Grieg Seafood ASA

The company has set a science-based target to reduce absolute Scope 1, 2, and 3 greenhouse gas emissions by 35% by 2030 and 100% by 2050, using 2018 as the base year. In FY2023, Scope 3 emissions were 382,093 tons CO2e, comprising 92.43% of total emissions of 413,342 tons CO2e. As required by the Science Based Targets initiative (SBTi), Scope 3 emissions are included in the target. These emissions are mainly associated with fish feed and the transportation of salmon to markets.

The company's science-based target, validated by the SBTi, covers Scope 1, 2, and 3 GHG emissions universally. These targets align with a well below 2-degree pathway. The company aims to reduce absolute emissions by 100% by 2025, from a 2018 base year, but has not yet set a Net Zero target.

The company engages all its suppliers to reduce operational and downstream emissions, covering 70% of supplier-related Scope 3 emissions. It provides financial incentives for emission reductions, including paying more for feed with an improved Feed Conversion Rate, estimating that a 10% reduction at the group level decreases total GHG emissions by 26,000 tCO2e. Additionally, the company favours Brazilian soy protein concentrate producers who committed to ending soy-related deforestation by 2020. This initiative led to three suppliers—CJ Selecta, Caramuru, and Imcopa—achieving a deforestation and conversion-free soybean value chain. In 2022, the company reported a reduction in emissions from deforestation-certified SPC supplied by ProTerra, attributing the improvement to consistently obtaining documented and auditable emission data from its suppliers.

In 2021, the company initiated a project to assess ESG risks associated with salmon feed ingredients to enhance transparency and traceability. This led to the development of a benchmark for feed ingredients based on material ESG aspects, now adopted by the Global Salmon Initiative (GSI). As a member of the Global Roundtable on Marine Ingredients and the GSI Climate Taskforce, the company supports the commercialisation of novel feed ingredients that align with a sustainable food system, particularly those with lower emissions. It is committed to addressing carbon emissions from fish feed production by selecting feed with lower emissions factors. Further details on the scope and innovative projects to reduce emissions from feed farming itself are encouraged.

The company has committed to the ‘Green Platform’ Initiative, adopting innovative emission-reducing production methods for post-smolt and floating fish feed. Its strategy includes keeping fish longer in contained systems, either land-based or closed ocean systems. At sea, two closed-containment FishGLOBE facilities are used for post-smolt production. In Rogaland, carbon reduction has been achieved by minimising sea lice control treatments, with expectations for similar benefits in other regions as smolt sizes increase. The company is investing in sea site electrification to eliminate fossil fuel usage in Rogaland and Finnmark. Diesel-electric batteries are being utilised across all regions to reduce fuel consumption and enhance feeding operations. In British Columbia, the replacement of barge-feeding compressors with efficient flow pressors has significantly cut energy and fuel usage. Despite these efforts, emissions in Newfoundland increased in 2023 due to operational expansion following successful harvesting. The company expects further emissions growth in this region but plans to offset this with enhanced reductions elsewhere.

The company discloses group-wide emissions as 29,202 tCO2 for Scope 1, 2,047 tCO2 for Scope 2 (location-based), and 382,093 tCO2 for Scope 3.

The company discloses its Scope 1 and Scope 2 emissions by region and business division, including farming, and provides a breakdown of its Scope 1 emissions as 27,980 tCO2, 8 tCH4, and 371 tN2O. It reports CO2-equivalent emissions from feed production, broken down by region and business division, with total fish feed emissions for FY2023 at 260,287 tCO2. In its CDP response, the company states its Science-Based Targets (SBT) cover both land-related and non-land-related emissions, and it details Scope 3 emissions covered by this target with category disaggregation. However, it does not explicitly disclose emissions from land-use changes and is encouraged to do so.

In 2023, the company responded to the CDP Climate questionnaire, achieving a score of A-. The company's sustainability reporting, which includes Scope 1, 2, and 3 emissions data, is audited by PwC, as confirmed by PwC's 2022 assurance report available through CDP.

