HELPING YOU GROW - FMC Sustainabilityfmcsustainability.com/wp-content/uploads/2015/12/csr...Equipment for measurement was installed in Jan-uary 2015. Evaluation expected mid-2015 Australia:

HELPING YOU GROW

Corporate SocialResponsibility Report

2014

2 Corporate Social Responsibility Report 2014

OUR VISIONWe create results for our customers by being a sustainable and innovative world-class supplier of a broad range of quality crop protec-tion products. Value creation shall match the best among peer companies to the benefit of all stakeholders.

Introduction 3

Aboutthereport 4

FulfillingCSRobjectivesfor2014 5

CSRobjectivesfor2015andbeyond 7

Helping you grow - Cheminova’s business activities 8

Plantprotection 9

ProductStewardship 10

Honeybees,neonicotinoidinsecticidesandtheneedforsoundscience 12

CheminovaIndia-managementofchemicalwaste 14

Opennessanddialogue 16

ChemistrywithCare 18

ActivitiesinIndianvillages 20

NewbananaprojectlaunchedinthesouthernBrazilianstateSantaCatarina 22

Production 24

Suppliermanagement 28

People 29

More information 32

Managementstatement 33

UNGlobalCompact 34

Assurancestatement 36

Specialreferences 37

Glossary 38

CorporateSocialResponsibilityReport2014

Contents

Date of issue: February 20, 2015. The report is only available in English.Editoral closure: February 19, 2015.Contact: Lars-Erik Kruse Pedersen ([email protected])

mailto:[email protected]

3Corporate Social Responsibility Report 2014

Dearreader,

Welcome to the expectedly last CSR re-portfromCheminovaasanindependentcompany. In 2015, FMC Corporation’sacquisitionofCheminova isexpected tobe completed, so in the future, CSR ac-tivities from Cheminova’s business areaareexpectedtobeintegratedintoFMC’ssustainabilityreport.

Since 2006, Cheminova has publishedannual stand alone reports on the ob-jectives and achievements of CorporateSocialResponsibility.ThereportingfounditsstartingpointinCheminova’slonghis-toryasaresponsibleproducerandglobalsupplier of plant protectionproducts tofarmers. Understanding of the issuesand dilemmas related to this businesshasbeentheareaofinterestfortheCSRreporting. Development and ambitioustargetsettinginrelationtoenvironment,safety, product stewardship, and sup-plier management have been recurringthemesinthereportovertheyears.

From the very start, it was clear to usthat CSR is an ongoing dialogue-basedprocess inwhichwe address challengesanddilemmasofourbusinessandreport

onouroverallstrategyaswellashowwestrivetomakeprogressinseveralspecificareas.

One of the successful strategic achieve-ments is the completion of phasing-outour most toxic products in developingcountries.

It is very encouraging that in 2014, wereceivedanhonorablementionfromtheDanish Public Accountants. CheminovawasrecognizedforshowingcourageandopennessaboutCSR in the chemical in-dustryandforreportingonourbusinessstrategic milestones for CSR and there-by serving as an inspiration to others.Furthermore, we were among the fivetopcandidatestotheDanishCSRAbroadPrize.

Inthepresentreport,wedealwithpro-gress and fulfillment of several specificobjectivesfor2014.

DevelopmentofouroveralltargetsundertheheadlineChemistrywithCareispre-sented.

Furthermore, we include articles thatfeature selected subjects inmore detailwiththepurposeofprovidingabroaderperspectiveonouractivities.

Under the headline “CSR objectives for2015andonwards”,weoutlineourviewonbusiness-drivenCSRthatwillbecon-tinued and expanded through our ex-pected integration into FMC,which is acompanyintheplantprotectionbusinesswith a strong commitment to companyvalues,safety,andsustainability.

I amproudof being truly able to thanktheCheminovaemployeesfortheseriousdedicationtointegrateCSRintoourbusi-ness. I amsure that thisexperience,ef-fort,anddedicationwilladdvaluetothesustainablityactivitiesinFMCasaleaderinagriculturalsolutions.

JaimeGómez-ArnauCEO

CheminovaA/S

Introduction

”Corporate Social Responsibility is an integrated part of our day-to-day business.”

Jaime Gómez-Arnau


Aboutthereport

This report provides a status of Chemi-nova’sworkwithintheareaofCorporateSocial Responsibility (CSR) in the calen-daryear2014andtherebyfulfillsthere-porting requirements set out in Section99a of the Danish Financial StatementsAct (Årsregnskabsloven) in accordancewith the exception in paragraph 8. Thepresent report constitutes in full thecommunicationofprogressinrelationtotheUNGlobalCompact.TheCSRreportprovides information about CheminovaA/S, all subsidiaries and joint venturecompanies with an ownership of morethan50%.Thetargetaudienceofthisre-portisemployees,theauthorities,share-holders,customers,andsuppliersaswellasanyindividualsandorganizationswhomayhaveaninterestinCheminova.

It is our intention that the report withits detailed articles on specific activitiesfrom 2014will provide the reader withinsight and understanding of the scopeofourCSRworkandhowtheseactivitiesarean integratedpartof theday-to-daybusinessofthecompany.

Global Compact and Global Reporting Initiative (GRI) Cheminova has supported UN’s GlobalCompactsince2009,andthisreportpro-vides an update on our progress undereach of the ten principles of GlobalCompact. A summary report is pre-sentedonpage34.GRI3.0indicatorsatlevelBhavebeenusedasguidanceandinspirationfordeterminingcontent,clar-ity, and reliability of the reporting.BasedonaDanishindustrytrendaswell

as feedback from stakeholders, we nolongerapplyGRIspecificdisclosures.

Organization of the CSR workOrganizationally, the CSR work is man-aged by Cheminova’s day-to-day topmanagement,theGlobalExecutiveCom-mittee (GEC), that defines the scope ofCSR activities and approves the CSR re-port.TheCSRCommitteeundertakesco-ordinationofthedailyworkandreport-ingwithreferencetotheGEC.

Focus areas have been selected by theCSRCommitteewiththepurposeofprovi-dinganinformingandsystematicreport-ing concerning essential points of ourCSRactivities.

The inspiration for selecting the specificissues addressed in the present reportcomesfrominputandfeedbackfromthestakeholderswhichhaveshownaninter-estinCheminova’sCSRactivitiesthrough-outtheyear.

Content of the reportThe report includes factsand short sec-tionsonfulfillmentofobjectives.Further-more,thereportcontainsarticlesonpro-gress in selected focus areas from2014andspecialinitiativeswithimportancetoourbusinessarea.AsCheminovain2015is expected to becomepart of FMC, noaction plan or targets for 2015 and on-wardsarepresented.FMC’ssustainabilityreportfor2014willbecomeavailableatwww.fmc.com/sustainability.

Dilemmas and shared responsibilityIt is Cheminova’s mission to contributetotheworld’sfoodsupply.Efficientagri-culture is one of the prerequisites forachieving the UN Millennium Develop-ment Goals, which among other thingsareaboutreducinghunger,poverty,childmortality and improving public health.Nevertheless,Cheminovafacesanumberofdilemmasasasupplierofproductstosocietiesandcountrieswithdiversecon-ditionsparticularlyonsafetyandcorrectuse of the products. As a company, wehave a shared responsibility to improveenvironmental and working conditions,especially in connection with our ownproduction sites but also through sup-plier management and product stew-ardship. The CSR report describes howweaddresssuchissues.

Members of the CSR Committee: Jakob Lyngsø Andersen, Senior Vice Presi-dent, Human Resources & Communica-tion

Niels Morten Hjort, Senior Vice President, Production & Logistics

Lars-Erik Pedersen, Vice President, Corpo-rate Communication

Søren Nørby Pedersen, Vice President, Safety, Health, Environment & Quality (Chairman of the Committee)

Uffe Stephansen, Safety Manager

Rune Søndergaard, Director, Executive Support & Compliance

Jens Thorsen, Senior Vice President, Port-folio Management

http://www.fmc.com/sustainability


FulfillingCSRobjectivesfor2014

Objective Fulfillment

VillageprojectsIndia:In2014theuseofGoodAgriculturalPractices(landprepara-tion, seed treatment,weedmanagement, promotion of low dosechemicals)willbeestablishedinvillageprojects

Establishedasplanned

India:TheSaheliprojectonwomenempowermentwillbecontinuedin2014withskilldevelopmentprogramsforself-helpgroups

TheSaheliprojectcontinuedsupportedbyChem-inova

India:TheconceptofwaterconservationinRainfedAgriculturewillbe increased in2014over250acres in threestates i.e.Karnataka,AndhraPradeshandTamilNadu

254acreswereaddedtotheproject

Brazil:Theprojectamongsmall-scalebananafarmersinthestateofGoiaswillbecontinuedin2014andsowillthedialoguewithlocalagronomists

Momentumoftheprojectkept,anddialoguewithlocalagronomistscontinuedasplanned

Brazil: Theprojecton safeandenvironmentally friendly controlofplantdiseasesamongbananafarmersinthestateofSãoPaulowillbecontinuedin2014increasingthenumberoffarmers

Momentumkept,andthenumberoffarmersin-creased

Brazil:Aprojectwithaxilapplicationwillbeinitiatedin2014atfarmlevelamongbananagrowersinSantaCatarina

Initiatedasplanned

HelpingyouGrow–ChemistrywithCareContinued improvement in12months rolling index illustratingtheareaoffarmlandwherecropsandthusthefoodproductionispro-tectedbyCheminova’sproducts

Marginaldecrease

Continued improvement in12months rolling index illustratingthequantity of non-sustainable ingredients applied in Cheminova’sproductsperareaunit

Noimprovement

The index illustrating the energy consumption for manufacturingproductswillbeimplementedin2014withongoingreportingofa12monthsrollingindexwithcontinuedimprovement

Improvement

At least10formulationswitha lowcontentofvolatileorganicsol-ventswillbedevelopedin2014

11formulationsweredevelopedin2014

LoweraveragetoxicityofnewlydevelopedformulationsmeasuredthroughtheaverageWHOclassificationintheyears2012-14

Theaveragegeneraltoxicitywasonparwith2013

Overview of objectives and fulfillment. Fulfillment of the specific areas is described in the paragraphs ’Follow up on objectives’ in the individual sections of the report.


