2013 - 2014 Season

Transcription

2013 - 2014 Season
Citrosuco
doing good
SUSTAINABILITY REPORT
2013 - 2014
TABLE OF CONTENTS
.01
.02
ABOUT THE REPORT ........................................................ 7
Message from the CEO...........................................................................................................................9
Highlights of the period........................................................................................................................ 10
Market context......................................................................................................................................... 10
ORGANIZATIONAL PROFILE..........................................11
Citrosuco..................................................................................................................................................... 12
Our history................................................................................................................................................. 16
BUSINESS OVERVIEW.....................................................19
.03
Production process and value chain................................................................................................ 20
Corporate governance ........................................................................................................................ 24
Management approach......................................................................................................................... 26
Strategic guidelines ............................................................................................................................. 26
Risk management................................................................................................................................... 27
Research and innovation .................................................................................................................... 29
Voluntary commitments ...................................................................................................................... 30
SUSTAINABILITY MANAGEMENT.................................31
.04
Economic and financial performance.................................................................................................. 33
Stakeholder relations .............................................................................................................................. 34
Employee relations............................................................................................................................... 34
Customer relations................................................................................................................................ 40
Supplier relations ................................................................................................................................ 42
Community relations and development where we operate ................................................. 42
Environmental responsibility ................................................................................................................. 46
Greenhouse gas emissions................................................................................................................. 46
Other air emissions............................................................................................................................... 47
Responsible use of land ..................................................................................................................... 48
Energy mix and efficiency................................................................................................................... 48
Waste management ............................................................................................................................ 50
Water and effluent management.................................................................................................... 50
.05
HEALTHINESS..................................................................53
Certifications ........................................................................................................................................... 55
.06
AUDIT OPINION................................................................59
.07
.08
GRI CONTENT INDEX ....................................................63
ACKNOWLEDGMENTS....................................................69
.01
ABOUT
THE REPORT
G4-18 G4-19 G4-28 G4-32
.01
ABOUT
THE REPORT
This Sustainability Report 2013-2014 has been prepared according to the
G4 version of the Global Reporting Initiative(GRI) guidelines and presents
the company’s key organizational aspects and business initiatives for the
period from July 1st, 2013 to June 30th, 2014.
Material issues
The definition of the structure and selection of the indicators in the report
are in line with the company’s guidelines, as follows:
Climate change
Increase the overall efficiency of operations, aiming to reduce
greenhouse gas (GHG) emissions.
Eco-efficiency and the responsible use of resources
Ensure the availability and proper use of production facilities.
Responsible and sustainable supply chain
Encourage the adoption of sustainable practices (compliance +
best practices) throughout the supply chain, thus reducing risks.
Support the development of the communities
where we operate
Contribute to the development of the people in the local communities
and the protection of the environment, creating shared value.
Healthiness of products
Provide the market with healthy raw materials and products,
optimizing the social and environmental impacts.
Governance for sustainable development
Incorporate sustainability aspects in the company’s
strategic positioning.
The GRI aspects and indicators in the report were selected to be in line with the
material issues that are most relevant to sustaining the company’s business.
The report meets the ‘In accordance’ - Core level of the GRI G4 guidelines. The
indicators and associated responses or page references are listed in the GRI
Contents Index - page 55.
8
Message
from the CEO
G4-1
For the first time we are publishing our sustainability
report in order to disclose, in a transparent manner, our
performance and main initiatives and their impacts on
the environment and the communities where we operate.
We recognize that Citrosuco’s long-term business
continuity depends on a business model that makes
sense to our shareholders, employees, customers,
suppliers and society in general. Therefore, we are
convinced
that
management,
our
emphasis
employee
on
development
governance,
and
the
integration of sustainability aspects into our operations
are critical factors in ensuring our future.
Orange juice is our main product. It is a nutritious food,
contributing to human health and well-being, which
we supply to customers in over 100 countries. Our
production is the result of the efforts of a team
comprised of over 5 thousand people, all of whom are
dedicated to ensuring that our customers have access to
a product which is both of high quality and produced in a
socially-just and environmentally-correct manner.
We cultivate a working atmosphere that is receptive
to innovation, where we seek to introduce production
methods that are simple and sustainable, to develop each
individual’s potential, to identify customer needs and to
improve products and services. We are aware of our
responsibility as a catalyst for change in society and seek
to support the development of the local communities
where we are present and to preserve natural resources.
Mário Bavaresco Junior
Citrosuco’s CEO
Our sustainability material issues are addressed
directly by senior management and incorporated into the
company’s strategic planning and budgeting cycles,
ensuring the integration of sustainability issues into
Citrosuco’s business strategy.
The strength and forward-looking nature of this
approach has allowed us to achieve favorable
results even in the recent adverse economic and market
environments, worsened further by the low fruit yields
due to the effects of the inclement weather during the
harvest period. Our focus on cost reduction and increased
efficiency was an important counterpoint to these external
impacts, and, coupled with the hard work, experience,
creativity and dedication of the Citrosuco team, enabled
us to overcome the challenges arising during the period
and to reach even higher levels of excellence.
Citrosuco carries out its daily activities with a constant
eye on the future. Our business model gives great
importance to relations with suppliers and customers,
value creation and business continuity and also expresses
the company’s ambition to contribute to the construction
of a fair and inclusive society. Therefore, we believe
that we have established all the necessary conditions to
realize our goal of making Citrosuco a benchmark for the
generation of sustainable value.
Orange juice is good for you... and for society!
We hope you find the report a good read!
SUSTAINABILITY REPORT
2013 - 2014
9
.01
ABOUT O
SOBRE
THE REPORT
RELATÓRIO
Highlights of
period
Destaques
do the
período
Consolidation
our
Consolidação
do of
modelo
GOVERNANCE
structure
de GOVERNANÇA
R$10.5 million
spent
on SOCIAL
R$ 10,5
milhões
em AND
ENVIRONMENTAL
INVESTMENTS
INVESTIMENTO SOCIOAMBIENTAL
CO-GENERATION of 99,820 MWh
COGERAÇÃO de 99.820 MWh, equivalente a
of energy, equivalent to 39% of
39% da demanda industrial de energia elétrica
industrial electrical energy demand
RENEWABLE ENERGY SOURCES
FONTES RENOVÁVEIS correspondem
represented 60% of the energy
a 60% da matriz energética (2013)
mix (2013)
5,563
permanent
employees
5.563
empregados
fixos and
e
7,002
seasonal
employees
7.002 empregados sazonais
1.5milhão
millionde
m mof3 de
RE-USED
WATER
1,5
ÁGUA REUTILIZADA
≈ 28%≈of
the
industrial
consumption
28% do consumo industrial
3
AGRICULTURAL PRACTICES, greening infestation rate
PRÁTICAS
AGRÍCOLAS, infestação de Greening inferior
was less than 1%, well below the global industry average
a 1%, muito abaixo da média da indústria global
WASTE
MANAGEMENT,
less
5% resíduos
of the waste
generated
was sent
landfills
GESTÃO
DE RESÍDUOS,
menos
dethan
5% dos
gerados
são enviados
paratoaterros
sanitários
Market context
Contexto
de mercado
During
13/14
season,
the Brazilian
macroDurante the
a safra
13/14,
o cenário
macroeconômico
economic
scenariomaior
registered
increase in
brasileiro registrou
regulaçãoangovernamental,
government regulation, high inflation, devaluation
alta de inflação, desvalorização do dólar frente ao real
of the Real against the US Dollar and a declining
e desaceleração do crescimento do PIB.
level of GDP growth.
No contexto global, a Europa apresentou continuidaIn the global context, GDP growth in Europe
de
no quadro
estagnação
do PIB
continued
to de
stagnate
and do
thecrescimento
Asian region
as ae
a
Ásia apresentou
na in
economia,
o que
whole
experienceddesaceleração
a deceleration
its economic
growth rate, which
adversely
expansion
desestimulou
a ampliação
do affected
fluxo de the
mercado.
Em
of
trade
flows.
On
the
other
hand,
the
United
States
paralelo, os Estados Unidos mostraram intensificação
registered
ande
intensification
of the trend to a return
da retomada
crescimento econômico.
to economic growth.
No período, a indústria de suco de laranja observou
a queda the
de produtividade
global, impactada
pelo
During
period, the orange
juice industry
Greening, principalmente
naglobal
Flóridaproductivity
(EUA), e pelas
experienced
a decrease in
due
to the impacts
of greening,
particularly
Florida
condições
comerciais
limitadas
ao cenárioinmacroe(USA), andmundial.
the depressed market conditions due to
conômico
the adverse global macro-economic scenario.
A área citrícola brasileira - São Paulo e a porção
In the
- located
sul
de main
MinasBrazilian
Gerais –citrus-growing
teve produção region
de laranja
26%
in
the
interior
of
the
State
of
São
Paulo
and
the
menor em relação à safra anterior, segundo dados
southern
part ofsetorial
the State
of Minas
Gerais - orange
da associação
CitrusBr,
totalizando
284,9
production was 26% lower compared to the previous
milhões de caixas de 40,8 kg.
10
Com isso,
a produção
de suco
de laranja
indúsharvest,
amounting
to 284.9
million
boxes da
(40.8
kg/
box),
according
to
figures
published
by
CitrusBR,
the
tria em 13/14 somou cerca de 850 mil toneladas,
sector’s main trade association.
queda de 20% em relação à safra anterior, afetada
pelos
fatoresorange
apresentados
acima e pelo
baixo
renAs
a result,
juice production
in the
13/14
season
for
the
industry
as
a
whole
totaled
about
dimento industrial da safra.
850 thousand metric tons, a decrease of 20%
compared to the previous harvest, due to the factors
A queda doabove
rendimento
é explicada
pelo
mentioned
and theindustrial
low industrial
productivity
of
the harvest.
aumento
do tamanho das laranjas e pela grande concentração de água e baixa quantidade de sólidos soThe reduction in industrial productivity was due to
lúveis,
consequência
dos
regimes
intensos
de chuvas
the
increased
size of
the
oranges,
the high
water
no início da
content
andsafra.
low amount of soluble solids. This
resulted from the intense rainfall pattern occurring
in
the early part
of the aharvest.
A estimativa,
segundo
CitrusBr, é que a safra de
laranja dehas
2014/15
cresçathat
em relação
à safra
CitrusBR
estimated
the volume
of pasthe
sada, alcançando
produção
de 308,8
milhões
harvest
in the 14/15
season total
will increase
in relation
to
the
previous
harvest,
rising
to
a
total
production
de caixas em função do aumento da produtividade
of 308.8 million boxes as a result of the increase
dosgrove
pomares.
As projeções
dos níveis de
in
productivity.
The projections
for rendimenthe levels
to industrial productivity
se mostram are
também
muito
favoráveis
of
also very
favorable
for
the
14/15
season.
para a safra 2014/2015.
.02
ORGANIZATIONAL
PROFILE
SUSTAINABILITY REPORT
2013 - 2014
11
.02
ORGANIZATIONAL
PROFILE
Citrosuco
Citrosuco is a 100% Brazilian-owned closed-capital company, with an
installed capacity that is sufficient to produce over 40% of the total
volume of orange juice exported from Brazil, or to meet over 20% of
the global orange juice demand.
Citrosuco’s head office is located in the municipality of Matão (SP).
The company operates along the entire orange juice production chain,
from the cultivation of seedlings to the distribution of its products to
customers through company-owned port terminals that are located
strategically around the world.
The company focuses primarily on overseas markets and its sales
activities are based on a business-to-business model. Citrosuco exports
95% of its juice production to customers in more than 100 countries,
with the largest markets being Europe, which represents about 60%
of total sales, and the United States, which accounts for about 10%
of total sales.
In 2012 the Fischer Group, a pioneer in the orange juice business in Brazil,
and the Votorantim Group, one of the largest industrial conglomerates
in Latin America, joined forces to create Citrosuco, one of the leading
companies in the global orange juice market, with the objectives of:
• strengthening the competitiveness of Brazilian juice
in the global market;
• balancing value creation along the production chain;
• enhancing the potential for sustainable business margins;
• stabilizing and strengthening the portfolio of products; and
• consolidating its market position (partnership with customers).
12
Operational structure
G4-6 G4-8 G4-9
Europe
1 office in Austria (Vienna)
2 port terminals in Belgium
United States
1 plant in Florida (Lake Wales)
(Antwerp and Ghent)
China
1 office (Shanghai)
1 port terminal (Wilmington)
Japan
1 port terminal (Toyohashi)
1 office (Tokyo)
Brazil
3 production plants in Matão,
Catanduva and Araras
(São Paulo state)
Australia
1 port terminal
(Newcastle)
26 farms in São Paulo and
Minas Gerais states
3 storage units in Matão, Bebedouro
and Limeira (São Paulo state)
2 port terminals in Santos
(São Paulo state)
Shipping Fleet
5 ships
(4 purpose-built and
1 multi-cargo)
45 company-owned trucks
and 75 trucks on contract
SUSTAINABILITY REPORT
2013 - 2014
13
.02
ORGANIZATIONAL
PROFILE
Products
G4-4
Citrosuco produces orange juice, for food and beverage manufacturers, and ingredients derived from oranges, which have
applications in a number of different industries.
