring animals are stunned prior to slaughter, promoting natural living conditions, and limiting transport stress. However, it does not explicitly commit to a maximum transport time of 8 hours or prohibit dehorning. In its pork operations, the company ensures humane handling, appropriate husbandry, and controlled medication use. Despite this, it lacks explicit commitments to limit gestation crates, prohibit routine tail docking, or adopt non-surgical castration methods. The company does, however, commit to reducing mutilation and using anaesthesia for castration. For turkeys, the company adopts the PAS (Particularly Animal-Friendly Stabling Systems) programme, ensuring higher welfare standards than legally required, particularly regarding stocking density and outdoor access. For instance, in Switzerland, the company limits turkey stocking density to 36.5 kg/m², compared to the EU's 58 kg/m². Nonetheless, there is no explicit mention of limiting broiler stocking densities to 30 kg/m² or using alternative stunning methods like controlled atmospheric stunning.

The company is committed to adhering to the UN Guiding Principles on Business and Human Rights, as well as relevant conventions and guidelines from the United Nations, the Organisation for Economic Co-operation and Development, and the International Labour Organization.

The company undertakes a multistage risk analysis process to identify human rights risks in its supply chain, including assessments of product-related and regional risks. It conducted a comprehensive sustainability and human rights risk analysis in FY22 to evaluate child labour risks in its locations and supply chain. However, the company does not provide details on a human rights due diligence process for its operations. To monitor compliance, the company uses recognised social standards and certificates (BSCI, Sedex, SMETA) in high-risk supply chains. It states it will investigate and address human rights violations by suppliers, ending relationships if issues persist. Each department conducts regular human rights risk analyses to detect opportunities and risks early in the value chain. If risks or violations are detected in its operations, management, with internal audit support, analyses the issue to determine appropriate actions. The company does not disclose how it mitigated risks during the reporting year.

The company does not disclose whether it has identified any human rights risks in its operations through human rights due diligence.

The company prohibits discrimination, abuse, child labour, and forced labour but does not commit to providing a living wage or sick pay to all employees. It conducts regular internal audits to assess preventative measures and regulatory compliance, though it is unclear if all policies are covered in these audits. The company requires its suppliers to prohibit discrimination, abuse, child labour, and forced labour. However, while it encourages suppliers to pay a living wage, only the statutory minimum salary is mandated.

The company requires suppliers with higher risk profiles to provide written proof of compliance with social standards, such as those in SMETA, though it does not specify how many suppliers fall into this category. The company offers a grievance mechanism for employees, suppliers, and affected parties to report human rights violations and environmental harm through a confidential and anonymous reporting office. However, there is no disclosure on whether stakeholders were consulted in designing this mechanism. The whistleblowing channel is also accessible to suppliers. The company does not disclose the number of grievances received during the reporting year.

The company highlights occupational health and safety as a core element of its corporate accountability. The Bell Switzerland business area and the Hilcona division have received the "Friendly Work Space" label from Health Promotion Switzerland, which focuses on mental health. While beneficial, this certification does not encompass all aspects of occupational health and safety. Bell Germany is preparing to introduce a health and safety management system certified to ISO 45001 in 2023, although there is no update on its implementation. The company does not disclose the percentage of facilities with a health and safety committee including worker representatives, nor does it assess or discuss antimicrobial resistance risks for its workforce.

The company reports an absence rate for FY22, covering illness, work-related and non-work-related accidents. However, it does not provide specific data on work-related fatalities, injuries, and illnesses (TRIR or LTIR) or disclose injury or fatality data for the current or previous years. The company reports an employee turnover rate of 34% for 2022 but does not disaggregate this figure by seniority level.

The company claims adherence to International Labour Organization conventions, highlighting the importance of freedom of assembly and collective bargaining rights. However, it neither provides information on its unionisation rate nor describes measures taken to support these rights. It expects its suppliers to uphold these rights for employees.

The company discloses that 82% of its employees were covered by a collective labour or bargaining agreement in FY2022. It reports the distribution of its workforce across various contractual agreements, including full-time, part-time, subcontractors, permanent, and temporary workers.

The company reports that all turnover for FY2022 was generated from facilities certified by GFSI-recognised standards, including IFS, BRC, and FSSC 22000. It states that 85% of its production locations have IFS certification, with the remainder certified by BRC and FSSC 22000. The company indicates a preference for suppliers meeting its quality standards and conducts annual audits of its suppliers. However, it is unclear if these standards include food safety certifications, and the company does not disclose the proportion of suppliers with GFSI certifications.

The company reports that an independent organisation conducts annual inspections of its food safety systems and that six discrepancies related to information and product/service labelling were rectified and disclosed in FY2022. However, it does not disclose corrective action rates for its facilities' non-conformances. The company has introduced a traceability system throughout its value chain, but it is unclear if this system includes consumer-facing technology.

The company reports three product and service recalls in FY2022 but does not provide specific details about its product recall system or the recalls themselves. It states that upon detecting deviations, it takes prompt action in coordination with relevant authorities according to its crisis management plan. The company is encouraged to share more details on these actions and any preventative measures implemented.

The company does not disclose information about market bans for the reporting year. Furthermore, no market bans were identified in media screenings.

The company announces that its Board of Directors has approved a new sustainability strategy, with the Executive Board responsible for its implementation. A materiality analysis, conducted with an external consulting agency in 2020 and 2021 following Global Reporting Initiative principles, identified key issues such as greenhouse gas emissions, energy, water, disposal and recovery, ecosystems, animal welfare, workplace health and safety, employment conditions, and governance. Board involvement in the materiality assessment is unspecified. One board member has experience as the head of the Federal Department of the Environment, Transport, Energy, and Communications, but there is no board member with expertise in food safety. Additionally, a group executive member previously served as the Head of Innovation Management at Swiss Dairy Food AG.

The company does not link executive monetary remuneration to sustainability performance. It engages with the Mutterkuh Schweiz Association and the Simmentaler Original Association on animal welfare concerns. The company lists memberships with Proviande, the Central Association of the German Poultry Industry, Swiss Poultry Producers (SPG), and the Swiss Convenience Food Association (SCFA). However, it does not disclose a commitment to align its policy engagement with limiting global temperature rise to 1.5°C.

The company does not disclose a strategic approach to sustainability innovation or state whether it benchmarks itself against peers in sustainability and innovation.

The company has introduced three new product lines, including vegan and vegetarian options, to address consumer demand for plant-based products. Currently, meat-based products account for 79% of total sales, with vegetarian products comprising 21%. However, the company does not specify the sales proportion of alternative protein products alone. It also lacks a timebound target to diversify protein sources.

The company offers a diverse range of vegetarian and vegan products, comprising nearly 25% of its sales. Its business unit, Hilcona, has created 'Green Mountain', a brand specialising in organic tofu and plant-based meat alternatives. Green Mountain was the first to develop and produce a vegetable-based burger in Switzerland. Another unit, Hügli, offers vegetarian and vegan products, though it is unclear if these directly mimic animal proteins. The company's "Field to Fork" project, in collaboration with Swiss start-up Fabas, the University of Applied Sciences Western Switzerland, and Groupe Minoteries SA, aims to develop new raw materials for plant-based meat alternatives, led by Hilcona. The project has undergone lab testing and pilot trials, contributing valuable data towards refining the raw material. Supported by Innosuisse and the Swiss Climate Foundation, it promises significant CO2 emissions reduction through its innovative production process. In 2020, the company invested EUR5.0 million in Mosa Meat, a leader in cultivated beef mince, which is now a Certified B Corporation™. The company is encouraged to disclose any recent investments, such as those made in the last three years.