Nissui Corporation

The company does not have a science-based emission reduction target.

The company aims to reduce total emissions to less than 1,000 t-CO2 by FY2024, using FY2016 as the base year, and has been working on reducing fluorocarbon leakage since FY2019. It also plans to decrease Scope 1 and 2 emissions by 10% by FY2024 and 30% by FY2030, using FY2028 as a baseline. Additionally, the company targets carbon neutrality by 2050, covering operations in Japan and overseas. However, the company has not established a reduction target for Scope 3 emissions, although it acknowledges the importance of this for managing reputational risk and considers it a future priority.

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 has invested in Seascape Restorations Australia Pty Ltd, which specialises in cultivating Asparagopsis, a red seaweed that can reduce methane emissions from ruminants.

In FY2023, the company reported total Scope 1, 2, and 3 emissions as 213,356 t-CO2, 127,227 t-CO2, and 2,780,681 t-CO2, respectively, for its Japanese and overseas operations.

The company discloses FY2023 emissions disaggregated by business segment, identifying fishery (44,392 t-CO2) and processing/aquaculture (23,672 t-CO2) under marine products. However, it does not provide a breakdown of GHG emissions into CO2, CH4, and N2O. The company reports Scope 3 emissions of 2,514,377 t-CO2 from purchased goods and services in FY2023 but does not specifically address CO2-equivalent emissions from feed production, nor is it clear which segment is associated with this production. Additionally, the company does not disclose GHG emissions from land-use change.

The company has responded to CDP Climate Change 2023 and published its third-party audited GHG inventory data, certified by Sustainability Accounting Co. Ltd.

The company reports an increase in its total Scope 1 and 2 emissions from 319,067 to 340,583 t-CO2, and Scope 3 emissions from 2,526,262 to 2,780,681 t-CO2 between FY2022 and FY2023. From FY2020 to FY2023, total absolute emissions for Scopes 1, 2, and 3 rose 18.2% from 2,640,616 to 3,121,264 t-CO2, averaging an annual increase of 6.1%. Scope 1 emissions for FY2023 are 213,356 t-CO2, Scope 2 are 127,227 t-CO2, and Scope 3 are 2,780,681 t-CO2. The company does not disclose any quantitative decreases in emissions from feed, enteric fermentation, or manure management.

The company conducted a climate change scenario analysis in FY2022, in line with TCFD recommendations, evaluating both 1.5℃/2℃ and 4℃ temperature-rise scenarios. It identified risks, opportunities, and key countermeasures.

The company reports a decrease in fish catch and rising procurement costs for aquaculture feed ingredients, which could threaten feed availability. To address this, it plans to develop alternative feed with a low-fishmeal formula, though this poses risks related to fish meal's emission efficiency. The company anticipates climate change to impact the marine environment, potentially decreasing both wild-caught and farmed fish stocks. In response, it plans to advance on-land aquaculture solutions, develop breeds that tolerate higher temperatures, and explore new aquaculture locations. The company does not provide information on increased veterinary and medicine costs. It notes rising energy costs and outlines mitigation strategies, including adopting renewable energy sources and investing in energy-efficient equipment. The company acknowledges the risk of carbon pricing and details mitigation measures such as setting emissions reduction targets for each business location, increasing the adoption of renewable energy, investing in energy-saving equipment, improving transport efficiency, and reducing waste. The company states that no financially material events from climate risk occurred in FY2023. However, it disclosed a previous year loss of 493 million yen due to red tide damage and typhoon-induced tuna mortality.

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.

The company does not disclose having a deforestation/conversion-free target for soy.

The company does not report progress against its commitment. Nor did it respond to the CDP Forest Questionnaire in 2022.

The company's Supplier Guidelines prohibit activities that lead to deforestation or the conversion of primary forests for agriculture. However, these guidelines do not specifically address soy. Additionally, the company has not disclosed any support for soy producers in promoting deforestation-free production or enhancing 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 does not discuss innovations or practices to move towards sustainable feed sources.

The company reports that several of its directly operated farms are certified to standards such as ASC and BAP. It also aims to increase the proportion of its certified sites. Additionally, the company discloses the farms and locations that have received aquaculture certification.