Between FY2022 and FY2023, the company reports an 8.95% increase in its absolute Scope 1, 2, and 3 emissions, from 379,374 to 413,342 tCO2e. Over the period from FY2021 to FY2023, emissions rose by 3.7%, indicating an average annual increase of 1.9%. The company also notes an increase in feed emissions between FY2022 and FY2023, from 229,727 to 260,287 tCO2e. For the reporting year, emissions were 29,202 tCO2e for Scope 1, 2,047 tCO2e for Scope 2, and 382,093 tCO2e for Scope 3.

The company has conducted a climate-related scenario analysis to evaluate the impact of a 2°C and 4°C global warming scenario on salmon production. This analysis also considers scenarios related to the Paris Agreement, informing its strategic and financial planning.

The company identifies several climate-related risks and mitigation measures, with mixed specificity. It acknowledges that droughts and floods may reduce land-based feed production, increasing feed costs. To mitigate these risks, the company is working on commercialising novel feed ingredients and engaging with suppliers to develop alternatives such as insect meal. However, no specific strategies for mitigating feed price volatility are provided. Rising temperatures are identified as a risk to salmon farming, posing a greater threat than average temperature increases. The company notes that temperature variability can elevate the risk of algae blooms, reduce oxygen levels, and lead to higher disease and mortality rates. To address these risks, it has introduced large concrete production vessels and overlay-protected work boats to its fleet. Additional adaptation strategies include prioritising vaccination routines, enhancing fish robustness through post-smolt production, and implementing updated training and procedures for personnel. The company acknowledges the increased costs associated with maintaining fish health and welfare due to temperature changes, such as algae blooms and sea lice, which involve expenses for medications and labour. However, it does not explicitly mention rising veterinary and medicine costs in a broader sense. Increased energy costs are also recognised, particularly related to fossil fuel use in boats, vehicles, and on-site energy production. The company aims to reduce fossil fuel usage and increase renewable energy adoption, targeting a 90% emission reduction by 2050. Efforts include taxation measures on fuels and the testing of new technologies, such as replacing diesel engines with battery packs. Despite these initiatives, the largest direct source of emissions remains fossil fuel use, posing a continued risk of higher operating costs. Carbon tax is identified as a significant regulatory risk, with Norway introducing a carbon tax to support its emission reduction goals. The company aims to reduce emissions by adopting new technologies and utilising shore electricity to lower reliance on traditional fuels, although it still faces higher taxation and operational costs due to ongoing fuel usage. The company discloses an increase in farming costs due to biological challenges and general inflation, noting a rise from NOK 47.3 per kg in 2022 to NOK 64.4 per kg in 2023. However, it does not explicitly link these cost increases to climate risks.

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

The company reports that 13% of its feed ingredients used in its Norway and Newfoundland operations are soy protein concentrate, with 64% of this sourced from Brazil. In its CDP Forests Report 2023, it notes that 11-20% of its revenue depends on soy. While the procurement spend on soy for the current reporting year is not disclosed, the company states that its fish feed contained 11,214 tonnes of soy in FY2023. The company considers soy a high deforestation risk ingredient. In 2023, it sourced 100% of its soy from ProTerra or Round Table on Responsible Soy certified suppliers. In Brazil, it procures soy only from suppliers with a 100% deforestation and conversion-free soybean value chain, using a 2020 cut-off date. Its Brazilian soy suppliers—CJ Selecta, Caramuru, and Imcopa—are all considered deforestation-free.

The company expects its suppliers to minimise their environmental impact, emphasising the risks of deforestation and resource exploitation in its Supplier Code of Conduct. It provides commercial incentives to sub-suppliers who commit to zero deforestation by adopting the company's specified cut-off date. The company encourages other suppliers and salmon farming companies to utilise their market power in a similar manner.

The company states that 100% of its Brazilian soy protein concentrate is certified by either ProTerra or the Round Table on Responsible Soy. It maintains ongoing communication with feed suppliers and monitors compliance through geospatial and ground-based methods using GPS satellites. In its CDP Forests response, the company outlines that upon detecting non-compliance, it will set time-bound targets for corrective action, with successful completion required for supplier reinstatement. An engagement plan will be initiated if suppliers fail to comply during audits, with potential suspension for non-compliance with corrective actions. The company provides a breakdown of its soy origin by state, covering all its soy origins. In 2023, 66.7% of soy was sourced from Mato Grosso, 8.6% from Minas Gerais, 4% from Paraná, 4.2% from Goiás, 1.5% from Tocantins in Brazil, 8.4% from Russia, 3.5% from the USA, 0.1% from the Netherlands, and 1.1% from Croatia.

