Indicators Center

Minerva Foods, recognizing that the sustainability of its business is dependent on maintaining the ecosystems that support agricultural production, publicly announced its commitment to the sustainability agenda in April 2021. ​

More information can be found in the section Commitment to Sustainability.

The core objective in the commitment to sustainability is to drive Minerva Foods’ transition to a low-carbon economy, transforming it into a carbon-neutral company (net zero emissions) by 2035, 15 years ahead of the Paris Agreement. To achieve this, the Company will focus on three major areas:​

 1. Eco-efficiency in managed operations:

1.1 Relative to 2020, reduce the intensity of greenhouse gas emissions (tCO₂e/TPA) by 30%, taking into account scopes 1 and 2, by 2030;
1.2 Investing in technologies that will increase the efficiency of wastewater treatment plants at industrial facilities while reducing the emissions of greenhouse gases in the process; and
1.3 Continue to ensure zero net emissions, applying the market approach for scope 2, by investing in and supporting the production of electricity through renewable energy sources. Since 2020, the Company has tracked the production of the electricity used in its operations by means of Renewable Energy Certificates (I-RECs).

2. Combating illegal deforestation throughout the value chain:

2.1 Continue to geo-monitor all direct sourcing ranches in Brazil;
2.2 Extend geo-monitoring coverage to all direct suppliers in South America by 2030;
2.2.1 100% of direct suppliers monitored in Paraguay by December 2021 (achieved);
2.2.2 100% of direct suppliers monitored in Colombia by December 2023(achieved);
2.2.3 100% of direct suppliers monitored in Uruguay by December 2025;
2.2.4 100% of direct suppliers monitored in Argentina by December 2030.
2.3 Develop and implement a program for monitoring ranches of indirect suppliers in South America by 2030;
2.3.1 Integrate the Visipec® tool into the Minerva Foods geo-monitoring system for the Amazon biome by December 2021 (achieved);
2.3.2 Provide the geo-monitoring technology (SMGeo Prospec®) used by Minerva Foods to the rural producer via smartphone application(s), in partnership with the company Niceplanet Geotecnologia, by December 2021 in Brazil (achieved) and by 2030 for all other countries of operation.​

3. Continued development of the Renove program on partner ranches:

3.1 As of 2030, source at least 50% of cattle from suppliers participating in the Renove program;
3.2 Use scientifically rigorous and internationally recognized methodologies to measure the carbon footprint of individual ranches, within a tracked, documented and verified system, and to support the establishment of low-carbon practices;
3.3 Support the restoration of native vegetation in line with the United Nations Decade of Ecosystem Restoration, enabling co-benefits for biodiversity.

More information can be found in the section Commitment to Sustainability.​

Minerva Foods is constantly advancing in its ESG agenda and is evaluating the incorporation of objectives and goals on the social and corporate governance fronts over the next few years. ​

Our current initiatives on both fronts can be accessed on our sustainability website under the sections Prosperity of our People and Solid and Committed Management and in the Commitment to Sustainability.

Minerva Foods is involved in national and international partnerships and coalitions, with the aim of addressing socio-environmental issues and boosting sustainability throughout the livestock value chain.

Brazil: the Company is a signatory to the ‘Public Livestock Commitment’, the Term of Adjustment of Conduct (TAC) with the Federal Public Ministry of Pará and the Protocol for Monitoring Cattle Suppliers in the Amazon (in partnership with the Federal Public Ministry and Imaflora) , in addition to participating in the Brazilian Roundtable on Sustainable Livestock (MBPS) and the Indirect Suppliers Working Group (GTFI). Minerva Foods is also a signatory of the National Pact for the Eradication of Slave Labor, in which it has action plans based on InPacto’s ten commitments, among the actions there are, for example, orientation campaigns with business partners on the subject;

Colombia: the Company participates in the Sustainable Livestock Bureau of Colombia (Mesa de Ganadería Sostenible de Colombia), and has a partnership with CIAT (International Center for Tropical Agriculture) for investigations on the fronts of social and environmental regularity;

Paraguay: the Company participates in the Paraguayan Table of Sustainable Meat (Mesa Paraguaya de Carne Sostenible – MPCS);

Global: the Company participates in the Global Roundtable for Sustainable Beef (GRSB) and the Responsible Leather Roundtable (RLRT).

Minerva Foods also has its own initiatives ‘Talking about Livestock’ and ‘Laço de Confiança’ with the aim of promoting the exchange of information with suppliers through lectures, meetings and communications sent with the most diverse content, including good socio-environmental practices . In addition to these initiatives, Minerva Foods also launched the Renove program in 2021 to support low-carbon livestock.

More information can be accessed in the sections Dedication to the Planet, Prosperity of our People, Product Quality and Respect for Life and Renew Program.

The socio-environmental criteria are related to land, social and environmental regularity and all Minerva Foods suppliers undergo this verification. The definition of the policy that defines the socio-environmental criteria is built in accordance with the local legislation of each country where the Company operates and the provision of data for monitoring.

Brazil:

Land tenure regularity: compliance upon presentation of ownership documents and the SICAR (Rural Environmental Registry);

Social regularity: compliance by consulting the Ministry of Labor’s ‘Dirty List of Slave Labor’ on convictions for slave labor and by geospatial monitoring, in partnership with Niceplanet Geotecnologia, in which the map of direct suppliers is superimposed with indigenous lands and quilombola communities; and

Environmental regularity: compliance by consulting the IBAMA embargo list in addition to geospatial monitoring, in partnership with Niceplanet Geotecnologia, in which the map of direct suppliers is superimposed with deforestation polygons and environmental protection areas.

Paraguay:

Social regularity: compliance through geospatial monitoring, in partnership with Niceplanet Geotecnologia, in which the map of direct suppliers is superimposed with indigenous lands; and

Environmental regularity: compliance through geospatial monitoring, in partnership with Niceplanet Geotecnologia, in which the map of direct suppliers is superimposed with areas of illegal deforestation and protected public areas.

Colombia:

Social regularity: compliance through geospatial monitoring, in partnership with Niceplanet Geotecnologia, in which the map of direct suppliers is superimposed with land from ethnically differentiated communities; and

Environmental regularity: compliance through geospatial monitoring, in partnership with Niceplanet Geotecnologia, in which the map of direct suppliers is superimposed with areas of illegal deforestation and protected public areas.

Argentina:

Social regularity: compliance through the monitoring of slave and child labor sentences published in the media or official sources; and

Environmental regularity: compliance through geospatial monitoring, in partnership with Niceplanet Geotecnologia, in which the map of direct suppliers is superimposed with areas of zero illegal deforestation and protected areas.

Uruguay:

Social regularity: compliance through the monitoring of slave and child labor sentences published in the media or official sources; and

Environmental regularity: compliance through geospatial monitoring, in partnership with Niceplanet Geotecnologia, in which the map of direct suppliers is superimposed with areas of illegal deforestation and public protected areas.

More information can be accessed in the sections Commitment to Sustainability, Dedication to the Planet and Prosperity of our People.

As per the socio-environmental criteria of Minerva Foods, 100% of direct cattle suppliers are monitored in Brazil, Paraguay and Colombia. Future plans for expansion to other countries are underway, as per the Commitment to Sustainability disclosed in 2021. ​

In addition to inquiry and documentary verification, through the geospatial monitoring platform SMGeo, developed by Niceplanet Geotecnologia, the map of direct suppliers is overlaid with available information based on the social and environmental criteria established in each country of operation (criteria established according to local legislation and availability of data for monitoring). ​

In Brazil, an API was developed to integrate Minerva Foods’ internal systems with SMGeo, so that all cattle sell transactions undergo socioenvironmental monitoring, and in the event that any liability or irregularity is detected, the purchase is canceled and the supplier is entered in the Company’s blocking system until it has been regularized. Thus, the system itself prevents any attempt to initiate internal negotiations. This same monitoring platform, SMGeo, is also used in Paraguay. The platform has a division of the cartographic and socio-environmental analysis process that is under the responsibility of an environmental technician, who performs an assisted analysis of the geographic data.​

More information can be found in the sections Commitment to Sustainability, Dedication to the Planet e Prosperity of our People.​

Minerva Foods has zero tolerance for noncompliance with its socioenvironmental criteria. If a supplier presents a non-compliance with any social and environmental criteria, it will be automatically barred from any purchasing operation.​

More information can be found in the sections Dedication to the Planet e Prosperity of our People.

Based on its public commitments and established social and environmental criteria, Minerva Foods annually carries out audits to verify compliance and effectiveness of its monitoring systems by independent entities.​

In Brazil, Minerva Foods had continuously received the top results in the audit supervised by the Public Prosecutor’s Office of Pará among major players. The Public Prosecutor’s Office audit is the only official audit that is independently verified in Brazil under supervision of legal authorities. All results are reliable and publicly disclosed by the PPO.​

In Paraguay, for the third year running, an audit was carried out on the local supply chain by BDO RCS Auditores Independentes. In this process, we achieved compliance with all the socio-environmental criteria and procedures established by the Company.​

All reports of the audits performed are publicly available at Dedication to the Planet and the result of the Public Prosecutor’s Office latest audit can be accessed here.