The main products sold are:
Orange juice
Whole orange juice (NFC - Not From Concentrate) whole orange juice, 100% natural, pasteurized,
chilled and ready to drink. It is produced from
selected fruits and has the same characteristics as
freshly-pressed juice.
Frozen concentrated orange juice (FCOJ) - orange juice,
100% natural, concentrated and frozen, consumed in the
form of reconstituted juice and used in the formulation
of fruit nectar and other beverages.
Ingredients
Essential oil - obtained by cold pressing of orange peel
after juice extraction and used in the chemical, food and
perfume industries.
Watery and oily phase orange essences - essences
obtained from the capture of the volatile aromas
produced in the evaporators during the orange juice
concentration process. The watery phase essence has
a wide range of applications in enhancing the flavors of
foods and beverages and the oily phase essence is used
in the flavor and fragrance industries.
Citric terpene (D-Limonene) - a thin, colorless oil with
a light citrus odor, obtained from the distillation of the
citric liquor extracted from orange pulp. It is used in the
perfume, chemical and pharmaceutical industries.
14
Citrus Pulp Bran (Citrus Pulp Pellets) - produced by
pressing and drying the peel, seed and the orange pulp
not used in the production of juice. It is used mainly as
a supplement to animal feed.
Wesos - concentrated orange soluble solids, produced
by filtering the juice and used in the food and beverage
industry.
Frozen orange pulp (FOP) - obtained from healthy,
ripe fruits through processes of extraction, decanting,
filtration, pasteurization, cooling and storage. It is
used in the production of juices with fruit bits.
Alcohol - obtained by the fermentation of the sugars
in the liquor produced in the pressing of orange
bagasse. It is used as a fuel, in its hydrated form, or,
after refinement and rectification, in the formulation
of drinks and vinegar, in the form of neutral alcohol.
Orange juice is the most
consumed fruit juice in the
world. Its flavor is the most
well-known and one which is
the most adaptable to a wide
range of consumer tastes.”
SUSTAINABILITY REPORT
2013 - 2014
15
.02
ORGANIZATIONAL
PROFILE
Our history
The 1960’s (1963 – 1969) –
Founding of Citrosuco and the
construction of a fruit processing
plant in Matão (SP).
The 1970’s – Inauguration of
a second processing plant, in
Limeira (SP), in 1976. Installation
of an activated sludge treatment
system and cold-storage rooms
for storing juice in bulk in the
Matão (SP) plant.
The 1980’s – Construction of
cold-storage rooms in the Matão
plant, expansion of the Santos
port terminal and inauguration
of the system of marine loading
and transportation of bulk juice,
thereby structuring the entire
production
and
distribution
system for bulk juice. Furthermore,
in Matão, the processing plant
was expanded, the energy mix
was converted to biomass and
a sludge treatment system was
installed.
The 1980’s – In 1988 the first
orange tree seedling was planted
at the Monte Verde Farm in
Itapetininga (SP).
Citrosuco
Citrosuco (Fischer S.A. Comércio Indústria e Agricultura)
Citrovita
16
The 1990’s – At the beginning
of the decade, the Fischer
Group acquired the shares
of the company held by
the Eckes Group, assuming
full control of Citrosuco.
Initiated
operations
at
the port terminal in Japan.
Acquired the Lake Wales
unit in Florida and, in 1999,
Citrosuco started to produce
and export ready-to-drink
juice (NFC), a further example
of
the
company’s
technological pioneering.
The 2000’s – Two new ships came
into operation, increasing the
company’s juice transportation
capacity. Acquired a processing
plant in Bebedouro (SP) and
established the Rio Pardo Farm
for citrus cultivation in the
municipality of Iaras (SP), with an
area of over 9 thousand hectares
of arable land for orange
production.
2010 – Citrovita and Citrosuco
signed an agreement to create
the world’s largest orange juice
production company.
2012 – Inauguration of the world’s
leading company in the orange
juice industry, maintaining the
Citrosuco name.
2013 and 2014 – The company
The 1990’s – Citrovita
was founded and its first
plant was inaugurated in
Catanduva (SP). An office
was opened in Germany
and the first crop was
harvested in Itapetininga.
The 2000’s – Expanded the
Itapetininga seedling nursery,
and initiated the Agricultural
Expansion
Plan
with
the
acquisition of several farms.
Assumed control of 100% of the
bulk juice logistics system in the
In this decade, Citrovita
carried out an intense
expansion program and
initiated
operations
at the port terminal in
Antwerp, Europe. Acquired
the Matão plant and the
Água Branca, Ventura
and Bonsucesso farms, in
addition to doubling the
processing capacity of the
Catanduva plant.
Santos port terminal and initiated
operations at the port terminal in
Australia. In addition, acquired
and expanded the Araras plant,
expanded the Catanduva plant,
transferred the sales area to
Brussels. Converted the hot gas
generators and the boiler in the
Catanduva plant to biomass with
a capacity that both ensured
self-sufficiency and provided
surplus electrical energy for sale
in the market.
underwent an internal review to
capture synergies, adjust production
units, optimize the shipping fleet
and invest in the quality of orange
groves. The review was carried out in
a thoughtful and responsible manner,
with the objectives of increasing
efficiency,
competitiveness
and
operational excellence. G4-13
SUSTAINABILITY REPORT
2013 - 2014
17
.02
ORGANIZATIONAL
PROFILE
Doing good...
for the body and for the world
The regular consumption of orange juice provides a number of health benefits. It strengthens the
immune system and increases the body’s protection against inflammatory and cardiovascular
diseases and diabetes.
In addition, the ingredients derived from orange are used as renewable raw materials by a number of
industries for the production of: flavorings, fragrances, perfumes, insecticides, medicines, fertilizers,
detergents, solvents, repellents, resins, chewing gums, glues and adhesives, tires, paints, candies,
jellies and alcohol fuels. Furthermore, the company is constantly studying the development of
potential new ingredients and applications.
100% of the orange is used
Average destination uses of orange
('in natura')
1.5%
1.5%
Juice
0.5%
1%
Citrus Pellets
46.5%
Oils
Pulp
Essences
D’Limonene
49%
Learn more in the Research and Innovation chapter.
18
.03
BUSINESS
OVERVIEW
G4-2
SUSTAINABILITY REPORT
2013 - 2014
19
.03
BUSINESS
OVERVIEW
Production process and value chain
The company’s operations are highly capital intensive and require large-scale
production in the agricultural, industrial and logistics areas. For this reason,
the pursuit of excellence and operational efficiency is a constant concern
for Citrosuco’s management. To achieve long-term business continuity and
adequate financial results, Citrosuco strives to constantly improve, seeking
to create consistent value for its shareholders, market partners and other
stakeholder groups with which it maintains relations.
The main stages of the company’s operations, activities and differentials
contributing to its pursuit of excellence are described below.
Fruit production
• Seedlings production
The production cycle begins with the germplasm bank of seeds from selected
trees, in order to ensure the best available genetic material as regards
productivity and juice quality. The seeds are kept in cold storage and then
planted and cultivated until they reach the right time for grafting. The
orange tree seedlings produced are bred for quality, productivity, longevity,
phytosanitary adequacy and competitive production costs.
• Soil preparation
The formation of high quality groves requires expert knowledge in soil preparation
and planting techniques, to provide the trees with conditions that are conducive to
20
The company’s own fruit
production is concentrated in
areas where the climate and soil
are suitable for the development
of the groves, which supply
enough fruit to meet over 40%
of industrial demand”
constantly in phytosanitary controls, that is, a set of
measures taken to ensure that the trees have low
levels of infestation by pests and diseases. In this
regard, the main measures taken are:
their sound development, as well as employing practices
that preserve the natural soil conditions.
• Irrigation
In this stage, the actions include the plowing of the
compacted soil, the correction of soil acidity to enable the
tree to achieve the ideal nutritional balance and the use
of contouring and vegetation cover to prevent erosion.
• Planting
The seedlings are planted on company-owned farms
and leased farmland in areas where the climate and
soil are suitable for the cultivation of orange groves.
• Control of pests and diseases
The quality of the groves is of paramount importance
to the business. For this reason the company invests
- integrated management, ensuring efficient control of
pests and diseases and the rational use of pesticides;
and
- the utilization of pesticides that have been properly
registered with the relevant government authorities
and that respect the regulatory requirements for both
Brazil and the countries to which it exports.
The company uses the drip irrigation system. This ensures
both the maintenance of the necessary level of hydration
for the trees and the rational use of water resources.
The rigorous and efficient phytosanitary
control of company-owned groves,
and those in the adjacent areas, has
resulted in a greening infestation rate
of about 1%, which is very low
compared to the average of 10%
for the orange-growing region in the
State of São Paulo as a whole.”
SUSTAINABILITY REPORT
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21
.03
BUSINESS
OVERVIEW
• Harvest
The oranges are harvested according to the ripening
of the fruit, which occurs at different times, depending
on the orange variety. They are classified as follows:
• Mid-season: Pera-Rio.
• Late season: Valencia, Natal and Folha Murcha.
The fruit development cycle, from flowering to
ripening, depends on the variety and ranges between
10 and 16 months.
• Early-season: Westin, Ruby and Hamlin.
Westin, Rubi and Hamlin oranges (early-season)
Jan
Feb
Mar
Apr May
Jun
Jul
Aug
Sep
Oct
Nov
Dec
Westin and Rubi oranges are quite spherical, with thin peels, an intense orange color and a very tasty juice. They are
eaten in natura and used in the preparation of juices. The Hamlin orange is a small fruit with a thin peel and a yellowish
color. It has a low juice content, a low concentration of sugars and its taste is slightly acidic.
Harvest period: from May to August.
Pera-Rio oranges (mid-season)
Jan
Feb
Mar
Apr May
Jun
Jul
Aug
Sep
Oct
Nov
Dec
They are smaller than the other varieties, more elongated, with a thin and smooth peel, a reddish-yellow color and a succulent pulp.
This variety is often consumed ‘in natura’ and, because of its sweet taste, it is also used in the preparation of juices and jellies.
Harvest period: from July to October.
Valência, Natal and Folha Murcha oranges (late-season)
Jan
Feb
Mar
Apr May
Jun
Jul
Aug
Sep
Oct
Nov
Dec
They have an oval shape, a slightly thick peel, and produce a juice with a strong yellow color and a sweet taste. They are
consumed ‘ in natura’ and used in the preparation of juices.
Harvesting period: January and from October to December.
22
Doing good...
by minimizing impacts
The water extracted from the concentration of the juice is reused in the industrial processes,
reducing the consumption of fresh water in the plants by up to 28%. Furthermore, this makes
the transportation of the juice concentrate more efficient.
• Farm-to-plant transportation
The harvested oranges are initially stored in bins and
then transported to the plants by truck.
Manufacture of orange juice
The orange is then processed by separating the juice,
peel oil, peel and the bagasse. The juice is filtered and
centrifuged
to
remove
seeds
and
excess
pulp.
Bagasse, peel and seeds are used in the manufacture of
orange-based ingredients.
After extraction and filtration, the juice undergoes a
• Raw material
modern process of pasteurization, concentration and cooling,
In addition to fruits grown on company-owned
thereby preserving its freshness and vitamin C content. The
farms, oranges from local suppliers are also
processed. They are transported in bulk to
the plants.
On arrival at the plant the fruit is
inspected and a sample is taken from each
truckload to assess the fruit’s characteristics.
The fruit is then stored in bins to maintain its
quality up until the time the juice is extracted.
NFC juice does not pass through the concentration process.
• Storage
The juice is stored in stainless steel tanks, which are
maintained at the ideal temperature for conservation.
The juice’s quality and freshness are monitored by
sampling and specific laboratory tests.
Logistics and distribution
• Processing
Initially, the oranges are washed and sorted by size
so that the juice extraction can be carried out in an
optimal manner.
The logistics and the transportation and storage
infrastructure
are
designed
to
facilitate
the
distribution of the harvest, ensuring both efficiency
and the quality of the end product.
SUSTAINABILITY REPORT
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23
.03
BUSINESS
OVERVIEW
• Ground transportation
• Ownership structure
The juice is stored in the plants before being transported
to the port terminal in refrigerated tanker trucks.
The trucks transporting the juice are tracked and
have a system to prevent unauthorized access.
The control of Citrosuco is shared, on a 50:50 basis,
between its two founding shareholders, the Fischer
and Votorantim Groups. The company`s CEO reports to
the Board of Directors, which is composed of members
who are shareholders or their representatives.
• Shipping/port terminal
• Board of Directors
At the port terminals, the juice is stored in refrigerated
chambers that maintain it at the proper temperature
until the arrival of the ship. The ships are bulk cargo
vessels that are specifically designed and built for the
transportation of the juice to the overseas port terminals.