Objective Fulfillment

ProductionIndia:TheamountofCODinthetreatedwastewaterwillbereducedby3%in2014

TheamountofCODwasreducedby12%

India:In2014,theproductionattheFormulationDivision1&2willbeISO9001certified

Certificatereceived

Denmark:Operationofthebiologicalwaste-watertreatmentplantwill be reassessed in2012-15 so that thepotentialof theplant isutilizedinthebestpossibleway

Ontrack.Applicationsubmittedforpermissiontotreatthreestreams.Onehasbeenachieved,twoarestillintheprocess

Denmark:Steamconsumptioninaplantforrecoveryoforganicsol-ventwillbereducedby10%in2012-15

EquipmentformeasurementwasinstalledinJan-uary2015.Evaluationexpectedmid-2015

Australia:Obtaincertificationofthecompany‘senvironmentalman-agementsystemaccordingtoOHSAS18001in2014

CertificationobtainedinQ2

Australia:In2014,theenvironmentalandsafetyperformancewillbereassessedandaMHFreportsubmittedtotheauthority

TheMHFdeclarationwassubmittedinJune

United Kingdom: The number of near-misses reported will be in-creasedin2014,allsafetycriticaltrainingcompletedandawarenessraisedthroughtoolboxtalksandpostercampaigns

Reportable and non-reportable accidents: 20.Near-misses: 73. Frequency of lost time acci-dents:0

SuppliermanagementA global audit management systemwill be implemented in 2014whereSAPisimplemented

Systempartlyimplemented.DecidedtodeferthesystemuntiltheexpectedmergerwithFMC

HumanResourcesDuring2014allemployeesandtheirdirectsupervisorconductaper-formanceanddevelopmentreview

Conductedwithacompletionrateof80%

A global Employee Engagement Surveywill be conducted in 2014andactionplansdevelopedasneeded

Surveyconductedandfollow-upperformed

Anoperationaldiversitybaselinewillbecreatedin2014andobject-ivesforgenderdiversitydocumented

Theoperationalbaselineiscreated

Bytheendof2014,allemployeesinDenmarkhavebeeneducatedandinvolvedintheSAFEprogram

More than 90% of all employees in DenmarkwereeducatedandinvolvedintheSAFEprogram

Corruptionriskswillbemappedin2014givingbasisforaclassifica-tionofcountries.Educationalactivityforselectedemployees

MappingapprovedbyGEC.Educationinitiated

FulfillingCSRobjectivesfor2014,continued


CSRobjectivesfor2015andbeyond

OnSeptember8,2014,itwasannouncedthat FMC had acquired Cheminova A/S.Closingoftheacquisition is targetedforearlyspringthisyearwhenCheminovaisexpectedtobecomepartofFMC.

Both companies subscribe to high busi-ness standards with focus on environ-ment, health, safety, and sustainability.Bothcompanieshavealso issuedstand-alone annual sustainability reports withdetailsofobjectivesandprogresswithintheseimportantareas.

Business driven CSRFMC’s Code of Ethics and Cheminova’sCodes of Business Principles clearly re-flect focusoncomplyingwithall applic-able laws aswell as principles, policies,andpractices inareas likeenvironment,health,safety,workingenvironment,antibribery, and several other elements ofresponsible business conduct. Based onthese guiding principles, specific activi-tieshavebeensetinmotion,andreport-ingofprogresshasbeenpublished.

Neitherofthetwocompaniesconsiderssustainability/CSRasaprojectbutratherasanintegratedpartofhowwedobusi-ness.

Further progress to be found in FMC’s sustainability reports Specific areas and objectives have de-veloped over time, but Cheminova haskeptafocusonmanagingourimpacton

the major global challenges, includingscarce resources, environmental con-sciousness, energy consumption, andtheincreaseddemandforfood.Wehavenamedourefforts“ChemistrywithCare”,butregardlessoftheheadline,theneces-sitytodealwiththesemattersisobvious,andactivities in theseareasarealreadybeingaddressedintheFMCsustainabilityreports.

AsCheminovaisexpectedtobeacquiredbytheAmericancompanyFMC,thepresentCSRreportcontainsnospecificforwardlookingobjectivesforCheminova.From2015andonwards,reportingofCSRactivitiesisexpectedtobecoveredbytheFMCsustainabilityreports.


HelpingyougrowCheminova’sbusinessactivities

The increasing world population needs more food.

Values:Mission:Wehelpimprovequalityoflifefortheworld’spopula-tionbysupplyingproductsthathelpfarmersincreaseyieldsandqualityofcropstosatisfytheglobaldemandforfood,feed,fiber,andenergy.

Vision:Wecreateresultsforourcustomersbybeingasus-tainableandinnovativeworld-classsupplierofabroadrangeofqualitycropprotectionproducts.Valuecreationshallmatchthebestamongpeercom-paniestothebenefitofallstakeholders.


Cheminovas’s business activities arefoundedonthecompany’sCodeofBusi-ness Principles andmission, vision, andvalues.Thesesupportandareconsistentwith theUNGlobal Compact, the Euro-peanChemicalIndustryCouncil’s(CEFIC)ResponsibleCareprogram,and theFAOCodeofConduct.Inaddition,Cheminovais amemberof variousglobal, regional,and local professional organizations likeCropLife and resistance managementgroupsunderCropLife.

Need for plant protectionUN’sAgricultureandFoodOrganization,FAO,estimates thatby2050,70%morefoodthantodayhastobeproduced–onroughlythesameagriculturalareaalrea-dy under cultivation. The yield per hec-tare should increase significantly just tokeep pace with the growing population

and the increasing food consumptionwiththegrowingmiddleclass.Oneoftheconsequencesofthiswillbeanincreasingneedtoprotectthecrops,whichfallswellwithinCheminova’smissionandbusinessarea,forexample,asseeninanimpartialreport from November 2013 publishedby Humboldt Forum for Food and Agri-culturee.V.(HFFA).Hereitisshownthatproductive agriculture in Europe contri-butesessentiallytofoodsafety,resource-efficiency, financial stability, improvedbio-diversity, and reduced CO2 emission[http://hffa.info/index.php/resources/download-publications/publications/working-paper-5.html].

ProductsCheminovaproducesherbicides, insecti-cides, and fungicides. The products aresold mainly as ready-to-use plant pro-

PlantprotectionInaworldwithagrowingpopulationandanincreasingdemandforavarietyoffood,feedandfiber,thereisaneedforhighyieldingagriculturalproduction.Cheminova’sprimarybusinessistodevelop,produce,andprovideplantprotectionproductstofarmersworld-wide.

tectionproductsunderourownbrands,own registrations (use permits), andlabels. Thework underlying approval oftheproductsisdescribedonCheminova’swebsite.Furthermore,anarticleonpage12offersan insight into thecurrentde-bateandregulatoryactivitiesconcerningsafeuseandriskbycertainsystemic in-secticidestopopulationsofhoneybees.

Inadditiontoready-to-useplantprotec-tion products, Cheminova also suppliesactiveingredientstoindustrialcustomersfor further processing to produce plantprotection products.Moreover, we alsomanufacture and sell a number of finechemicals for industrial use as well asmicronutrientsforagriculture.

Plant protection means higher yields.


Reduction of risksTheunderlyingprincipleofCheminova’sstewardshipofplantprotectionproductsis risk reduction. The cornerstones areobservance of national legislation con-cerningapproval,marketing,andsaleofplantprotectionproductsinallcountrieswhere Cheminova’s products are sold.Inaddition,exportissubjecttoEUlegis-lation and the rules of the Rotterdamconvention concerning ’prior informedconsent’ (PIC). Furthermore,we complywiththerulesofFAO’sCodeofConduct,andwearemembersofnational/regionaltradeassociationsengagedinriskreduc-tion inconnectionwiththeuseofplantprotection products. As an importantachievement, we have, as described inearlierreports,phasedoutproductsbe-longingtotheWorldHealthorganization(WHO) Class Ia ”extremely hazardous”and Ib”highlyhazardous” indevelopingcountriesby2010.

Cheminova’s sales in 2014In2014, trainingandguidanceconcern-ingcorrectandsafeuseofCheminova’sproductshavebeenanintegratedpartofthedailymarketingactivitiesindevelop-ing countries. Labeling and instructions

for use, personal contact with distribu-tors and users, as well as participationincampaignsaresomeoftheimportanttools employed to promote safety. Thequarterly reporting to the CSR Commit-tee on product stewardship from coun-triesandregionscontinuedin2014.

The so-called third party products, sup-plied from other companies and beingpart of Cheminova’s product portfolio,arecoveredbyourstewardshipactivities.

Similar to previous years, Cheminova’ssales of plant protection productsweremainly conducted by Cheminova A/S’ssubsidiaries. Our products are used inmorethan100countries.

Sales of the most toxic products make up less than 1% of salesAfter the previous years’ phase-out ofthe most toxic products in developingcountries, sales have been replaced bylesstoxicplantprotectionproducts.

In2014,thetotalsalestoallcountriesofclassIproductsmadeuplessthan1%oftotalCheminovasales.Thebreakdownofproductsbycountriescanbeseeninthetabletotheside.

OverviewofwhichclassIready-to-useproductsCheminovasoldin2014and

wheretheyweresoldCountry Product

Australia MethomylEC

OmethoateEC

A concerted effort to reduce risk is the way forwardSafehandlinganduseofplantprotectionproducts is a concern of all responsiblecompanies in the business. Therefore,information,labelrequirements,demon-strations,andtraininginsafeandcorrectuseofproducts ison theagendaof thecompanies aswell asprofessional tradeassociations. During 2014, Cheminovahas-likeinpreviousyears-includedsafeuse informationasapartofourmarketand sales activities in developing coun-tries. Furthermore, we participate instewardshipactivitiesorganizedbytradeorganizations aswell as campaigns leadbyauthorities.

ProductStewardshipSafetyconcernsarepartofhighbusinessstandards,whereinformationaboutcorrectuseofplantprotectionproductsincreasesthesafetyforusers.


Reach of safe use activities in selected developing countries in 2014

Country Appr. No. of participants

India 675,000

Brazil 3,400

Mexico 2,155

Colombia 2,140

Argentina 1,080

Used packagingWe have continued our partnershipswith the national professional trade or-ganizationsinseveralcountriesconcern-inghandlingofusedpackagingwiththepurposeofpromotingproperdisposalofused crop protection product contain-ers. Handling and proper disposal ofusedcontainersvaryconsiderablyamongcountries and regions. A well run pro-gramhasbeeninplaceforseveralyearsinBrazil,andapilotprojecthasonlyjustbeen completed in India where furtheractivitiesinvolvinggovernmentalauthor-itiesareintheplanningphase.

Demonstration of safe use is part of marketing in developing countries.


In2013, theEUmember statesdecidedfor a temporary suspension of the ap-provalsforspecificusesofneonicotinoidinsecticides.Aratherdramaticstep,sincethis type of crop protection products isvery valuable for farmers in protectingtheircrops,e.g.oilseedrape.Resurgenceof pests have already been reported byfarmers.

A complex problem without a single causeSuspension of the approvals came at atimewithreportsinmediaandscientificliteratureofageneraldeclineinthenum-berofhoneybees.According to theEUCommission,thehealthofbeesislinkedtomanyfactorsofadifferentnature(bac-terial,viral,parasitic,etc.),availabilityofappropriate treatments, invasive spe-cies, and environmental changes. Otherfactors to be considered include theuse of pesticides in agriculture [Source:CommunicationfromtheCommissiontotheEuropeanParliamentandtheCouncilonHoneybeeHealth,December6,2010].

Soliddocumentation forcausal relation-ship between pesticides and decline ofbeepopulationis,however,largelymiss-

ing. The documentation from the openscientific literature consists of a varietyof laboratory studies, field studies, po-pulation studies, observational studies,and incidence reporting (beemortality).Whereaseach studyor reportmaypro-videinterestinginformationandobserva-tions,itisnotnecessarilyusefulinregu-lationofcropprotectionproducts.Ithasbeenquestionedifthedoseratesusedinlabstudiesproperlyreflecttherealfieldrisk for bees [Source: Journal of Apicul-turalResearch,November28,2014].