The Company is recognized internationally for supplying premium quality beef to over 100 countries that require the highest standards of traceability, food safety, animal welfare and full environmental and labor compliance based on their own mandatory criteria for importation.​

In order to meet the most rigorous export requirements of countries such as the European Union, the United States, China and others, it is imperative that cattle suppliers invest in genetics and breeding, animal welfare and handling, pasture and soil management and in legal compliance related to environmental and labor issues. Cattle ranchers who are able to meet these standards have more profitable operations..​

These are professional cattle ranchers, who made the investments to become suppliers to the export markets, who do not regard forest fires, illegal deforestation or noncompliance with the law as beneficial, but rather as detrimental to their livelihoods and the future of their businesses. These are the cattle ranchers that make up the list of suppliers to Minerva Foods.

The efforts of Minerva Foods, in partnership with civil society organizations, academic institutions, and private initiative, are based on tangible initiatives that have an impact today, defining Minerva Foods as a leader in combating illegal deforestation at the level of the indirect livestock suppliers in the Brazilian Amazon region. ​

Together with Friends of the Earth, the National Wildlife Federation and the University of Wisconsin-Madison, in the United States, the Company publicly released the results of its monitoring of indirect suppliers, carried out in trials with the Visipec monitoring tool at industrial facilities, located in the states of Mato Grosso and Rondônia, and for live cattle export operations in the state of Pará. In addition to Visipec, Minerva Foods launched the first mobile App designed for rural producers, based on the understanding that efforts to strengthen traceability in the chain must be a joint undertaking. SMGeo Prospec was developed together with Niceplanet Geotecnologia, enabling the analysis of social and environmental factors for the entire agribusiness production chain.​

Some of the greatest challenges are due to lack of access or in some cases the absence of official data needed to verify other links in the supply chain.​

More information can be found in the sections Commitment to Sustainability e Dedication to the Planet and on the following links: https://www.visipec.com, https://gtfi.org.br/en/ and on our Minerva Foods Youtube channel.​

Visipec is a traceability tool developed by the National Wildlife Federation NWF in partnership with the Gibbs Land-Use and Environment Lab at the University of Wisconsin-Madison (“UW”) and currently managed by the National Wildlife Federation NWF, which works in a complementary way to the systems monitoring systems used by Minerva Foods. The tool provides the Company with the ability to include its indirect cattle supply properties in its existing supply chain management systems, helping to reduce levels of uncertainty around supply and potential exposure to risk related to deforestation and other societal criteria. and environmental.

Indirect cattle suppliers were evaluated according to the best practice criteria established by the Working Group for Indirect Suppliers (GTFI), a multisectoral initiative in which Minerva Foods is a participant.

The results are encouraging and reinforce Minerva Foods’ pioneering spirit in Sustainability. In the tests conducted, more than 98% of the farms directly supplying cattle analyzed are in compliance with the best practices established by the GTFI and therefore in compliance with the monitoring of illegal deforestation for farms that indirectly supply cattle tier 1 of Minerva Foods . 2,548 direct suppliers were verified, resulting in the identification of 8,653 indirect suppliers of cattle and a ratio of 3.4 indirect suppliers for each direct supplier.

Minerva Foods became the first company in the sector to integrate the tool into its monitoring system, thanks to its innovative tests with Visipec. The Company reached the goal of integrating the monitoring system for indirect cattle suppliers four months ahead of schedule, as of the initial forecast date of December 2021. The tool is ready and valid for use in all states of the Brazilian Amazon, which represented around 34% of Minerva Foods’ purchases in 2020 and 27% in 2021.

It should be noted that the processing of data and information made available by Visipec is in full compliance with the General Data Protection Law (LGPD).

More information can be accessed in the Commitment to Sustainability and Dedication to the Planet section and on the pages https://www.visipec.com, https://gtfi.org.br/en/.

With the understanding that efforts to strengthen traceability in the chain must be collective, Minerva Foods launched the first mobile application focused on rural producers that allows monitoring of their suppliers. SMGeo Prospec was developed together with Niceplanet Geotecnologia, enabling social and environmental analyses for the entire livestock production chain.

The application was a way for Minerva Foods to support its rural producer partners by providing access to the same technology it uses in its supplier analysis, socioenvironmental monitoring systems and risk mapping for all cattle purchases. The same technology that allowed the Company to obtain the best results in traceability in audits among the main players in the sector. The database provides information about the compliance of owners by cross-referencing public lists, such as the ‘Dirty List of Slave Labor’ and the lists of environmental embargoes. As the ability to display maps and satellite images to visualize the compliance of the property in relation to overlapping embargoed areas, deforestation, indigenous lands, conservation units and invasions in traditional communities’ territories.

It is worth mentioning that the application follows all the requirements contemplated in the General Law of Data Protection (LGPD) and for the company to have access to any kind of data and information, it is necessary the “acceptance” of the cattle rancher, and without this no information will be shared.

By making SMGeo Prospec available to the production chain, Minerva Foods has encouraged monitoring of its suppliers’ providers (indirect supply farms), thus reducing risks related to animals coming from areas that do not meet socio-environmental standards and laws.

More information can be accessed in the Commitment to Sustainability and “Dedication to the Planet sections.

DEFORESTATION:

Minerva Foods, adopts the definition stated by the Accountability Framework, where deforestation is defined as the complete removal of native or planted forest cover, according to the characteristics of each region.

CONVERSION:

Conversion of land characteristics does not necessarily represent deforestation. Minerva Foods adopts the the definition stated by the Accountability Framework, where conversion is defined as the change of the natural ecosystem to another land use, such as, for example, the allocation of areas with natural pasture for cattle grazing or agricultural planting.

BIOME:

Minerva Foods adopts the definition of biome as per the Brazilian Institute of Geography and Statistics (IBGE), where biome is defined as a combination of plant and animal life, constituted by the grouping of vegetation types that are close together and that can be identified on a regional level, with similar geology and climate conditions and that, historically, have undergone the same landscape formation processes, resulting in a diversity of flora and fauna of their own. In this way, each biome can have specific parameters and characteristics that define its Forests.

Sustainability is one of Minerva Foods’ five values, present in all operations and governance structures. In 2021, the Company disclosed its commitment to sustainability with a focus on combating climate change and illegal deforestation, recognizing that business sustainability depends on maintaining the ecosystems that make agricultural production feasible.
Minerva Foods is committed to its process of transition to a low carbon economy, investing in technologies that mitigate greenhouse gas emissions in the livestock value chain to achieve neutrality of emissions in 2035.
In 2022, Minerva Foods started the project to integrate climate risks (physical and transition) into the company’s risk management. By hiring a specialized consulting firm, climate change scenarios are being studied together with the Company’s strategic vision for the medium and long term (2030 and 2050), according to TCFD recommendations.
The project is being conducted according to the recommendations of the Task Force on Climate-Related Financial Disclosures (TCFD) and is scheduled for completion in 2023.

More information can be found in the sections Commitment to Sustainability and in the sustainability report page.

Minerva Foods, through its corporate sustainability area, uses software to collect operational data and calculate GHG emissions. This work is done monthly and covers operations in Brazil, Argentina, Australia, Chile (distribution), Colombia, United States (distribution), Paraguay and Uruguay. The results are consolidated in the Corporate Inventories of GHG Emissions published annually. For the third consecutive year, the data were audited by a verification body (OV) accredited by Inmetro.
Seeking an increasingly transparent relationship with its stakeholders, the Company discloses the results of measurements of its GHG emissions in the Sustainability Report and in the Indicator Center section, in addition to including them in the Public Emissions Registry of the Brazilian GHG Protocol Program (since 2015). In 2023, Minerva Foods received the program’s “Gold Seal” for the third time in the emissions inventory for 2022.

The evolution of the Company’s GHG emission reduction targets can be followed in the Commitment to Sustainability section.

More information can be accessed in the Sustainability Report, in the Indicator Center section, as well as on Minerva Foods page on the Public Emissions Registry of the Brazilian GHG Protocol Program.​

Minerva Foods has improved every year the accounting of its direct and indirect (value chain) GHG emissions. In 2020, for the first time, the Company included scope 3 in its Corporate GHG Emissions Inventory. Scope 3 emissions were measured for the Brazilian operations and categories ‘4 – Transport and distribution – upstream’ (partial), ‘6 – Business travel’ and ‘7 – Employee commuting’ were included.
In the 2021 inventory, the Company expanded the accounting of scope 3 emission sources to other countries (Argentina, Chile (distribution), Colombia, Paraguay and Uruguay) and included new emission sources and categories: ‘1 – Purchased goods and services’ (purchased livestock), ‘4 – Transportation and distribution – upstream’ and ‘5 – Waste generated in operations’.