The company does not specify the percentage of feed ingredients or disclose the percentage of certified marine and soy ingredients in its feed. It discloses the Feed Fish Dependency Ratio (FFDRm/o) only for its ASC certified sites, but does not provide similar information for other sites or on its general forage fish dependency.

The company does not disclose information about the sourcing of fishmeal and fish oil used in its feed basket, nor does it specify whether marine and soy ingredients are 100% certified. Furthermore, the company does not provide information on improvements in feed conversion efficiency or its reliance on foraged fish during the reporting period.

The company aims to mitigate increasing procurement costs by developing a low-fishmeal formula feed but does not disclose potential collaborations or details about the ingredients. Additionally, while the company has introduced canned Kurose buri tail meat to minimise food waste, it has not outlined a strategy for using seafood trimmings and processing waste in future periods. The company acknowledges risks from marine environmental changes affecting fish catches and procurement costs. Although it plans to develop alternative low-fishmeal feeds, it has not provided a clear strategy. A risk assessment regarding the availability of Japanese Anchovy and Alaska Pollock, using a UN FAO model, has been conducted.

The company does not disclose the percentage of R&D allocated to novel ingredient development. Furthermore, it does not disclose a target related to feed innovation. It also does not disclose the average EPA and DHA content of salmon it produces.

The company does not disclose any information on sea lice counts or compliance with regulatory limits.

The company does not discuss non-medicinal or non-chemical approaches taken to prevent sea lice infestation. It does not disclose investment into cleaner fish husbandry or disclose the mortalities of cleaner fish used.

The company reports an increase in fish escapes in FY2023 compared to previous years and outlines measures to prevent future occurrences, such as enhancing inspections, improving visibility of winding ropes, and investing in lighter nets that mitigate wave impact. It does not disclose the financial costs of these escapes. The company has a target to reduce fish escapes to zero, but this is not a time-bound target.

The company participates in SeaBOS and supports the Fishery Improvement Project to mitigate nature-related risks. Additionally, it has implemented actions in its aquaculture farms to lessen its impact on marine environments. However, it does not disclose a time-bound target for eliminating human-wildlife conflict.

The company does not disclose a management plan in the event of algal blooms.

In FY2021, the company used WWF’s Water Risk Filter to assess water risk at its Japanese sites, while in FY2022, it adopted WRI’s Aqueduct for a global evaluation. The assessment revealed intermediate financial risks and identified water stress at certain sites in Japan, Thailand, and the Americas. However, there is no confirmation of operations solely in low-water stress areas. None of the company's sites were deemed to have the highest water risk. The company reports using 10,992,000 m³ of water and discharging 4,266,000 m³ in FY2023, with consumption calculated at 6,726,000 m³. Various water-saving initiatives are disclosed, such as research on land-based shrimp farming and chub mackerel aquaculture in Japan to reduce water use. Its subsidiary, Mogami Foods, reduced consumption by 2,200 m³ per year by switching to a chiller system. Additionally, Nippon Suisan (Europe) B.V. is enhancing salmon production in Denmark using recirculating aquaculture systems (RAS).

The company discloses a goal to reduce water usage by 10% per unit by 2024 and 20% per unit by 2030, having achieved a 5% reduction per unit as of FY2022.

The company reports an increase in total water withdrawals from 9,493,000 m3 in FY2022 to 10,992,000 m3 in FY2023, sourcing from city water, well water, industrial water, and river water. It discloses water usage by drought levels using WRI Aqueduct. However, the company does not disclose water-related capital or operational expenditure, nor does it confirm third-party auditing of its water data. Additionally, it has not responded to the CDP Water Questionnaire 2023.

The company does not address water usage in its feed supply chain. It does not discuss comprehensive guidance, support, or incentives offered to suppliers/growers on water usage and has not established a partnership with a third party to input into sourcing/farming strategy.

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 does not disclose the proportion of animal protein commodities produced or sourced in water-stressed areas. Although it lacks a sustainable agriculture policy, it is undertaking initiatives to minimise on-land farming impacts on the marine environment, including water risk. In Japan, a feasibility study was conducted using a "closed biofloc method" for shrimp farming, which minimises water use and employs bioflocs for water treatment. In both Japan and Denmark, the company is developing recirculating aquaculture systems (RAS), where water temperature and quality are optimally controlled using underground seawater, reducing parasite risks. The company is encouraged to elaborate on how these RAS models manage water use efficiently. Furthermore, the company does not provide comprehensive guidance, support, or incentives to suppliers or growers regarding water use in animal farming.