Regulatory action: precautionary principle or sound scienceThe regulatory authorities in the EUwerein2013apparentlyrespondingtoaconcern:Adecline innumberofhoney-bees.Theuseofspecificinsecticideswassuspended as a precautionuntil furtherdocumentationhadbeenprovidedeventhoughcausalrelationshipshadnotbeenestablished,neitherwithinsecticidesnorany of the other factors. Farmers wereleftwithoutaseriesofvaluablecroppro-tection products. Although applicationoftheprecautionaryprinciplemayseemfair,onemayquestion if thesuspensionwasbasedonsoundscienceandtranspa-rentlegislation,whichissupposedtobethebackboneinregulationofchemicals.

Development of a testing program based on sound scienceIt is not straight forward to design ascientific study which will provide ad-equateandrobustdatatobeusedinriskassessment, e.g. for honeybees underfield conditions. Development of stand-ardized guidelines for testing of chem-icals is an ongoing activity under theOECD. Through industry organizationssuchasEuropeanCropProtectionAssoci-

Honeybees,neonicotinoidinsecticides,andtheneedforsoundsciencePlantprotectionproductsarehighlyregulatedchemicals.Modernfarmingpracticesinteractwithcomplexecosystemsinnature,andregulationsarenecessarytoprotectwildlife.Whenbasedonsoundscience,regulationswouldstillallowfarmerstogrowcropsandfeedtheworld.ThedilemmaisillustratedbythesituationwithhoneybeesandregulationofneonicotinoidinsecticidesintheEU.

- Studies published in open litera-ture unfortunately do often not contain the raw data but only secondary information. This jeo-pardizes the reproducibility of the results, and an independent and transparent scientific evaluation of such data is not possible.EU Commissioner Mr. Borg, Septem-ber2014, inadebateabout theuse-fulnessofscientificstudiesfromopenliteratureinregulationofcropprotec-tionproductsingeneral.

http://eur-lex.europa.eu/LexUriServ/LexUriServ.do?uri=COM:2010:0714:FIN:EN:PDF




http://www.ibrabee.org.uk/index.php/ibra-bee-research-journals-publications/jar/item/3622

http://www.ibrabee.org.uk/index.php/ibra-bee-research-journals-publications/jar/item/3622


ationandCropLife,Cheminovasupportstheprocessofguidelinedevelopmentincollaborationwithscientificexpertsfromuniversitylaboratories,contractresearchorganizations,authorities,andindustry.

The current approval process protects honeybeesHoneybees have played an importantrole in agriculture and food productionsince ancient times. When we look fornewproducts,theassessmentofeffectsonhoneybees ismandatory since it hasbeenpartoftherequirementsforapprov-al of crop protection products throughmanyyears.Therequiredtestingprogramincludes laboratory tests as aminimumandmaybesupplementedbysemi-fieldtestsandfieldtestsandprovidesdataforriskassessmentandwarningstatements.Therequirementsaretheretomakesurehoneybees are protected and crop pro-tection products are regulated on thebasisofsoundscience.

Flowering oil seed rape is a valuable source of food for honeybees. Decline in flowering crops due to the suspension of neonicotinoids threatens the living conditions of bees.

Pesticide risk managementThat insecticidesmayindeedhaveanimpactonhoneybeesisnotasurprise.Several insecticides have restrictionsontheirapplicationtiminginordertoprotectbees:

•Donotapplytofloweringcrop.

•Donotapplywhenbeesareactivelyforaging.

•Donotapplywhenfloweringweedsarepresent.

Unintended implication of a regulatory actionAn interesting observation: EU farm-erscouldnottreattheiroilseedrape(OSR) seed for the 2014 seasonwithneonicotinoid insecticides due tothe suspension and therefore experi-encedseverecroplosses.[Source:CopaCogeca,December12,2014].

In turn this may reduce the areaplanted with OSR – a flowering cropwhich is much appreciated as a pol-len source for honeybees. By remov-ing one potential risk to honeybees,anotherwascreated.

Furthermore, farmerswillmost likelyhavetouseotherinsecticidestopro-tect their crops, and some of thesemayhavealessbenignprofileintermsof impact on the environment. Thispointwas in fact raisedby regulatorsfromsomeoftheEUMemberStates.[Source: Farmers Guardian, ArableFarming,September25,2014]

http://www.copa-cogeca.eu/Main.aspx?page=Archive

http://www.copa-cogeca.eu/Main.aspx?page=Archive

http://www.farmersguardian.com/arable-farming/defra-approves-two-neonicotinoid-sprays-for-autumn-use/67654.article

http://www.farmersguardian.com/arable-farming/defra-approves-two-neonicotinoid-sprays-for-autumn-use/67654.article


CheminovaIndia–managementofchemicalwaste

In1997,Cheminovaacquiredthemanu-facturing andmarketing company LupinAgrochemicals.Themanufacturingplantis locatedinthePanoliArea,partoftheGujarat Industrial Estate, the largestchemical industrial area in Asia. Since1997,Cheminovahasinvestedinseveralinitiatives for increasing the standardofenvironmentalfacilitiesattheplant.Theinitiativesareoftencarriedoutincollab-oration with the Gujarat State author-ities,theGujaratPollutionControlBoard(GPCB).

Theplantproducesseveralpesticideac-tive ingredients, including specific inter-mediates, as well as end-use productsthatareformulatedandpackagedatthefacility, both for the Indian market andfor Cheminova’s customers all over theworld.

Waste-water treatmentWastewater passes through a series oftreatment plants in a stepwise purifica-tion process, which includes biologicaldegradation,adjustmentofacidity,puri-ficationbymeansofactivecarbonand/orhypochlorite.Theefficiencyofthetreat-ment ismeasuredbymeansoftheCODvalue(COD:chemicaloxygendemand);aparameterwhich expresses the amount

of organic chemical compounds in thewaste water. The authorities have setlimits for this value. Reduction of CODhasbeenaspecificCSRtargetforChemi-nova since the acquisition. The treatedwaste water is released to a commonindustry pipeline for industrial wastewaterandfurthertreatedatalargecentralwaste-water treatment plant in nearbyNarmada, the NCTL (Narmada CleanTech.Limited),beforebeingdischargedintodeepsea9kmoffthecoast.

Management of process vents In general, process vents go throughscrubber systems before being emittedto the atmosphere. For specific manu-facturing plants, process vents are leadtoanon-siteair incinerator,whichope-rates at approx. 1,000oC.After incinera-tion, the air is passed through a scrub-ber to capture chemical contaminants,whichareremovedthroughthisprocess.Particularventstreamsaretreatedwithozone fromanon-sitegenerator,a stepwhich further oxidizes unwanted com-poundssuchasmercaptanes,whichareassociatedwithbadodor.

Emissions to the environment are con-stantly measured on site in terms ofsensors on stacks andmeasurement of

CODinwastewater.TheGPCBcanmoni-torthemeasurementsonline,andChem-inovaalsocarriesoutmonitoringaspartofdailypractice.

Managementofwasteisachallengeforanyproduction.Throughadedicateddevelopmenteffort,CheminovahasraisedthestandardattheproductionsiteinIndiasignificantlyoverthepast15yearsbothintermsofre-use,reduction,recycling,andrecoveryofchemicalwaste.

Facts about Cheminova India Ltd. (CIL)

•Cheminova acquired Lupin Agro-chemicalsLtd.in1997.

•Pramod N. Karlekar, Managing Di-rector, CIL, and President, RegionInternational.

•Headquarters inMumbai, twopro-ductionsitesinPanoli.

•Numberofemployees:670.

•Productionofactiveingredientsandformulated, finishedproducts, ownfillinglines.

•Development of new products forIndia and Cheminova’s global busi-ness.

• SalesofalargeproductportfolioalloverIndia.


Management of chemical wasteChemicalwastewhichcannotbetreatedonsiteisdisposedofatacontrolledland-fillandincinerationsiteatnearbyBaruch,Baruch Enviro Infrastructure Limited(BEIL).Chemicalwastefromallchemicalproduction sites in the area is handledsafely at this central facility. The landfillsite is constructedwith a systemof im-permeablemembranes,andanyleachatewater is pumped up and incinerated atanon-siteincinerator,whichalsohandlescombustible liquid waste. Industry dis-posal of chemical waste is operatedthrougha controlledprocess,whichen-sures documentation for the chain ofcustody. Authorized transporters pickupthewasteattheproductionsite,andwasteisacceptedatthelandfillsiteinre-turnforareceipt.

The four Rs of waste manage-ment: Reuse, Reduce, Recycle and Recover A byproduct from production is ammo-niumacetate.Inthepast,Cheminovafol-lowedacommonpracticeamongchem-icalproducersanddisposedthiswastebyselling ittominorcompanies,whousedammoniumacetateasastartingmaterialfor other products. However, the GPCBwasnotconfidentwiththispracticeand

Large-scale effluent treatment plant at the factory site in India.

requiredthemanufacturerstofindsaferwaysofdisposal.Cheminovasolvedthisrequirement throughanoptimizationofthe chemical process, which increasedtheyieldofthewantedproductwith60%and reduced thewaste generation. Theoptimized process allows for recoveryof acetic acid of good quality from theprocess.Thismaterialcanbere-usedorsoldasarawmaterial,whichgivesbetterprocesseconomyandlessenvironmentalimpact,awin-winsituation.Additionally,anagreementwasobtainedwiththece-ment industry about incineration of re-mainingammoniumacetateatafurnaceoperatingat2,000oC.

Recoveryand re-useof solventhasalsobeen achieved through optimization ofthedryingprocessforaninsecticidefinalproduct,whichisnowcarriedoutundernitrogeninaclosedloopwithintegratedbagging of product. The solvent ethylacetateisrecoveredandre-used.Further-more,theunpleasantpungentodorfromthedryingprocessisnowavoided.

A good position to take the leadThecombinationofasistermanufactur-ing plant in Denmark allowing for ex-changeof ideasandknow-how,aquali-fiedR&Dteamon-siteinPanoliwiththe

capability of developing process optimi-zations, and a good collaboration withtheGPCBhasbroughtCheminovaintheleadintermsofcompanyeffortsforman-agementofchemicalwaste in theGuja-ratarea.Oureffortshavebeenacknow-ledgedbytheGPCBatseveraloccasionswhereCheminovahasbeenbroughtfor-wardasagoodexampleforindustrycol-leagues. Most recently. Cheminova wasinvited to give a presentation at the in-ternationalWastech2014conference inAhmedabadinNovember2014.


Cheminova values a continued dialoguewith itsneighbors,the localcommunity,authorities,educationalinstitutions,pol-iticians,andothers.Weobservethelimi-tationstoopennessfromstockexchangerules,protectionofsensitivepersonalin-formation,generaldataprotectionrulesand regulations, as well as competitionlaw.We do of course engage in a con-tinuedandopendialoguewiththerele-vant authorities in the countries whereweoperate.