In 2022, with the help of a specialized consulting firm, the Company conducted a Scope 3 materiality study, thus creating a complete GHG management of its value chain. In addition to the categories already reported (mentioned above), for the units in Brazil, they were included in the Greenhouse Gas Inventory:
– Category 1 – Purchased goods and services (items considered relevant in the materiality study)
– Category 3 – Fuel and energy not included in scopes 1 and 2
– Category 9 – Transport and downstream distribution (transport of green leather to Tanneries that provide services to Minerva Leather)
– Category 10 – Processing of sold products
– Category 12 – End of life treatment of products sold (applicable to Minerva Foods product packaging).
With the exception of categories 3 and 9, which have already been reported, the new categories will be included in the inventory of the LATAM and Australia units next year.

More information can be accessed in the Sustainability Report, in the Indicator Center section and in the Public Emissions Registry of the Brazilian GHG Protocol Program.

In 2021, Minerva disclosed its commitment to sustainability with a focus on combating climate change and illegal deforestation. The Company committed publicly that its goals are a 30% reduction in GHG emissions intensity (base year 2020) by 2030 for scopes 1 (direct emissions from operations) and 2 (indirect emissions related to energy acquisition) and to achieve carbon neutrality by 2035, 15 years before the Paris Agreement.

In 2021, Minerva developed a study with a specialized consulting firm to identify and prioritize projects to mitigate GHG emissions for scopes 1 and 2. In 2022, another study focused on the materiality of scope 3 emissions was conducted. Based on the results, the Company has been working on the complete accounting of GHG emissions in the value chain in order to improve its management and design mitigation plans covering indirect emissions.

In 2021, it became the first Brazilian company to receive the ‘Renewable Energy’ Seal, issued by Instituto Totum, in partnership with the Brazilian Wind Energy Association (ABEEólica) and the Brazilian Clean Energy Association (Abragel). The Company acquired Renewable Energy Certificates (I-REC) to track the electrical energy consumed by its operations in 2020, 2021 and 2022, the initiative allowed it to neutralize scope 2 GHG emissions in line with its commitment to sustainability.
Another highlight is the creation of the Renove Program, which will work to engage and collaborate with cattle farmers in implementing low-carbon practices on the farms that supply cattle. The company’s goal is to include 50% of the supply chain in the program by 2030.

The evolution of the Company’s GHG emission reduction targets can be followed in the Commitment to Sustainability section. More information can be found in the Sustainability Report, in the Renove Program and Indicator Center sections, and in the Public Emissions Registry of the Brazilian GHG Protocol Program.

The year 2021 marked the launch of the Renove Program, designed to engage and work together with cattle ranchers, that supply Minerva Foods, in the implementation of low carbon emission cattle ranching practices. In its first year, the Program developed three projects with reference partners in South America: MRV Agro Project, LATAM Certification Project and the Carbon Project.

The MRV Agro Project, together with Embrapa, calculated the carbon balance of 22 farms in Brazil (period from June 2020 to July 2021). The study covered 71,400 hectares and more than 250,000 head of cattle. The 22 participating ranch properties supplied 12% of the volume of cattle purchased in Brazil for 2021. The initial results indicate that 21 ranches emit less than the national average for livestock activity and 10 of the ranches analyzed sequester more carbon than they emit through best practices, resulting in negative carbon.​

The LATAM Certification Project, carried out in partnership with Imaflora, calculated the carbon balance and the intensity of emissions in 5 different ranch properties in each country of operation, Argentina, Brazil, Colombia, Paraguay, and Uruguay; for a total of 25 ranches, 490 thousand hectares, and 232 thousand heads of cattle. The estimate of the intensity of emissions in global beef production, obtained from the analysis of more than 30 scientific papers, was 19.9 tons of CO2e per ton of beef produced. The 25 suppliers of Minerva Foods are ranked between 11% and 69% below the global average of emissions, with the average being 44% below. When evaluating the carbon balance of the production system for each one of them, which includes the emissions and removals that occur on the property, three of the the ranches were found to be carbon negative. The results were presented at the UN World Climate Conference (COP26). All the data are published at https://carbonontrack.imaflora.org/.

The Carbon Project, carried out in partnership with Santos Lab and Biofílica Ambipar Environment, used remote sensing technologies to analyze the presence of environmental assets on 382 ranch properties in Brazil and Paraguay. Of these, 60 suppliers were invited to participate in the pilot project, 10 of which were located in the Paraguayan Chaco and 50 in Brazil. The project aims to connect these farms with the voluntary carbon market, green finance, and capacity building, with the intention of creating incentives for the expansion of low carbon practices in cattle ranching.​

The Renove Program aims to expand these activities throughout 2022, with constant methodological improvement in order to maintain soundness and scientific credibility, thus contributing to the recognition of the sustainability of South American cattle breeding. ​

More information can be found in the sections Renew Program.​

Created in 2021, MyCarbon is a subsidiary of Minerva Foods. It is designed to help companies to reach their goals of neutralizing greenhouse gas emissions through carbon offsetting, in a manner that is transparent, reliable, and sustainable. The company develops projects, originates and trades carbon credits, in line with international standards, thereby creating financial opportunities for the preservation of nature, accelerating the drive against climate change, and promoting a low-carbon future.​

MyCarbon is part of the efforts Minerva Foods has made to implement initiatives that promote a more sustainable, low-carbon livestock production, supporting ranchers throughout South America in adopting a technology-based production system that contributes towards reducing emissions in the value chain. In 2021, MyCarbon carried out its first contract for the certified emissions reduction.​

As part of our 2022 results, we have already traded over 1.5 million tonnes of carbon and sold the first containers of carbon neutral meat.

More information can be found at MyCarbon website.​

A carbon credit is the representation of one ton of carbon dioxide that has been removed from the atmosphere or not emitted, contributing to the reduction of the greenhouse effect. These credits are verified, audited and certified within recognized platforms and can be traded, in order to offset the residual emissions of organizations, activities or products, i.e. those emissions that could not be reduced to achieve climate neutrality (net zero).

Carbon credits are generated from projects that promote the reduction of emissions or the removal of carbon from the atmosphere. Activities that can generate these credits include forest preservation and restoration, pasture reform and management, and the implementation of good agricultural practices. The Renove Program supports rural producers to connect to the carbon market, within certified projects.

More information can be found at MyCarbon and the Renew Program webpage.

For a product to be carbon neutral, all emissions measured in its carbon footprint need to be reduced and the rest offset in order to neutralize them.

Minerva Foods has already made its first exports of carbon neutral meat, with the inclusion of the CO2 neutral seal, granted by an independent organization with certification systems in more than 100 countries. Minerva Foods, in partnership with research institutions, measures emissions from the farm to the product’s destination. With the implementation of emission reduction plans in farms and industries, the remaining emissions are offset through the use of high quality carbon credits. We started to include this new seal in the lines produced in Uruguay and Brazil as a result of the best practices adopted by ranchers in their efforts to reduce emissions.

More information can be found at MyCarbon and the Renew Program webpage.

For Minerva Foods, the sustainability of our operations depends on maintaining the ecosystems that make agriculture and livestock production viable. Climate change poses a number of potential impacts on the agriculture and livestock value chain, including reduced productivity on ranches that supply cattle, increased animal mortality, higher costs for medications to ensure healthy livestock, as well as increased water temperatures in fish production, all of which could result in higher operating costs for the Company.

In late 2012, the Sustainability and Audit, Risk and Compliance areas, together with a specialized consulting firm, embarked on a project to map risks and opportunities linked to climate change to better assess Minerva Foods’ business adaptation strategy in its operations and value chain.

The project to map and analyze risks and opportunities related to climate change examines the greenhouse gas concentration scenarios and socio-economic strategies developed by the IPCC (SSP1-2.6, SSP2-4.5 and SSP3-7.0) in both the mid- and long-term (2030 and 2050) that could affect Minerva’s operations and value chain. The physical risks assessed include: forest fires, floods, heat and cold waves, storms and meteorological droughts. The transition risks assessed include those related to those on the political and legal, market, technological and reputational fronts. Initially, eight opportunities were mapped, each with different applications across the countries of operation.

The project is being carried out according to the recommendations set out by the Task Force on Climate-Related Financial Disclosures (TCFD) and is expected to be completed in 2023.

More information can be found in the Sustainability Report and in the Indicator Center Section

Minerva Foods is connected to the national and international sustainability agenda through public commitments and by joining initiatives that are relevant to its business segment. ​

The Company is a signatory to the UN Global Compact and participates in the Climate Action Platform of the Brazil Network, is part of the Brazilian GHG Protocol Program and can be found on the list of companies participating in the Carbon Disclosure Project (CDP).​

In relation to combating deforestation in South America, a topic directly linked to its climate agenda, Minerva Foods is a signatory to the ‘Compromisso Público da Pecuária’ and Termo de Ajustamento de Conduta (TAC) with the Ministério Público Federal of Pará, in addition to its participation in the Global Roundtable for Sustainable Beef (GRSB), Brazilian Roundtable on Sustainable Livestock (MBPS), Mesa Paraguaya de Carne Sostenible (MPCS), Mesa de Ganadería Sostenible de Colombia, and the Responsible Leather Roundtable (RLRT). Other initiatives in which the Company participates includes the Grupo de Trabalho dos Fornecedores Indiretos (GTFI) and the Protocolo de Monitoramento de Fornecedores de Gado da Amazônia (in partnership with the Ministério Público Federal and Imaflora).​

Furthermore, for the third consecutive year, in 2023 Minerva Foods is part of the Carbon Efficient Index (ICO2) and the Corporate Sustainability Index (ISE), both part of B3, The Company is part of the 2022/2023 portfolio of the CDP Brazil Climate Resilience Index (ICDPR70). The Company was also evaluated by the Forest 500 Ranking as one of the companies in the protein sector that presents the lowest risks of being linked to deforestation or of potential exposure to supply chains of forest risk commodities. In 2023, Minerva Foods ranks among the 5 best Brazilian companies in sustainability policies, according to the ranking.