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

The company reports no incidences of non-compliance with water quality permits, standards, or regulations during the reporting period. It has identified water stress at production sites in Japan, Thailand, and the Americas using the WRI Aqueduct tool but lacks transparency, as it does not disclose exact locations or specify the nature of the water stress. The company has not set explicit wastewater quality targets for main pollutants, such as COD and BOD, in accordance with global standards like those of the World Bank. While it reports water discharge volumes, it has not established reduction targets.

The company reports pollutant discharges in Japan for FY2023 of 2.8 tonnes of COD, 2.1 tonnes of BOD, 0.5 tonnes of Total Nitrogen, and 0.2 tonnes of Total Phosphorus. It discharged 256 thousand m³ of wastewater in Japan and 3,812 thousand m³ into rivers, seas, and canals, and 419 thousand m³ into sewers outside Japan. The company acknowledges that its wastewater-related data has not been third-party assured and has not responded to the CDP Water Questionnaire 2023.

In 2018, the company implemented a biomass electricity generation system at its Hachioji General Plant, capturing methane gas from its anaerobic ozone wastewater treatment process for electricity generation. The company has not improved overall wastewater quality compared to the previous reporting period. Although wastewater discharge in Japan decreased from 275,000 m³ to 256,000 m³, the aggregate discharge did not decrease, with discharge outside Japan increasing from 3,493,000 m³ to 3,812,000 m³. Specifically, discharge into sewers outside Japan rose from 266,000 m³ to 419,000 m³ between FY2022 and FY2023.

The company does not address nutrient management in its code of conduct. It does not disclose a requirement for feed suppliers to have a nutrient management plan in place, nor does it provide guidance, support, or incentives to suppliers/growers on nutrient management or fertiliser use in crop production.

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 indicate whether it conducts risk assessments to identify high-risk locations from a nutrient pollution perspective. It has an ASC certified site where benthic assessments measure total organic carbon (TOC) and total phosphorus. However, it does not disclose the metrics or methods for measuring organic or benthic loading at other operations. It also measures inorganic loading at its ASC certified site, but it is unclear if this extends to other farming sites. While the company mentions environmentally conscious management and offshore aquaculture, it does not specify the percentage or location of sites that exceed local environmental carrying capacities by country. The company has developed feed that drifts slowly through the water to reduce accumulation at the bottom of pens and uses automated feeding systems. The company does not explicitly state a prohibition on discharging sludge into public waterways. Although it discloses ammonia concentrations as a measure of nitrogen loading around its ASC sites, it does not provide exact nitrogen or phosphorus levels.

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 prohibits the use of Critically Important Antibiotics in aquaculture and is committed to reducing antimicrobial use. Antibiotics are administered only under veterinary supervision following a diagnosis of fish diseases. Additionally, preventive measures include biosecurity practices such as using low-concentration hydrogen peroxide for skin parasites and employing AI and IoT monitoring to ensure fish welfare without physical handling.

The company discloses antibiotic usage in its aquaculture operations for coho salmon and trout farming. In 2022, no antibiotics were used in Japan for coho salmon farming, while 23 grams per tonne were used in Chile. For trout farming in Chile, 344 grams per tonne were administered. Total antimicrobial usage in the company's aquaculture operations increased from 229 g/t in 2021 to 307 g/t in 2022, primarily due to higher antibiotic use in Chile. However, the company does not disclose antibiotic quantities by type or class, nor does it provide detailed explanations of the specific reasons or disease outbreaks leading to antibiotic use. It is also unclear whether this data is audited by a third party.

The company emphasises animal welfare in its aquaculture operations by referencing the Five Freedoms. It ensures thermal and physical comfort using submergible fish cages to protect fish from environmental stressors and employs AI and IoT technologies for health and pain monitoring, reducing physical handling and stress. For pre-slaughter processes, the company uses higher welfare stunning techniques for 98% of its harvest and achieves 100% electrical stunning to minimise stress in fish. However, it does not disclose information on handling protocols for aquatic animals.

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 does not disclose mortality rates or incident-based mortality information and has not set a time-bound target for reducing mortality rates.

