Emerging Risk

OCEAN PLASTIC
DESCRIPTION AND IMPACT MANAGEMENT AND MITIGATION PLAN

Ocean plastic is a global issue which has been growing in prominence in recent years, raising concerns among not only our stakeholders, but customers and consumers globally. Ocean plastics can have a significant impact on the health and resilience of the oceans, thereby impacting the livelihoods and potentially the health of those people who depend on them.

Thai Union has continuously implemented a number of initiatives to reduce marine litter and abandoned, lost and discarded fishing gear (ALDFG), including joining forces with the Global Ghost Gear Initiative (GGGI). We are currently looking at ways to make our product packaging more environmentally friendly and have committed to ensuring 100 percent of our branded packaging is reusable, recyclable or compostable and 30 percent average recycled content in our branded packaging by 2025. We also regularly engage our staff and communities on waste minimization, recycling and appropriate disposal of waste.

One of SeaChange® initiatives in 2020 also promoted our SEALECT brand in enhancing sustainable packaging of TUNA Spread from plastic to paper.

From 2019, our teams around the world took part in a number of initiatives to constantly help protect combat ocean plastics and marine litter. These included the #GhostGearReborn dive, which took place in Thailand in collaboration with the GGGI. Additionally, we have carried out a series of beach and canal clean ups by teams around the world, including across Europe by John West offices in the UK, Ireland and the Netherlands, Sealect employees also came together to clean Ban Pe Beach on Thailand’s east coast, and Mareblu employees joined volunteers from Legambiente to clean the Cascina Mulini Ascuitti inside Monza Park.

Element of Thai Union Strategy that management and mitigation plans aim to achieve
Improves of ESG-related factors below
DESCRIPTION AND IMPACT MANAGEMENT AND MITIGATION PLAN

Aquaculture was largely viewed as a sustainable way to relieve pressure on wild stocks of fish and provide protein to the world’s population. However, there have been several developments that could have an impact on demand, supply, and cost.

For example;

  • Aquaculture is being rapidly disrupted by changes in technology, finance, regulation, as well as feed and biotech innovation
  • Shifts in global some markets i.e., Shrimp, Salmon, Pangasius and Tilapia
  • Future of marine aquaculture

For Thai Union Group, change in the aquaculture landscape may possibly impact our business, especially for the frozen and chilled seafood and related segment.

Thai Union manages with global shifts in aquaculture through several functions using a mix of adaptation measures and internal command and control.

Adaptive measures:

  • The Company is aware of this emerging risk and will further conduct analysis in 2021 in order to better evaluate risk, financial impacts and respond accordingly. Meanwhile, we continue to monitor and are alert to risk events, and review future adaptation measures to minimize financial loss
  • The Company has governance and processes in place for up-to-date market trends, short- and long-term strategy planning reviews, strategy risk management reviews and robust strategic initiatives to capture opportunities and mitigate risks
  • The Company continued to invest in food-tech companies for open innovation. In 2020, we invested in an aquaculture technology Company based in Germany and Thailand "HydroNeo GmbH", which we believe also supports as a mitigation to this risk
Elements of Thai Union Strategy that management and mitigation plans aim to achieve
Improves of ESG-related factors below