More information can be found in the Sustainability Report, under the section Dedication to the Planet, on the platform for action for Climate of the UN Global Compact Network Brazil, and on the Registro Público de Emissões do Programa Brasileiro GHG Protocol, the questionnaires of the CDP and on index pages ICO2 and ISE of the B3 and ICDPR70.​

Environmental management at Minerva Foods encompasses several different activities focused on prevention and mitigation of environmental impacts and continuous improvements. Management includes the stages of environmental licensing and request for grants, environmental investments and implementation of Environmental Management Plans, as well as Management Plans for Solid Waste. ​

The environmental issues are governed by the guidelines of the Occupational Health and Safety, Environment, Food Safety, and Social Responsibility Policy, which contemplates the business performance in different countries, seeking to standardize internal procedures in all units. ​

More information can be found in the section Dedication to the Planet.​

Yes, Minerva Foods does monitor several environmental indicators on a monthly basis. These include: water consumption, electricity consumption, fuel consumption, steam generation, effluent generation, volume of waste generated and disposed of, among others.​

Each year the Company publishes these indicators in its Sustainability Report, and they are used to define strategies and investments required to optimize the use of natural resources in operations.​

These indicators can be found in the section Indicators. More information can be found by accessing the Sustainability Report.​

Minerva Foods sets targets in terms of water and electricity consumption, striving to optimize its operations and make them increasingly more efficient. Each business unit establishes a target at the beginning of each year according to production planning.​

The metric used to measure water consumption is m³/TPA (Ton of Finished Product).​

The metric used to measure electricity consumption is Kwh/TPA.​

These indicators can be found in the section Indicators. More information can be found by accessing the Sustainability Report.​

All Minerva Foods business units are subject to the rules and regulations of inspection agencies, whether municipal, state or federal, and ensuring compliance already contributes to minimizing risks inherent in operations. ​

Finally, studies of environmental aspects and impacts that support the management in the treatment of significant risks are reviewed annually in the operations.​

More information can be found in the section Dedication to the Planet.​

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Yes, effluents generated in operations are treated by Minerva Foods’ own Effluent Treatment Stations. The Effluent Treatment Stations are composed of a primary treatment (responsible for removing solid waste through suspension), secondary (responsible for intensifying the natural biodegradation process of the organic load, i.e., it is a system focused on biological oxidation of a portion of organic matter) and, for some locations, tertiary (responsible for controlling specific parameters that are not removed by conventional biological methods using physical-chemical or biological techniques). ​

All entire treatment process is monitored through analysis of the raw and treated effluent, performed by laboratories accredited by international quality standards, to ensure compliance with the laws of each country and the non-contamination of the receiving bodies and/or soil when applicable. ​

The Company has also invested in fertigation systems for the disposal of effluents. In these systems, the treated effluent is sent through pipelines and drained into pastures on supplier properties located in the vicinity of the industrial units. Among the various environmental benefits of this process, the preservation of water bodies and the reduction of the amount of fertilizer products used in pastures that emit Greenhouse Gases.​

More information can be found in the section Dedication to the Planet.​

Yes, Minerva Foods controls its atmospheric emissions at all applicable business units. All emissions are monitored by laboratories accredited under international quality standards to ensure compliance with the laws of each country. ​

More information can be found in the section Dedication to the Planet.​

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Yes. As such, since 2021, Minerva Foods received the “eureciclo” seal, which testifies to the Company’s practices of promoting reverse logistics for product packaging. Minerva Foods is the first company in the meat sector to receive certification for all lines sold in Brazil, a testament to the Company’s commitment to compensating environmental impacts. More than a seal, the platform connects cooperatives and collection and recycling operators to companies, generating more resources for recycling agents, promoting the reverse logistics of post-consumer packaging and reducing the environmental impacts of these wastes on the environment. Annually, Minerva Foods disposes of approximately 1,500 tons of post-consumer packaging, a volume that represents 22% of the total packaging placed on the Brazilian market, in line with the goals of the National Solid Waste Policy.​

In the operational units of Paraguay, plastic and cardboard waste is donated to an NGO that supports people with low income by selling the waste. ​

Since 2018, the Ciénaga de Oro unit in Colombia began to carry out the “Plan de Envases y Empaques”, together with the Punto Azul Corporation, in conjunction with compliance with Resolution 1407/2018, and all primary and secondary packaging materials are separated and sent to recycling Cooperatives.​

In addition to recycling efforts, Minerva Foods seeks to reduce consumption of materials and segregates, stores, treats and disposes of its waste in an environmentally suitable manner, complying with environmental legislation applicable at each location and following the Solid Waste Management Plans of the operational units.​

At the Company, the by-products of the industrial process are transformed into business, linking sustainability and profitability through the Minerva Leather, Minerva Biodiesel, Minerva Ingredients and Minerva Casings divisions. In some locations, rumen from the process is also composted, reducing the amount of non-hazardous waste sent to landfill and contributing to the strengthening of a circular economy.​

More information can be found in the section Dedication to the Planet.​

All Minerva operating units have BRCGS certification, recognized by the Global Food Safety Initiative (GFSI). This attests to compliance with international standards and criteria in all production processes.​

More information can be found in the Sustainability Report and in the section Product Quality and Respect for Life.

Yes, all Minerva Foods active operating units are certified for Halal production.​

More information can be found in the Sustainability Report and in the section Product Quality and Respect for Life.​

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Microbiological and physicochemical analyses are carried out on all products, surfaces, ambient air and packaging, in addition to verifying the composition of the food in terms of proteins, fats, moisture and other factors.

Inorganic contaminants, antibiotics, pesticides, radioisotopes, avermectins, and hormones can be analyzed for residue control in fresh meat. The number of samples to be taken is determined by the number of animals within each lot.

Antibiotics to be analyzed include high priority antimicrobials (HPCIAs) and medically important antimicrobials (MIAs).
Minerva Foods relies on ISO 17.025 certified laboratories as well as third party laboratories which hold equivalent accreditation.

More information can be found in the Sustainability Report and in the section Product Quality and Respect for Life.​

Yes, Minerva Foods daily oversees the results of established quality indicators, with a focus on continuous improvement. Weekly, monthly, and annual statements are issued to monitor the individual performance of each production unit, in order to ensure overall quality and safety of the food produced.​

More information can be found in our Sustainability Report and in the section Product Quality and Respect for Life.​

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The term is increasingly being used by companies, consumers, customers, and inspection agencies, making it essential to comply with certain standards of good practice. Animal welfare is not just about ensuring that an animal is not treated cruelly or suffers any unnecessary pain or suffering. Animal welfare is linked to the animal’s nutrition, environment, health, behavior, and mental state.

The most commonly used scientific concept is that an animal’s welfare refers to its state in relation to its attempts to adapt to its environment. In other words, if the challenges of adaptation are overcome with little effort and expenditure of resources, welfare is satisfactory. However, when there are failures and difficulties in meeting the challenges, welfare can be considered deficient. So an animal’s welfare can be measured and is something inherent to the animal, not something given to them by man. In practice, this means that no one is able to provide welfare to an animal, but rather conditions for it to adapt in the best possible way to the environment.

For more information access: Animal Welfare Concepts and Related Issues.

Conceptual framework covering different aspects of internationally recognized animal welfare. These domains provide means to assess animal welfare with a focus on metal state and positive experiences, and include factors such as physical health, natural behavior, adequate food, environmental comfort and absence of pain or suffering. The aim of the animal welfare domains is to provide a comprehensive framework for assessing and promoting animal welfare in different contexts, such as in production, scientific research, veterinary care and animal protection.

The Five Freedoms and Five Domains frameworks contain essentially the same five elements. However, the Five Domains explore the mental state of an animal in more detail and acknowledge that for every physical aspect that is affected, there may be an accompanying emotion or subjective experience that may also affect welfare. This is useful in terms of reinforcing the message that emotional needs are equally important as physical needs for animals. Animals should have the opportunity to have positive experiences such as anticipation, satisfaction and satiation. To enable this, those responsible for the care of animals need to provide them environments that not only allow, but encourage animals to express rewarding behaviors. This shift in understanding is the basis for the Five Domains model built-in Minerva Foods’ Animal Welfare Policy.

Find out more details about this topic by watching this video:

Sentience is the ability of individuals to consciously experience sensations and feelings. Minerva Foods recognizes animals as sentient creatures, meaning that we believe they have feelings, memories and wills, as well as physical and mental suffering.