In 2021, the company began a project to evaluate ESG risks related to salmon feed ingredients, aiming to enhance transparency and traceability, and enable benchmarking against material ESG aspects. This project, launched by the Global Salmon Initiative (GSI) in March 2024, seeks to establish a standard methodology for ESG evaluation of feed ingredients. Additionally, as a member of the Global Roundtable on Marine Ingredients and the GSI Climate Taskforce, the company is involved in commercialising new feed ingredients. It collaborates with the World Wildlife Fund and GSI to develop a B2B ESG screen for feed ingredients, assessing the ESG risks of salmon aquaculture from its feed.

The company reports that all sites are certified with either Global GAP or BAP, excluding the greenfield site in Newfoundland, which is not yet operational and thus not eligible for certification. It also discloses the number of farms per certification.

The company reports its feed ingredients for 2023 in Norway and Newfoundland as follows: rapeseed oil 18%, fishmeal 15%, soy protein concentrate 13%, wheat gluten 11%, fish oil 11%, beans and peas 10%, wheat 9%, guar 5%, sunflower 2%, and micro ingredients 6%. In British Columbia, poultry by-products replace vegetable protein. All soy ingredients are certified according to ProTerra and/or the Round Table on Responsible Soy's sustainability standards. All marine ingredients, except trimmings, are certified by MSC or MarinTrust. The company reports Fishmeal and Fish Oil Dependency Ratios (FFDRm and FFDRo) from 2019 to 2023. In 2023, its FFDRm was 0.3 in British Columbia, 0.5 in Norway, and 0.6 in Newfoundland. Its FFDRo was 1.4 in Norway, 1.0 in British Columbia, and 0.2 in Newfoundland, all below the ASC requirements of 1.2 for FFDRm and 2.5 for FFDRo. The company used ASC standard methodologies for these calculations and provides FFDR details for Norway, including its Rogaland and Finmark operations, as well as British Columbia and Newfoundland.

All soy and marine ingredients in the company's feed are certified, excluding trimmings, which were used to produce 6,777 tonnes of fishmeal and 5,771 tonnes of fish oil in 2023. Trimmings constitute 40.8% of fishmeal and 49.7% of fish oil used for feed. In Rogaland, there was an increase in the biological Feed Conversion Ratio (bFCR) from 1.24 in FY2022 to 1.27 in FY2023. Conversely, the bFCR in British Columbia improved from 1.21 to 1.19, and in Newfoundland, it decreased from 1.27 to 1.20 over the same period. In Finmark, the bFCR increased from 1.23 in FY2022 to 1.26 in FY2023. The company discloses its FCR calculation as total feed weight divided by gross growth, including mortality. The company reports the FishFeed Dependency Ratio for marine ingredients (FFDRm) remained constant at 0.5 in Norway and 0.3 in British Columbia, while in Newfoundland, it was 0.6 in 2023. The FishFeed Dependency Ratio for oil (FFDRo) decreased consistently in Norway between 2019 and 2023 and fell in British Columbia from 2022 to 2023. The company disclosed Newfoundland's FFDRo for the first time in 2023, precluding comparison. The company outlines the absolute volumes of fishmeal and fish oil derived from whole fish and trimmings, using 9,817 tonnes of forage fish and 6,777 tonnes of trimmings for fishmeal, and 5,839 tonnes of forage fish and 5,771 tonnes of trimmings for fish oil in 2023. The Protein Efficiency Ratio (PER) for the company's salmon is approximately 2.23, with the calculation methodology disclosed.

The company is in discussions with suppliers regarding innovative feed ingredients, including insect meal, and engages in research and development projects for new feed alternatives. It aims to have at least 5% of its feed derived from novel ingredients by 2030. The company has launched an ESG feed project with WWF to comprehensively assess risks associated with salmon feed ingredients, seeking to enhance transparency and traceability, minimise risks, and encourage supply chain improvements. It has identified overfishing and deforestation as critical risks and is actively working to mitigate them. While the company mentions using fish trimmings and deceased fish for animal feed, fishmeal, biofuel, and fertilisers, it does not specify strategies, goals, or timelines for utilising processing waste.