The Board of Directors is Citrosuco’s highest governance
body. It evaluates and approves policies, guidelines and
the business plan, monitors the company’s performance
and provides guidance to senior management.
These ships have cold-storage chambers and modern
stainless-steel tanks ensuring that the product is
transported safely, guaranteeing its quality and
freshness up to delivery to the final customer.
The juice can also be transported in drums, stored
inside refrigerated containers.
Finally, the juice is distributed from the port terminal
to customers, which are companies that package and
distribute the product to retail outlets, where the
orange juice is purchased by end consumers.
Corporate governance
G4-56
Citrosuco has a governance structure that was developed
based on the model proposed by the Brazilian Institute
of Corporate Governance (IBGC) and the guidelines of
the Brazilian Securities Commission (CVM).
Citrosuco believes that good corporate governance
practices contribute to strengthening its operations,
reducing risks, directing the focus of the business activities
and enhancing the management of the business. This model
facilitates in-depth discussions, speed in decision-making
and the provision of effective support to senior management
in the pursuit of the planned results. The company is
committed to a policy of continuous improvement and the
use of best practices. The objectives are to generate less
volatile, results, maximize value creation and balance the
interests of all stakeholder groups.
24
The Board of Directors, which is composed of
representatives of the Fischer and Votorantim Groups,
holds regular meetings and its deliberations take into
consideration the interests of shareholders and the
other stakeholder groups.
• Senior Management
The CEO is the link between the Board of Directors
and senior management. Senior management is
responsible for drafting, proposing and implementing
all the operating and financial processes that are
inherent to managing the business activities, according
to guidelines approved by the Board of Directors.
The Brazilian Institute for Corporate Governance (IBGC) has published a Code of Best Practices in Corporate Governance,
which is available to society in general. The code sets out four basic principles for good corporate governance, all of
which have been adopted by Citrosuco:
Transparency: This is more than the mere obligation to inform. It is the desire to provide stakeholders with access to all the
information of interest to them and not just that which is imposed by laws or regulations. Transparency, which is not restricted
to financial performance, contributes to creating a climate of trust in the company’s relations with its stakeholders.
Equity: This is the fair treatment of all the company’s shareholders and other stakeholder groups. Discriminatory attitudes or
policies are unacceptable in any situation.
Accountability: Members of governing bodies should provide information on their activities and fully assume the consequences
of their acts and omissions.
Corporate responsibility: Members of governing bodies must act to ensure the sustainability of the organization, aiming to
preserve its long-term business continuity, and incorporating aspects of social and environmental issues in the strategy and
conduct of its business and operations.
Shareholders
Board of Directors
Audit
Committee
Advisory
Committee
Governance
CEO
Senior
Management
Management
Functional and Operational Areas
SUSTAINABILITY REPORT
2013 - 2014
25
.03
.03
BUSINESS
COMPORTAMENTO
OVERVIEW
EMPRESARIAL
Management
approach
Modelo de gestão
Citrosuco’s
structured
O modelo management
de gestão da approach
Citrosucowas
foi estruturado
according
to
the
principles
set
out
by
the
European
sob os princípios da Fundação Europeia
para a
Foundation for Quality Management (EFQM),
Gestão pela Qualidade (EFQM – European Foundaand is based on enablers and results for
tion for Quality Management), baseado em viabiliemployees, customers, suppliers, society and the
zadores itself.
e resultados para as pessoas, os clientes,
business
os fornecedores, a sociedade e o negócio.
•• Leadership:
the no
preparation
to
Pessoas: o foco
período seof
deuemployees
na integração
das equipes,
na equalização
do sistema
remuexercise
leadership
was reinforced
by defining
e na
revisão dos
processos
internos.
a neratório
set of skills
necessary
to assume
a leadership
•
position in Citrosuco, establishing a succession
Liderança: foi definido o perfil de competência
plan and holding leadership workshops.
do líder Citrosuco, o plano sucessório e os fóruns de liderança, pavimentando o exercício da
liderança na Citrosuco.
Strategic guidelines
Diretrizes
estratégicas
vision, value drivers and strategic
During the 13/14 season, the company prioritized the
development
of three
aspects offocou
this model,
as follows:
Na safra 13/14,
a Citrosuco
sua ação
no de-
Citrosuco’s
senvolvimento de três dimensões desse modelo,
• Strategy: the vision, value drivers and strategic
sendo elas:
guidelines for the business were defined.
de discussões
toda a liderança,
foofA partir
discussions
involvingenvolvendo
senior management.
These
ramelements
definidaswill
as alavancas
de valor
e diretrizes
estrakey
be the basis
for the
development
tégicas. Esses elementos guiam o desenvolvimento da
of a Citrosuco culture, the implementation of a
cultura Citrosuco, a implantação do modelo de gestão
management approach and the establishment of
e o estabelecimento do plano estratégico, identificana strategic plan. They will also enable the company
do e priorizando ações que geram valor sustentável.
to identify and prioritize actions that result in the
• Estratégia: trabalha a construção da visão, das
• Employees: the focus was on the integration
de valor teams,
e das diretrizes
estratégicas
ofalavancas
the functional
the standardization
negócio.
ofdothe
compensation system and a review of
internal processes.
guidelines were defined based on the results of a series
generation of sustainable value.
BUSINESS
NEGÓCIOS
Elaboração
e acompanhamento
Preparation
and monitoring da
estratégia
de negócio
e dos
of business
strategy
andresultados econômicos.
economic
results.
MOBILIZAÇÃO EMOBILIZATION
TRANSFORORGANIZATIONAL
MAÇÃO
ORGANIZACIONAL
AND TRANSFORMATION
Engajamento
mobilização
para
Engagementeand
mobilization
alcance
de resultados
transforto achieve
resultseand
mação organizacional.
organizational
transformation.
Leadership
Fóruns de
workshops
liderança
STAFF
SENIOR MANAGEMENT
Estabelecimento
e implementação
do
Establishment
and implementation
of the
modelo
de
gestão,
políticas
e
diretrizes
management approach and organizational
organizacionais.
Desenvolvimento
policies
and guidelines.
Development of da
an
cultura organizacional
disseminação
organizational
culture and edissemination
of
dos
valores
e
princípios
de
gestão.
management values and principles.
PLANEJAMENTO
OPERACIONAL
& (S&OP)
VENDAS
SALES
& OPERATIONS
PLANNING
Garantir
o processo
de planejamento
integrado
Ensure that
the planning
process is integrated
withnas
rodadas
de
S&OP
de
acordo
com
a
estratégia
do
negócio,
the S&OP discussions, in accordance with the business
com foco
nos pilares
de geração
valor
do negócio.
strategy,
and focusing
on thede
main
drivers
of business value.
26
26
Doing good...
by rethinking
After consolidating the capture of synergies and implementing best practices, following the
merger, Citrosuco has now started to focus on building a new culture and business plan for the
future. This is supported by a broader strategic dialogue, which goes well beyond the business
as it is today, aiming at new opportunities for value creation.
Drivers and guidelines
Social and environmental responsibility
• Promote the sustainable performance of operations,
Financial management
• Ensure sustainable cash generation and business
profitability.
contributing to the development of the local communities
near the plants.
People management
Growth and market relations
• Strengthen
• Maintain market share.
Citrosuco’s
employee
integration
process, by fostering a results-oriented culture,
• Develop new products and markets with higher
added value and growth potential.
• Establish sustainable partnerships with suppliers
and customers.
commitment and a sense of ownership.
• Attract, retain and develop talented employees in a
challenging and merit-based atmosphere.
Risk management
Operational excellence
• Optimize assets and inventories.
G4-2
• Obtain the optimal fruit characteristics for the
product mix.
Citrosuco’s activities are exposed, mainly, to
• Ensure consistency and excellence in
performance of critical business processes.
and managed in order to mitigate their possible
the
financial and operational risk. These are classified
impacts on the business.
SUSTAINABILITY REPORT
2013 - 2014
27
.03
BUSINESS
OVERVIEW
Commodity price risk: to manage the orange price
risk, the company negotiates a proportion of its
sales contracts at fixed prices, aiming to ensure an
appropriate balance between short, medium and
long-term contracts. The company also operates
in the futures markets on the Intercontinental
Exchange, in order to hedge the price of juice
concentrate in the North-American market.
Interest rate risk: the company’s policy for
managing interest rate risk establishes guidelines
and standards for controlling its exposure to
interest rates on loan transactions, and other types
of financing and investments, in order to reduce
financial costs and achieve an acceptable level of
cash flow volatility.
Liquidity and indebtedness risks:
the company’s
policy for managing its liquidity and indebtedness
risks seeks to ensure that its cash position, liquidity
and leverage are maintained at adequate levels
and appropriate to the business plan, enabling it to
fulfill its financial obligations.
Credit risk: in order to minimize financial losses on
Financial risks
Citrosuco’s financial risk management is guided
by its business model and corporate governance
processes, which are formalized in corporate
policies. These policies are reviewed annually and
submitted to the Board of Directors for approval.
The company has established a Financial Risk
sales with credit terms, the credit risk management
policy
establishes
guidelines,
standards
and
procedures for assessing the financial health of
customers and defining appropriate credit limits.
Operational risks
The objectives of operational risk management are
to ensure the protection of employees, members
Management Program to monitor its exposure to
of the general public, the environment and the
the global financial markets and to take action to
company’s assets, and avoid the need to interrupt
minimize potential adverse effects on its economic
industrial processes. Thus, aspects such as health
performance. The main risks monitored are:
and safety, labor relations, environmental impacts
and damage to fixed assets are addressed under
Exchange rate risk: the policy for managing
operational risk management.
foreign currency exposure establishes guidelines
28
and standards for protecting the company against
Additionally, the company has rationalized its
the exchange rate movements of the currencies to
global insurance portfolio, identifying synergies
which the company is exposed, in order to protect
and reducing policy premiums while maintaining or
its cash flow and reduce the volatility of EBITDA.
improving the insured risk coverage conditions.
Corporate image and
reputation risks
The risks related to Citrosuco’s corporate image and
reputation are managed by the Legal Department
with support from the Sustainability area.
Research and innovation
Citrosuco promotes the development of talented
employees and encourages a climate of openness
regarding new ideas. The company seeks to identify
and respond to customer needs, continuously
improve its processes, products and services, and
implement simpler and more sustainable production
alternatives, thus acting as an agent that contributes
to the transformation of society as a whole.
To this end, the company has developed research and
innovation programs, in partnership with companies
and educational and research institutions in Brazil
and abroad. These partnerships are aimed, mainly,
at exploiting the benefits of orange juice, developing
new applications for orange-based ingredients,
selection of fruit varieties, pest protection and the
improvement of internal processes.
Some highlights of important innovations already
implemented are: the production of NFC; the use of
articulated trucks with two semi-trailers for juice
transportation; the use of a fluidized bed boiler for
burning biomass with high moisture content; and
new techniques to combat greening.
GREENING
Greening is one of the biggest risks for the global citrus industry. It originated in Asia, where it is also often
referred to as Huanglongbing (HLB), and is a bacterial disease transmitted by an insect of the psyllid family called
Diaphorina Citri. Currently there is no commercial variety of crown or rootstock that has proved to be resistant
to the disease, which has affected over 60% of the groves in the state of São Paulo, Brazil, and nearly 100%
of those in Florida, USA. Because it is difficult to control, greening is one of the factors that has contributed
significantly to increasing the industry’s production costs over the last ten years.
The bacteria spreads from the initially infected branch throughout the tree, affecting the crown, turning the
leaves yellow, increasing the fruit drop rate and thus lowering its productivity. This process results in an increase
in fruit acidity, altering the characteristics of the juice, however, without causing any harm to the consumer.
Citrosuco has signed agreements with EMBRAPA in Brazil and research institutions in the United States, to
contribute to the search for solutions in the fight against greening. Until a definitive solution is found, Citrosuco will
continue to exercise the strict sanitary control of its groves and also monitor the conditions of neighboring groves,
in order to minimize the risk of disease outbreaks. In company-owned groves the infected trees are uprooted and
destroyed, slowing down the spread of the disease. These controls have contained the number of infected trees in
company-owned groves at a level of less than 1%, which is well below the Brazilian and global averages.
The main measures that Citrosuco takes to combat greening, are:
- Inspection of trees with disease symptoms and marking of - Spraying to control infestation by psyllids.
diseased trees.
- Increasing the width of the border areas
separating farms.
- Capture and visual inspection of insects to identify the psyllids.
- Removal of diseased trees within seven days of their identification.
- Tree replacement.
- Breeding and release of natural enemies.
- Monitoring and biological control of neighboring groves.