For more information: Animal Welfare Policy;

Yes, the sustainability agenda for Minerva Foods was structured upon three key pillars: Dedication to the Planet, Prosperity of our People and Product Quality and Respect for Life. ​

Specifically above the pillar Product Quality and Respect for Life, there is the objective to ensure food quality and safety and the best animal welfare practices, adhering to innovation and certification at each stage of the value chain.​

More information can be found in the section Product Quality and Respect for Life.​

Yes. For Minerva Foods, animal welfare is an ethical principle that applies to its entire operation(cattle, dairy cows, pigs, broilers, laying hens, sheep and fish). The Animal Welfare Policy is based on strict zero tolerance control of acts of abuse, neglect or mistreatment of animals, always seeking to implement the best management practices, and provide training for all those involved as well as continuous verification at all stages of production.​

More information can be found in the section Product Quality and Respect for Life.​

Minerva units in Brazil, Paraguay, Uruguay, Colombia and the Rosario unit in Argentina are certified in animal welfare, in accordance with the NAMI (North American Institute) protocol, by PAACO (Professional Auditor Animal Certification Organization) accredited auditors. As a result, more than 95% of the beef industrial units are certified in animal welfare and we had in 2022 an average of 99.9% compliance with the requirements.

In Australia, although the operations have been acquired recently, the Company has two units certified in the Australian Livestock Processing Industry Animal Welfare Certification System protocol, the AAWCS, and has an approval rate of 100%.

More information can be found in the section Product Quality and Respect for Life.​

The Company understands that animal welfare is a key principle for ethical animal production, and acts not only in the internal control of related indicators, but also with dissemination of the theme to its entire network of customers. For this purpose, education and/or awareness-raising activities are carried out, some of which are listed below:

– Contestation of questionnaires from a wide range of customers to disseminate how our animal welfare programs and practices are implemented, as well as policy updates and internal initiatives related to the topic;

– Implementation of QRcode to provide information to consumers regarding the origin of the raw material with socio-environmental and animal welfare content. Find out more details about this topic (materials available in Portuguese (BR) only):

. https://minervafoods.com/noticias/frigorifico-revela-consumo-energetico-de-fabrica-em-qr-code-no-pacote-de-carne/;

. https://minervafoods.com/noticias/minerva-foods-amplia-qr-code-para-embalagens-da-linha-minerva-angus/;

. https://minervafoods.com/noticias/esse-boi-e-do-bem-e-a-minerva-tem-o-qr-code-para-provar/;

. https://minervafoods.com/noticias/minerva-passa-usar-selo-de-rastreabilidade-em-produtos-gourmets/.

–  Carrying out internal campaigns valuing our certifications in animal welfare, as well as awareness campaigns related to the theme with interactive dynamics among employees (Figure 1).

Check it out (materials available in Portuguese (BR) only): https://minervafoods.com/noticias/minerva-foods-promove-novo-ciclo-de-treinamentos-de-bem-estar-animal-para-pecuaristas-parceiros-de-jose-bonifacio-sp/; https://minervafoods.com/noticias/unidade-de-rolim-de-moura-da-minerva-foods-renova-certificacao-paaco-nami-2/; https://minervafoods.com/noticias/bem-estar-animal-minerva-foods-promove-novo-ciclo-de-treinamentos-aos-pecuaristas/.

– Dissemination of the animal welfare culture to employees on the screens of the company’s restaurants and corporate environment, with content aimed at disseminating good practices and updates related to the topic. Check it out (materials available in Portuguese (BR) only): https://minervafoods.com/noticias/5-pilares-que-garantem-o-bem-estar-dos-animais-na-minerva-foods/; https://minervafoods.com/bem-estar-animal-um-investimento-necessario/.

– Dissemination of animal welfare related cards to suppliers, which are shared via mailing and also posted constantly on all our social media (Figure 1).

Minerva Foods identifies its own employees and suppliers as potential consumers, so it works hard on internal disclosures in order to reach this target audience.

For more information related to the Company’s Wellness, please visit: https://minervafoods.com/en/product-quality-and-respect-life/.

The priorities of Minerva Foods in regards to Animal Welfare are as follows:​

• Embrace responsibility for ensuring that animals are treated with respect and dignity throughout the global chain;​
• Develop and implement good animal welfare practices in operations and interfaces with suppliers; and​
• Advance in the structuring of the company’s Animal Welfare Program based on the five domains of animal welfare.​

More information can be found in the section ‘Product Quality and Respect for Life.​

The following measures have been taken by Minerva Foods:

• Adoption of wellness KPIs as part of the corporate charter for top management;
• Specialized animal welfare technical teams in all operations;
• Develop a clear understanding of internal responsibilities regarding the importance of animal welfare to the Company;
• Establishment of a corporate animal welfare advisory committee;
• Partnering with other industry stakeholders;
• Sponsoring animal welfare events, workshops and conferences for internal and external parties;
• Establish contractual clauses for suppliers to comply with Minerva’s Animal Welfare Policy; and
• Organizational structure and business practices focused on the “One Health” concept developed by the World Health Organization (WHO), which addresses human, environmental and animal health.

Announce commitments to address the five areas of animal welfare for all species throughout our value chains, including, as an industry first, fish.

More information can be found in the section Product Quality and Respect for Life.​

We consider animal welfare a priority in our business, and the topic is increasingly establishing a high standard of importance, which drives our sustainable development. To this end, internal and external initiatives and partnerships are constantly implemented.

Check out some of our main actions to disseminate the animal welfare theme:

1. Internal Initiatives
1.1 Research and innovation projects – 1) Corrals: optimization of sprinklers and tests with different types of shades for the cattle’s thermal comfort, tests with different structures for non-slip floors and different types of mobile troughs for feeding the animals; 2) artificial intelligence for bruises on the carcass, in partnership with the company EcoTrace. This technology was developed to map the locations with the presence of bruises on the carcass, facilitating the investigative process of the cause; 3) Systematization: sensor testing deployed at the unloading point for counting and weighing animals; system technology for Big Data – for data management of the animal welfare indicators used in industrial operations, such as application for collecting information from routine animal welfare monitoring and application with the logistics team to monitor the shipment and transport of animals.

1.2 Internal training – Annual training and technical updating of all employees who deal directly with the animals, carried out by external consultants, and by the Animal Welfare Specialists.

1.3 Monitoring cameras – implanted in the industry to monitor the direct handling of the animals. A specialized team monitors the images on a daily basis, reporting possible deviations.

1.4 Trajeto do Boi – Audit performed by the Animal Welfare Specialist of each unit, mapping possible dangers and opportunities to improve the facilities, aiming at animal welfare.

1.5. Application of a Compliance Matrix – a tool used for the daily control of key animal welfare indicators, enabling the monitoring of progress, implementation and assurance of good practices.

2. External Initiatives
2.1 Laço de Confiança – developed by Minerva Foods to facilitate sharing of technical and practical knowledge with our suppliers. The main projects in the Animal Welfare area are: “Falando de Pecuária” (Talking about Cattle Raising), which offers lectures aimed at discussing pertinent subjects between the industry and cattle ranchers, the Carcass Efficiency Program (PEC), which aims to disseminate best practices for efficient cattle raising and the Cattle Raiser’s Booklet, which is a manual to guide management practices with animal welfare in mind.

2.2 Technical field visits – visits to partner farmers to provide guidance and instruction on good animal welfare practices, among other relevant topics. Partner animal health companies may also accompany the visits to reinforce the themes that will be worked on.

2.3 External training – Training and updating of drivers and cattle ranchers in relation to good animal welfare practices with the dissemination of support material, covering essential information for the routine of professionals who deal with live cattle.

2.4 We are signatories of the Global Roundtable for Sustainable Beef (GRSB), a multi-sector initiative composed of representatives of the beef chain. In particular, we participate in roundtables on animal welfare issues.
3. Partnerships
3.1 Research institutions: we are partners of the National Institute of Agricultural Technology (INTA) by means of technical support for the development of the Welfare Protocol for Confined Cattle and the São Paulo Agency of Agribusiness Technology (APTA) with support for research projects focused on animal nutrition.

3.2 Companies: we are also partners of Phibro Animal Health and Biogénese Bagó, supporting initiatives such as mini-courses and technical assistance visits for cattle ranchers, aiming to exchange information on nutrition, productivity, management and animal health. We also have YouTube channels such as PEC TV, which has a programming grid designed to add knowledge to cattle ranchers.

3.3 NGOs: we are partners of Compassion in World Farming (CWF) and Alianima with a focus on developing the company’s public commitments, published in our first Animal Welfare Report, materializing the objectives of continuous improvement of our practices globally.

3.4 Participation in events – To disseminate the animal welfare theme and culture, we constantly participate in a series of important events in the area, such as the Responsible Cattle Raising Movement – animal welfare edition, the 3rd Week of Agricultural Science and Technology and the 5th International Encuentro de Investigadores em Bienestar Animal do Uruguay, held in 2022.

Animal welfare indicators should establish the degree to which an animal’s physical, physiological, psychological, behavioral, social and environmental needs are met. This includes both the physical health of the animals as well as their mental and behavioral health, their social interactions and their adaptation to the environment. In this way, Minerva Foods has well-defined indicators for its global supply chain involving suppliers of all animal species worked with.