The company has announced the BIOSIRKEL project to scale up circular and bioeconomic opportunities through collaboration in areas like waste streams and new feed ingredient development. However, it has not disclosed the percentage of its research and development budget dedicated to novel ingredients. It reports that salmon samples from 2022 contain an average of 1.03 grams of EPA and DHA per 100 grams but has not provided figures for the current period. The company aims to increase novel ingredients to 5% of feed volume by 2030, with only 0.3% of its feed in Norway currently consisting of algae oil as a fish oil substitute.

The company discloses average sea lice levels per adult fish from FY2019 to FY2023 in Rogaland, British Columbia, and Finnmark. On average, the company does not exceed sea lice limits. In Finnmark, levels remain within the 0.25 limit for adult female sea lice per fish under green licences, which have stricter limits than regular licences. However, there were deviations in British Columbia in August, where sea lice levels exceeded the 3.0 limit, almost reaching 4.0 for adult females.

The company utilises natural 'lice-skirt' barriers, cleaner fish, and artificial intelligence tools, alongside semi-closed post-smolt facilities, to manage sea lice. In Rogaland, implementing post-smolt and cleaner fish, including wrasse, has resulted in fewer sea lice treatments, with 65% of pens being treatment-free in 2023, up from 54% in 2022. In Finnmark, lice skirts are used, while in British Columbia, a semi-closed barrier system maintains low sea lice levels. Although the company recognises the high mortality rate among cleaner fish, it is committed to improving their health and welfare. This includes revising policies for a systematic approach to reporting and reducing mortality. Initiatives to enhance cleaner fish husbandry include pre-screening before release, providing specialised feed, and creating artificial kelp forests within pens for shelter and stress reduction.

The company reports one case of escape in British Columbia. It employs various methods to prevent escapes, including double nets on all pens in British Columbia, divers for operations in Rogaland, and an ROV for inspecting grow nets in Finnmark after each two-week cleaning cycle. Additionally, in Newfoundland, licences require stocking only sterile salmon to eliminate the risk of interbreeding with wild populations. The company aims to achieve zero fish escapes annually and employs practices such as inspections after harsh weather and escape prevention training for employees. However, it does not disclose the financial cost associated with escapes.

The company reports initiatives to mitigate biodiversity impacts by minimising harm to wildlife. These initiatives include monitoring salmon presence in Norwegian rivers, engaging in benthic restoration, and conducting employee training on escape prevention. It employs equipment to prevent birds and marine animals from entering its pens and refrains from using acoustic deterrent devices (ADDs). The company sets an annual target to minimise its impact on wildlife near its farms and reports zero wildlife-related conflicts for the reporting year. However, it does not have a specific target to eliminate human-wildlife conflicts.

The company has implemented a comprehensive management plan to address algal blooms. It employs advanced sensor technology and imaging analysis to swiftly identify algae types and implement appropriate feeding responses, crucial due to the varying effects of algae on salmon. Additionally, the company optimises its oxygenation systems using integrated oxygen sensors and algae movement data, particularly at sites with low oxygen levels. It has installed upwelling systems to bring clean, algae-free water to the surface, creating a protective barrier around the pens. The Environmental Monitoring Department has initiated the Plankton Mitigation System, aligned with its aeration system guidelines. The company also monitors fish behaviour, adjusts feeding schedules as necessary, and has increased the frequency of environmental and plankton monitoring to three times daily.

The company's Sustainable Feed Policy recognises the importance of sustainable freshwater use in raw materials or feed ingredients production but lacks detailed information on this topic. While the company engages in dialogue with feed suppliers to address ESG risks and cites examples of sustainable feed ingredient efforts, it does not detail any guidance or incentives related to water use within its supply chain. The company has partnered with WWF US to evaluate ESG risks linked to salmon feed ingredients, focusing on freshwater consumption. This collaboration aims to improve transparency, traceability, and benchmarking of feed ingredients based on key ESG factors.

The company discloses the baseline water stress score for regions where soy and palm oil are sourced but does not provide this information for other feed ingredients like rapeseed oil and wheat. Additionally, the company has not disclosed its feed water intensity.