A dialogue with the company’s manystakeholdersaswellasthegeneralpub-lic debate on sustainability is a sourceof inspiration for the CSRwork and theselectionoffocusareaspresentedintheCSRreport.

Keeping well informedThe company actively strives to keepwell-informedwithin themanyfields ofrelevancetoitsoperationsaswellascur-rent and potential business areas. Viaopen literatureaswellasscientificpub-lications and trade sources, the press,specificsearchesontopics,andtheinter-net,informationandexpressionsofopin-ion in respect of CSR related issues aresought -particularlyconcerningproductproperties,sideeffectsandapplications,andingeneral,issueslinkedtodilemmas

and controversieswithin the company’ssphereofinterest.

Local engagementCheminova is an important part of thelocal societywhereweoperate facilitiesandemploypeople.Wecontributetothelocaleconomyandofferawiderangeofjob opportunities. We make a point ofgood neighbor relations and participa-tion in local cultural life and activities.The influenceon the environment fromproductionplantsisdescribedelsewhereinthisreport.

VisitorsAs in previous years, we have receivedmany visitors to our production sitesduring 2014. Students, farmers, resi-dents in the local areas,politicians, andseveral other interested individualswith a diversity of interests and back-grounds have visited our factory sites,workshops,laboratories,andoffices.HisRoyalHighnessPrinceHenrikpaidavisittothesiteinDenmark.Openhousedaysaswellasotheroccasionshaveattractedan audience of interested people, withwhom we have had a very fruitful dia-logue. From the feedback we have re-ceived, thevisitorshavebeenvery con-tentwiththeopendialoguewithChem-inova employees. Furthermore, visits

to the various sites have given visitorsa useful understanding of our business,including development and productionof plant protection products as well assafety,health,andenvironmentmattersrelatedtoouractivities.Thedialoguehasgiven us valuable input to the directionof our CSR activities as well as the im-portanceoftransparencyonthebenefitsandchallengesofourbusiness.

In2014,wehadmorethan4,600visitorstoourIndianfactorysite,whilethenum-ber of visitors at our sites in Denmark,UK, and Australia exceeded 2,700, 220and40respectively.

AuthoritiesIn countries where we have manufac-turing facilities we have an on-goingdialogue with environmental and othersupervising authorities, for instance theDanishEnvironmentalProtectionAgencyand theGujaratPollutionControlBoardinIndia.

Customers and suppliersCSRformspartofthedialoguewiththecompany’s customers, many of whomappreciate to co-operate actively withCheminova in promoting product stew-ardshipandenvironmentalresponsibilityamongfarmers. Informationonthesafe

OpennessanddialogueAnopendialoguewithourstakeholdersgivesusvaluableinputonhowtorunourbusinessinasustainableway.


use of products – as mentioned in thesection on product stewardship – is anintegratedpartofthemarketingofprod-uctstoend-usersindevelopingcountries.

Suppliers are auditedwith focus on theenvironment,safety,andlaborstandardsin accordance with the company’s Sup-plier Codeof Conduct,which forms thenaturalbasisforaconstructivedialogue.

EmployeesIn2014,aglobal intranetwasestablish-ed. Various CSR related topics includingsafety campaigns, promotion of thewhistleblower function, job announce-ments,ande-Learninghavereceivedcon-tinuedcoverageinthiselectronicmedia.

CSR is regularly discussed throughouttheglobalorganizationinrelationtothelocal daily business. On the local level,e.g. cooperative relationships, generalwellbeing of employees, and continuededucationhavebeenontheagenda.

Development of new products was in focus for HRH Prince Henrik as well as for college students when visiting Cheminova’s site in Denmark.


ChemistrywithCareMoreplantprotection,lesschemistry,fewerresources

Globalagricultureneedstoincreasepro-duction by 70% (measured on calories)onthepresentagriculturalareainorderto feed the world population, which in2050willhavepassedninebillionpeopleaccordingtoFAO.

”More with Less”Agriculture needs more efficient plantprotection products that can ensuregrowthwithminimal impact on nature.Moreover, industrial production in gen-eral is faced with demands to reduceenergyconsumption.Thisalsoappliestotheproductionof cropprotectionprod-uctswhichmeansthatCheminova’spro-duction and products are also part ofthesedilemmas.

Moreplantprotectionbasedonamoresustainable input is amongCheminova’slong-termobjectives.

Development of plant protection productsAkeyobjectiveforCheminovaistomain-tainanddevelopourportfolioofbiologi-cally efficient plant protection productswhich can be applied safely with mini-maladverseimpactontheenvironment.The choice of solvents, additives, andactive ingredients inourproducts iskeytocreatingproductswiththedesiredba-lancebetweenseveralimportantfactorsas efficacy on yield improvement, cropsafety,safehandling,andreducedenvir-

onmentalimpact,aswellasaffordabilityforfarmers.

The specific target for 2014 was to de-velopatleast10productswithlowvola-tileorganiccontent.Elevenweredevelo-ped, nine inDenmarkand two in India.Totally15productsweredeveloped,themajority of which thus fall into the de-siredcategory.Areductionofthetoxicityclassification by the new developmentsin 2014 was not reached. The averagewas on par with what was obtained in2013.However,in2014wewere,forse-lectedproducts,successfulinsignificant-lyreducingthepotentialriskofeyeinjuryinsprayoperations.

Chemistry with CareThrough three indexes, we illustratehow Cheminova’s products contributeto more plant protection while usinglessnon-sustainablechemistryandcon-sumingfewerresourcesinthemanufac-turingprocesses.

Products sold on behalf of other com-panies (third-party products) are notincluded in these indexes because theexactcompositionisnotalwaysknowntous.Neither is information about energyconsumption in theproductionof theseproductsavailable.

Futurefoodsecuritydependsonincreasedagriculturalproductionsupportedbybetterplantprotectionproductsproducedwithfewerresourcesandleavinglessimpactontheenvironment.

More plant protection - Index ILikeothersupplierstoagriculture,Chem-inova is not directly involved in theuseof our plant protection products, sincewedonotparticipatedirectlyinfarming.Thereby,ourknowledgeabouttheprod-uct usage is not a sufficiently detailedbasisforthisindex.Instead,theindexisbasedonvalidateddatafromspecialistsin market analysis. Information on theconsumption of specific active ingredi-entperhectareinallrelevantcropsandcountries is included.Data fromChemi-nova’stotalsalesofeachindividualactivesubstance isweightedagainst thisback-ground, providing the best possible as-sessmentoftheacreageoffarmlandpro-tectedbyeachofouractivesubstances.TheindexisasummaryofallCheminovamanufacturedproductssold in therele-vantperiod.

Less chemistry - Index IITheindexshowstheamountofnon-sus-tainablechemistryperhectareappliedasplant protection products. Non-sustain-ablechemistryistobeunderstoodasac-tive ingredientsnomatteroriginaswellas additives that are non-renewable bynaturalprocesses.

As an example,we aim at reducing theamount of organic solvents, which arefrequentlyused inplantprotectionpro-ducts.


Fewer resources - Index IIIThis index indicates the amount ofpurchasedenergyintheformofelectri-city, natural gas, fuel oil, and biomassrequired for Cheminova’s own produc-tionof plant protectionproducts at themanufacturing plants in Denmark andIndia.Thesetwositesareresponsibleformorethan90%ofourdirectenergycon-sumption.Bothplacesundertake chem-ical synthesis which is a highly energyconsumingprocess.

Development in 2014A marginal decrease in the protectedarea was seen. During the first part oftheyearwemanagedtogainmoreplantprotection coverage with our productscomparedtolastyear.Unfortunatelythisdevelopment was offset by a negativeimpact from drought and a change inproductmixinBrazil-theworld’slargestagrochemical market. The index is 37%higherthanthe2009baseline.

It has not been possible to reduce thequantity of non-sustainable chemistryper hectare in 2014 compared to 2013.However,theindexis29%lowerthanthe2009baseline.

TheenergyconsumptionatCheminova’stwo largest production sites shows thedesired downward trend,which derivesfromanincreaseinIndiasurpassedbyalargerdecreaseinDenmark.Theindexis12%lowerthanthe2009baseline.

Index I: More plant protection. Hectares protected by Cheminova’s products (relative to 2009). Calculated on last-twelve-months basis. * Based on recalculation due to an error in a specific country and pro-duct.

Index II: Less chemistry. Quantity of non-sustainable chemistry per hectare (relative to 2009). Calculated on last-twelve-months basis. * Based on recalculation due to an error in a specific country and pro-duct.

Index III: Fewer resources. Energy consumption per kg produced pro-duct (relative to 2009). (Calculated on last-twelve-months basis)


ActivitiesinIndianvillages

In India, more than 700 million peoplelive in villages, where farming providesthebasicincometofamilies.Agriculturalproduction in villages is vital for the In-dianeconomyandself-sufficiencyinfoodproduction.

Throughnine village projects, Chemino-vahas contributed to improved farmingpractices since 2010 and thereby sup-ported the local community.Additional-ly, several other initiatives and projectsbasedonlocalengagementhavefurthersupporteddevelopmentandlivelihoodinfarmingcommunities.

Follow-up on targetsInsummary,thevillageprojectsarerun-ningwell, and the three specific targetsonpromotionof goodagriculturalprac-tices, continuationof theSaheliwomenempowerment projects, and promotionofwaterconservation inrainfedagricul-ture (Aakash Ganga project) have beenfulfilled.

Good agricultural practiceActivitiesinthisareaarekeytoincreasingproductivityandlivelihoodinvillages.Toevaluate and gather experience, impactassessments have been carried out intwovillages,PabdarainWestBengalandEkalduna inMadhya Pradesh.What hasbeen learned from these and previousevaluationswillbemadeusefulforestab-lishing a general exit strategy. The vil-

lageprojectsrestonaself-helpconceptwheretheactivitieseventuallywillbeledandrunbyvillagersthemselves.Also,theexperiencegainedwillbeofgreatvaluewhenlayingtheframeworkforpotentialnewprojectsinotherplaces.

A general observation is that the pro-jectsmakegoodbusinesssenseandhighemployeeengagement.However,furtherprofessional, independent asessmentswouldhelptoensuredevelopment.

Evaluation in village PabdaraTheevaluationwasperformedbytheDi-rectorateofAgriculture,GovernmentofWestBengal.Intheoverallconclusion,itisstatedthattheactivitieshavedemon-strated visible impacts on good agricul-tural practice to improve crop yields,safety,hygiene,aswellasotherimprove-ments for the village population. For-mation of women’s self-help groups is

BusinessdrivenCSRactivitiesinselectedIndianvillagescreatesvalueforthefarmers,theirfamilies,andthelocalcommunityasawhole.

highlighted as a very positive and suc-cessfulelementoftheCSRactivities.

Basedon experience from the activitiesinthisvillage,anexitstrategyreporthasbeen prepared by the Trade Commis-sion of Denmark, Bangalore, India. Thereportacknowledgesthepositiveimpacton sustainability and the continued de-velopment achieved in the community.Thereportrecommendsmediumtolongterm strategy, where Cheminova’s localrepresentatives, togetherwith the villa-gers, transfer full responsibilityofmain-taininganddevelopingwhatalreadyhasbeenachievedtothelatter.