We used as a basis for the internal definition of these indicators the protocols: Welfare Quality; AWIN (Animal Welfare Indicators); NAMI (North American Meat Institute); NCC (National Chicken Council); Better Chiken Commitment; Aquatic Animal Health Code – EFSA e Tilapia Welfare Assessment Protocol – FAO.

Here are the indicators mapped in our supply chain divided according to the Five Domains of animal welfare:

Minerva Foods recognizes the importance of maintaining the efficacy of antibiotics for human and animal health in order to minimize the development of antimicrobial resistance. We strongly believe that practices that promote animal welfare result in better health conditions and reduce the use of antimicrobials. We have therefore taken steps to convey information on the subject throughout the value chain, either through our Laço de Confiança program field team or through the team of animal welfare specialists available in each of our units. We have adopted best practices, such as initiatives to promote the health and nutrition of animals on ranches (Carcass Efficiency Program), and conduct post-slaughter tests to monitor chemical residues.

In addition, we hold Organic Certification, which certifies that animals are free of antibiotics and growth hormones and are provided with nutritious pasture feed, in addition to ensuring compliance with high standards of animal welfare. Through the Renove program, for the first time ever, Carbon Neutral Certified Beef products have been exported from units in Brazil and Uruguay to customers in the United States, Spain, Italy and Chile. These units feature production systems that provide shade for the animals, and carbon offsetting in regenerative agricultural systems, such as crop-livestock-forest integration.

In this manner, the Company participates in the global trend toward greater awareness of this issue, as outlined by the World Health Organization (WHO) and the Global Roundtable for Sustainable Beef (GRSB). The following suggestions provide guidance to cattle producers and veterinarians in their responsibility to maintain the health and welfare of their cattle.

We encourage sustainable beef producers, veterinarians and others in the beef value chain to adopt the following:

• Establish an animal health plan together with veterinary assistance, including preventive measures to refine, reduce and, where possible, replace the use of antimicrobials. Periodically review their health plan;
• Prioritize animal welfare with a focus on disease prevention management and vaccination. Use treatment only when necessary;
• Ensure that treatment is administered by a trained professional in accordance with package insert instructions;
• Dispose of expired antimicrobials according to the manufacturer’s instructions;
• Maintain a record of all treatments, including information such as date, diagnosis of illness, name of antimicrobial agent, dosage, and grace period.
• Prioritize the use of antimicrobials of low relevance to human medicine and use antimicrobials of high relevance to human medicine (HPCIAs – Highest Priority Critically Important) as a last resort, provided that this does not delay effective treatment or compromise animal health and welfare.
• Do not use antimicrobials, except ionophores, to enhance efficacy.

The Company has well-defined business strategies to reduce dependence on animal-based foods based on waste reduction, better use of raw materials, shifting business focus, protein diversification and product line development through innovation.
This is a global initiative within the Company that has the active involvement of its senior management. We recognize that this is a key business topic and concern due to the increasing public and customer interest, as well as the safety and sustainability of the supply chain.
Therefore, the following is a description of how we are working to effectively implement the reduction of dependency on food of animal origin, including targets set to achieve performance monitoring indicators and initiatives aimed at continuous improvement.

Take a closer look at some of our key initiatives:

1. Waste reduction
Our activities in this field are geared towards demonstrating our corporate responsibility by taking direct action to reduce the waste generated in the cattle slaughtering process. As a pioneer in the market, Minerva Foods established its subsidiary Minerva Biodisel. This business unit is responsible for the production of renewable energy from tallow, thereby creating value from the by-product of cattle processing and strengthening our commitment to environmental sustainability. This unit has an invested capital of approximately R$ 250 million.

Minerva Biodisel – Goals (2023)

ISCC participation (International Sustainability Carbon Certification) – to expand the geographical scope, exporting biodiesel to Europe and Asia. Previously, operations were limited only to the Brazilian market – GOAL ACHIEVED;
Obtain government authorization from ANP (National Agency for Petroleum, Natural Gas and Biofuels) to triple biodiesel production from 200m³/day to 600m³/day – GOAL ACHIEVED;
Entry into the “Social Seal” project, which requires that 100% of the biodiesel be obtained from family farms. In order to meet this requirement, the Company has begun the transition to the use of tallow derived from family ranching with a commitment to provide technical assistance to these small producers. At present (2023) we have more than 7 thousand producers registered in the program – ON GOING PROJECT;
– Contributions to the Renova Bio Program – a project aimed at promoting the decarbonization of the fuel sector in order to increase the production and consumption of biofuels in the transportation energy matrix. In this project, emissions from biofuels are offset against the use of non-renewable sources and converted into carbon credits – CBIOS. Currently (2023), Minerva has the capacity to generate up to 6,000 CBIOS – ONGOING PROJECT.

2. More efficient use of raw materials

To maximize the use of the main input of its process, cattle. Minerva Foods has developed subsidiaries to market or process hides, tallow, blood, bones and entrails into secondary products: Minerva Leather, Minerva Casings and Minerva Ingredients.
In this way, the company contributes to the reduction of dependence on food of animal origin because it maintains a cycle of absorption of bovine by-products in the form of food for the population, contributing to generate other sources of protein energy that were previously not used and also acting in the reduction of waste from the process.

2.1. Projects and Objectives (2023) – Minerva Casings

Minerva Casings produces and markets natural casings used in the manufacture of sausages. All these raw materials originate from Minerva Foods’ slaughtering and processing units, located in Brazil, Paraguay, Uruguay, Colombia and Argentina, and are used for the production of smoked, cooked and cured foods, such as salami, Calabrian sausages, Portuguese sausages, cambuí sausages, paios, among others. Find out more details in our portfolio.
In recent years, Minerva Casing has advanced in its production capacity having attained the production of 7,760 tons for the year 2022. For 2023, the goal is to produce 9,750 tons, an increase of 25.6% over the previous year, through the application of good manufacturing practices, which ultimately contributes in the reduction of waste and better use of raw materials. – IN PROGRESS.

2.2. Goals and projects – Minerva Ingredients
Minerva Ingredients is responsible for producing and commercializing ingredients from the by-products of cattle slaughtering and deboning, as well as producing products for pet food. Its goal is to expand the geographical scope and expansion of Minerva by-products into the Asia and American markets. In 2023, the first export of beef and bone meal was shipped to the southeast Asian country of Myanmar. Further expansion is planned for the second half of the year with the addition of the United States as an export market. – COMPLETED

2.3. Projects and Objectives (2023) – Minerva Leather

The most important aspect of leather production is the optimization of the raw material, even for hides that do not have the characteristics to generate products with high added value, they can be marketed to the gelatin and collagen industry.

For 2023 Minerva Leather projected an increase of 9,500 tons in leather production, being: 80% in wet blue (among which stands out the 20% growth in the production of leather from organic farms); 5% in semi-finished leather (80% growth compared to last year); and 15% in casing for gelatine/collagen (stable compared to last year).

– Quality leather assurance project: An initiative born out of concern and the need to raise awareness regarding the practice of cattle fire branding, which has potential animal welfare benefits. The project rewards ranchers for implementing good cattle identification practices that reduce fire branding and as a result improve product quality. Initial pilot project underway on 5 properties. – ONGOING PROJECT
– Informative educational material project for ranchers on the reduction of fire branding – Development of a booklet explaining non-fire branding methods for livestock identification. Material prepared and expected to be distributed in 2023. – ONGOING PROJECT

2.4. Projects and Objectives (2023) – PEC (Carcass efficiency program)

Productivity improvements are important sources of reducing animal protein use. Improved breeding and management increase average carcass weights and consumption rates, allowing increased production with lower animal numbers, and a corresponding slowdown in the growth of environmental damage caused by pasture or waste. Thus, Minerva Foods has clear goals within this Program that aim to:
– Acts with the goal of maximum use of raw material by encouraging efficient livestock and standardization of carcasses, encouraging producers to adopt improvement practices that reflect an optimization of the final product;
– Increase in scope. In 2022 the program had 349,683 certified carcasses and 1,314 registrants. For 2023 there is the goal of certifying 480,380 carcasses and totaling 1,400 registrants.

3. Changes in business focus

Reducing dependence on animal-based foods can be achieved in many ways, including changing the focus of the business. Minerva Foods has been changing its business focus through initiatives aimed at Corporate Venture Capital (a fund created to invest in startups and other businesses). In this context, we aim to invest US$30 million in related companies within a 5-year period (2021-2025). Find out more details about the investments already made until 2023:

– The Every Company (2020 – US$4 million) pioneering startup in the development of protein products, through a fermentation process and free of animal protein, thus solving one of the biggest obstacles in the food and beverage industry.
– Shopper (2021; US$ 5 million) online system for purchasing and replenishing household consumption items such as food, cleaning products and personal hygiene;
– Traive (2021; US$ 3 million) operates in the development of credit models for the agricultural sector, in order to facilitate the access of rural producers to the most diverse financial solutions and products in the market, reducing bureaucracy and improving credit risk analysis, contributing to greater transparency, lower risk and benefiting producers and creditors.;
– Liv Up (2022; US$5 million) a foodtech specializing in healthy ready meals, working on protein diversification and new product development through early-stage investment;
– Bluebell Index (2023; US$ 2 million) a Brazilian climate-tech specialized in the development of environmental assets, which encompass carbon, hydrology, soil and biodiversity.