In FY2023, the company was fined 1,400,000 NOK due to a chlorine leakage incident at its Alta harvesting facility in 2021. It states that none of its facilities are in areas of water scarcity but does not explicitly mention using the WRI Aqueduct tool to assess water quality risk. Moreover, the company has not set any water-related quality or volume targets.

PwC audits the data within the company's Integrated Annual Report. However, the company did not respond to the CDP Water Security questionnaire in 2023. Additionally, it does not disclose the quality or volume of the wastewater discharged.

The company uses fish trimmings and dead fish from farms for animal feed, biofuel, and fertilisers, based on their quality. However, it does not disclose the quality or volume of wastewater discharged, preventing any comparative analysis.

The company states in its sustainable feed policy that raw material and feed ingredient production should not significantly pollute communities or ecosystems. However, it does not explicitly address nutrient pollution or fertiliser use and is encouraged to include nutrient management within its supplier code of conduct. The company has partnered with WWF US to assess ESG risks in salmon feed ingredients, focusing on pollution and soil health, with a project aimed at benchmarking feed ingredients on material ESG issues to reduce associated risks. The company does not require feed purchases from suppliers with a nutrient management plan, nor does it provide guidance, support, or incentives to suppliers regarding nutrient management and fertiliser use in crop production. It is recommended the company incorporate such requirements and support into its feed sourcing practices to ensure effective nutrient management across its supply chain.

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 has conducted environmental impact assessments at all its sites to identify high-risk locations. It provides details of its organic loading methodologies by region and estimates the volumes of nitrogen and phosphorus released from its operations, although it does not disclose the metrics or methods used to measure inorganic loading. In 2023, 91% of its sites in Rogaland, Norway, received a very good or good score in the B-tests, a slight decrease from 92% in 2022. In Finnmark, Norway, 100% of sites achieved this score, improving from 95% in 2022. The company implements farm fallowing to facilitate seabed recovery and provides region-specific details on its strategies. Additionally, it uses underwater cameras to monitor fish feeding, aiming to reduce feed wastage and environmental pollution.

The company does not disclose the treatment or metrics of effluent pond water. It does not disclose a neutral impact on water or provide evidence of a community engagement plan.

The company has an antibiotics policy covering all types of antibiotics across its operations. It seeks to reduce antibiotic use through biosecurity measures, vaccination programmes, and probiotic treatments, employing antibiotics only as a last resort for bacterial diseases affecting fish health and welfare.

The company discloses the quantity of antibiotics used per tonne of fish produced, specifying this in grams. It provides details on the specific antibiotics Profenicol and Florfenicol used during the reporting year, including regional data. Notably, antibiotics have not been used in Rogaland for several years. In 2023, Profenicol was administered at a sea farm in Finnmark to address severe winter ulcer issues, and Florfenicol was used in British Columbia for treating Redmouth and Yellowmouth diseases to ensure fish welfare. The company reports a decrease in antibiotic usage from 41.52 grams per tonne of live weight equivalent (LWE) in FY2022 to 35.24 grams per tonne LWE in FY2023. This data has been audited by PricewaterhouseCoopers AS.

The company adheres to the World Organisation for Animal Health guidelines and strives to maintain the Five Freedoms for fish, ensuring appropriate temperatures, oxygen levels, and water quality for their comfort. It conducts daily inspections of fish behaviour and has procedures in place to minimise stress during handling and transport. Handling protocols are emphasised to reduce fear and stress among fish, with staff trained to apply these consistently across operations. The company discloses that all live fish are anaesthetised before being killed, using pharmaceutical agents or electrical stunning.

The company does not disclose sufficient information to ascertain if it ensures a stocking density of lower than 17 kg/m³ for salmon at all times.

The company does not disclose information regarding eye-stalk ablation of shrimp.

The company reported 2023 survival rates at sea of 94% in Rogaland, 92% in Finnmark, 91% in British Columbia, and 95% in Newfoundland. In freshwater, the rates were 94% for Rogaland, 95% for Finnmark, 81% for British Columbia, and 88% for Newfoundland. The company provides incident-based mortality data, categorising by infectious and non-infectious diseases and other operational factors, including the affected number of fish and corresponding tonnage. It disclosed a target survival rate of 95% for 2023, with only Newfoundland achieving this target. Rogaland's survival improved from 92% in 2022 to 94% in 2023, while Finnmark increased slightly from 91% to 92%. The survival rate in British Columbia remained stable at 91%. Finnmark faced significant challenges in 2023 due to Spirochetosis (Spiro).