Evaluation in village EkaldunaThe evaluation was performed by theAgricultural Research Centre at the Raj-mata Vijayaraje Scindia Krishi VishwaVidyalaya, Gwalior - The AgriculturalUniversity.The impactevaluationreport

The village projects result in better yields.


concludes that productivity of farminghasincreased.Furthermore,thefocusonsafeuseinitiativeshaschangedfarmer’sbehavior in favorofan increaseduseofpersonal protection equipment duringmixing and spraying of plant protectionproducts.Anoticeablepositiveimpactonfarmers’healthwasreported.Additional-ly,thereporthighlightsimprovementsingeneral community development. Parti-cularly,theSaheliwomenempowermentprojecthasbeeninstrumentalincreatingenthusiasmforchangeanddevelopmentinthevillage.Amongothersuggestions,thereportrecommendsfurtherresourceinvestmentsintheSaheliinitiative.

Saheli - Women empowermentOurfocusisonagriculturalpracticeswithsafeuseofplantprotectionproductsthatalso includes participation from farmwomen. Inaddition,wesupport severalsocialactivitiesinthevillages.Averysuc-cessfulprogram is aboutempowermentofwomenwhichindifferentformsispartof our efforts to elevate the status ofwomenas invaluable providers of liveli-hoodinthecommunity.

We have supported the women in thePabdara village togenerate separate in-cometothefamilies.

Cheminova’srolehasbeeninitialsupportto formationof self-helpgroupsbypro-viding sewing machines. Furthermore,

Sewing of jute bags generates income to the village families.

training has been provided by Chemi-nova in collaboration with The CentralResearch Institute for Jute and AlliedFibers (CRIJAF). Finally, we have helpedestablishcontact topotential customersfor jutebags. Thewomenarenow run-ningtheirbusinesslargelybythemselvesaswastheintentionfromthebeginning.

Water managementA simple technique for retaining rainwater in the soil is being promoted intheAakashGangaproject,whichhasat-tractedincreasedattentioninayearwitha weak monsoon. The task of makingfarmersawareoftheaddedvaluetothecrops by saving monsoon rain water inthesoilhasbeenaccomplished,andthearea under this program has expandedaccordinglyby254acresspreadoverfourstates: Andhra Pradesh, Karnataka,Ma-harashtra,andTamilnadu.

Byplowingdrenchesinthefield,farmershave achieved prolonged humidity re-tention in the soil leading to improvedyield from the crops under cultivation.An increasing number of farmers have

beenattendingmeetingson theAakashGangaproject,andtheinterestandpar-ticipation is spreading amongneighborstoexistingareascurrentlyunderthispro-ject.Evidently,thisyear’sweakmonsoonhasincreasedtheinterestinwaterman-agementamongfarmers.

Recognition of Cheminova’s model village projectIn connection with the Danish “CSRAbroadPrize”supportedbytheMinistryof Foreign Affairs, Cheminova was oneof thefive companies that received thehighestscoreamongthe25applicants.

The jury was particularly impressed bythevillageproject,both its levelof am-bitionand itsthorough implementation.Further, it was noted how this sustain-ability activity is fully integrated intoCheminova’s business strategy. Finally,the determination by Cheminova tomakearealdifferenceinthelivesofthevillagers made a strong impression onmembersofthejury.


NewbananaprojectlaunchedinthesouthernBrazilianstateSantaCatarina

With about half a million hectares ofbanana plantations, Brazil is among theworld’s leading banana producers. Gen-erally, the cultivation is traditional, lowcapital input farming, but in severalstateshightechnologybasedproductionhasbeenadopted.Oneofthemajorcon-straintsonproductionandyield isplantdiseases,notablyYellowandBlack Siga-toka.Fungicidetreatmentthereforeplaysanimportantpart insecuringaplentifulharvestofqualityproduce.

Low impact applicationCheminova’s project model is based onlow environmental and reduced opera-torexposureapplicationsofthesystemicfungicideflutriafol.Bymeansoflow-techhand-heldprecision technology, farmerscanapply fewdropsof thefungicidedi-rectly to the plant. This axil applicationconstitutes an environmentally friendlyand highly efficient alternative to aerialortractorspraying.

Thistechniqueisattractivetosmall-scalefarmersthatoftengrowlessthan10hec-tares of banana crop, which can easilybe treatedwithout incurring thecostofaerial spray or mechanical equipment.Larger estates find this direct applica-tionmethod convenient for use in sen-

sitiveareasalongwaterwaysandhouseswhere aerial spraying is not allowed.In thisway,noareas are leftuntreated,which prevents re-infestation of fungaldiseases from unprotected areas. Pro-tectionoftheenvironmentandeffectivediseasecontrolworkstogetherbymeansofthissimpleapplicationtechnique.

New project area established in Santa CatarinaIn the Corupá region of Santa Catarina,bananasaregrownbyhundredsofsmall-scale farmers,manyofwhichhavediffi-culties accessing high technology spray-ingequipment.Inthisarea,anewprojectwith axil application was initiated asplanned in 2014. Tests conducted dur-ing 2013 successfully demonstrated thevalue of the Cheminova applicationmethod,andtheprogramwaslaunchedincooperationwiththefarmers’associa-tionASBANCO.

Theresultsobtainedsofar indicatethatone axil application gives a long lastingprotectioncorrespondingtotwotraditio-nalfungicideapplications.

Efficient disease control becomes standard among farmersIn2010,thefirstprojectbasedonaxilap-plication with flutriafol was initiated intheBuretiAllegreinGoias.Inthisarea,anincreasing number of small-scale farm-ershaveadoptedthetechnologythathasbeenverysuccessfulintermsofdiseasecontrol, and the area covered by theproject is nowmore than200hectares.Basedontheresultsobtained,localadvi-sorshaverecommendedthismethodforuseamongfarmersinvillagesoutsidetheprojectarea.

InthemoretechnifiedareainValedoRi-beira inSãoPaulo state, theapplicationwiththeCheminovaprecisiontechnologyisnowcovering1,000hectares.Thepro-jectwasinitiallyplannedtostartin2011but excessive rain and flooding in theprojectareadelayedtheprogramforoneyear.

The technology has been adopted bysmall-scaleaswellaslarge-scalefarmers,whohaveexperiencedsuccessfuldiseasecontrolandhavebenefittedfromthelowenvironmental impact treatments alongriversandstreamsinthearea.Thetech-nology has become a standard tool inplantprotection.

During2014,anew,reducedimpactprojectonbananadiseasecontrolhasbeeninitiatedinSantaCatarina.SimilarprojectsinSaoPauloandGoiasstateshavekeptmomentumandfoundanexpandedfarmerbaseduring2014.


By a simple and efficient application method, banana plants are protected from fungal diseases.


Data pertaining to environment, health,and safety for our plants are shown inthefactboxonpage26.Theproductionin Denmark and India constitutes theoverallmajority.Allmanufacturingplantsareincludedinthestatementsfor2012,2013,and2014.

Detailed information on the companieswhich are included in the statement isfound on www.cheminova.com, wheretheappliedCSRaccountingpolicyisalsolocated.

Environment Existing installations in the EU becamesubjecttothenewIndustrialEmissionsDi-rectiveonJanuary7,2014.Asthemanu-facturingfacilities inDenmarkfallunderthisdirective,ourenvironmentalstaffhasworked intensively with the authoritiesduring2014topreparearequiredbase-linereportinvolvingtheuse,production,or release of relevant hazardous sub-stances. It is expected tobefinalized in2017andwillbedoneinparallelwiththerenewal of the environmental approvalforthemanufacturingsiteinDenmark.

Unfortunately, 2014 saw a significantincrease in the number of category 2spillagesatsiteRønlandinDenmark.Cat-egory2spillagesaredefinedasincidentsthatresultinpollutionatnuisancelevels.Since2006,siteRønlandhashadatarget

ofa10%yearlyreductioninthesetypesof incidents. This was not achieved for2014.However,seenovertheyearsfrom2006thereductionperyearisstillmorethan10%despitethebadperformancein2014.Focusisveryhighonchangingtheresultsfrom2014andreverttotheposi-tivedevelopmentseensince2006.

In 2014, The Prime Minister of India,Mr.NarendraModi,haslaunchedafive-year-long Swachh Bharat (Clean India)campaignwith a pledge to giveMahat-maGandhiacleanerIndiaforthe150thanniversaryofhisbirth.Wastemanage-ment and disposal is becoming one ofthekeyproblemsfacingIndiatodaysince

about90%ofwasteiscurrentlydisposedof by open dumping and land filling.In that connection, Cheminova in No-vember 2014 attended an Internationalsummit (Wastech International Summit)withtheheadline:4Rs:AwaytoSustain-ability.ThesummitwasheldinthestateofGujarat, India,whereCheminovahasitsproductionplantsandwasorganizedaroundthe4Rs(Reuse,Reduce,RecycleandRecover).Besidesattending,Chemi-nova also gave a presentation with ex-amples of how we have addressed the4RsusingdifferentgreentechnologiesatourproductionfacilitiesbothinDenmarkandIndia.

Production

Environment,health,andsafetyaretopprioritiesatallproductionsites.

The Cheminova group owns the following manufacturing plants:

Name Production Country

CheminovaA/S Chemicalsynthesis,formulationandpackaging Denmark

CheminovaIndiaLtd. Chemicalsynthesis,formulationandpackaging India

CheminovaDeutschlandGmbH&Co.KG Formulationandpackaging Germany

AlthallerItalias.r.l. Formulationandpackaging Italy

HeadlandAgrochemicalsLtd. Formulationandpackaging United

Kingdom

CheminovaMFGPty.Ltd. Formulationandpackaging Australia


EnergyThemajority(>90%)oftheenergycon-sumptionatCheminova’smanufacturingplants isrelatedtothesitesinDenmarkand India, where active substances forplant protection products are manufac-tured by chemical synthesis. These pro-cessesarehighlyenergydemanding,andthemajorpartofthesteamandelectri-city consumption is produced with nat-uralgasasenergysource,theremainingpart with other types of fuel, primarilyoil.

Generally, we are continuously workingonimprovementswithintheareasofen-ergyandenvironmentatalltheproduc-tionplants.Itmaybethroughreductionofvariousemissions,reductionofenergyconsumption, or improved recovery ofchemicals as an alternative to incinera-tion.

SafetySincethecomingintoforceoftheSevesoIIDirectiveintheEU,themanufacturingfacilitiesinDenmarkhavebeenrequiredtoprepareasafetyreport.Thesafetyre-portwasapprovedmostrecentlyin2006,andafterathoroughinspectionofallpro-ductionplantsduringtheperiodof2010to2013,theauthoritiesissuedanewap-provalin2014.

Theoccupationalhealthandsafetyadvi-sory services standardknownasOHSAS18001 is internationally accepted as amethodof assessing and auditing occu-pational health and safetymanagementsystems.Cheminova’schemicalsynthesisplants inDenmark and India have beencertified for several years. In the begin-ningof2014,CheminovaMFGinAustra-liaalsoobtainedtheOHSAScertification,whichwillbefollowedupin2015bythetwo formulation divisions in CheminovaIndia.