– Integration of My Carbon (2021 – US$ 13 million) as a subsidiary of Minerva Foods, integrating the Other Businesses sector – This is an initiative of Minerva Foods that operates on three business fronts: the development of carbon credits, the commercialization of carbon credits and adding value to Minerva products. MyCarbon’s plans are to work with partners to initiate the origination of carbon credits, either via the Renove Program (supply chain) or with other players in the carbon market. Among the main goals of My Carbon we have:
• Achieve the target of 30,000 head certified carbon neutral by 2023; – ONGOING
• Production of 10,000 tons of off-set meat by 2023; – ONGOING
• Production of 3,000 tons of carbon neutral meat by 2023; – ONGOING
• Achieve ZERO carbon emissions (carbon neutral) by 2035 for all Minerva Foods operations, with an investment of R$ 1.5 billion. – ONGOING

– Renove (2021): Program to engage rural producers and work together to implement sustainable, profitable and low-carbon agriculture. Program that has a direct partnership with My Carbon. Among the main goals and projects of Renove we have:
• MRV Agro Project (2020-2021): carbon balance calculation for 23 farms in Brazil totaling 12% of the volume of cattle purchased in 2021. The results showed that the project farms sequestered more carbon than they emitted from good practices, being carbon negative; – ONGOING
• LATAM Certification Project: calculation of carbon balance and emissions intensity in 25 farms in the countries where Minerva Foods operates (Argentina, Brazil, Colombia, Paraguay and Uruguay), after results, it was found that 3 of these are carbon negative. In 2022 Minerva Foods exported, for the first time, certified carbon neutral meat; – GOAL ACHIVED. – ONGOING
• Carbon on Track: study to define an emissions reduction plan at its production units and partner supplier farms to continuously mitigate and/or offset emissions originating in the production process; – ONGOING
• Carbon project: using remote sensing technologies to analyze the presence of environmental assets in 382 farms in Brazil and Paraguay. – ONGOING

4. Protein Diversification

– Production of alternative protein products of plant origin such as milanesas de soja.

– Marketing of other products of non-animal origin, such as: wines, potatoes, olive oils, etc., totaling in 2022, more than 4 thousand tons.

– Projected increase in the marketing of olive oil, potatoes, chocolate and wine for the year 2023.

5. Product diversification by reformulation

It aims to contribute to reducing dependence on food of animal origin by reformulating products using less animal raw materials, mixing other non-animal proteins in their composition, creating new recipes with a greater variety of ingredients.

Through the subsidiary Minerva Foods Industrializados, Minerva Foods has an extensive and diversified portfolio of products that prioritize the maximum use of the raw materials used. In addition, in 2022 we had a production of 30 tons of products with reduced raw material of animal origin in their composition, using wheat, corn or cassava flour as a complement.

The company has a positioning and strategy to communicate these actions to consumers through actions such as: waste reduction; better use of raw materials; changes in business focus; diversification of proteins; and diversification of new products through reformulation.

Here are some examples of educational and awareness-raising activities:

1) Waste reduction
– Promotion of Minerva Biodiesel at agricultural fairs and through national communication channels: www.portaldoagronegocio.com.br/energias-renovaveis/biodiesel/noticias/minerva-biodiesel-adere-ao-programa-renovabio; aprobio.com.br/noticia/pminerva-biodiesel-adere-ao-programa-renovabiop; www.biodieselbr.com/tag/2299-minerva.

2) Better use of raw materials
– Minerva Leather Sector attends event in Dubai: cicb.org.br/cicb/noticias/feira-aplf-dubai-tem-12-espacos-individuais-de-organizacoes-do-couro-do-brasil.

3) Change in business focus
– Raising awareness throughout the supply chain of a new business model rooted in sustainability as a way to address climate change through the commercialization of carbon credits: mycarbon.solutions/about

– Information sharing regarding the different areas of the company through podcasts available on Spotify: open.spotify.com/show/7CcRAyqdEvg54f5OaLl3Su

– Disclosure of the Company’s investments in other companies by hosting webcasts and earnings conference calls with customers: ri.minervafoods.com/en/calendar-of-events

4) New product diversification through reformulating:
– New product formulation with raw material utilization – Beef Jerky: minervafoods.com/noticias/minerva-faz-1o-embarque-de-carne-do-tipo-beef-jerky-aos-eua/

Yes, all employees and partners of Minerva Foods must comply with all the provisions of the Animal Welfare Policy.

Failure to comply with any of its provisions may result in the termination of the contract between the parties and/or other sanctions provided for therein, in addition to barring registration for possible new contracts until proof of compliance.

GRBS is a multi-sector initiative with representatives from across the chain and all regions of beef production and consumption. The group encourages the improvement of sustainable beef production through cooperative efforts among members and by promoting the use of best environmental, land use and animal welfare practices. In addition, it is working towards its global sustainability goals, such as increasing training opportunities by 25% by 2020, thereby enhancing responsible practices. Examples include allowing animals to express normal behaviors and adopting pain relief practices to ensure animal comfort. In addition, GRSB and its members are developing methods to evaluate the effectiveness of training with the goal of minimizing cattle morbidity and mortality.

All partners in the value chain are encouraged to support and invest in the continuous improvement of animal health and welfare.

Further information can be found at Global Roundtable for Sustainable Beef.

Advanced practices consist of integrating the responsible use of antimicrobials with the use of alternative strategies to prevent disease, through the use of probiotics, botanical extracts and essential oils, or through investments in biosecurity and herd health management programs.

Minerva Foods believes that ensuring the health and well-being of animals will reduce the use of antimicrobials as a disease reduction strategy. To this end, it has adopted the following practices:

1. Reduce stocking densities and allow more natural behavior for 100% of animals (see full document in our Animal Welfare Report)
2. Post-slaughter testing for antibiotic residues, including those of high concern to human medicine (HPCIAs) and those of moderate concern to human medicine (MIAs)
3. Participation in programs to improve animal health (Carcass Efficiency Program); and
4. Incentives for vaccination (e-book: Good Handling Practices and Vaccination).

Yes, Minerva Foods provides ongoing training on social and environmental issues through social media, email and corporate TV at operational units. ​

When integrating all employees, the environmental department presents its environmental management system and explains what is expected of newcomers regarding the segregation and disposal of waste and to ensure conscientious consumption of water and energy. ​

During integration, the Company’s Code of Ethics is also presented containing the principles and actions expected regarding several guidelines, among them promoting and protecting the health and physical integrity of employees, service providers and visitors; respect for the environment and the community; management practices aimed at animal welfare; food quality and safety; respect for others (combating any form of discrimination, forced and child labor); compliance with the law and other applicable regulations; and the search for meeting the needs and expectations of customers and other stakeholders.​

More information can be found in the section Prosperity of our People.​

Through the Estar bem program, Minerva Foods offers important initiatives that stimulate quality of life. Highlights include the virtual library, educational and informative presentations, internal health week, and health and influenza vaccination campaigns. ​

The company also offers Dr. AON, which promotes healthy eating and physical activity with customized follow-ups by nutritional coaches and physical educators; pregnancy counseling and medical orientation; and the Employee Assistance Program, which provides psychological, social, social security, legal and financial assistance to employees, their dependents and families.​

More information can be found in the section Prosperity of our People.​

Minerva Foods informs its internal public of the rights set forth in these collective bargaining agreements, ensuring their practice. It also contemplates an agenda open to dialogue, regardless of collective negotiations and datas-bases* set by the government and/or entities that represent employees.​

*A period of the year when the employers of various companies meet to redefine the terms of collective labor agreements.​

More information on adherence to Collective Bargaining Agreements and/or Conventions can be accessed in the Indicators section.​

Yes, the Company guarantees the right to collective bargaining, and in addition, our Code of Ethics – Guide to Conduct, item 8.6, states the importance of relations with unions, respect for free association, recognizing unions as legal representatives of workers and always seeking open, frank and transparent dialogue, the basis for all our collective bargaining.
By the end of 2022, in Brazil and Uruguay, 100% of the employees are included in the Collective Bargaining Agreements, which provide for the specifics of their labor contracts, such as adjustments, benefits, among others. In Paraguay, the company has more than 40% of the employees covered by the agreements, and the rest have individual labor contracts, formed based on the local labor legislation. In Argentina, the employees who are not included have management positions with specific contracts, also in accordance with the local legislation.
In Colombia, in turn, there are no collective bargaining agreements and all contracts are governed by what is established in the local labor legislation.