The company discloses the number and tonnes of fish mortalities due to infectious diseases, non-infectious diseases, and other operational factors across its operating regions over the past three years. However, no downward trend in mortality is evident. The company has implemented several non-mechanical and non-medicinal treatments to prevent disease outbreaks and enhance fish health throughout the production cycle. These measures include selecting roe resistant to sea lice and diseases, tailoring feed to different salmon life stages, and applying targeted vaccinations. It has also improved winter feed using the latest scientific insights to enhance health, welfare, robustness, and quality. In 2023, the company invested £70 million in UV treatment systems to secure water intake for its freshwater facilities. It has introduced new vaccines and "probiotica" treatments to address winter ulcers in Finnmark. In British Columbia, the company installed combined aeration/oxygen generation systems and retractable barriers to mitigate algal blooms. Continuous health monitoring is maintained, with swift measures implemented during disease outbreaks.

The company has a publicly available group policy on human rights, committing to uphold all internationally recognised rights as outlined in the Universal Declaration of Human Rights and International Labour Organisation Conventions.

In 2023, the company conducted human rights due diligence with a focus on labour rights as per the UN Global Compact Principles. This process examined risks related to child labour, forced labour, discrimination, and freedom of association, covering both the company's operations and its supply chain, including feed and transportation suppliers. The approach involved identifying and assessing human rights impacts, devising strategies to reduce risks, and monitoring progress. These assessments have been integrated into internal processes, with the company working alongside suppliers to address issues and create action plans to prevent potential violations. To mitigate human rights risks in its supply chain, the company has implemented additional risk assessments and requirements for those in high-risk geographies or industries. In 2023, it provided human rights training to 739 employees, representing 88% of its workforce.

The company has prioritised three areas for action following its human rights due diligence, identifying risks associated with working hours, rest times, living wages, and contractual agreements within its European transportation system. It also recognises risks in its feed supply chain, including child labour in India, and modern slavery, poor working conditions, and child labour in South America, Asia, and Africa. While the company has disclosed its risk assessment methodology, it does not provide details on remediation efforts.

The company prohibits child labour, forced labour, discrimination, and harassment, using the Korn Ferry methodology to ensure employees receive a living wage. It reports third-party certifications with audit policies and human rights standards, though it does not confirm these cover compliance monitoring for discrimination and harassment policies. The company commits to preventing child labour, forced labour, and discrimination within its supply chain. However, while it maintains a zero-tolerance policy for bullying, unwanted sexual attention, or harassment in its operations, it does not apply the same policy explicitly to its supply chain. All employees, regardless of employment status, are entitled to sick pay leave. Additionally, the company mandates sick pay provisions in contracts for external staff and contractors.

The company conducts third-party human rights audits of its largest European transportation suppliers. However, it is unclear how many suppliers are audited and what percentage of the total suppliers this represents, as well as whether these audits cover all relevant policy areas. The company discloses that its grievance mechanism, managed by a third party (EY), is available to all employees for reporting misconduct or breaches of the Code of Conduct, with the option for anonymous reporting. Additionally, it has a whistleblowing channel accessible to the supply chain. In FY2023, the company received one whistleblowing complaint concerning unlawful terminations and work-related issues.

The company has implemented an occupational health and safety management system and upholds a zero-accident policy for all workers. In 2023, its health and safety management procedures were audited both internally and externally, receiving certifications from Global G.A.P., ASC, and BAP. Additionally, its British Columbia operations are OSSE certified. The company discloses the presence of health and safety committees in Norway but does not reveal the number or percentage of worker representatives involved. Moreover, it has not disclosed any assessments or discussions regarding antimicrobial resistance risk for its workforce.

The company reports an increase in its Lost Time Injury Rate (LTIR) from 13 in 2022 to 16 in 2023, attributing this rise to more common types of work injuries. It provides a regional breakdown of these figures. There were no fatalities reported in both 2022 and 2023. The overall turnover rate is reported at 23%, with a regional breakdown available, but not by seniority levels.