REACH – The European Union’s legislative framework on chemicalsThe first REACH registrations for chemi-calsusedorproducedatCheminovaA/S’siteinDenmarkweresubmittedin2008.Since then, we have registered 45 sub-stancesand intermediates.Themajorityof registrations were done in 2010 and2013prior totheregistrationdeadlines.WehavebeenactingasLeadRegistrantin80%oftheregistrations.Manyregistra-tionshavebeenmadewithinasubstanceinformation exchange forum (SIEF), andin some cases, we have bought accessto the registration via a letter of access(LoA). In other cases, companies havebought LoA fromus, as the LeadRegis-trant.InadditiontotheREACHactivitiesatthesite inDenmark,acoupleofsub-

stances for fertilizing purposes manu-factured at Cheminova A/S’ subsidiaryHeadland in the United Kingdom (UK)wereregistered.

Intheperiodfrom2015to2018,weex-pect to register amix of approximately40 substances and intermediates at thesiteinDenmarkandafurtherthreesub-stancesattheHeadlandsiteintheUK.

Follow-up on objectives for 2014India•TheamountofCODdischargedintreat-edwastewaterwillbereducedby3%.Comments: The amount of COD fromtechnical and intermediate divisionswas reduced from12.1metric tons in2013to10.7tonsin2014equivalenttoa12%reduction.

• In2015,theproductionatFormulationDivision 1& 2will be certified accor-dingtoISO9001in2014andaccordingtoISO14001andOHSAS18001.Comments: The ISO9001certificate isreceived.PreliminaryexternalauditonISO14001andOHSAS18001issched-uledforMarch2015.

Denmark•Operation of the biological waste-watertreatmentplantwillbereviewedin2012-15,sothatthepotentialofthe

Cheminova’s achievements in waste management were presented at Wastech Summit in Gujarat.


plant is utilized in the best possibleway.Comments: Eight waste streams havebeen reviewed. One stream wasdeemednon-treatable,andonestreamhas been added to the biologicalwaste-water treatment. Applicationshavebeensubmittedtoauthoritiesforpermissiontotreatthreestreams,andonepermissionwas received in2014.Threewastestreamsareunderinternalinvestigation.

• In 2012-15, the operation of a plantfor recoveryofanorganicsolventwillbe reviewed and the control systemchanged, ifnecessary,with theobjectofreducingtheconsumptionofsteamby10%.Comments:Theoperationoftheplanthas been optimized. Equipment forevaluationwillbeinstalledbytheendofJanuary2015.

Australia •Obtain certification of the company’soccupational health and safety man-agement system according to OHSAS18001in2014.Comments: The certificate was re-ceived following an external audit inApril2014.

•Reassessment of environmental andsafetyperformanceandsubmissionofaMHFreportin2014.Comments: TheMHF declaration wassubmitted to the national workplacesafetyregulatorinJune2014.

United Kingdom•Continuous improvement of occupa-tionalsafetyandhealthin2014.Comments: All success criteria weremet. Total number of reportable andnon-reportableaccidents:20(≤25).To-

talnumberofnear-missesreported:73(≥70).Investigationsofallnear-missesaredocumented.AuthorityReportableIncidents: 0 (≤ 1). Lost time accidentfrequencyrate:0(≤10).

Fact box: Environment, health and safety

Unit Note 2014 2013 2012Water consumption: Cooling Mio.m3 1 28 28 29

Processesandord.consumption Thousandm3 2 715 729 659

Energy consumption: Fossilfuels GWh 3 257 297 383Electricity GWh 3 85.3 77.9 70.6Biofuel GWh 3 43 29 0

Materials: Rawmat.consump. 1000tonnes 4 113 112 108Discharge of waste COD Tons 5 191 152 148water: Nitrogen Tons 6 19 19 22

Phosporus Tons 7 6 9 7Air emissions: Particles Tons 8 5.1 7.3 5.7

CO2 1000tons 9 72 76 63Ordinary waste: Recycling 1000tons 10 3.6 3.2 3.0

Incineration 1000tons 11 0.39 0.3 0.26Depositing 1000tons 12 19.7 18.3 17.9

Hazardous waste: Recycling 1000tons 13 5.2 2.5 1.76Incineration 1000tons 14 12.7 13.3 12.3Depositing 1000tons 15 5.7 5.6 4.9

Spillage and waste: Number 16 18 11 10Accidents: Number 17 16 11 18

Accident frequency:Numberpermillionman-hours

17 3.0 1.9 3.3

Absence from work due to accidents:Numberoflostman-hoursper1,000man-hours

17 0.1 0.1 0.2

Information about accounting policies can be found on Cheminova’s website.

Production,continued


Comments on the development from 2013 to 2014 (see table to the left)Note 1:No essential changes in totalconsumption the last years. In Italy, theconsumptionincreasedby20%causedbyanewproduction.

Note 2: Theconsumption in theUnitedKingdomwas doubled partly due to anincrease in produced volume, mainlycaused by an increased use of freshwaterforwashingstomaintainhighqua-lityproducts.

Note 3: For the whole group a 5% de-creaseisseenfrom2013to2014.InIndia,anessentialpartof the consumptionofnaturalgaswaschangedtobiofuel.Theamountofpurchasedelectricity in Indiaincreased more than 50% due to stop-pageofapowerplantatTechnicalDivi-sion.TheconsumptionoffueloilinIndiaincreaseddueto installationofanaddi-tionaldieselgenerator.

Note 4: The consumption of rawmate-rials increasedby0.6%.Mostsignificantchanges were increasing activity in theUnited Kingdomand slight decreases inItalyandIndia.

Note 5: Theemissionwasdecreasedby12% in India. In Denmark the emissionincreased unaccountably by 30%; largefluctuations are seen over a series ofyears.

Note 6: Nitrogen was mainly fromDenmark where the amount increased

slightly compared to 2013. In India, theamountwasreduced.

Note 7: The emission in Denmark wasreducedby45%;theemissionwasabnor-malhighin2013duetoanunintentionalemission of sludge from the biologicalwaste-watertreatmentplant.

Note 8: The emission in India was re-ducedtoanormallevelfromahighlevelin2013causedbyproblemsduringstart-upofanewsteamboiler.

Note 9:CO2emission is related to con-sumptionoffuels.

Note 10:ThelargestincreasewasinDen-mark and was mainly caused by scrapfromreconstructionofaplantandfromincreased activities in the filling plants.The amount in India increased due tocommissioningofanewproduction.

Note 11:IncreaseinDenmarkcausedbyincreasedactivitiesinthefillingplants.

Note 12: The amount is dominated bysludge from the biological waste watertreatmentplant inDenmark.More limewasusedforneutralizationandresultedin more sludge. In addition, more bio-reactors than normal were emptied forinspectionandmaintenance.

Note 13: The increasewasmainly duetoincreaseoftwoproductionsinIndia.Aminorpartwascausedbyincreasedacti-vitiesinGermany.

Note 14: All hazardous waste in theUnited Kingdom was incinerated as aresult of changed classification. Theamount increased in Denmark due tochange in productmix. A decreasewasseen in India, because someof the vol-umewasrecycledbyco-processinginthecementindustry.

Note 15:AslightincreaseinIndia.

Note 16:TheincreasewasinDenmark.

Note 17: Despite efforts to reduce thenumberofaccidents,fourreportableac-cidentsoccurredinGermanyandeleveninDenmark.


Suppliermanagement

Assetoutinthe2013CSRReport,Chem-inova has during 2014 worked withand partly implemented a system formanaging and storing data related toaudits. However, due to the expectedmerger of Cheminova and FMC, it hasbeen decided to defer the system. In2015, the new company will decide onwhatfuturetoolsshouldbeusedinman-agingsupplieraudits.

During2014,37completesupplierauditsand18screeningauditsofpotentialnewsuppliers were conducted. The auditswere spread out in all of Cheminova’sfour regions,however, themajoritywasconducted in India and China. Also in2014, potential suppliers were rejecteddue to issuescomplying toCheminova’sSupplierCodeofConduct(seebox).

Inadditiontotheabovedescribedaudits,in 2014 Cheminova also conducted twojoinedauditswithanexternalassurancecompany. The purpose of these auditswas to get feedback and inspiration forimproving audits, interviews, andmoni-toringmethodsforbetterfuturecontrolofCSRrisksassociatedwithtollmanufac-turing and suppliers generally. Relevantfindings were recorded, and critical is-sueswillbefollowedup.

In2014,focushasbeenonimprovingauditmethods.

Cheminova Supplier Code of Conduct1. Allapplicablelawsandregulationsofthe

country where operations are under-takenmustbecompliedwith.

2. Noforcedorcompulsorylabourmaybeused,andemployeesshallbefreetoleaveemploymentafterreasonablenotice.

3. Nochildlabourmaybeused.4. Discrimination in employment related

decisions may not take place, and noemployee suffers harassment, physicalormentalpunishment,orotherformofabuse.

5. The right of employees to collec-tive bargaining shall be respected.

6. Wagesandworkinghourswill,asamin-imum,complywithall applicablewageandhourlawsandrulesandregulations,including minimum wage, overtime,andmaximumhoursinthecountrycon-cerned.

7. Noimproperadvantagemaybesought,including thepaymentofbribes, tose-curedeliverytoCheminova.

8. Safeandhealthyworkingconditionswillbeprovidedforallemployees.

9. Emergency procedures shall be estab-lished to prevent major accidents thatcan cause harm to health or the en-vironment.

10.Operationswillbecarriedoutwithcarefortheenvironment.

Audit with the risk of cross contamination as key topic.

Audit on product quality and technical solutions.


People

In2009,theCheminovavalueswereim-plemented. In 2014, they continued toserve as the baseline for all employeesintheirdailyworkbothwithintheChem-inova organization and externally, e.g.when cooperating with our customersandsuppliers.

ThefiveglobalCheminovavaluesare:

Theintroductiontoourvaluesstartsdur-ing our employer branding efforts andcontinues during the recruitment andonboarding phase. Once an employeehasjoinedtheCheminovagroup,experi-enced colleagues and managers ensurethatheorshecomplieswiththevalues.

Our global organizationThenumberofemployeesinCheminovais by and large at the same level as in2013.Since2008,thenumberofemplo-yeesgloballyhas increasedby18%.Thegeographical distribution of employeesfrom 2008 to 2014 appears from thetable:

2008 2014Americas 12% 13%Asia 27% 33%Denmark 43% 37%Europe 18% 17%

Survey - employee engagementTo ensure that the global workforce ofmorethan2,300personshasahighde-gree of engagement (satisfaction andmotivation), a global employee surveywas initiated during the second half of2014. The purposewas tomeasure theindividual departments’ overall employ-ee engagement and commitment. Thesubsequentfollow-uponactionplansse-

curedthatareasandunitshavinganeedfor increased employee satisfaction andcommitmentreceivedthesupportneed-ed.