More information on adherence to Collective Bargaining Agreements and/or Conventions can be accessed in the Indicators section.​

Minerva Foods is assessed on the pillars of Labor Standards and Occupational Health and Safety. The units receive third-party audits to verify compliance with the questions that are:

• Human rights policy

• Labor, social and occupational health and safety policies and procedures

• Policies to prevent forced and child labor, non-discrimination, harassment and abuse

• Workforce training on evaluated policies

• Procedures for evaluating the effectiveness of the evaluated policies

• Person/Department responsible for implementing guidelines related to human rights and human resources issues

• Communication channel for receiving reports and complaints

• Employee information management procedures

• Turnover – annual and quarterly

• % Absenteeism – annual and quarterly

• Controls of working hours

• Retention of employees’ personal, freedom or salary documents

• Provision of adequate space for storing personal items

• Presence of employees under the age allowed by law or in degrading conditions

• Payment of fair wages

• Freedom of association and collective bargaining agreements

• Recruitment and selection process (whether fees are paid, whether the process steps are clear to participants

• Offering transportation to employees with proper safety and comfort conditions

• Risk assessment of forced labor and other irregularities in the supply chain

• Number and rate of accidents at work – annual and quarterly

• Number of lost days • Occupational risk management and reduction procedures

• Third-party training on health and safety procedures

• Offer of outpatient services with availability of doctors and nurses

• Operating licenses and other necessary permits to use the site

• Internationally recognized certifications (ISO 9000, 14000, OHSAS 18000, SA8000 or others)

Minerva Foods establishes guidelines in this regards, with the intention of promoting, protecting and encouraging the health and physical integrity of its employees, service providers and visitors; through safe and healthy conditions and behavior and management to eliminate dangers and reduce risks identified in its processes, preventing injuries, work-related health problems and the occurrence of incidents.​

The principal areas of management in the health and safety system are:​

• Local safety committees; ​
• Management of critical risks; ​
• Monitoring of legal requirements applicable to the business; ​
• Safety monitoring; ​
• Health monitoring ​
• Management of contractors ​
• Safety leadership; ​
• Communication and consultation; and​
• Aftereffects management​

Minerva Foods operates in accident prevention through its health and safety management system along various guidelines, with emphasis on critical risk management and its ‘Golden Rules’. ​

Management of critical risks is a priority, where risks with the greatest potential are monitored, evaluated and controlled periodically and regularly. Strict control systems, audits, and investments are made to block the possibility of serious and critical events. ​

The main critical risks are:​

1. Working with electricity;
2. Ammonia;
3. Working at heights;
4. Cargo handling and lifting;
5. Machinery and equipment;
6. Pressure vessels and boilers;
7. Confined spaces;
8. Fire prevention and protection; and
9. Working in cold environments.

‘Golden Rules’ is one of the Company’s main programs to encourage safe behavior. These are 10 rules that save lives, built on best market practices and based on Minerva Foods’ principal lessons learned. These are rules that contribute to the educational and learning process, on the road to an improved workplace safety culture. ​

Yes, Minerva Foods possesses a comprehensive program to manage its employees and all those who work on its behalf, specifically its contractors and subcontractors.​

All contractors and subcontractors are systematically evaluated before any service is provided. Together with a strict integration and training program, all activities are assessed prior to their execution to ensure that all risks have been identified and controlled. ​

We periodically monitor the health profile of each worker, seeking to identify, in advance, a possible physical discomfort that could evolve into an occupational disease. The internal medical team follows up on these cases and if necessary refers them to specialized care. We also keep the occupational health program updated, which defines actions for the prevention and promotion of the worker’s health.

Sickness allowances are paid in accordance with the legislation of each country of operation.

More information can be found in our Sustainability Report under the section Prosperity of our People.​

As part of global initiatives focused on well-being and care for workers’ health, the Company provides medical exams according to risks identified in work environments, regardless of their nature, physical, chemical or biological. In addition, complementary health exams are carried out for all employees inserted in the production process, in order to evaluate and treat any type of agents that cause infections and/or diseases.

More information can be found in our Sustainability Report under the section Prosperity of our People.​

In February 2020, when the first case of COVID-19 was confirmed in Brazil, Minerva Foods, with the support of Hospital Israelita Albert Einstein, was the first to mobilize in the development of a solid and technical plan for handling the situation. ​

In addition to the contingency plan, Minerva Foods introduced important physical and mental health support programs for its workers, such as DR. AON and its Employee Assistance Program. ​

More information can be found in our Sustainability Report under the section Prosperity of our People.​

The Minerva Foods Administrative Council has 10 members and 2 alternate members. It is composed of members with different academic backgrounds and corporate experience within the Company’s operating segment.

Currently there are one women on the Administrative Council, and also it should be noted that there is a female representative on the Executive Board.

More information can be found in the sections Our Strategy, Solid and Committed Management and on the Investor Relations site.

The Sustainability and Innovation Advisory Board is a collegiate advisory body, non-statutory, linked to the Company’s board of directors, responsible for monitoring and discussing practices related to socio-environmental sustainability, corporate governance and innovation, in order to provide greater transparency, efficiency and assertiveness of Minerva Foods initiatives. The board meets monthly and is composed of the CEO, CEO MyCarbon (a subsidiary of the Company), CFO, CTO, Institutional Relations Board, Legal Board, Executive Sustainability Management and two independent members with recognized academic and market experience in agribusiness chains and sustainability.

More information can be found in the sections Our Strategy, Solid and Committed Management and on the Investor Relations site.

The Sustainability Commission aims to direct and monitor the Company’s sustainability agenda. The group assesses risks and opportunities related to socio-environmental and corporate governance practices and monitors the implementation and results of plans linked to the strategy for the long-term objective expressed in our Commitment to Sustainability (zero net emissions by 2035). The committee meets monthly and is made up of the CEO, CEO MyCarbon (a subsidiary of the Company), CFO, CTO, Institutional Relations Board, Legal Board and Executive Sustainability Management.

More information can be found in the sections Our Strategy, Solid and Committed Management and on the Investor Relations site.

Yes, Minerva Foods has the ‘Conexão Minerva’ ombudsman channel aimed at the internal and external public. To access the channel, simply contact us by:

Website: conexao.minervafoods.com
Phone: 0800 741 0027
E-mail: conexaominerva@canalconfidencial.com.br

Conexão Minerva is operated by an outsourced company hired by Minerva Foods, guaranteeing its independence, autonomy and impartiality. All manifestations received through this channel are sent to the ombudsman/secretary of the Ethics and Integrity Committee and are treated confidentially, with users being allowed, if they prefer, to register anonymously.

The Minerva Integrity Program adopts rigorous mechanisms and controls in order to reduce risks related to corruption practices, use of privileged information, unfair competition, child, forced and slave labor, among other actions vehemently opposed by the Company. Learn about our main policies in the Ethics and Compliance section.

Furthermore, Minerva Foods is a signatory of the UN Global Compact, a voluntary initiative of major corporate leaders that contribute to the sustainable growth of our planet, by incorporating the ten principles of the UN Global Compact.

More information can be found in the section Solid and Committed Management.

Yes, simply access the conexao.minervafoods.com website and the user will be redirected to the platform of the third-party and independent company that manages the ombudsman channel.​

To follow up on the complaint, the user must follow the guidelines when registering the report and use the protocol number to query.​

Internal Public:​

1. Click on ‘Employee’ > ‘Follow up on the report’​
2. Type the protocol number of the report and then click ‘Consult protocol’​

External Public:​

1. Click on ‘External Public’ > ‘Community’ > ‘Follow up on report​
2. Type the protocol number of the report and then click on ‘Consult protocol​

Yes, Minerva Foods has a Code of Ethics approved by the Administrative Council, which defines the ethical principles of operation, with responsibility for application by employees and business partners. The document includes several topics, among them: compliance with legislation and regulatory standards, ethics and integrity, protection of human rights, compliance with labor laws and standards, environmental care, among others. ​

More information can be found in the sections Prosperity of our People and Solid and Committed Management.​

Yes, Minerva has a specific Code of Conduct for its business partners, such as customers, suppliers, service providers and other stakeholders. The document provides general guidance on relevant aspects of each topic, ensuring that all activities of the Company and in its benefit are always based on ethics, integrity and respect for the health and safety of our employees and service providers, as well as socioenvironmental, labor, data protection and animal welfare laws and rules.

Business partners are formally informed about the Company’s Business Partners Code of Conduct, to which they adhere by signing a term of awareness, and by their respective supply and service agreements.

More information can be found in the Business Partners Code of Conduct and in the sections on Solid and Committed Management and Ethics and Compliance.

Minerva Foods understands that giving gifts is a cultural attitude in many countries around the world, however, the giving of gifts to Company employees is subject the following rules:​

• The amount may not exceed $100.00 (one hundred dollars) per year;​
• Cannot be delivered for business purposes, or in a period close to contract renewal or in any other situation that may create a conflict of interest;​
• It is not allowed to send gifts with the intention of obtaining benefits; and​
• From competitors.​

More information can be found in the section Solid and Committed Management and Ethics and Compliance.

Minerva Foods handles personal data and/or sensitive personal data in accordance with the privacy policy that is publicly is available here.​

For requests involving the subject and the Brazilian General Law on Data Protection, you can contact the Minerva Foods Data Protection Officer at the e-mail address: privacidade@minervafoods.com.​

More information can be found in the section ‘Solid and Committed Management ​and Ethics and Compliance.