The company acknowledges the right to freedom of association and collective bargaining among its employees, disclosing unionisation rates of 28% in Rogaland and 48% in Finnmark. While it engages in dialogue with trade unions, it does not publicly report measures supporting freedom of association rights. The company's Supplier Code of Conduct requires suppliers to uphold these rights.

The company reports a unionisation rate of 28% in Rogaland and 48% in Finnmark. It also provides a detailed workforce breakdown by contract type, including permanent, temporary, contractor, as well as distinctions between full-time and part-time roles.

The company reports that its internal processing plants in Norway are FSSC 22000 certified, recognised by the Global Food Safety Initiative (GFSI). Its external partners in British Columbia are BAP certified, while those in Newfoundland and Norway either have equivalent certifications or are working towards GFSI recognition. Certification is at 100% in Norway and 92% in Canada, with most operational sites certified. However, not all new developments in Newfoundland are certified yet. The majority of its suppliers are GFSI certified, aligning with the company's preference for suppliers meeting these standards.

The company's standard audit programme includes annual internal and external audits, covering various certified standards across all operations. In 2023, the company reported zero serious incidents of food safety non-conformities related to regulatory requirements or voluntary codes. The company ensures full traceability from roe to the finished product, with each salmon assigned a CV detailing its origin and production. Every box is labelled with a traceable LOT number, enabling tracking to end customers.

The company has an online product recall system to manage consumer health or safety risks, outlining disposal procedures and roles. It reports zero product recalls in the reporting year.

The company reports zero market bans during the reporting period.

The company states that its board of directors oversees its impact on the economy, environment, and people, as well as compliance with ESG policies set by the sustainability steering committee. An annual materiality assessment is conducted, with the 2023 review showing no changes from the 2022 material topics. These are organised into pillars: Profit and Innovation, Healthy Ocean, Sustainable Food, People, and Local Communities, each with corresponding policies and targets. The board reviews material topics identified in the assessment and includes one member with sustainability expertise. Ragnhild Janbu Fresvik has experience in ESG strategy and implementation in Sustainability Linked Financing. Another board member, Katrine Trovik, possesses expertise in innovation. However, there is no indication of board expertise in food safety, nor if they consult external experts on the matter.

The company provides its Chief Sustainability Officer with a salary bonus for overseeing the climate action plan to reduce emissions. However, it does not detail the specific compensation tied to this target or any other sustainability-related incentives. The company collaborates with policymakers on climate-related policy and legislation, aligning its efforts with the Paris Agreement's principles. It is also working with WWF US to enhance ESG risk disclosure in the salmon feed sector. The company engages with industry associations across its operational regions to address climate, pollution, circularity, biodiversity, antibiotics, fish welfare, human rights, and Indigenous rights. It follows its group policies when engaging with political actors, as reflected in its ESG Corporate Governance Framework. However, it does not specify engagement on alternative proteins. The company participates actively in industry associations such as the Norwegian Seafood Federation, BC Salmon Farmers Association, Newfoundland Aquaculture Industry Association, and Canadian Aquaculture Industry Alliance. It reports that its strategy does not target limiting global temperature increases to 1.5°C. Instead, the focus is on aligning with a scenario aiming for temperature increases below 2°C, as per the Paris Agreement.

The company collaborates with research institutions, including the Norwegian Research Council, Norwegian Veterinary Institute, and Norwegian Computing Center, on projects aimed at improving fish health and welfare, environmental impact documentation, innovative production methods, and nutrition and feeding. It employs technology to develop innovative farming processes, such as digitalisation using artificial intelligence and data analytics, to enhance fish welfare and reduce environmental impact. Additionally, the company discusses its performance in sustainability rankings by the Coller Fairr Protein Producer Index, Sustainalytics ESG Risk Rating, and MSCI ESG ratings, indicating an active monitoring of its sustainability compared to industry peers.

In its TCFD report, the company recognises that climate change and rising awareness of the meat industry's carbon footprint are driving efforts to develop plant-based and lab-based alternative proteins. It notes that if these proteins can be produced competitively, they might impact demand for farmed fish. However, the company has not explored diversifying its portfolio with alternative protein options and does not disclose revenue or sales data related to alternative protein sources. Additionally, it has not set a timebound target for diversifying protein sources.

The company does not indicate an approach to diversifying its product range to include plant-based and alternative protein options.