A year in review Economic / Governance Environment Social Appendix Waste management & circular principles continuing to innovate and improve our ingredients portfolio This gave us the idea to upcycle the seeds into a natural to reduce the negative impact of our products. Externally, we ingredient to address skin dryness, irritation, and desquamation of all our waste in 2021 was engage with customers to develop new products and caused by lipid barrier damage. 76% diverted from disposal. technologies that are more sustainable in this way. Rethinking plastics – plastic circularity For example, in 2021 we introduced Omegablue®, a cosmetic We are determined to manage our use of plastics in a Anticipation is key to doing good things in a good way and we will ingredient created from upcycled wild bilberries. Traditionally responsible, sustainable way. While we believe that plastic is a be guided by a strategy that supports our long-term vision for used in the food industry for their juice and sugar, bilberries are useful and necessary material that presents many advantages, sustainable plastics. This strategy is articulated around three main also an excellent source of anthocyanidins, which are extracted we are concerned about its end of life and are determined to axes: designing our packaging to be more circular, increasing the from the pulp and fruit skin for the supplement and improve it. Though we intend to use plastics in our operations renewable materials content and improving the system for the pharmaceutical industries. The tiny seeds of the berries contain for the foreseeable future, we need to ensure that our approach end-of-life of our plastics. The first step, which is integrated into up to 20% of linoleic acid (omega-6) and α-linolenic acid is sustainable. Our long-term vision for sustainable plastics each axis, is to reduce plastic usage and consumption in all our (omega-3) in an optimal ratio. Both are known for their involves applying the principles of the circular economy and actions. Our partnerships and system tools will also be powerful capabilities to improve hydration and skin barrier functionality. focusing on the key principles of Rethink, Reduce, Recycle. enablers. We will use plastic circularity to engage employees and also as a common platform for speaking with customers. Our plastics We are committed to replacing all single-use plastics across sites and operations with eco-friendly alternatives before 2030. For our Progress in 2021 strategy REDUCE business, this means moving towards 100% plastic circularity. This Waste requires us to be innovative in terms of plastics type, processes During the course of 2021, the amount of waste sent for and technologies, as well as to rethink our business models. incineration with and without energy recovery and landfill per tonne of product increased by 9% compared to last year’s figure. When talking about plastics, we are small in quantity and high in This is mostly due to an evolution in the product mix as well as Design for complexity compared to the packaging industry. Our main to specific liquid discharges being separated from the circularity challenges are that our plastics are complex due to their required wastewater flows and being treated separately. If we compare functionality and that the products they contain may make 2021 waste for disposal (waste sent for incineration with and 100% them difficult to recycle in conventional ways. In addition, there without energy recovery and landfill) per tonne of product vs. Increase are few relevant sources of food-grade recycled plastics available the 2015 figure, we see a reduction of 2%. If we were to compare CIRCULARITY renewable materials for our applications. the same metrics in 2021 and 2015 with a like-for-like approach, performance would be even better with a reduction of 6%. There is a sense of urgency in solving environmental issues, Improve especially the ones in relation with plastics, and urgent solutions In total, we diverted 76% of all our waste from disposal in 2021. the system are required, but achieving 100% plastic circularity will be a long- The amount of waste diverted from disposal per tonne of term journey. The way forward will require business agility and product has increased by 44% since 2015. The reduction of the anticipation of trends. It may also require investments. This is landfill is also a priority and half of our sites (31 out of 62) are why it is important to remain positive and resilient on the topic. without landfill waste. PARTNER & SYSTEMS 65 Givaudan — 2021 GRI Sustainability Report