Theresultoftheemployeesurveyshow-ed thatboth theengagementandcom-mitment levels amongst our employeesareabove the industrybenchmarkbothglobally and in the countries whereweare represented. Considering this highlevel of engagement and commitmentand the fact thatmore thanhalf ofourworkforcehasmore thanfiveyears’ se-niority, we consider our baseline to besolid.Theoverallresponseratewas89%.Pleaseseetheresultillustratedinthefig-uresonthenextpage.

Livingthevalues.


DiversityConsidering themere fact thatwehaveemployees in more than 23 countries,nationality alone increases the level ofdiversity. The focus on diversity will re-main a long-term objective. The over-all gender structure of the Cheminovagroupis79%male,21%female,however,withsubstantialregionaldifferences.

Continuous improvementDuringthelastcoupleofyears,manyHRinitiatives have been implemented in-cluding a revised performance develop-ment review process, more visibility inregards to career paths and e-Learning.Thereby, easier access to courses anddevelopment opportunities has beenachieved.

Theseinitiativeshavemadeagoodbase-line fordevelopmentofouremployees.Thefocusin2014hasbeentomaketheseanintegratedpartofourmanagers’andemployees’workingday. By theendof2014,more than80%of theemployeesglobally have completed their annualperformance development review withtheirdirectmanager.

Whistleblower processIn2013,weexperiencedaneedforanewwhistleblowerset-upasourformersup-plierdecidedtoendourcooperation.Bytheendof2013,ournewwhistleblowerThe employee survey showed higher scores than global labor market average.

People,continued


set-up was implemented. All employ-eeshavebeen informedabout thenewwhistleblower function, which consistsofanexternalwebsitewherereportscanbe placed anonymously. All reports pla-cedthroughthisexternalwebsitearefor-warded–anonymously–tothewhistle-blower committee,which is responsiblefor investigating the highlighted viola-tions. In 2014, only one whistleblowerreportwasreceived.

CommunicationA new global intranet was launched in2014. By streamlining the informationflowandaccesstoglobalpolicies,proced-uresetc.andbyensuringbroadaccesstocommunication and tools, we expect apositive impact on the implementationofawide rangeofprocedures. In2014,60% of the employees had access, andthe global roll-out of the intranet con-tinuesin2015.

Anti-briberyBribery and corruption are increasinglyareas of focus for governments and au-thorities in numerous countries aroundtheworld.Moreover,thereisanincreas-ingrecognitionoftheprivatesector’sroleinfightingcorruptionbyUnitedNations,governments,andNGOs.

In accordance with our membership ofUnitedNationsGlobal Compact, Chemi-

Headland Agrochemicals Ltd. is currently working towards the accreditation of Investors in People, which is the national standard setting a level of good practice for training and de-velopment of people.

nova already has a firm stance on anti-corruption, which has been embeddedin the management systems beginningwiththeCodeofBusinessPrinciplesandSupplierCodeofConduct.Furthermore,Cheminova conducts internal anti-brib-ery audits by a third party in selectedsubsidiaries -making the current activi-ties a natural continuation of the com-plianceefforts.

During2013-2014,theGEChasperform-ed a country and activity based riskmapping as a baseline for undertakingof educational activities. Additionally,

this process has included an update ofthe anti-corruption procedure, whichhas been prepared based on input re-ceived fromexternalexpertsonhow toencompass recent legislative develop-ments,primarilytheBritishBriberyAct.

Educational activities have been initi-ated by a training session in Denmark,involvingemployeesfromseveraldepart-ments.

Furtherinitiativesawaittheexpectedin-tegrationwithFMC.


Moreinformation


Managementstatement

NielsMortenHjortSeniorVicePresident,Production&Logistics

RenéSchneiderChiefFinancialOfficer,Finance&Support

JaimeGomez-ArnauCEO&RegionPresident,Europe

CesarRojasPresident,RegionLatinAmerica

JensThorsenSeniorVicePresident,PortfolioManagement

RicoT.ChristensenPresident,RegionNorthAmerica

AntonBroSeniorVicePresident,Development&Registration

PramodN.KarlekarPresident,RegionInternational

OnFebruary6,2015thecompany’sday-to-daytopmanagement,theGlobalExecutiveCommittee(GEC),consideredandapprovedtheCSRreportfor2014.

Cheminova’s CSR work is founded on UN’s Global Compact and inspired by GRI(GlobalReportingInitiative)whichareinternationallyapprovedcodes.Furthermore,theguidancefromthechemicalindustry’sowncode,ResponsibleCare,isobserved.Internally,theCSRworkisrootedinCheminova’sCodeofBusinessPrinciplesandtheCSR Strategy aswell as policies andprocedures inourGlobalQCandCSRManualhttp://www.cheminova.com/en/csr_/csr_policies/management_approach_to_csr_management.htm.

GEChastheoverallresponsibilityforCheminova’sglobalbusinessandactivities,in-cludingCSR.

ItistheGEC’sviewthattheCSRreportfor2014providesanaccuratepictureofthecompany’sCSRactivitiesintheareasdescribed.

JakobLyngsøAndersenSeniorVicePresident,HumanResources&Communication

http://www.cheminova.com/en/csr_/csr_policies/management_approach_to_csr_management.htm

http://www.cheminova.com/en/csr_/csr_policies/management_approach_to_csr_management.htm


UNGlobalCompact

Cheminova has supported the UnitedNationsGlobalCompactsince2009.Wesupport the endeavors to make globa-lization more socially and ecologicallycompatibleandtoraisestandardsinthefieldsofhuman rights, labor rights, andenvironmentalprotectionandinthefightagainst corruption. The following tableshows the activities and management

systems at Cheminova that support the10principlesoftheGlobalCompactandthe results which were achieved in theperiodunderreview.InformationontheGlobal Compact can be found at www.unglobalcompact.org.

Thepagenumbersrefertorelevantsec-tionsofthisreport.

ProgressreportontheimplementationoftheprinciplesoftheUNGlobalCompact.

Systems Measures 2014 Achievements 2014Human Rights:Principle1:SupportofhumanrightsPrinciple2:Exclusionofhumanrightsviolations

• CodeofBusinessPrinciples(p.36)• SupplierCodeofConduct(p.36)• ManagementapproachtoCSRManagement(p.36)

• UNGlobalCompact

• In2014,anoperationaldiversitybaselinewillbecreatedandob-jectivesforgenderdiversitydocumented

• In2014,aglobalemployeeengagementsurveywillbecon-ducted

• Theproject”Saheli”onwomenempowermentonsafety,health,andlivelihoodinIndiawillbecontinuedin2014

•Partlyexecuted(p.6)

•Executed(p.6)

•Executed(p.5)

Labour Standards:Principle3:ObservanceoftherighttofreedomofassociationPrinciple4:AbolitionofallformsofforcedlaborPrinciple5:AbolitionofchildlaborPrinciple6:Eliminationofdiscrimination

• CodeofBusinessPrinciples(p.36)• SupplierCodeofConduct(p.36)• ManagementapproachtoCSRManagement(p.36)

• FAO’sCodeofConduct(p.36)• UNGlobalCompact

• In2014,anoperationaldiversitybaselinewillbecreatedandob-jectivesforgenderdiversitydocumented

• In2014,aglobalemployeeengagementsurveywillbecon-ducted

• ProductionatCheminovaMFGPty.inAustraliawillintheperiod2013-14becertifiedinrelationtoOHSAS18001

•Executed(p.6)

•Executed(p.6)

•Executed(p.6)

Environment:Principle7:PrecautionaryenvironmentalprotectionPrinciple8:SpecificcommitmenttoenvironmentalprotectionPrinciple9:Diffusionofenvironmentallyfriendlytechnologies

• CodeofBusinessprinciples(p.36)• ResponsibleCare(p.36)• SupplierCodeofConduct(p.36)• ManagementapproachtoCSRManagement(p.36)

• FAO’sCodeofConduct(p.36)• UNGlobalCompact

• InIndia,theproject”AakashGanga”onwaterconservationwillbecontinuedin2014andextendedwithfurther250acres

• Theprojectamongsmall-scalebananafarmersinthestateofGoiasinBrazilwillbecontinuedin2014

• AprojectonsafeandenvironmentallyfriendlycontrolofplantdiseaseswillbecontinuedamongbananafarmersinthestateofSãoPauloinBrazilin2014

•Executed(p.5)

•Executed(p.5)

•Executed(p.5)

www.unglobalcompact.org

www.unglobalcompact.org


Systems Measures 2014 Achievements 2014• Anewprojectwithaxilapplicationwillbeinitiatedin2014atfarmlevelamongbananagrowersinSantaCatarina,Brazil

• TheproductionattheFormulationDivision1&2inIndiawillin2014becertifiedinrelationtoISO9001

• InIndia,theCODcontentinwastewaterwillbereducedby3%• Revisionoftheoperationofthebiologicalwaste-watertreat-mentplantinDenmarkintheperiod2012-15wherewaste-waterstreamswillbepre-treated/optimizedsothatthepoten-tialofthebiologicalwaste-watertreatmentplantisutilizedinthebestpossibleway

• Atleast10formulationswithlowcontentofvolatileorganicsolventswillbedevelopedin2014

• Executed(p.5)

• Executed(p.6)

• Executed(p.6)

• Implementationplanfollowed(p.6)

• Partlyexecuted(p.5)

Anti-Corruption:Principle10:Measurestofightcorruption

• CodeofBusinessPrinciples(p.36)• ManagementapproachtoCSRManagement(p.36)

• UNGlobalCompact

• Mappingforestablishingacountry-basedclassificationofriskofcorruption.Trainingactivitiesforselectedemployeesin2013-14

• Partlyexecuted(p.6)


Independent Auditors’s Report for the stakeholders of Cheminova A/S WehavebeenengagedbyCheminovaA/StoobtainlimitedassuranceontheCorporateSo-cial Responsibility Report 2014 (the Report)andtoexpressaconclusionontargetattain-ment,pages5-6,non-financialdata,pages26-27,andindicesregarding‘moreplantprotec-tion’, ‘less chemistry’ and ‘fewer resources’,page19,aswellasitscapacityasaCommu-nicationonProgressReport(CoPReport)oc-casionedby theCheminovaA/SsignaturetotheUNGlobalCompact.

Criteria appliedThecriteriaforCSR-relatedtargetattainmentare stated in the Corporate Social Responsi-bility Report 2013, in which targets as wellassuccesscriteriaforthefocusareasVillageProjects,‘Helpingyougrow–Chemistrywithcare’,Production,SupplierManagementandHumanResources,arepresented.

The criteria for preparation of non-financialdataandindicescontainedintheReportareevident from the accounting policies descri-bed at the website: http://www.cheminova.com/en/sustainability/corporate_social_re-sponsibility/csr_documentation/csr_ac-counting_principles.htm.Theaccountingpoli-ciescontaininformationconcerningwhichoftheCheminovaGroup’sbusinessesandactivi-tiesareincludedinthetypesofdatareportedaswellasManagement’sreasonsforthese-lection of environmental and occupationalhealthandsafetydataandtheindices.

ResponsibilitiesCheminova A/S Management is responsibleforpreparingtheReport,includingforsettingup registration and internal control systemswith a view to ensuring reliable reporting.Furthermore, Management is responsibleforspecifyingacceptablereportingcriteriaaswellasselectingdatatobecollected.