The company does not disclose the number of disease outbreaks or the specific biomass lost to disease for the past three reporting periods. It employs AI and IoT to monitor fish without physical handling, thereby reducing stress and disease risks. Additionally, its Oita Marine Biological Technology Centre has developed a non-medicinal method to eliminate skin parasites using diluted hydrogen peroxide in recirculating aquaculture. The company is collaborating with Hitachi Zosen Corporation to develop land-based aquaculture systems that control water quality and reduce parasite risks.

The company does not disclose the mortality rate for shrimp.

The company does not disclose the direct financial costs linked to shrimp mortality.

The company has a comprehensive policy commitment to respect internationally recognised human rights, as outlined by the International Bill of Human Rights and core ILO conventions, applicable to the entire group and its suppliers.

The company conducted a human rights risk assessment in December 2020, identifying risks including forced and child labour, the work environment of foreign trainees in Japan, and labour safety in fisheries and aquaculture. A 2023 review highlighted issues such as the absence of a prohibition on recruitment fees for foreign workers. However, the company has not disclosed any further supply chain due diligence or actions taken following the 2020 assessment since FY2022. The company reports carrying out an annual survey on foreign workers' conditions, with its subsidiaries in Oceania and North America undergoing third-party audits of labour conditions on fishing vessels. For supply chain monitoring, the company relies on supplier self-assessment questionnaires, which are insufficient for thorough oversight. Additionally, the company has not outlined next steps for addressing human rights violations or risks uncovered in its operations or supply chain. Human rights training was conducted for all employees during the reporting year, but the company does not disclose measures to mitigate human rights risks in its supply chain for this period.

In 2023, the company identified issues in the working conditions for foreign workers, such as the absence of recruitment fee prohibitions in contracts, untranslated employment documents, and inadequate safety training in accessible languages. The company has responded by translating employment contracts and wage statements, prohibiting the collection of fees, and providing health and safety training in appropriate languages.

The company commits to prohibiting child and forced labour through its SeaBOS engagement. Its code of ethics includes the prohibition of discrimination and harassment, and it claims to pay employees a living wage. Fishing vessels owned by its subsidiaries in Oceania and North America are certified under RFVS and FISH Standard for Crew, with audits examining these policies. While the company prohibits child labour, forced labour, discrimination, and harassment within its supply chain, it does not extend the requirement of paying a living wage to its suppliers. The company provides employees with five days of paid leave for short-term non-occupational injuries or illnesses, which can be taken on a full-day, half-day, or hourly basis.

The company does not disclose whether it monitors compliance with selected supply chain policies through audits. The company has implemented a whistleblowing system for employees to report ethical violations anonymously. In 2023, it joined the Japan Center for Engagement and Remedy on Business and Human Rights (JaCER), enabling external stakeholders, including suppliers, to file anonymous reports on fair working conditions. The company reports 25 whistleblowing cases in FY2023, classified as harassment, labour, and other issues. However, it does not include categories for health and safety issues or define labour problems and other issues.

The company provides a general overview of employee health and safety and is in the process of acquiring ISO45001 certification for all its business sites in Japan, with only the Fine Chemicals General Plant Tsukuba Plant currently certified. Health and safety committees exist at each business location, and an Occupational Safety and Health Subcommittee has been established, comprising department heads. However, the company does not disclose the percentage of committees with worker representatives and does not assess antimicrobial resistance risks for the workforce.

The company discloses 128 work-related accidents in FY2023, with 51 resulting in time off work and one resulting in a fatality. The accident frequency rate was 1.2 per million working hours, slightly improved from 1.21 in FY2022, which saw 121 accidents and no fatalities. These figures only pertain to employees in Japan. Additionally, 63 employees left the company in FY2023. However, these figures cover only a limited portion of the company's operations and are not disaggregated by seniority.

The company upholds freedom of association and collective bargaining, with 100% of regular employees unionised. It has implemented initiatives to promote these rights, such as regular meetings with unions via its Labour-Management Liaison Council. However, it does not disclose details about collective bargaining agreements or the actions taken to encourage their negotiation. Additionally, the company requires its suppliers to respect employees’ freedom of association and collective bargaining rights.

The company discloses that all regular employees are covered by a collective bargaining agreement with its labour union, but it does not extend these terms to all workers regardless of contract type. It provides the number of directly employed and temporary staff, including contract and part-time workers, across all operations.

The company reports that 31 facilities hold FSSC 22000, BRC, IFS, and BAP certifications, recognised by the Global Food Standard Initiative (GFSI), with 58% of its sites certified to a GFSI standard. However, it does not disclose expectations or requirements for supplier certification to GFSI, nor the proportion of its suppliers holding GFSI certification.

The company discloses its manufacturing processes, from raw materials to the final product, to maintain safety and quality standards. It is implied that audits for certification occur at least annually, although the exact frequency is not specified. However, the company does not disclose corrective action rates for facility non-conformances or the development of consumer-facing technology for food safety traceability.

The company outlines measures to be taken in the event of a product recall, including sharing information with sales locations and disclosing it to the public. However, it does not disclose the number of product recalls in the reporting year.

The company does not disclose information on market bans or recalls for the reporting year. Furthermore, no such incidents were detected in media screenings.

The company has established a Sustainability Committee, reporting to the Board, chaired by the President & CEO and including Executive Officers and Outside Directors. This committee comprises seven subcommittees focusing on key areas: Marine Resource Sustainability, Sustainable Procurement, Marine Environment, Plastics, Food Loss and Waste, Diversity, and Human Rights. In FY2023, the company reviewed its material issues, categorising them under Society, Planet, Teammates, and Growth, with final approval by the Board. The company reports that several board members possess sustainability expertise, but does not disclose expertise at the board level in food safety. It also notes that several board members have R&D expertise.

The company bases its executive compensation and stock-based incentives on both financial and non-financial performance, with 30% tied to sustainability metrics such as the sustainability of marine resources, emissions reductions, and employee engagement. The company engages with local communities and regional governments concerning environmental matters. Additionally, it actively participates in SeaBOS (Seafood Business for Ocean Stewardship), contributing to dialogues and task forces on modern slavery elimination, responsible antibiotic use, and emissions reductions. The company is also a member of the Japan Frozen Food Association, which promotes greenhouse gas emission reduction targets and plans for 2023. However, it is encouraged to disclose a complete list of its trade association memberships. While the company’s policy engagement activities are not yet aligned with the Paris Agreement, it does have procedures to ensure its policies and sustainability strategies are consistent with its climate change stance.

The company has introduced smart aquaculture technology to enhance the efficiency of fish farming. This system, featuring sensors and cameras for real-time monitoring, allows precise control of feeding schedules and amounts. It reportedly reduces labour, minimises feed waste, and lowers CO2 emissions. Additionally, the company is involved in innovative projects, such as Precision Seafood Harvesting, which decreases bycatch and increases survival rates for target fish. Its New Zealand subsidiary, The Sealord Group, is expanding this method's use. The company also operates the Tokyo Innovation Center, which includes its food safety research department. The company acknowledges its inclusion in several ESG benchmarks, such as the Coller FAIRR Protein Producer Index, SNAM Sustainability Index, S&P/JPX Carbon Efficient Index, MSCI Japan Empowering Women Index, and the Morningstar Japan ex-REIT Gender Diversity Tilt Index.

The company recognises protein diversification as crucial for reducing greenhouse gas emissions and considers it integral to its climate change initiatives and overall sustainability strategy. It aims to grow and improve alternative protein products to satisfy rising consumer demand for low-carbon options. In its 2022 Integrated Report, the company reported FY22 net sales of 32,860 million yen, with alternative proteins contributing 1.3%. However, this disclosure was not included in its 2023 reporting, and it is encouraged to provide this information in future reports. The company has set a target to achieve a 50% international net sales ratio by FY2030, partly by strengthening its alternative protein business. However, it does not specifically aim to diversify protein sources.

The company has launched a new product line featuring its proprietary soybean-based "VEGETABLE MEAT" and produces plant-based yoghurt under the "WABIO" brand. Through its subsidiary, Cité Marine S.A.S., it offers a range of alternative protein products and plans to expand production capabilities for both chilled seafood fries and plant-based foods. In 2020, the company invested in R&D for alternative proteins by establishing a research team at the Central Research Institute, which collaborates with Product Development to introduce products like the "VEGETABLE MEAT Series," including soybean-based hamburgers and minced cutlets.