SUSTAINABILITY REPORT
2013 - 2014
29
.03
BUSINESS
OVERVIEW
The company is currently focusing its innovation
and research efforts on the following areas:
Voluntary commitments
Orange-based ingredients:
Research into
finding new applications for wood, leaves, flowers,
seeds and fruit peel. Some examples of completed
projects are as follows: evaluation of ways to
recover hesperidin from oranges, a substance used
by the pharmaceutical industry; the production
of bio-degradable plastic from orange-based
derivatives; and the use of citrus pulp pellets in
the manufacture of foodstuffs for dogs and cats.
The latter project has already been implemented
and this product is being supplied to the pet
food industry.
“Child’s Friend” Company
Program - ABRINQ Foundation
Genetic development: Studies and field trials are
being undertaken to select orange tree varieties
and rootstocks that provide greater resistance
to pests, diseases and climatic factors, increase
productivity and enhance juice quality.
Harvest efficiency: Research into methods of
increasing the efficiency of the manual harvesting
process while also improving the quality of life and
safety of the fruit-pickers. A prototype of a machine
that raises the fruit-pickers up on platforms is being
tested. This machine will replace the use of ladders.
Irrigation:
Irrigation techniques, which use
the minimum amount of water necessary for
the proper development of the tree, are under
development. This will reduce water consumption,
make production more efficient, and reduce costs.
Renewable energy and energy efficiency:
Development of research into the use of alternative
sources of renewable energy. The research program
includes the generation of bio-gas, planting of crops
for energy purposes, increasing of co-generation
capacity and the implementation of new technologies
that lead to increased energy efficiency.
30
G4-15
Citrosuco participates in the “Child’s Friend”
Company
Program,
developed
by
the
not-for-profit organization, ABRINQ Foundation
- Save the Children. Its mission is to defend the
rights of children and adolescents and promote
their exercise of citizenship. The program has
already benefited more than seven million young
people in Brazil.
The “Child’s Friend” Company Program engages
the business sector in this cause, by mobilizing and
recognizing companies that carry out social actions
to promote and protect the rights of children
and adolescents.
.04
SUSTAINABILITY
MANAGEMENT
G4-2
SUSTAINABILITY REPORT
2013 - 2014
31
.04
SUSTAINABILITY
MANAGEMENT
Sustainability themes have been incorporated in Citrosuco’s strategy, and
permeate its corporate governance, management approach, investment
decisions and training and education processes. This contributes to identifying
and prioritizing initiatives that lead to the generation of sustainable value.
To achieve this, senior management defined the material sustainability issues
for the business activities, taking into consideration the issues important to
the various stakeholder groups. They were then incorporated in the strategic
planning cycle which resulted in the generation of a process of sustainability
management and integrated learning in the whole organization.
Sustainability management:
generation of economic, social
and environmental value, aligned
to business strategy
Strategic
planning
BUSINESS
STRATEGY
Identification
of material
issues
Learning
Consolidation of
results and
reporting
32
Budgeting
Breakdown
of targets
Projects and
routines
BUSINESS
PERFORMANCE
Economic
Social
Environmental
The sustainability management process has evolved
each season. This learning curve has benefited
from the experiences and results of the actions and
initiatives carried out.
Sustainability management is also supported by
the company’s Operational Management System,
reflecting its commitment to address sustainability
material issues in its daily activities.
Citrosuco has achieved strong and consistent results,
In the following sections you will find more information
on Citrosuco’s management approach and performance
in relation to each sustainability material issue.
The company achieved the planned results through
Economic and
financial performance
G4-9
Since the beginning of operations in July 2012,
despite the under-performance of the Brazilian
economy, stagnation in the international demand for
orange juice and lower product prices in the period.
strict management discipline, increased efficiency
and
operational
stability,
the
alignment
and
standardization of business practices, rigorous cost
control and a well-defined sales strategy. These
measures resulted in the realization of synergies
and the optimization of structures and processes,
which together generated savings of around R$ 300
million in the period.
Citrosuco’s Operational Management System (SGO) is based on the company’s policies and commitments
in relation to:
-
meeting customer expectations by manufacturing quality products that provide risk-free benefits to
consumer health;
-defining occupational health and safety and the environment as priorities. This includes the prevention
of occupational injuries and illnesses and the protection of the environment by the responsible use of
natural resources;
-complying with legal requirements and the commitments in the voluntary agreements signed;
-maintaining channels of communication with stakeholder groups;
-continuously improving products and services and the management system, contributing to long-term
business continuity;
-promoting social development based on valuing our employees and relations with other stakeholder groups; and
-encouraging customers and suppliers to adopt principles and practices that are in line with this policy.
SUSTAINABILITY REPORT
2013 - 2014
33
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SUSTAINABILITY
MANAGEMENT
As a result, the company was able to reduce its fixed
costs by 5%, between July 2012 and June 2014, mainly
due to the increased contribution of the fruit itself,
because of its lower cost, in the total processing cost
and a reduction in its financial leverage, measured
by the ratio of net debt/EBITDA, to below 2.5 times.
The total net revenue for the 13/14 season was
US$ 1.3 billion, 9.1% lower than for the previous
12/13 season. This reduction was offset by increased
operating efficiency and reduced costs.
Citrosuco invested R$ 1 million and R$ 9.5 million in
social and environmental projects, respectively, giving
continuity to its policy of sustainable practices.
Stakeholder relations
Employee relations
G4-10 G4-LA1
Citrosuco recognizes that its employees represent
the foundation of the company’s future success,
and values their contributions. As such the
company’s approach to people management
places a high value on employee development and
well-being and, at the same time, supports the
company in achieving its business strategy.
Our team of employees is highly experienced and
knowledgeable about the business. At the end of
the 13/14 season the company had more than five
thousand permanent employees, with the total
number employed rising to more than 12 thousand
during the harvest period.
In the following sections you will find more
information on our employees* and key people
management initiatives:
*The figures include permanent and seasonal employees, but
exclude apprentices. Seasonal employees include both those
working in the industrial plants and those on the farms working as
fruit-pickers. All employees sign a formal employment contract, in
accordance with the applicable labor laws.
34
Permanent employees (Brazil) by gender
100%
90%
80%
70%
60%
50%
40%
30%
20%
10%
0%
1,501
Women
Men
4,062
13/14 Season
Permanent employees (Brazil) by age group
100%
90%
80%
70%
60%
50%
40%
30%
20%
10%
0%
949
> 50 years
3,123
30 to 50 years
< 30 years
1,491
13/14 Season
Seasonal employees (Brazil) by gender
100%
90%
80%
70%
60%
50%
40%
30%
20%
10%
0%
2,372
Women
Men
4,630
13/14 Season
Seasonal employees (Brazil) by age group
100%
90%
80%
70%
60%
50%
40%
30%
20%
10%
0%
779
> 50 years
3,764
30 to 50 years
< 30 years
2,459
13/14 Season
Doing good...
by respecting our employees
Brazilian workers are protected by labor laws, international commitments ratified by the Government
and the associations and unions that represent the various professional categories. Labor rights in
Brazil include:
• a working day of eight hours and a maximum of 44 hours per week;
• overtime pay and a mandatory weekly rest day;
• minimum state or national monthly salary;
• paid vacation of 30 days per year plus an additional 1/3 of a monthly salary,
and a 13th salary payment;
• Service Time Guarantee Fund (FGTS) amounting to 8% of the monthly salary;
• paid notice of at least 30 days before the employment contract expires;
• indemnification for unfair dismissal;
• unemployment benefits paid by the government;
• paid maternity leave of 120 days and paternity leave of five days; and
• additional payments for specific circumstances, such as working the night shift.
Citrosuco respects its employees and requires the same commitment of its suppliers.
• Career development
G4-LA9 G4-LA10
Leadership development: Citrosuco invested
continuously in the development of its leaders and
considers the exercise of competent leadership to be
the basis of its strategy and one of the key aspects of
its management approach.
The desired profile of skills and competences to be
a Citrosuco leader was defined through a structured
process that considered the objectives and specific
requirements of the business activities. On the
basis of this information, the profile of each of the
company’s leaders was evaluated. This information
SUSTAINABILITY REPORT
2013 - 2014
35
.04
SUSTAINABILITY
MANAGEMENT
was then cross-checked and used to prepare
a individual development plan for each senior
manager and an initial draft of a succession plan
was prepared.
Employee
development:
during
the
13/14
season, our ongoing training and development
programs provided around 98 thousand hours
of training for a variety of employee categories,
including administrative, operational and leadership
The program aims to offer opportunities to all
our employees, based on criteria and procedures
defined and communicated by the HOD area.
Seasonal employees are evaluated near the end
of their contracts in relation to their technical and
behavioral performance. This serves as the basis
for defining who will be contracted in the future
when vacancies become available.
• Compensation system
positions. The training needs are identified and
prioritized annually by managers and then a training
In 2012, Citrosuco’s compensation policy was
plan is developed, with support from the Human and
redesigned to be in line with the new organizational
Organizational Development (HOD) area.
structure. The goal was to achieve a balance
of salary, benefits and variable compensation
We also strengthened the specific programs
that would enable the organization to remain
designed for the operational teams of the
competitive in the labor market while ensuring its
agricultural and industrial areas. In relation
ongoing sustainability.
to the processing plants, we restructured our
Integration Program for seasonal employees, by
investing in technical training to enable them to
carry out their functions. They undergo a week’s
training course to learn about the theory and
practice of key issues such as safety, health, the
environment, and quality. They also participate in
group dynamics sessions to strengthen teamwork.
In the agricultural area, we invested in the training
of the employees who monitor the groves for
greening and also the tractor drivers, since they are
an essential part of our disease control strategy.
Another important initiative was the training of
the fruit pickers. When they arrive at the farm, they
go through an integration training course for two
days, where they are informed about our people
management practices, operational procedures
and safety and environmental standards.
Internal recruitment program:
when a job
vacancy arises we prioritize internal recruitment,
since we believe in the potential of our employees
and invest in their development.
36
Doing good...
means studying the market
To ensure the competitiveness of our compensation package compared to market practices we carry
out market surveys on total annual compensation. The surveys are carried out for management,
administrative and operational positions, and cover national, regional and local markets, respectively.
Citrosuco uses a panel of specific companies that have been selected to be similar in terms of
business, size, geographical location, competition for employees, high level of competitiveness and
which are leading players in their markets.
Citrosuco has adopted a compensation system based
on the level and function of each position. They
provide the basis for comparison with other positions
and determine compensation. Each position has been
evaluated using the Hay methodology. Following the
identification, description and functional evaluation of
each position, a market survey was conducted as a basis
for defining the compensation strategy. We have unified
and standardized our fixed and variable compensation,
benefits and contractual terms and conditions.
As is normal for an agribusiness company, we have
a workforce composed of a base of permanent
employees which is supplemented during the harvest
period by hiring seasonal employees to work in our
industrial units and on the farms as fruit pickers.
The salaries and benefits of the seasonal employees
follow market practices and, although they work in
a seasonal activity, they have formal employment
contracts with an indefinite term.
The seasonal industrial employees first pass
through an integration program and then, during
their daily work routine, they are closely monitored
by a person with experience in the position. Where
necessary, additional training is provided to fully
integrate these employees and ensure the safety
of operations.
The fruit-pickers receive the respective state’s
minimum salary (which is higher than the national
minimum salary), even if their productivity does
not reach that value, life insurance and a monthly
package of staple foods.
By the end of this season we succeeded in fully
implementing a single, unified compensation policy
for the whole company, thus demonstrating a sense
of fairness in the way the company rewards and
values its workforce. This policy helped to create an
internal climate of trust, which positively impacted
the results for this season.
SUSTAINABILITY REPORT
2013 - 2014
37
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SUSTAINABILITY
MANAGEMENT
Variable compensation: This is one of the components
of total compensation and is aimed at rewarding
employees for their performance at the end of each
season, against pre-agreed objectives. The policy focuses
on the organization’s short and long-term priorities;
encourages results-oriented behavior; rewards people
for results achieved (meritocracy); and contributes to the
attraction and retention of talented people.
There are two programs of variable remuneration, as follows:
Profit-sharing Program (PPR): applies to administrative,
technical and operational employees, based on
collective goals, previously defined by the company
and the PPR Committee. Performance indicators are
monitored monthly and critically analyzed by teams
at formal meetings. The results are posted on the
Open Management bulletin boards. This program also
covers employees working on the farms, which is one
of Citrosuco’s differentials in the citrus industry.
Short-term incentive: compensates employees at
Restaurants: in those units with restaurant facilities,
employees are provided with breakfast, lunch and
dinner, based on menus prepared by nutritionists. In the
units that don’t have restaurant facilities, employees
are provided with meal vouchers.
Food vouchers: granted to the operational and
administrative employees of the industrial area (up to the
level of supervisor), and the administrative employees in
the agricultural area. The employees at the operational
level in the agricultural area and the seasonal employees
receive a monthly package of staple foods.
Subsidized medicines: this benefit is granted to
all employees, and their families, who work in the
industrial area, through agreements with suppliers.
managerial level based on their performance in relation
The company subsidizes 50% of the cost of medicines
to a set of targets, financial, functional, process and
(with a prescription).
individual that have been previously agreed between
the employee and the manager.
Salary supplement: granted to all employees in the
industrial area and to the administrative employees
Benefits (G4-LA2): the benefits package is a
employed on the farms. The purpose of the benefit
fundamental part of the total compensation. The
is to supplement their salaries during the period of
benefits package is composed of:
absence when they receive unemployment benefits
from the National Institute for Social Security (INSS).
Medical and dental care: ensures a high level of quality
The supplement is paid through the payroll, for up to
in the healthcare services provided to employees and
180 days of absence, and the amount corresponds to
their relatives, through partnerships with the leading
the difference between the employee’s nominal salary
companies in the sector, in the markets in which the
and the INSS unemployment benefit.
company operates.
Christmas Hamper: this is distributed to all employees.
Life insurance and funeral assistance: covers 100%
of employees and his/her spouse and and children.
Citrosuco’s
approach
to
people
management,
Citrosuco pays 50% of the life insurance premium.
presented in this chapter, aims to support the
execution of our strategy and is aligned with the
38
Transportation: all employees either receive transport
company’s objective of creating value for both
vouchers or travel to/from work on buses chartered by
shareholders and other stakeholders in a virtuous
the company.
cycle of sustained development.
Doing good...
by taking care of health, safety and the environment
In recent years Citrosuco has been developing an HSE management system (Health, Safety,
and the Environment), based on the principal methods of risk management and loss prevention
inducing cultural change through leadership training and effective communication, supported
by the exchange of experiences and best practices and the applicable legislation.
• Occupational health and safety
G4-LA6
The Value of Life program is one of the key initiatives
Engagement
and
monitoring: All units have
specialists in safety and occupational nursing to guide
and engage managers and their teams in the creation
of a culture of safe behavior and accident prevention.
supporting our management of occupational health
One of the methods used for this guidance process
and safety. This program involves the implementation
is the Safety Dialogue. This initiative promotes the
of policies, procedures, controls and training courses,
involvement of employees in the discussions about the
and is aimed at instilling a culture of safety and health
health, safety and environmental issues related to the
in employee behavior. It is based on positive concepts
safe execution of their daily activities.
including, valuing life, proactive attitudes and the safe
behavior of every employee. It is applied throughout
the organization on a continuous basis.
Each employee receives the appropriate personal
protective equipment for the proper realization of his/
her activities. The company also undertakes actions
During the 13/14 season, we initiated a process of
to educate and raise awareness in relation to the
progressive analysis, which aims to standardize our
correct use of this equipment and the importance of
occupational health and safety practices. The main
complying with norms and procedures. Every month, a
actions taken were the standardization of these
specific safety topic is emphasized and fully discussed
practices in the industrial, agricultural and logistics
with employees. The main challenge is to address the
operations and the implementation of a new health
health and safety incidents that can occur in day-to
and safety management system, designed to monitor
day activities. So, when a deviation from procedures
all the related topics with a higher degree of precision.
or unsafe behavior is identified, the employee involved
SUSTAINABILITY REPORT
2013 - 2014
39
.04
SUSTAINABILITY
MANAGEMENT
Indutores
de SSMA
SSMA
enablers
Indutores de SSMA
LIDERANÇA
LEADERSHIP
• Ética
Ethics
LIDERANÇA
• Valores
Values
•• Estrutura
Organization
Ética
organizacional
structure
• Valores
• Políticas
Policies and
e
• Estrutura
programs
programas
organizacional
• Políticas e
programas
CAPACITAÇÃO
TRAINING
ensinar
• Aprender
Learning eand
CAPACITAÇÃO
teaching
• Treinamento
•• direcionado
Targeted
Aprender e ensinar
training
•• Aspectos
Treinamento
• comportamentais
Behavioral
direcionado
aspects
• Aspectos
comportamentais
PREVENÇÃO
LOSS
DE PERDAS
PREVENTION
COMUNICAÇÃO
COMMUNICATION
PREVENÇÃO
DE PERDAS
•COMUNICAÇÃO
Effective strategy
Estratégia
eficaz
• Divulgação
Adequate communication
adequada
eficazconstante
•• Estratégia
Ongoing engagement
Relacionamento
• Divulgação adequada
BEST
BOASPRACTICES
PRÁTICAS
• Relacionamento constante
BOAS
PRÁTICAS
LEGISLATION
LEGISLAÇÃO
LEGISLAÇÃO
undergoes a period of retraining and is then closely
and environmental rules and operational standards. In
monitored by his/her manager. Additionally, regular
addition, once a year the company organizes the Internal
educational campaigns are carried out aimed at
Week for Accident Prevention (SIPAT), which includes
promoting employee health.
training courses on safety, food safety, and quality.
In the agricultural area, employees are provided
with sunscreen and isotonic drinks for hydration,
replenishment of mineral salts and energy.
Accidents are classified by type and specific indicators
are monitored at the leadership meetings. Accidents
that result in lost days are promptly informed, analyzed
and investigated. All those involved participate in
Root cause analysis
One of the initiatives implemented in the units
is the use of Root Cause Analysis. This consists of
an investigation into an incident and the adoption
of measures to prevent a re-occurrence. Senior
management participates in the action plans aimed
at reducing risks.
discussions to plan prevention measures These
initiatives are accompanied by senior management.
Customer relations
Dissemination of a health and safety culture: on
One of Citrosuco’s main characteristics is the value
it places on long-term relations with its customers,
many of which have existed for more than fifty years.
The majority of these clients are well-known brands,
arrival seasonal employees undergo an integration
program in which they are informed about the company’s
practices in relation to people management, safety
40
who concern themselves with the responsible
Citrosuco, as part of it focus on the continuous
performance of their supply chains. As such, the
improvement of its operations, has
maintenance of these long-term relations is based
after-sales service area. This area maintains
on a convergence of business values and practices
constant contact with the customer’s departments
between
including:
for development and quality assurance, exchanging
proximity, transparency, ethics and respect for
information and adapting products, in accordance
employees, the environment and society.
with the demand in each market segment. In
These values also underlie the certifications
is to establish strategic partnerships that can help
obtained by Citrosuco. This responsible attitude is
to identify opportunities that enable customers to
Citrosuco
and
its
clients,
an active
addition, part of the scope of this area’s activities
also demonstrated by the company’s membership
of the responsible sourcing platform, Supplier
Ethical Data Exchange (SEDEX). The company’s
remain competitive.
Customer satisfaction
plants and port terminals are audited by SEDEX
labor
Customer satisfaction is continuously monitored
standards, health & safety, environment and
based on information gathered by the sales team
business
company’s
at trade shows, conferences and during technical
orange groves and processing plants are regularly
visits to customers, as well as by analyzing the
audited by customers from a number of countries.
complaints received. The Sales and Quality Control
according
to
its
ethics.
four-pillar
Furthermore,
approach:
the
SUSTAINABILITY REPORT
2013 - 2014
41
.04
SUSTAINABILITY
MANAGEMENT
areas work together closely and in a coordinated
material and courses to instruct the producer
manner to ensure that the feedback received by the
on the correct use of pesticides. During the next
sales area is used to make improvements in all sectors.
harvest period training courses will be provided on
The main items monitored with customers are:
environmental responsibility, combating greening
and management practices in the citrus industry.
• Customer technical support.
• Delivery time.
To formalize these arrangements, the fruit purchase/
• Documentation.
sale contracts include clauses that require the
supplier to commit to comply with Citrosuco’s rules,
• Product availability.
sector obligations and the regulations established by
• Product quality.
the Ministry of Agriculture, Livestock and Supply, and
Supplier relations
the Ministry of Labor.
G4-12 G4-LA14 G4-LA15
Suppliers of inputs and services
Citrosuco expects its suppliers to adhere to its own
values and practices. They must act in an ethical and
responsible manner, maintain an emphasis on safety,
conform to the environmental requirements and
respect human rights.
suppliers
approach to the management of the suppliers of
inputs and services. The aim is to make the contracts
more effective in terms of environmental, human
rights, labor, social, quality and financial aspects,
all of which represent risks for the business. As a
Fruit suppliers
Fruit
The company is developing a more strategic
result it will be possible to combine quality, risk
are
an
extremely
important
stakeholder group in ensuring the supply of fruit
to the industrial plants. Approximately 50% of all
fruit processed is provided by third-party suppliers.
The key priority in managing the relations with
these stakeholders is to ensure a responsible and
sustainable supply of fruit.
For this reason, the company established a specific
program for relations with fruit suppliers. This
and cost, with possible synergies and economies
of scale, and establish closer
and more lasting
relations with these suppliers.
Community relations
and development where
the company operate
G4-15 G4-EC7 G4-SO1 G4-SO2
program covers food safety, the sharing of best
Citrosuco seeks to balance value generation
practices, compliance with the legislation and the
and community development in the localities
promotion of sustainable activities to ensure the
surrounding its operations. To this end, the company
safety, quality and healthiness of the product and
seeks to mitigate its impacts, and it also supports
the generation of value throughout the supply chain.
projects in the areas of education, sports and
professional training.
In the first two seasons, the program focused on
food safety. The program’s initiatives included
In the 13/14 season, the company invested R$ 1
the development of the Agrochemical Products
million to support social projects, benefiting 241
Application
people. The main projects are described in the
program,
42
Manual
which
and
was
the
Good
supported
by
Spraying
training
following sections.
Doing good...
is taking care of quality
The Agrochemical Products Application Monitoring Program aims to ensure that the pesticides
authorized for citrus trees are correctly applied and that the pre-harvest intervals are respected.
It is supported by the frequent monitoring of the use of pesticides.
To achieve this, the program maintains a constant focus on increasing awareness and
providing training for the producers, and on the transfer of technology to promote the safe
use of agricultural pesticides, thereby maintaining fruit quality.
We provided training to 100% of the fruit suppliers contracted - in all the producing regions
- and the results have proved it to be effective. For example, the adoption of flow regulators
in spraying, one of the most widely-used methods, reduced the cost of pesticides by 30%, in
properties that were already in conformity with the limits established by Citrosuco and the
applicable legislation.
The producers input information on their use of pesticides into a dedicated internet website
and each plot in an orange grove is only approved if the program’s requirements are met.
When the fruit is received at the plant, samples are taken and analyzed to identify possible
instances of non-compliance.
SUSTAINABILITY REPORT
2013 - 2014
43
.04
SUSTAINABILITY
MANAGEMENT
Fishing Project (Projeto Pescar)
This project provides support for the professional
training of young people, from 16 to 21 years old, who
are in socially vulnerable situations. It aims to promote
their integration into the labor market and is based
on three development pillars: Citizenship; Learning
to Live; and Professional Expertise; reflecting the
educational concept underlying the project.
The training courses are offered in the municipalities
of Catanduva, Matão, Iaras and Santos, in the state of
São Paulo, and focus on the areas of administrative
services, industrial operations, customer service and
tractor maintenance and operation.
The course consists of an average of 900 hours
of lessons, of which 60% are directed to personal
development and citizenship and 40% to the specific
area of professional expertise. This methodology was
developed by the Fishing Project Foundation (Fundação
Projeto Pescar), Citrosuco’s partner in the project, and
meets the requirements of the legislation related to
apprenticeships, issued by the Ministry of Labor.
Fishing Project – testimonial
“The Fishing Project has high ambitions, seeking not only to train
young people but also to transform their lives, both professionally
and personally. When I joined the project, there were challenges to be
overcome, and people, teams and departments waiting for me and my
fellow apprentices. In my case, at first, I was rather shy and introspective
and began to work as an apprentice in the Human and Organizational
Development area where I had to interact with employees and answer
their questions. After a while, I suddenly realized that all my shyness
had disappeared and my self-confidence had increased. To know that
there are projects that invest in young people, and, by the way, change
and transform their lives, is priceless.”
Gabriela de Lima Pereira - graduate of the Fishing Project 2014
Apprentice in agricultural supplies | Citrosuco - Matão-SP
PROFISSIONAL
PROFISSIONAL
PROFESSIONAL
EXPERTISE
PROFISSIONAL
Questões
técnico-profissionais
Questões
técnico-profissionais
Technical
and
professional issues
Questões
técnico-profissionais
LEARNING TO LIVE
SABER
CONVIVER
SABER
CONVIVER
Social and
emotional
development
SABER
CONVIVER
Conteúdos
socioafetivos
Conteúdos
socioafetivos
ee
and inter
and
intrapersonal
Conteúdos
socioafetivos
e
comunicação
intere eintrapessoal
intrapessoal
comunicação
communication
comunicação
inter einter
intrapessoal
Atividades
básicas
e prioritárias
para
Atividades
básicas
prioritárias
para
Basic
and priority
activities
for
the specific
Atividades
básicas
eeprioritárias
para
o
exercício
profissional
futuro,
aoas
o exercício
exercício
profissional
futuro,
area ofprofissional
professionalfuturo,
expertise,
working
aoao
nível
de auxiliar,
com
o desempenho
nível de
dean
auxiliar,
com
desempenho
assistant,
developing
general
skills that
auxiliar,
com
o odesempenho
de
competências
gerais,
que
permide competências
competências
gerais,
que
permienable
thegerais,
young
person
to
understand
que
permijovem
uma
visão
tam ao
ao tam
jovem
uma
visão
que
jovem
visão
dodo
que
édoé queiné
whatao
touma
expect
when
participating
vivenciado
no
mercado
de
trabalho
vivenciado
nomercado
mercado
trabalho
vivenciado no
dede
trabalho
the labor
market
Formação
integral,
comdesenvolvidesenvolviFormação
integral,
com
Comprehensive
training,
to facilitate
the
Formação
integral,
com
desenvolvimento
de
competências
consideradas
mento
debasic
competências
consideradas
development
of
competences
that
mento
de competências
consideradas
indispensáveis
para
queoojovem
jovem
indispensáveis
para
que
are essential
topara
enable
the
indispensáveis
que
oyoung
jovem
habilidades
atitudes
habilidades
eeatitudes
personconquiste
toconquiste
acquire
skills
and
develop
conquiste
habilidades
e atitudes
próprias
dentro
mundo
dotrabalho
trabalho
próprias
dentro
dodo
mundo
do
próprias
dentro
do
mundo
do
trabalho
attitudes
in the
world
of
work
and in
e
para
exercício
de
sua
cidadania
e exercício
para exercício
de
sua cidadania
e para
de sua
cidadania
exercising
his/her
citizenship
CIDADÃO
CIDADÃO
CIDADÃO
CITIZENSHIP
Sociedade
e cidadania
Sociedade
eand
cidadania
Sociedade
ecitizenship
cidadania
Society
O currículo
doFishing
Programa
Social
é
desenvolvido
temas
OO
currículo
dodo
Programa
Social
Pescar
éPescar
desenvolvido
por
currículo
Social
Pescar
éon
desenvolvido
porpor
temas
The
curriculum
ofPrograma
the
Program
is based
a number
of temas
themes
which
trabalhados
interdisciplinarmente,
harmonizando
teoria
e
prática,
trabalhados
interdisciplinarmente,
harmonizando
teoria
e
prática,
trabalhados
harmonizando
teoria
prática,
are studied ininterdisciplinarmente,
an interdisciplinary manner,
combining theory
and epractice,
com
de conhecimentos
específicos
que
permitam
jovem
com
domínio
dede
conhecimentos
específicos
que permitam
aoperson
jovem
com
domínio
conhecimentos
específicos
que
permitam
aoao
jovem
mastery
of domínio
specific
areas
of knowledge,
thus
enabling
the
young
to
take
agir, interpretar
resultados
e assumir
impactos
por
causados
agir,
resultados
e assumir
impactos
por ele
causados
agir,
interpretar
resultados
e assumir
impactos
por
ele
causados
theinterpretar
initiative,
interpret
results
and
assume
the
consequences
of ele
his
actions
44
Doing good...
is taking care of the community
In the 13/14 season, the company initiated a stakeholder engagement project. The project
is based on the methodology and technology developed by the Votorantim Institute, which
served as a consultant in its implementation.
The project has been implemented at two farms, the Constância and São João farms, located
in the municipalities of Nova Granada, Onda Verde and Altair, in the interior of the state of
São Paulo. It aims to identify and prioritize the critical issues of the stakeholder groups in
these municipalities, and then to establish action plans to assess, monitor and mitigate the
impacts identified.
The overall objective is to enable young people to
overcome a difficult social and economic situation, by
getting a job in the formal labor market. In the 13/14
season, 81 young people participated in the project,
of whom around 80% succeeded in finding a job after
completion of their training.
Schools Sports Project (Bom de Bola, Bom na Escola)
Promotes sport and teamwork and values the school
and the family. The project is aimed at children and
young people, from 10 to 16 years old, and provides the
opportunity to participate in football training sessions
five times a week, with the support of a coaching team
and access to good facilities. Every year, there are
one or two cultural trips, and every three months, an
educational talk.
.04
SUSTAINABILITY
MANAGEMENT
In return, the participants are required to attend school
regularly and perform well, which they demonstrate by
presenting their school reports. In other words, the
Greenhouse
gas emissions
G4-EC2 G4-EN15 G4-EN16 G4-EN17 G4-EN30
project links sport to education, aiming to increase the
level of schooling and reduce dropout rates.
The project is carried out in Matão (SP) and since it
began, in 2002, it has benefited about 110 children
and young people each year.
Cambuhy Agricultural School
This initiative provides supplementary education,
The main source of energy for the industrial area is
generated by the burning of sugarcane bagasse, which
results in a significant reduction in GHG emissions,
compared to the use of petroleum-based fuel oil.
to children enrolled in the rural schools in the
Furthermore, at its plants in Catanduva (SP) and Matão
region, in arts, sports, music and caring for
(SP), the company has invested in co-generation
facilities to provide electrical energy based on the
burning of biomass. In the Araras (SP) plant, natural
gas is used in the production processes. Although it
generates lower GHG emissions compared to fuel oil,
it is not a renewable fuel source like biomass. In the
case of the farms and the operating units in Bebedouro
(SP), Matão FARM (SP) and Limeira (SP), the electrical
energy is purchased in the market.
the environment. The project is sponsored by
Citrosuco and takes place at Cambuhy Farm,
which is located in a rural area in the municipality
of Matão (SP). It benefits about 50 children.
Environmental
responsibility
G4-EN27
Citrosuco is committed to developing its operations in a
sustainable manner. The company invests continually in
environmental management, based on guidelines that
seek to minimize environmental impacts, and promote
risk mitigation and adaptation to climate change. The
environmental management system is integrated into
the company’s Operational Management System and
follows the environmental standard ISO 14001.
46
Citrosuco seeks to minimize the emission of
greenhouse gases (GHG), which cause climate change,
in its operations, mainly through the use of renewable
energy and increases in efficiency.
In the agricultural area, the company has implemented
initiatives aimed at increasing the efficiency of its
operations such as: route planning for tractor operations,
employee transportation and truck deliveries in order
to reduce fuel consumption; analysis of the soil and the
orange tree leaves to formulate the most appropriate
nutritional package that minimizes the amount of
fertilizers, thus directly impacting GHG emissions. In
addition, the use of sophisticated precision-farming
Doing good...
is taking care of the climate
According to reports published by the Intergovernmental Panel on Climate Change (IPCC),
agricultural systems sequester and store large reserves of carbon and have a high potential
for mitigating greenhouse gas (GHG) emissions. In 2013, the growth of the trees in Citrosuco’s
orange groves sequestered an additional 193 thousand metric tons of CO2. Thus, in addition to a
management approach which seeks to minimize GHG emissions from the company’s operations,
the nature of our business inherently contributes to the mitigation of climate change.
techniques that aim to optimize the use of fertilizers
and other agrochemicals, is being evaluated.
In relation to logistics, the efficiency of the company’s
land and sea transportation system has been improved.
The tanker-truck fleet, previously consisting of vehicles
with 25 thousand liter tanks, is gradually being renewed,
replacing them with larger capacity vehicles, with 38
thousand liter tanks. This increases the efficiency of
each road trip and has already reduced the total number
of trips by approximately 30%. The redesign of the
company’s shipping transportation system has resulted
in better communications among its port terminals
located in Brazil, the United States, Europe and Asia.
This enables the ship to travel at a lower average speed,
which reduces fuel consumption, and helps to minimize
the waiting time for unloading at the destination port.
Performance
The monitoring and measurement of the GHG
emissions in Citrosuco’s operations, from the
production of seedlings to the delivery of juice
to the port terminals in Europe, are based on the
guidelines of the GHG Protocol and the ISO 14040,
ISO 14044 and PAS 2050 standards.
Other air emissions
The emissions of Particulate Matter (PM), NOx and
SOx are monitored and managed through the Air
Emissions Monitoring Plan. Air samples are collected
and analyzed in laboratories that have been accredited
by the National Institute of Metrology, Quality and
Technology (Inmetro). The results are sent to the
environmental regulatory authority and are discussed
internally in the Environmental Committee, which is
responsible for establishing improvement plans.
Performance
Over the last few seasons, the company has
invested more than US$4 million in upgrading the
Matão processing plant and the improvement of
SUSTAINABILITY REPORT
2013 - 2014
47
.04
SUSTAINABILITY
GESTÃO DA
MANAGEMENT
SUSTENTABILIDADE
Total
greenhouse
emissions
Emissões
totais degas
Gases
de Efeito Estufa
(thousand
metric tons of CO2eq)
(mil tonCO2eq)
21
21
Scope 11 == 283
Escopo
283
Scope 22 == 21
Escopo
21
283
2013
air-emission
control systems,
with the
e no aprimoramento
dos sistemas
de installation
controle de
of gas-washing equipment that reduces particulate
emissões atmosféricas, com a instalação de lavaemissions by up to 20%.
dor de gases, equipamento que permite a redução
de até 20% das emissões de particulados.
Rational use of land
Uso racional da terra
Citrosuco has taken steps to increase the yield per
hectare of its groves and, consequently, has reduced
A Citrosuco tem adotado medidas para elevar a
the need to expand the planted area. In this way,
produtividade por hectare dos pomares e, consethe company seeks to minimize its environmental
quentemente, reduzir a necessidade de ampliar a
impact, while increasing its production potential,
área plantada. Assim, a Companhia busca minimiimproving efficiency and reducing costs.
zar seu impacto ambiental, ampliar seu potencial
produtivo e ganhar eficiência e redução de custos.
Performance
The
company has maintained the size of the planted area
Desempenho
and increased productivity by adopting best agricultural
Manutenção da área plantada e aumento da produpractices, increasing the tree density in the groves by
tividade por adoção das melhores práticas agrícola
planting additional seedlings.
e adensamento dos pomares com novos plantios.
48
48
The
new planted
areas
have a tree
density of upaté
to 40%
Os novos
plantios
possuem
adensamento
40%
higher than the old groves.
superior em relação aos pomares antigos.
Energy
and efficiency
Matriz emix
eficiência
energética
G4-EN3 G4-EN4
G4-EN3 G4-EN4
Citrosuco’s seeks to achieve a clean energy mix, based
A Citrosuco persegue uma matriz energética limpa,
on the use of renewable energy sources, and increased
estruturada a partir do uso de fontes renováveis
energy efficiency. The company has already made good
de energia e aumento de sua eficiência energética
progress in replacing fossil fuels by renewable sources.
e tem avançado na substituição de combustíveis
fósseis por fontes renováveis.
During each planning cycle, the energy mix is reviewed
in the search for viable ways to increase the proportion
A cada ciclo de planejamento, a matriz energética
of energy from renewable sources. The company
é revisada, buscando viabilizar o aumento das fonevaluates the available alternatives, such as new sources
tes renováveis. Alternativas como novas fontes de
of biomass, new technologies and improvements to
biomassa, novas tecnologias e melhorias nos proprocesses and adopts those which it considers viable
cessos são avaliadas e adotadas conforme viabilifrom economic, social and environmental perspectives.
dade econômica, social e ambiental. Entre as alterOne of these alternatives adopted recently is the burning.
nativas adotadas recentemente está a queima de
a. Preparation of cost and productivity reports, fruit quality analysis
and adjustments to the processes.
1. Planting of groves
Preparation and planting
according to the soil
characteristics, climate
and the combination of
variety and rootstock, aiming
for a high yield potential.
4. Learning and improvement
a. Harvest scheduled according to fruit ripening and
customer specification.
3. Harversting
AGRICULTURAL
PROCESSES
2. Tree management
and treatment
a. Leaf and soil analysis to
formulate the nutrient and
soil correction program for
the planting and maintenance
of the groves.
d. Controlled application
of pesticides.
c. Monitoring
of pest and disease levels.
b. Application of fertilizers and
soil correctives based on the analysis.
of orange-tree wood chips. For the next season the
sources varying according to the availability of sugarcane
company is evaluating the installation of a new turbine
bagasse. Over the recent seasons there has been a
in the Matão plant, with a generating capacity of 2
shortage of sugarcane bagasse and so the consumption
MW, based on a reduction in steam pressure.
of natural gas has increased.
The company’s energy consumption is expected to remain
To reduce the company’s dependence on sugarcane
stable. The renewable portion of the current energy mix
bagasse, and ensure a regular supply of biomass,
has a high degree of dependence on weather conditions,
Citrosuco has invested in an experimental seedling
which results in the portion from non-renewable energy
nursery that is conducting field trials on sugar cane for
power generation, with a view to the formation of an
area dedicated to biomass production. The company
plans to consume 120 thousand metric tons of this
type of biomass during the 16/17 season.
The company has also focused on programs to increase
energy efficiency. One of the main achievements
during the current season was the improvement of the
gas-flaring system.
Performance
In 2013, the portion of renewable energy sources in
Citrosuco’s energy mix was 61%. The non-renewable
portion of the energy mix was due mainly to the
SUSTAINABILITY REPORT
2013 - 2014
49
.04
SUSTAINABILITY
MANAGEMENT
burning of natural gas in the industrial processes,
consumption of fuel in the logistic operations and
on the farms and the consumption of purchased
electrical energy.
Performance
Of the total amount of solid waste produced in the
company’s operations, 64% is reused internally, for
composting or other uses, and 35% is ash that is stored
internally. The remaining 1%, which is mainly organic
waste from restaurants and bathrooms, is disposed of
Energy mix
in several ways: in controlled landfills; by incineration
for energy generation; and, in the case of plastic, glass,
paper and metal, through recycling at cooperatives in
39%
the regions where the company operates.
Non-renewable
61%
Renewable
Of the total solid waste produced less than 1%
is classified as hazardous. This is, in general,
composed of oil-contaminated materials from
2013
the maintenance workshops for machinery and
vehicles. This contaminated material and the empty
Electrical energy (MWh)
- 13/14 season
in three stages before disposal, are directed to
specialized companies which are accredited for the
proper treatment of this type of waste.
300.000
281,256
200.000
100.000
packaging from the pesticides, which are washed
99,820
Energy from
cogeneration
Energy
consumed
-
Water and effluent management
G4-EN8 G4-EN10
The water consumption in the industrial production
processes is monitored through the Water Use
Reduction
Program.
The
program
focuses
on
improving processes to increase water efficiency and
Waste management
Waste management in the company’s operations
is integrated with other aspects of environmental
management.
The industrial processes rationalize the use of
water resources by reusing the water extracted
from the fruit in the juice concentration process.
This water, known as plant condensate, is used for
The nature of the business means that waste
steam generation, washing fruits and the cleaning
generation is low since 100% of the solids from
of equipment and plant facilities, thus reducing the
the oranges themselves are used to produce
withdrawal of fresh water.
orange juice and orange-based ingredients.
50
reuse, thus reducing the industrial area’s consumption.
At the Matão (SP) plant part of the water leaving
The waste generated in the agricultural and
the effluent treatment facility is reused for
industrial processes is collected, separated by
washing floors and watering gardens. The port
type and then each type is treated according to
terminals also exploit the potential to reduce water
its classification.
consumption and, at the Santos terminal (SP). in
Doing good...
by reusing waste
The ash, from the burning of biomass, is mixed with the biological sludge from the effluent
treatment plant and composted. The resulting compost is used in the groves as a form of organic fertilizer. In the 13/14 season around 44 thousand metric tons of organic fertilizer were
produced and used on company-owned farms or donated to local farmers.
addition to capturing rainwater, a water reuse
collected for use in vehicle washing.
system had been implemented. Together, these
measures supply a volume of treated water that
Liquid effluents
is sufficient to meet 20% of the water demand
The company properly handles 100% of its liquid
during the season.
effluents using two treatment systems, as follows:
In the agricultural area, as concerns the productive
Effluent Treatment Plant (ETP): the effluents
activities, 29% of the groves are irrigated, and
treated in the ETP are discharged into the public
99% of the water is supplied by surface sources,
sewage system, or the adjacent water body, with a
under licenses issued by the local authorities. The
quality that is higher than than required by law or
groves are irrigated using the drip system, which is
that of the receiving water body. All the procedures
considered to be one of the most efficient methods
adopted in this process complies with the limits
available because it reduces water and fertilizer
pre-established by the relevant legislation, and the
consumption by delivering them, in a diluted
parameters specified by the environmental agency
form, slowly and directly to the orange tree’s root
of the state of São Paulo (Cetesb).
system, such that the water enters the soil without
evaporating or draining away. The rational use of
Fertigation: this is an alternative treatment
water is a basic premise of irrigation. The system
system for the effluent generated in orange juice
only uses the exact amount of water necessary to
production. This effluent, which is 90% water,
meet the tree’s needs during specific periods during
originating mainly from the washing of the fruit,
the year. Moreover, on some farms, rainwater is
is free from contamination by heavy metals, and is
SUSTAINABILITY REPORT
2013 - 2014
51
.04
GESTÃO
DA
SUSTAINABILITY
SUSTENTABILIDADE
MANAGEMENT
used in the irrigation of other types of plants that,
in a natural process, effectively treat the effluent
de culturas alternativas que, em processo natural,
by absorbing nutrients and returning the water to
realizam o tratamento desse efluente, absorvendo
the soil.
os nutrientes de sua composição e devolvendo a
Desempenho
Performance
água para o solo.
de
chuva eand
tratamento
de efluentes.
collection
effluent treatment.
Total de
retirada
de água
water
withdrawn
by
por
fonte
(safra
13/14)
source
(13/14
season)
Águas
(rios
e lagos)
Surfacesuperficiais
water (rivers
and
lakes)
Água
subterrânea
industrial
Industrial
groundwater
Água
subterrânea
para purposes
outros fins
Groundwater
for other
Água
dewater
reúso
Reused
Águas
de
empresas
de abastecimento
Water-supply
companies
52
Na
safra
da demanda
industrial
de
During
the13/14,
13/1428%
season,
28% of the
industrial
água
foi for
suprida
porwas
meio
do by
reúso
águaofgerada
demand
water
met
the da
reuse
water
a
partir do from
condensado
vegetal,
captaçãorainwater
de água
generated
the plant
condensate,
4%
5%
10%
80%
1%
.05
HEALTHINESS
SUSTAINABILITY REPORT
2013 - 2014
53
.05
HEALTHINESS
Citrosuco is responsible for, and committed to, healthiness and
well-being, that is, to provide the market with a high quality, healthy
orange juice that has a low level of social and environmental impacts.
For this reason, the company has entered into a partnership with the
Department for Food and Nutrition of the Faculty of Pharmaceutical
Sciences of the State University of São Paulo (UNESP). It is supporting
the development of research to evaluate the nutritional and functional
properties of the regular consumption of orange juice.
Some of the main lines of research being developed are as follows:
• Pharmacokinetics
and
bioavailability
of
the
phytochemical
compounds of orange juice.
• Immunological and anti-oxidant properties of orange juice and its
flavonoid compounds*.
• Protective action of orange juice in relation to molecular and
biochemical markers related to chronic diseases (Hepatitis C).
*Flavonoids: These are chemical compounds that occur naturally and abundantly in
the plant kingdom. They have anti-inflammatory, anti-hemorrhagic and anti-allergic
properties, but it is their anti-oxidant property, which combats free radicals, that is
their most important attribute.
54
• Effect of orange juice on the energy regulation
metabolism and nutrient metabolism (satiety).
with an increased level of satiety and the stimulation
of the body’s anti-oxidant and anti-inflammatory
activities, conditions which, when combined, act as a
• Effect of orange juice on physical activity.
Orange juice is an excellent source of fiber, vitamins,
minerals and bio-active compounds, essential for a
healthy diet. The research indicates that the regular
consumption of orange juice does not contribute to
protective factor against the onset of inflammatory
and cardiovascular diseases and diabetes.
Certifications
weight gain and that it improves cholesterol levels
The following section provides information on the
and the glycemic profile, strengthens the consumer’s
certifications obtained by the company, attesting
immune system and reduces blood pressure and the
to the quality and sustainable performance of
resistance to insulin*. Its consumption is associated
its operations.
*Insulin: Insulin resistance is a precondition of the metabolic syndrome that can increase the risk of health problems such as: cardiovascular
disease, hypertension, type 2 diabetes and an increased propensity for abdominal obesity.
SUSTAINABILITY REPORT
2013 - 2014
55
.05
HEALTHINESS
Certifications
56
Standard
Description
FSSC 22000
Food Safety
System
Certification
Certification of food safety management
systems, in the whole production chain,
to ensure that the food is safe for human
consumption. It was developed for industries
that process or manufacture perishable
products, from animal or vegetable origin, and
where the product or its ingredients have a
long shelf-life.
Rainforest
Alliance
Certified
Social and environmental certification that
attests that producers respect biodiversity
and the fruit-pickers involved in the process.
In Brazil, it is audited by the Institute for
Forest and Agricultural Management and
Certification (Imaflora).
GMP +
Standards to ensure the safety of animal
feed throughout the production chain.
This certification is focused on the Citrus
Pulp Pellets (CPP) product, destined for
animal feed.
SGF/IRMA
Sure-Global-Fair
/ International
Raw Material
Assurance
The SGF/IRMA label attests that, by means
of a voluntary control system, the suppliers
of raw materials for European industries
meet the required conditions, especially in
relation to hygiene and to processing.
AIB International
(American
Institute of
Baking)
The consolidated standards of AIB
International are key requirements that
the company must meet for the safe
processing of food.
Halal
The certificate attests that the process and
the ingredients used in the manufacture of
food are in accordance with the rules dictated
by the Koran and, therefore, consumption of
the product is allowed by Islam.
Total units
certified
8
Units certified
Port terminals in Antwerp and
Ghent, both in Belgium, the
port terminal in Santos (SP),
Warehouse 29 in the port
terminal in Santos (SP), the
processing plants in Matão
(SP), Catanduva (SP), Araras
(SP) and Florida (USA).
Constância Farm.
1
5
4
4
4
The plants in Matão (SP),
Catanduva (SP), Araras (SP),
the port terminal in Santos
(SP) and the plant in Florida
(USA).
The plants in Matão (SP),
Catanduva (SP), Araras (SP)
and Florida (USA).
The plants in Matão (SP),
Catanduva (SP), Araras (SP)
and Florida (USA).
The plants in Matão (SP),
Catanduva (SP), Araras (SP)
and Florida (USA).
Certifications
Standard
Description
Total units
certified
Units certified
Kosher
The certification attests that the
process and the ingredients used in the
manufacture of food are in accordance
with the rules governing the orthodox
Jewish diet.
4
The plants in Matão (SP),
Catanduva (SP), Araras (SP)
and Florida (USA).
ISO 9001
Quality management.
1
Port terminal of Santos (SP).
ISO 14001
Environmental management.
1
Port terminal of Santos (SP).
OHSAS 18001
Occupational safety and health management.
1
Port terminal of Santos (SP).
57
.05
HEALTHINESS
Doing good...
by drinking orange juice
The regular consumption of orange juice is an important ally for those seeking a healthy lifestyle,
since it provides the body with important nutritional and functional properties, such as:
Benefits for your health:
• Feeling of satiety
• No relations with weight
gain or obesity
• Reduces the risk of
cardiovascular diseases
Percentage daily values
contained in 230 ml of whole orange juice*
• 100% Vitamin C
• Reduces the risk of diabetes
• Improved anti-oxidant capacity
• Anti-inflammatory p roperties
• 18% Calcium
• 13% Folic acid
• 12% Carbohydrates
• 10% Potassium
• 6% Calories
(*) % of daily reference values based on a 2,000k
cal diet. Your daily values may be higher or lower
depending on your calorie requirements.
58
Information sources:
http://conference.ifas.ufl.edu/citrus13/presentations/Thursday/AM/0940%20Cesar.pdf
http://www.revistanutrire.org.br/files/v36nSuplemento/v36suplemento.pdf
.06
AUDIT
OPINION
.06
AUDIT
OPINION
.06
AUDITORS’
REPORT
Independent auditors’ limited assurance report
on the sustainability information included in the
Sustainability Report for 2013-2014
To the Management
Citrosuco S.A. Agroindústria
Matão - SP
Introduction
We have been engaged by Citrosuco S.A. Agroindústria
(“Company”) to present our limited assurance report
on the compilation of the sustainability information
included in the Sustainability Report for 2013-2014
of Citrosuco S.A. Agroindústria for the year ended
December 31, 2014.
Management’s responsibility
The management of Citrosuco S.A. Agroindústria is
responsible for the preparation and fair presentation
of the information included in the Sustainability Report
for 2013-2014 in accordance with the guidelines
of the Global Reporting Initiative (GRI-G4) and for
such internal control as management determines is
necessary to enable the preparation of information
free from material misstatement, whether due to
fraud or error.
60
Auditor’s responsibility
to sustainability, taken as a whole, might present
Our responsibility is to express a conclusion on the
information related to sustainability included in
The
significant misstatements.
procedures
selected
are
based
on
our
the Sustainability Report for 2013-2014, based on
our limited assurance engagement carried out in
accordance with Technical Communication CTO
01, “Issuance of an Assurance Report Related to
Sustainability and Social Responsibility”, issued by
the Brazilian Federal Accounting Council (CFC), based
on the Brazilian standard NBC TO 3000, “Assurance
Engagements Other than Audit and Review”, also issued
by the CFC, which is equivalent to the international
standard ISAE 3000, “Assurance engagements
other than audits or reviews of historical financial
information”, issued by the International Auditing and
Assurance Standards Board (IAASB). Those standards
require that we comply with ethical requirements,
including independence requirements, and perform
our engagement to obtain limited assurance that
the social and environmental information included in
understanding of the aspects related to the
the Sustainability Report for 2013-2014, taken as a
whole, is free from material misstatement.
and the procedures adopted for the compilation of
compilation and presentation of the information
related to sustainability included in the Sustainability
Report for 2013-2014, other circumstances of the
engagement and our analysis of the areas in which
significant misstatements might exist. The following
procedures were adopted:
(a) planning the work, taking into consideration
the materiality and the volume of quantitative
and qualitative information and the operating and
internal control systems that were used to prepare
the information related to sustainability included in
the Sustainability Report for 2013-2014 of Citrosuco
S.A. Agroindústria;
(b) understanding the calculation methodology
indicators through interviews with the managers
responsible for the preparation of the information;
A limited assurance engagement conducted in
accordance with the Brazilian standard NBC TO
3000 and ISAE 3000 mainly consists in making
inquiries of management and other professionals
of the Company, involved in the preparation of the
information, as well as applying analytical procedures
to obtain evidence that allows us to issue a limited
assurance conclusion on the information, taken as a
whole. A limited assurance engagement also requires
the performance of additional procedures when the
independent auditor becomes aware of matters
that lead him to believe that the information related
(c) interviews with the managers responsible for the
information of the corporate unit located in the city
of Matão, State of São Paulo, and for the data control
of the other units;
(d) applying analytical procedures to quantitative
information and making inquiries regarding the
qualitative information and its correlation with the
indicators disclosed in the information related to
sustainability included in the Sustainability Report
for 2013-2014;
SUSTAINABILITY REPORT
2013 - 2014
61
.06
AUDIT
OPINION
(e) obtaining evidence about the most significant
GRI-G4 indicators included in the Sustainability
Report for 2013-2014 and presented in the “GRI
Index”; and
(f) comparing the financial indicators with the
financial statements and/or accounting records.
The limited assurance engagement also included
tests to assess compliance with the guidelines and
criteria of the structure applied in the preparation of
the information related to sustainability, included in
the Sustainability Report for 2013-2014.
We believe that the evidence we have obtained is
sufficient and appropriate to provide a basis for our
limited assurance conclusion.
Scope and limitations
The procedures applied in a limited assurance
engagement are substantially less detailed than those
applied in a reasonable assurance engagement, the
objective of which is the issue of an opinion on the
information related to sustainability included in the
Sustainability Report for 2013-2014. Consequently,
we are not able to obtain reasonable assurance that
we would become aware of all significant matters
that might be identified in an assurance engagement,
the objective of which is the issue of an opinion. If
we had performed an engagement with the objective
of issuing an opinion, we might have identified
other matters and possible misstatements in the
information related to sustainability included in the
Sustainability Report for 2013-2014. Therefore, we
do not express an opinion on this information.
62
Non-financial data are subject to more inherent
limitations than financial data, due to the nature and
diversity of the methods used to determine, calculate
and estimate these data. Qualitative interpretations
of the relevance, materiality and accuracy of the
data are subject to individual assumptions and
judgments. Furthermore, we did not consider in our
engagement the data reported for prior years, nor
future projections and goals.
Conclusion
Based on the procedures performed, described
herein, no matter has come to our attention that
causes us to believe that the information related to
sustainability included in the Sustainability Report for
2013-2014 of Citrosuco S.A. Agroindústria has not
been compiled, in all material respects, in accordance
with the guidelines of the Global Reporting Initiative
(GRI-G4).
São Paulo, October 23, 2015
PricewaterhouseCoopers
Contadores Públicos Ltda.
CRC 2SP023.173/O-4
André Pannunzio Candido Oliveira
Contador CRC 1SP-196603/O-1
.07
GRI
CONTENT
INDEX
SUSTAINABILITY REPORT
2013 - 2014
63
.07
GRI CONTENT INDEX
.07
GRI INDEX
GRI Indicators
Direct Response
Profile
64
1
Provide a statement from the most senior decision-maker of
the organization about the relevance of sustainability to the Pg. 9
organization
2
Description of key impacts, risks and opportunities
Pgs. 19 to 52
3
Name of the organization
Citrosuco
4
Primary brands, products and/or services
Pgs. 14 and 15
5
Location of the organization's headquarters
Pg. 70
6
Number of countries where the organization operates
Pg. 13
7
Nature of ownership and legal form
Citrosuco is a 100%
closed-capital organization
8
Markets served
Pg. 13
9
Scale of the organization
Pgs. 13 and 33
10
Employees by type of contract and gender
Pg. 34
11
Percentage of employees covered by collective bargaining
Not reported
12
Description of the company's supply chain
Pg. 42
13
Significant changes in the company's structure during the
Pg. 17
reporting period
14
Explanation of whether and how the organization applies The company has a strict risk management
the precautionary principle
system, which is described on page 27
15
Externally developed charters, principles or other initiatives,
of an economic, environmental and social character, which Pgs. 30, and 42 to 46
the organization subscribes to or endorses
16
Participations in associations and/or national/international
advocacy organizations in which the organization: holds a The company is a founding member of CitrusBR,
positions in bodies responsible for corporate governance; the sector trade association, and participates
participates in projects or committees; provides substantial in its activities
funding beyond routine membership dues
Brazilian-owned
17
List of entities included in the financial statements
The financial statements are not included in
this report
18
Process for defining report content and boundaries
Pg. 8
19
List of material issues identified in the process to define the
Pg. 8
report content
20
For each material aspect inform the boundary within the These aspects are relevant to the company's
organization
strategy for business continuity and growth
21
For each material aspect inform the boundary outside the An external consultation process has not yet
organization
been conducted but is scheduled to occur in
future reports
22
Effects of restatements of information provided in previous
There were no restatements
reports
23
Significant changes compared to previous years regarding the
There were no changes
scope of the aspects presented
24
List of stakeholder groups engaged by the organization
25
Basis for identification and selection of stakeholders for The stakeholders presented were selected based
engagement
on their relevance and impact (suffered and
exercised) for the company's management and
performance
26
Approach to stakeholder engagement and frequency of The approach and the schedule of engagement
engagement
and relations are presented in the chapter on
"Stakeholder Relations"
27
Key topics raised during 27 stakeholder engagement and The chapter on "Stakeholder Relations" aims
measures adopted by the company to address them
to present the topics of greatest interest to
each stakeholder group, from the perspective
of the company, and provide information on the
business in relation to them
28
Reporting period
July 1st, 2013 to June 30th, 2014
29
Date of most recent previous report
July 1st, 2012 to June 30th, 2013 (the report
was not published)
The chapter on "Stakeholder relations" describes
Citrosuco's engagement practices with its main
stakeholders
SUSTAINABILITY REPORT
2013 - 2014
65
.07
GRI CONTENT INDEX
30
Reporting cycle
Annual
31
Contact point for questions regarding the report or its
Pg. 70
content
32
Report the ‘in accordance’ option chosen by the organization
Pg. 8
(core or comprehensive)
33
Report on the organization’s current policy and practices with The report has been externally assured. The
regard to seeking external assurance
auditor’s opinion and the scope of the assurance
are in the chapter containing the “Audit Opinion”
56
Describe the organization’s values, principles, standards and
Pg. 24
norms of behavior, such as codes of conduct or ethics
Economic Performance
Aspect
Economic performance
EC2
Financial implications and other risks and opportunities for
Pg. 46
the organization’s activities due to climate change
Aspect
Market presence
EC5
Ratios of standard entry level wage by gender compared to
local minimum wage in significant location of operation
Not reported
Aspect
Indirect economic impacts
EC7
Development and impact of infrastructure investments and
Pg. 42
services supported
Aspect
Purchase practices
EC9
Proportion of spending on local suppliers at significant
Not reported
locations of operation
Environmental Performance
66
Aspect
Energy
EN3
Energy consumption within the organization
Pg. 48
EN4
Energy consumption outside the organization
Pg. 48
Aspect
Water
EN8
Total water withdrawal by source
EN9
Water sources significantly affected by withdrawal of
Not reported
water
EN10
Percentage and total volume of water recycled and reused
Aspect
Emissions
EN15
Direct greenhouse gas (GHG) emissions (Scope 1)
Pg. 46
EN16
Energy indirect greenhouse gas (GHG) emissions (Scope 2)
Pg. 46
EN17
Other indirect greenhouse gas (GHG) emissions (Scope 3)
Pg. 46
Aspect
Effluents and waste
EN22
Total water discharge by quality and destination
Not reported
EN23
Total weight of waste by type and disposal method
Not reported
Aspect
Products and services
EN27
Extent of impact mitigation of environmental impacts of
Pg. 46
products and services
Pg. 50
Pg. 50
Aspect
Transport
EN30
Significant environmental impacts of transporting goods
and materials used for the organization’s operations, and Pg. 46
transporting members of the workforce
Social Performance: Labor Practices and Decent Work
Aspect
Employment
LA1
Total number and rates of new employee hires and employee
Pg. 34
turnover by age group, gender and region
LA2
Benefits provided to full-time employees that are not offered
to seasonal or part-time employees, by significant locations Pg. 38
of operation
Aspect
Occupational health and safety
LA6
Type of injury and rates of injury, Playstation diseases, lost
days, and absenteeism and total number of work-related Pg. 39
fatalities by region and gender
Aspect
Training and education
LA9
Average hours of training per year per employee, by gender
Pg. 35
and employee category
LA10
Program for skills management and life-long learning that
support the continued employability of employees and assist Pg. 35
them in preparing for career endings
LA11
Percentage of employees receiving regular performance and
Not reported
career development reviews, by gender and employee category
Aspect
Diversity and equal opportunity
LA12
Composition of governance bodies and breakdown of employees
per employee category according to gender, age group, minority Not reported
group and other indicators of diversity
Aspect
Supplier assessment for labor practices
LA14
Percentage of new suppliers that were screened using labor
Pg. 42
practices criteria
LA15
Significant actual and potential negative impacts for labor
Pg. 42
practices in the supply chain and actions taken
Social Development: Human Rights
Aspect
Non-discrimination
HR3
Total number of incidents of discrimination and corrective There were no cases of discrimination in the
actions taken
period
Aspect
Child labor
HR5
Operations and suppliers identified as having significant
No operations were identified as having a
risk for child labor, and measures taken to contribute to the
significant risk for the occurrence of child labor
effective elimination of child labor
Aspect
Forced or compulsory labor
HR6
Operations and suppliers identified as having a significant
No operations were identified as having a
risk for incidents of forced labor or compulsory labor, and
significant risk for the occurrence of forced or
measures to contribute to the elimination of forced or
compulsory labor
compulsory labor
SUSTAINABILITY REPORT
2013 - 2014
67
.07
GRI CONTENT INDEX
Aspect
Assessment
HR9
Total number and percentage of operations that have been 100% of our operations have undergone
subject to human rights reviews or impacts assessments
assessments based on human rights criteria, in
line with the guidelines of SEDEX SMETA 4-Pillar,
ISO 14001, Conama 308, Rainforest Alliance, and
internal assessments
Social Performance: Society
Aspect
Local community
SO1
Percentage of operations with implemented local community
engagement, impact assessments, and developments Pg. 42
programs
SO2
Operations with actual or potential significant negative
Pg. 42
impacts on local communities
Aspect
Corruption
SO5
Confirmed incidents of corruption and actions taken
Aspect
Anti-competitive behavior
SO7
Total number of legal actions for anti-competitive behavior, The company tales action to be in compliance
anti-trust, and monopoly practices and their outcomes
with the applicable legislation in order to avoid
violations of these norms and incidents of
misconduct that could result in anti-competitive,
trust or monopoly practices. If the company
identifies any such incident it will take all the
necessary steps to remedy the violation in order
to be in compliance with the legislation. In 2014
there were no incidents of this type
No incidents of corruption were identified in
the period
Social Performance: Product Responsibility
68
Aspect
Customer health and safety
PR1
Percentage of significant product and service categories 100% of our products undergo this type
for which health and safety impacts are assessed for of evaluation. Our initiatives to promote
improvement
healthiness are described in the chapter on
“Healthiness”
.08
ACKNOWLEDGMENTS
SUSTAINABILITY REPORT
2013 - 2014
69
.08
ACKNOWLEDGMENTS
.08
ACKNOWLEDGMENTS
Head Office
G4-5
Citrosuco S.A. Agroindústria
Rua João Pessoa, 305 - Centro 15990 902 –
Matão - SP – Brazil
Visual creation,
graphic design
and layout
RICCA RI
Coordination
Images
Citrosuco
Citrosuco archives
www.citrosuco.com.br
Depositphotos image database
Editorial content, review
and GRI consulting
We would like to thank all Citrosuco employees for their
contributions, dedication and teamwork in making this
RICCA RI
report possible.
http://www.riccari.com
English translation
Contact for the report:
[email protected]
Richard Wightwick
70
G4-31
SUSTAINABILITY REPORT
2013 - 2014
71