Moreover, Cheminova A/S Management isresponsible for preparing a CoP Report pre-sentingtheprogressofCheminovaA/Sinre-spect of supporting theUNGlobal Compactprinciples.

Our responsibility is, based on ourwork, toexpressaconclusionontheinformationcon-tained in theReport regarding target attain-ment, non-financial data and indices aswellasontheReportasaCoPReport.

Scope of our work Weplanned and performed ourwork in ac-cordance with the International AuditingStandardISAE3000(assuranceengagementsotherthanauditsorreviewofhistoricalfinan-cial information) with the purpose of obtai-ninglimitedassurancethat:

• the status of attainment of establishedCSRtargetsfor2014onpages5-6isinac-cordance with the listed criteria for CSRtargets,whichwerepublishedintheCorpo-rateSocialResponsibilityReport2013;

• theenvironmentalandoccupationalhealthand safety data stated on pages 26-27 aswell as the indices onpage19havebeenrecognized in accordancewith the criteriastatedforpreparationof thenon-financialdataandindicesoftheReport;

• theReportinitsentiretyisconsistentwiththe company’sCSRactivities andprogresswith a view to supporting the UN GlobalCompact.

The assurance obtained is limited as com-paredtothatofanaudit.Therefore,ourworkhas, based on an assessment of materialityandrisk,primarilyincludedinquiriesconcern-ing goal attainment, including on a judge-mental sample-basis obtaining documentedconfirmationsregardinggoalattainmentfromlocalmanagements,interviewswithselectedkeymanagerialemployeesresponsibleforthegoalattainmentandreviewofselecteddocu-mentation.

Moreover,ourevaluationoflocaltargetsanddata has included visits to the productioncompaniesinIndiaandDenmarkaswellasavisittothesalescompanyinIndia.

The criteria stated concerning statementof environmental and occupational health

andsafetydataaswellastheindices,asde-scribedintheaccountingpolicies,haveprima-rilybeenassessed from inquiries concerningproceduresforcalculationandmeasurementof the concrete data. Furthermore,wehaveperformed technical accounting analyses ofreporteddataandhavereviewedselecteddo-cumentation.

Wehave read theReportwitha view toas-sessing its informative value in relation toexpectationsforaCoPReport.Throughinter-viewswithManagementandselectedkeyem-ployees,wehavegainedinsightintoManage-ment’scommitmentandstatusofembeddingtheUNGlobalCompactandthevaluesofChe-minovabasedonimplementationofactivities.

As agreed with theManagement of Chemi-nova A/S, we have not performed any pro-cedures relating to the reliability of the GRIreportingfor2014.

We believe that the evidence we have ob-tainedissufficientandappropriatetoprovideabasisforourconclusion.

ConclusionBasedonourwork,nothinghascometoourattention that causes us to believe that thedescriptionscoveringthestatusoftheattain-mentofCSRtargetsfor2014onpages5-6arenotaccurate.

Furthermore, nothing has come to our at-tentionthatcausesustobelievethattheen-vironmentalandoccupationalhealthandsa-fetydatastatedonpages26-27aswellastheindicesonpage19havenotbeenrecognisedinaccordancewiththecriteriastatedforpre-parationofthenon-financialdataandindicesoftheReport.

Finally, based on the total work performed,nothinghascometoourattentionthatcausesustobelievethattheReportinitsentiretyisnot basedon specific activities and thepro-gress of CheminovaA/Swith a view to sup-portingtheUNGlobalCompact.

Assurancestatement

Hellerup,February20,2015

PricewaterhouseCoopersStatsautoriseretRevisionspartnerselskab

BrianChristiansenStateAuthorisedPublicAccountant

JensPultzPedersenMSc(Engineering)

http://www.cheminova.com/en/sustainability/corporate_social_responsibility/csr_documentation/csr_accounting_principles.htm





Specialreferences

Reference Explanation Where to find itOwnershipandorganization An overview of Cheminova’s global organisation, re-

gions,ownershipandanchoringofCSRintheorganisa-tion

http://www.cheminova.com/en/about_us/man-agement_and_structure/organization/organization.htm

ResponsibleCare TheEuropeanChemical IndustryCouncil's (CEFIC)Re-sponsible Care programme for continuous improve-mentwithinsafety,healthandenvironment

http://www.cheminova.com/en/sustainability/pro-duction/responsible_care/responsible_care.htm

CodeofBusinessPrinciples Adescriptionofthecompany’sCodeofBusinessPrin-cipleswhichmustbecompliedwithbyallemployeesandwhichsupportresponsibilityinrelationtomanage-ment,cooperationandsociety

http://www.cheminova.com/en/sustainability/corporate_social_responsibility/csr_policy/code_of_business_principles.htm

Mission,visionandvalues Adescriptionofthecompany’smission,visionandval-ues

http://www.cheminova.com/en/about_us/mis-sion_vision_values/mission_vision_values.htm

SupplierCodeofConduct ThefundamentalprincipleswhichCheminova’ssuppli-ershavetocomplywith

http://www.cheminova.com/en/sustainability/corporate_social_responsibility/csr_policy/sup-plier_code_of_conduct.htm

CSRAccountingPrinciples Theprinciplesfordatacollectiononenvironment,safe-tyandhealth

http://www.cheminova.com/en/sustainability/cor-porate_social_responsibility/csr_documentation/csr_accounting_principles.htm

FAO’sInternationalCodeofConduct Voluntaryinternationalstandardsofresponsibilityandbehaviourconcerningdistributionanduseofpesticides

http://www.fao.org/agriculture/crops/thematic-sitemap/theme/pests/code/en/

UNGlobalCompact ThetenprinciplesofUNGlobalCompact https://www.unglobalcompact.org/

UN’sMillenniumGoals UN’s8goalsforreductionofpovertybefore2015 http://www.un.org/millenniumgoals/

ManagementapproachtoCSRManagement SummaryofprinciplesandproceduresonCSRmanage-ment

http://www.cheminova.com/en/sustainability/cor-porate_social_responsibility/csr_policy/manage-ment_approach_to_csr_management.htm

http://www.cheminova.com/en/about_us/management_and_structure/organization/organization.htm



http://www.cheminova.com/en/sustainability/production/responsible_care/responsible_care.htm

http://www.cheminova.com/en/sustainability/production/responsible_care/responsible_care.htm




http://www.cheminova.com/en/about_us/mission_vision_values/mission_vision_values.htm

http://www.cheminova.com/en/about_us/mission_vision_values/mission_vision_values.htm

http://www.cheminova.com/en/sustainability/corporate_social_responsibility/csr_policy/supplier_code_of_conduct.htm








http://www.un.org/millenniumgoals

http://www.cheminova.com/en/sustainability/corporate_social_responsibility/csr_policy/management_approach_to_csr_management.htm




Glossary

Aakash Ganga: WatermanagementprojectinIndianvillages.

Active ingredient: Activechemicalinitspureortechnicalform.

Auditing: Reviewofaccounts.

CEFIC: TheEuropeanChemicalIndustryCouncil.

Chemical synthesis: Process, where chemical compounds reactwitheachotherformingnewcompounds.

Class I product: A product, which according to WHO’s re-commendedguidelines isclassifiedashighlyhazardousorextremelyhazardous.

CO2: Carbondioxide, the most commonly men-tionedgreenhousegas.

COD: ChemicalOxygenDemand -measure for thecontentoforganiccompoundsinwater.

CSR: Corporate Social Responsibility. Social, en-vironmental and ethical demandsmade be-tweencompanies,customers,interestedpar-tiesandcollaborationpartners.

Emulsifiable concentrate: Mixtureofaliquidactiveingredient,solventsandsurfactantsthatenabletheproducttobedilutedwithwatertoalowconcentratesprayfluid.

FAO: TheUN’sFoodandAgricultureOrganisation.

FAO’s Code of Conduct: FAO’sinternationalguidelinesconcerningthedistributionanduseofpesticides.

Formulation: Active ingredient(s) with accessory agent(s)makingupaready-to-useproduct.

Fossil fuel: Coal,oilandgas.

GEC: Global Executive Committee. Cheminova’sday-to-daymanagementgroup.

Global Compact: A UN initiative giving ten general principlesforcompanies’workwithcorporatesocialre-sponsibility.

GRI: GlobalReporting Initiativewithguideline forreportingonCSR.

HSE: Health,Safety&Environment.

ISO 14001: International environmental certificationcoveringthesurroundingenvironment.

ISO 9001: Internationalcertificationofqualitymanage-mentsystem.

Low VOC: Low Volatile Organic Compound, defined asmaximum 20% evaporation at 115°C in 60minutes cf. Estimation of Volatile EmissionPotentialofPesticidesbyThermogravimetry,CaliforniaDepartmentofPesticideReglation,February9,2005.

Methomyl: Insecticide,mostly used in cotton and vege-tables.

MHF: MajorHazardousFacility(Australia).

Micronutrients: Mineral fertiliser which the plants need insmallquantities.

Neonicotinoids: A class of insecticides much used for treat-mentofseeds.

Nm3: Normalcubicmeter(volumeatstandardpres-sureandtemperature).

OECD: TheOrganization for Economic Co-operationandDevelopment.

OHSAS 18001: Internationalenvironmentalcertificationcov-eringtheworkingenvironment.Omethoate: Insecticide among others used to controlmites.

Pesticides (plant protection products): Collective name for insecticides, herbicidesandfungicides.

PIC: Prior InformedConsent (Prior informedcon-sentthathastobeestablishedbeforeaprod-uctfromthePIClistisexported).

Product stewardship: Overall description of responsible manage-mentofacompany’sproducts.

REACH: Registration,EvaluationandAuthorisationofChemicals (CommonEU regulationondocu-mentation requirements concerning chemi-cals).

Registration data: Testresultsanddocumentationthatmustbesubmittedtotheauthoritiesinordertoobtainregistration certificates for import and salespermissions.

Responsible Care: Objectives concerning responsible conduct,adheredtobyCheminova.

SAFE: SafeAttitude(behaviour)ForEverybody.

Saheli: Saheli is formed taking the first two lettersfrom each of the three core areas Safety,HealthandLivelihood.

Suspension concentrate: Anactiveingredientinsolidformsuspendedinwaterwith surfactantswhich enables theproducttobedilutedwithwatertoalowcon-centratesprayliquid.

Sustainability: Activitiesthatmeettheneedsofthepresentwithout compromising the ability of futuregenerationstomeettheirownneeds.

Third-party products: Sales products not produced by Cheminovabutboughtfromothersuppliers.

WHO: WorldHealthOrganisation.

CheminovaA/SP.O.Box9DK-7620Lemvig

Headquarters:Thyborønvej78DK-7673Harboøre

Tel.+4596909690Fax.+4596909691

[email protected]

HELPING YOU GROW

mailto:[email protected]

www.cheminova.com

Documents

HELPING YOU GROW - FMC Sustainabilityfmcsustainability.com/wp-content/uploads/2015/12/csr...Equipment for measurement was installed in Jan-uary 2015. Evaluation expected mid-2015 Australia: