A new horizon - Carbery · Bristol Sao Paulo Chicago Cincinatti Rochester 4 CARBERY SUSTAINABILITY...

Our journey of sustainable progress

A new horizon

For the past fifty years Carbery has conducted its business embracing

strong sustainability principles. These are evident through our focus on

food safety and quality, environmental impact, energy management

and nutrition innovation.

Carbery has a clear agenda on continuous improvement for the production

and processing of sustainable dairy products, flavours and ingredients.

Our target is to have a fully sustainable chain from farm to table and

achieve carbon neutral status across all our facilities. Carbery’s approach

to sustainability covers four main areas; our environment; our people; our

community and the marketplace. The following report highlights initiatives

and achievements in these areas during 2017.

We utilise every drop of milk delivered to Ballineen and our focus is to

add value through our cheese, ingredients, bioethanol and flavours.

We adopt the same approach to our Synergy business where a zero waste

philosophy is applied. The implementation of strategic sustainability

initiatives at Carbery has led to significant improvements in operational

efficiencies and cost reductions.

Jason Hawkins,

Group Chief Executive Officer

WelcomeContents3 Welcome

4 Living our values

5 Carbery at a glance

6 Carbery sustainability

7 Sustainability in practice

8 Environmental update

10 Carbery in the community

12 Our people

14 Responsible business partnerships

15 Our place within Ireland’s vision

16 Spotlight on farm

17 The bioeconomy

18 Carbery dairy value chain

20 Spotlight on Synergy

22 Nutrition and health

24 Growing responsibly

26 A new horizon

CARBERY SUSTAINABILITY REPORT 2017 CARBERY SUSTAINABILITY REPORT 2017 32

Manufacturing, technical

and commercial facility

Dairy joint venture

(2017)

8Facilities worldwide

Sales of

(2017)€417m

Founded

53 (1965)

years ago

Leading global manufacturers of...

Selling in over

International markets

€

660 Employees worldwide

Headquartered in Co. Cork, Ireland

50

Nutritional ingredients Flavours Cheese

Living our values every day Carbery at a glance

Our global reach

Dedication to Service

Our entire business is customer focused.

We align with our customers to ensure we

understand their businesses and help them

achieve product success through an agile,

responsive and reliable customer service.

Nurturing Talent

We develop individual talent and

empowering high-calibre teams across

all geographies. We actively recruit

the best talent, providing training

and mentoring through specialised

development programmes.

Collaborate to Innovate

We continually invest in consumer

insights, technology, R&D and key

partnerships with our customers

and suppliers to help define the next

generation of food and drink products.

Dedication to Sustainability

As a co-operative owned Group, we pursue

economic viability and social responsibility

in everything we do. Carbery supplies

grass fed, hormone and antibiotic free,

sustainable premium dairy ingredients to

consumers across the globe every day.

Quality Excellence

We deliver the highest quality products

and services to our customers. We excel

in quality and food safety through efficient

processing, operational excellence and

strong product stewardship.

Ballineen

Italy

Bangkok

High Wycombe

Bristol

Sao Paulo

Chicago

Cincinatti

Rochester


Carbery’s sustainability throughout our businessWe believe that integrating sustainability into our core business

strategy is the best way to drive sustainability throughout the

group. For Carbery, sustainability is about doing the right thing and

is our vision for a better future. A future where everyone enjoys the

benefits of living well through responsible consumption and easy

access to good nutrition. Where our people, customers, farmers

and all of the communities we interact with thrive and prosper.

Within Carbery Group, attention is constantly paid to employees,

organisation, food safety and the environment. This is what

characterises the business and forms the basis for the futureproof

course we will take. We believe that by operating in a transparent

and responsible way and delivering on these core commitments,

we can be a force for good; creating value for Carbery, our

partners and the communities we operate in.

Sustainable development“is the kind of development that meets the needs of the present without

compromising the ability of future generations to meet their own needs.”

Brundtland commission – 1992

Meeting our economic

needs such as profit,

cost savings, growth and

innovation.

Managing our natural resources,

protecting the environment and

preventing pollution.

Respecting and developing

our people, partners and

broader community.

€

€

EnvironmentalCarbery recognises that our business has

an important role to play in protecting

and enhancing the environment for future

generations and to help the long-term

sustainability of the food industry. To this

end we are committed to the following

through our Environmental strategy:

• To achieve robust environmental practices

across our entire operation

• To comply fully with all regulatory conditions

and relevant legislation

• To reduce, reuse and recycle the resources

consumed by our business where practical

• To encourage our customers, employees,

community, suppliers and contractors to

participate in our efforts to protect the

environment

Environmental highlights

1. Water reuse project saving 1.4 million litres

of water/day

2. 45,000 trees planted through Carbery Trees

initiative

3. Reduction of the energy usage per unit of

production by 6.2% at Ballineen

4. 2018 Green award for sustainable energy

EconomicCarbery’s economic principles remain first

and foremost with their farmer shareholders

and this is evident with Carbery consistently

paying the leading milk price in Ireland.

Furthermore Carbery Group has had the

foresight to develop a stability fund for

the benefit of its suppliers. The fund was

established as a contingency vehicle to

be used in times of crisis to protect the

financial viability of farmer shareholders.

Economic highlights

1. Turnover increased by 22.7% to €417

million in 2017

2. Route to market for bioethanol as a biofuel

3. Leading Milk price to 1220 farmer suppliers

4. Synergy acquisition of Janouesk to

enhance flavours portfolio

SocialSocial sustainability is about identifying

and managing business impacts on people.

The quality of Carbery’s relationships

and engagement with its stakeholders is

critical. Carbery influences what happens

to employees, workers in the value chain,

customers and local communities, and it is

important to manage impacts proactively.

Fortunately through the cooperative structure

an excellent social culture exists in Carbery.

Looking ahead we will embed this culture in

every aspect of our business.

Social highlights

1. Synergy US certified as great place to work

2. Significant Community Sponsorship e.g.

SCAR in Ireland, Greggs in UK, ‘Angel Tree’

in US

3. Building of new schools in Madagascar

4. Environmental Diploma for Carbery

Greener Farmers

Putting our sustainability strategy into practice

Our achievements

Sustainable Energy Award – 2018

LEED Gold Certification

ISO 50001 2014

Green Food & Beverage Award

– 2014/16

100% renewable electricity

International Sustainability &

Carbon Certification

Chambers Ireland CSR Awards (shortlisted)

Excellence in Sustainability Award – 2017

Our ambition is to strengthen our market

position and to improve the reputation of

our high quality products. Therefore we have

to strive towards excellence and that is our

approach when it comes to sustainability.

In recent years we have been fortunate to

have won a series of sustainability accolades

through a number of award formats. These

are testament to the hard work undertaken

by employees across the group and serve to

underpin the achievements we have made

in the sustainability arena.

Social

Environmental

Social-Economic

Conducting business in an

ethical fashion.

Environmental-Economic

Using energy and other

natural resources efficiently.

Social-Environmental

Responsible treatment of

natural resources and those

who rely upon it.

Economic

Sustainability


Environmental updateReduced reliance

on fossil fuelsOver the past 15 years, Carbery has

invested in, and developed, a host

of projects all of which have had a

positive effect on energy bills and

related emissions.

Without the major energy recovery initiatives undertaken

across the group, the business would have faced

increased steam production from fossil fuel and related

increased carbon emissions. Thanks to these projects,

the implementation of ISO 50001 (international energy

standard) and an overall excellent energy management

culture on site in Ballineen, Carbery Food Ingredients won

the Sustainable Energy Achievement category accolade at

the Green Awards in February 2018.

After adopting water conservation

programmes, the Ballineen site

investigated the suitability of a

water reuse project to achieve its

sustainability goals.

Supplying Biofuel to the Irish marketDuring 2017, Carbery acquired an

International Sustainability & Carbon

Certification (ISCC) licence with the intention

of supplying biofuel to the Irish market.

As part of the process of obtaining this certification, the Carbery

bio-ethanol process underwent a very comprehensive greenhouse

gas assessment which determined that bio-ethanol produced at

Carbery is 85% less carbon intensive than standard petrol.

In the latter half of 2017, bio-ethanol derived from the feedstock

whey permeate was determined by the Biofuels Obligation

Scheme (BOS) as a waste, therefore making it eligible for double

certificates under Irish legislation. Carbery is the only producer of

bio-ethanol in Ireland.

Benefits from the Project:

Facilitates increased production – savings and profitability

> Increased daily cheese production capacity

Compliance with environmental licence and emissions reduction

> Reduce alcohol steam usage

> River water extraction volumes reduction

> WWTP discharge volumes reduction

> Effluent treatment capacity increased retention time and performance

Other Benefits

> Water treatment capacity reduction

> Low chlorates water supply

Water Reuse Project

It was recognised that reusing processed wastewater could reduce water

abstraction from the Bandon river ensuring compliance with our IPPC

(Internation Pollution Prevention & Control) licence, as well as assisting

with compliance to the wastewater treatment plant (WWTP) discharge

volumes. Carbery decided to invest in Reverse Osmosis (RO) plants to

concentrate permeate and to polish water generated by this process as

well as various condensate streams on site.

Origin GreenAs a member of Origin Green the nationally

accredited sustainability programme operated

by Bord Bia (the Irish Food Board), Carbery is

committed to reducing environmental impacts

across its manufacturing base.

In 2017, we commenced the first year of the second phase of our Origin Green

initiatives which will run up to 2021. A highlight for last year was the reduction

of the energy usage per unit of production by 6.2% at the Ballineen facility.

Also in 2017, a further 6.9% reduction in water consumption per unit of

production across the site was achieved. This, coupled with a 12.9% reduction

since 2010, augurs well for future water conservation plans in Ballineen.

Working to achieve

LEED Gold by the

end of the year

Green chemical usage Automatic shading system reduces energy consumption

Preferred parking for energy efficient vehicles

No automatic sprinklers

Motion-sensor lighting

Solar panels

Recycled materials used for construction

Bioswale drainage filters storm drainage

Synergy US has recently completed an expansion of its

facility at Wauconda to cater for ongoing business growth.

The new building has been designed and constructed to LEED

(Leadership in Energy and Environmental Design) standards.

�ARBERY SUSTAINABILITY REPORT 2017 CARBERY SUSTAINABILITY REPORT 2017 98

Local Community SupportCarbery has a long record of supporting community based

initiatives and charitable causes. In 2017, Carbery supported

almost 200 local charities, community groups and sporting

organisations. Also last year Carbery announced its sponsorship

of the Skibbereen Charity Adventure Race (SCAR), which will

ensure that significant funds will go to deserving causes in

the West Cork region. Throughout 2017, Carbery also actively

supported agricultural shows, farm walks and secondary school

programmes and many local community events.

Carbery – the first Irish company

to meet Green 50 pledge In 2016, Carbery assigned itself a target of diverting 15% less waste

to landfill compared to 2015 levels. The pledge was made as part

of the Green 50 initiative, which is supported by the Environmental

Protection Agency (EPA). The ‘Jeep for Jason’ West Cork Rapid

Response was the selected charity, and Carbery donated a €2,000

cheque from their waste savings initiative. In doing so, Carbery

became the first Irish company to fulfill its Green 50 pledge.

Thanks to an excellent effort by all staff at the Ballineen site, Carbery

exceeded the goal of 15% landfill reduction, achieving an actual

waste diversion figure from landfill of 19.3% which equates

to a total weight reduction of 22.5 metric tonnes per annum.

Carbery treesDuring National Tree week 2016, Carbery undertook a novel

approach to planting over 26,000 trees. All farmer suppliers across

the four West Cork Co-ops were allocated 20 native trees (rowan,

oak, birch and whitethorn) to plant on their own farms. Native

species were used as these improve the natural environment and

provide a habitat for indigenous natural wildlife. The distribution

of the trees was done through the co-operative store network so

farmers were able to collect their trees from their local co-op store.

All bundles were bagged in compostable bags and they contained

a communication outlining the benefits of trees, carbon offsetting

and how to plant the trees. The project was so successful, that it was

replicated in March 2018, only this time Carbery staff at Ballineen

also acquired trees to plant. Thanks to everyone’s efforts a further

19,000 native trees were planted, culminating in a total of 45,000

trees being planted through the whole initiative.

Staff presenting a €2,000 cheque to the Jeep for Jason charity from

Green 50 initiative.

Brian Falvey, Bandon Co-op with his father Seán; and twin daughters

Róisín and Siún Falvey all set to plant their Carbery trees.

Carbery employees presenting €2,000 to the Mercy Hospital

Foundation from the proceeds of a coffee morning held at the

offices in Ballineen.

Carbery in the communityWe believe that integrating sustainability into our core business

strategy is the best way to drive sustainability throughout the group

CarberyBoard

1220Farmer

Suppliers

Co-OpBoards

Co-OpAdvisors

CarberyQA Team

Teagasc

Vets

Academia: Institutes &Universities

DairySustainability

Ireland

Local Schools

660Employees

BordBiaEPA

SportsTeams

HSA

AnimalHealthIreland(AHI)

LocalCommunities

DAFMDepartment of

Agriculture Food & The Marine

HR Policies at Carbery Group

> Anti-bribery policy

> Anti-fraud policy

> Charitable contributions and political

donations policy

> Conflict of interest policy

> Whistleblowing policy

> Dignity at work policy

> Tuition reimbursement policy

> Ethical Trading policy

HR Programmes

> Employee Assistance Programme (EAP)

> Business Excellence Programme

> Employee Engagement Programme

> Leadership Development Programme

> Graduate Development Programme –

‘Your World of Opportunity’

> Work Placement Programme

> Employee Survey – ‘Great Places to Work’

Examples of Carbery Culture

> Work Wellbeing Day

> Transition Year experience

> Business in the Community Ireland (BITCI)

partnership with local schools

> Tidy Towns partnership

> Sports and Social club events – family open day

> Golf society events

> Long Service Awards

Synergy UK Sponsors

Greggs breakfast club

• Greggs breakfast club currently works with 75 organisations, in a

partnership, with primary schools and community volunteers across

the UK.

• They are able to supply over 5 million wholesome breakfasts, free of

charge, to ensure that children in over 450 schools start the school day

with a good breakfast and support their readiness for learning.


Synergy Job Shadow

Programme

Synergy partners with the University of Illinois in Chicago for

its job shadow program. This program provides students with

an opportunity to gain exposure to specific applications of their

major and career interests. This program enables Synergy to

invest in its future workforce in the food and beverage industry.

Synergy recognises the importance of enabling employees to

reach their personal goals while also allowing them to expand

their knowledge and contribute to the business. The tuition

reimbursement program allows Synergy the opportunity to

invest in its employees. Tuition reimbursement is offered for

both undergraduate and graduate programmes.

Synergy partners with several colleges to recruit top talent for

its internship program. Not only do the company’s interns help

with business needs, but they gain excellent working knowledge

to use in the future. Interns are also a great pool of candidates

for future positions within the Synergy business.

Synergy Flavors US certified as

a 2017 “Great Place to Work”

Great Place to Work® is the global authority of high-trust, high-

priority work cultures. A survey is administered directly to employees,

gauging six areas of criteria: challenges, atmosphere, rewards, pride,

communication and bosses.

To meet certification requirements, company ratings must meet

standards set by Great Place to Work®.

Our peopleCarbery Leadership Programme

Business growth and expansion are key

strategic objectives for Carbery.

This growth will come from expanding existing businesses,

developing sales in new emerging markets and through further

strategic acquisitions and alliances. To help achieve these growth

objectives, we recognise that we will require talented leaders

with an in-depth understanding of our business. Our Leadership

Development Programme (LDP) is designed to develop high potential

managers to enable them to take on future leadership roles that will

arise as Carbery Group expands its international business.

The programme goals include:

• Provide participants with an in-depth understanding of the

Carbery business.

• Provide practical tools and techniques in key aspects of

management and leadership.

• Provide information on sustainability and Origin Green.

• Develop skills and capabilities in the areas of driving business

growth, strategy development, leadership, and financial

management.

Eighteen participants from our businesses in Brazil, China, Ireland,

Thailand, UK and USA complete the programme over a twelve

month period. The four modules of the programme rotate between

the Company locations and participants receive input from senior

leaders and experienced tutors.

People

Building a culture of safety

> Provide continuous learning that ensures

that employees are not simply “trained” but

evaluated to assure competency.

> Provide opportunities for employees to

engage and get involved in safety.

> Encourage employees to report hazards,

near misses and incidents.

> Listen and act on employee feedback.

> Empower employees to stop work if an

unsafe condition arises.

Place

Monitoring and measurement

> Layered inspection structure so all levels of

the Group are monitoring performance.

> Strong maintenance response to safety and

equipment issues.

> Require group leads, supervisors and

managers to enforce standards.

> Allocate resources to facility and equipment

improvements that reduce employee

exposure to hazards.

Policy

Written policies and communications

> Establish clear standards in accordance with

applicable regulatory requirements.

> Assign roles and responsibilities to assure

that safety is a shared value.

> Review and update written plans regularly

and obtain leadership team support.

> Communicate performance with clear,

meaningful KPIs.

We believe all accidents and injuries are preventable, and we are promoting a

culture where health and safety is an integral part of every business decision

across the Group. We are committed to leading industry practices and systems in

health and safety that focus on prevention of accidents and incidents as a priority.

We strive to continually improve our safety performance through implementation

of the right polices and initiatives to include:

Our focus is ensuring

the health and safety

of everyone involved in

our operations.

Health & Safety at Carbery


Responsible business partnerships

Sedex

Tens of thousands of companies use Sedex to

manage their performance around labour rights,

health & safety, the environment and business ethics.

Carbery is a member of Sedex, as part of which we

are obliged to carry out a Sedex Members Ethical

Trade Audit (SMETA).

This document clearly sets out our expectations with respect to upholding the

rights of workers. It explicitly prohibits the use of child or forced labour in any

activities connected with Carbery Group, and sets forth the detailed standards

we expect our supply partners to uphold. We adopt a targeted approach to

monitoring supplier compliance with this Code. Through the use of independent

risk evaluation tools and internal assessment, we have identified higher risk

suppliers, based on geographic location and/or the risk associated with the

product supplied to Carbery. For each of these suppliers, we seek further

engagement through SEDEX to help us assess their performance.

Our place within Ireland’s vision

Origin Green

Led by Bord Bia, Origin Green is a voluntary

programme that brings together Ireland’s food

industry. Launched in 2012, Origin Green is Ireland’s

food and drink sustainability programme. The vision

is simple; that through Origin Green, Irish food and

drink becomes the first choice globally because it is

sustainably produced by people who care. It helps

Ireland produce more food from less resources.

As a condition of membership, Carbery has adopted a sustainability charter

covering our manufacturing activities at Ballineen. Under this charter, we have

targeted reductions in key environmental areas. We also have responsible sourcing

commitments and stated goals with respect to health, nutrition and community

support, all of which are aligned with our Group-wide sustainability objectives.

We report our progress to Bord Bia on an annual basis and our report is subject to

independent verification as part of our continued membership

Launched in 2012,

Origin Green is Ireland’s

food and drink sustainability programme.


Spotlight on farmCarbery is 100% owned

by the four West Cork

Co-ops since 1992.

As a co-operative owned Group, we

pursue economic viability and social

responsibility in everything we do.

Carbery supplies grass fed, hormone free, sustainable premium

dairy ingredients to consumers across the globe every day.

All of the Carbery 1,220 local Irish dairy farms are committed to

supplying the best quality milk for our products. As a result, they

are all certified and regulated by the Department of Agriculture

to ensure this.

Bord Bia Sustainable Dairy

Assurance Scheme

Carbery is a leader and national

promoter of the Bord Bia Sustainable

Dairy Assurance Scheme (SDAS) for

food manufacturers. This farm level

assurance scheme sets out necessary

sustainability and quality assurance

criteria at individual farm level including

traceability, animal health, hygiene and

carbon assessments. SDAS certification

provides the necessary proof to Carbery’s

customers that our milk has been

produced under both sustainability and

quality assurance criteria. By the end

of 2017, we are proud to report that all

Carbery suppliers were compliant with

the scheme.

Animal Health Ireland

We work closely with Animal Health

Ireland to ensure effective control of

potential disease on farm. Our Co-op

and Farm Advisors run CellCheck

workshops with farmers to address

potential issues such as;

• Mastitis

• Practical approaches to drying off

• Dry cow therapy

• Establishing best practice

• Evaluating change

Through our CellCheck workshops in

conjunction with Teagasc our national

farm advisory body and our local Vets,

we aim to achieve low SCC (Somatic Cell

Count) <200,000 and ensure that the

highest quality milk is being produced

on farm.

Dairy Sustainability Ireland

The Agricultural Sustainability Support

and Advisory Programme was launched

nationally in December 2017. Carbery

are active participants through Dairy

Sustainability Ireland. As part of the

programme, we have a dedicated Dairy

Sustainability Advisor. Our advisor will

work with the Teagasc Sustainability

Advisor to help farmers to promote

best practice on farm, address soil

fertility and prevent on farm risks to

our water ways. Carbery have 30 pilot

farms as part of the initiative across

the four West cork Co-op’s.

Carbery Greener Dairy Farms™

In 2012 Carbery launched the Greener Dairy Farms™

an innovative, dairy efficiency programme designed

to measure, monitor and optimise resource allocation

and best practice on farm. This has allowed us to

measure in detail at an individual farm level:

1. Carbon Emissions

2. Water Footprint

3. Energy Footprint

4. Soil and Nutrient Management

Through farm walks, workshops and discussion groups,

participants were able to take valuable learnings from

the programme. Our farm sustainability research

programme is undertaken in collaboration with

Teagasc the national agricultural authority supporting

science-based innovation in the agri-food sector.

Sustainability comes to life through Carbery farmers• In 2017 Carbery launched a digital storytelling project around environmental sustainability with farmers in West Cork

• The farmers recorded their environmental sustainability experiences, entirely in their own words and without direction

• Stories can be found at www.carbery/digitalstorytelling

Environmental Diploma for Carbery farmers

Through the Carbery Greener Dairy Farmer (CGDF) program the farmers

involved have attained significant knowledge on aspects of sustainable

agriculture and sustainability in general. Over the past year, Carbery have

been collaborating with UCC to ensure that the Carbery Greener Dairy Farms

(CGDF) participants are officially recognised. Through the Retrospective Prior

Learning (RPL) mechanism the CGDF program now makes up 60% of an

existing Diploma in Environmental Science at UCC. Sixteen of the CGD farmers

are currently studying in UCC to complete their diploma in Environmental

Science and are due to be conferred in the autumn of 2018.

Over the period of the program there are

a number of farms where there has been

significant measurement with substantial

investment in monitoring equipment as

well as in data capture. Across the impact

categories, water use, energy use, nutrient

use efficiency, GHG emissions and financial

performance have been monitored and

modelled. Over the period 2012 to 2017

there has been significant progress on

all of these impact categories through

targeted investment at farm level on key

areas such as soil fertility, lime, genetics,

etc. Farm profitability has increased and

environmental footprint has reduced. This

overall process is evolutionary, changing

based on the requirements of the different

stakeholders, with a greater focus on labour

and animal welfare in the future.

2012 – Base Year 2013-2017

• Took soil samples and identified soil nutrient levels • Reduced carbon emissions

• Completed energy and water audits • Raised awareness on water use

• Measured inputs monthly • Increased profitability

• Completed profit monitors • Reduced energy use

• Measured carbon footprint • Educated on the importance of sustainable dairy production

• Biodiversity mapping • Provided expert advice via farm walks and meetings

• Communicated results and improvements to all suppliers

WHAT DID WE ACHIEVE?


CARBERY DAIRY VALUE

CHAIN

1. Production of feed In order to produce good quality milk, cows need to eat lots of grass to get the nutrition they require. Carbery cow’s eat up to 85 kilograms of grass a day, whereas an average person consumes 2.5 KG of cooked food per day! Grass contains beta-carotene and this is the reason why butter is yellow.

2. Milk productionThere are 101,897 cows on 1,220 farms across West Cork that supply milk to Carbery. On average one Carbery grass fed cow can produce about 5,000 kilograms of milk per year.

4. ProcessingAll of the milk collected from West Cork farms is processed in Ballineen to produce cheese, food ingredients and bioethanol. Each day the cheese produced can make 4 million sandwiches. Protein ingredients are key components of global infant and sports nutrition brands and almost 12 million litres of bioethanol is generated through the fermentation and distillation process.

3. Milk transport West Cork milk lorries travel over 3 million kilometres a year collecting milk and delivering it to the factory in Ballineen. That is equivalent to travelling around the world 74 times.

5. DistributionCarbery supplies cheese and ingredients to over 50

countries across the globe. This include many varieties of cheeses, a wide array of flavours, extracts,

essences and whey protein concentrates, isolate and hydrolysates. Carbery’s ingredients are used

in many different food and beverage products from sauces, biscuits and chocolates to

sports foods and infant formula.

6. Retail60% of Carbery cheese goes to retail which is over 10,000 outlets worldwide. The balance goes to the B to B sector, the prepared food sector and food service.

7. ConsumerAt Carbery our vision is around enriching

lives; creating great tasting, healthy food experiences enjoyed by people everywhere.

Carbery has an extensive range of whey protein ingredients that are used in nutritional

applications across the globe. Whey protein is a complete high-quality protein, containing all of the

essential amino acids. It is highly digestible, making it one of the best dietary sources of protein available. The

Carbery Cheese Team have significant experience in developing high quality reduced fat and low fat cheese

products. Additionally Cheese contains a host of nutrients like calcium, protein, phosphorus, zinc, vitamin A and vitamin B12.

The bioeconomy and what it means to Carbery

Carbery dairy value chainQuality and sustainability from feed to f inal product

By 2040 our food system

will look very different from

what it is today. Technology

and social practices will

have changed the way we

produce and process our

food, as well as how we shop.

Even what we eat will be different. We need

to create sustainable, diversified, inclusive

and resilient processes that can cope with

the complex social and ecological effects of

increased urbanisation, population growth,

changing demographics, climate change

and resource scarcity: our whole food

system needs innovation. The bioeconomy

will play a critical role in this evolution.

The bioeconomy involves the production

of renewable biological resources

and their conversion into food, feed,

bio-based products and bio-energy.

It includes agriculture, forestry, fisheries,

food and pulp and paper production, as

well as parts of the energy industries.

Europe is setting course for a resource-

efficient and sustainable economy.

The goal is a more innovative and low-

emissions economy, reconciling demands

for sustainable agriculture and fisheries,

food security, and the sustainable use

of renewable biological resources for

industrial purposes, while ensuring

biodiversity and environmental protection.

Development of the bioeconomy is also

consistent with Carbery’s low carbon

transition objective. Favouring renewable

biological resources over fossil fuel-based

ones through the expansion of the

bioeconomy, whilst keeping sustainability

concerns to the fore, has the potential

to contribute towards meeting Ireland’s

climate change targets. As the bioeconomy

has the potential to grow rural and

regional businesses and jobs, it is a useful

instrument to embed pro-environmental

actions throughout West Cork.

This is why Carbery joined the Biobased

Industries Consortium (BIC) in 2017. BIC

represents the private sector in a public-

private partnership (PPP) with the EU

represented by the European Commission,

known as the Bio-based Industries

Joint Undertaking (BBI JU). The BBI JU

is an instrument to support industrial

research and innovation and encourages

partnership with the private sector to fund

and bring together the resources needed

to address the challenges involved in

commercialising major society-changing

new technologies. BIC members cover the

entire bio-based value chain and consist of

large industries, small and medium-sized

enterprises (SMEs) and regional clusters.

BIC’s vision is to accelerate the innovation

and market uptake of bio-based products

and to position Europe as a world-leading,

competitive bio-based economy and

Carbery is already an active participant

within this consortium.


Spotlight on Synergy

Synergy support the

‘Angel Tree’ initiative

The Salvation Army’s Angel Tree program provides new clothing or

toys for children of families in need through the support of donors.

Last Christmas, Synergy in Ohio supported the Angel Tree program by

decorating their Christmas tree with numbered paper angel tags with

the first name, age and gender of a child in need of presents. Synergy

employees removed one or more tags from the tree and purchased

appropriate gifts for the child or children described on the tags.

In total over 52 children were supported by Synergy.

This initiative is a way for the company to give back to

the underserved community of growers and processors

who have been at the heart of Synergy’s success for

decades. Synergy once again worked with the Madagascar

Development Fund (MDF) to build the two schools.

The schools were built to replace two others that were

destroyed by Cyclone Enowa early in 2017, a cyclone that

destroyed much of the region’s infrastructure.

Madagascar has a historically challenged economy, where

more than 80 per cent of the population has an income of

less than one dollar per day, according to MDF. Antohomaro

and Farahalana are located in the SAVA region, which

produces nearly 80 percent of the world’s vanilla beans.

As a major producer of vanilla extracts and flavors, Synergy

chose to invest in the future of a region that has provided so

much to the flavor and ingredient industry.

Synergy builds two new

schools in Madagascar

During 2017, Synergy, continued its

commitment to education in Madagascar

with the completion of two new primary

schools in Antohomaro and Farahalana.

The two facilities mark the second pair of

schools Synergy has funded in Madagascar.


Nutrition and Health

Whey protein is a complete high-quality

protein, containing all of the essential

amino acids. It is highly digestible, making

it one of the best dietary sources of

protein available.

Carbery has an extensive range of whey

protein ingredients that are used in

nutritional applications across the globe.

Optipep® whey protein hydrolysates

are easily digested and are used in baby

milks for infants that find regular formula

difficult to digest.

In sports nutrition they are used due to

their high biological value and enhanced

absorption and digestibility. We are

dedicated to advancing scientific research,

and focused on maximising the nutritional

and functional benefits of whey protein for

all life stages.

Cheese contains a host of nutrients like

calcium, protein, phosphorus, zinc, vitamin

A and vitamin B12.

The Carbery Cheese Team have significant

experience in developing high quality

reduced fat and low fat cheese products.

These products are of very high quality

and endeavour to allow consumers enjoy

a good tasting product while at the same

time delivering lower fat and a reduced

calorie count. Our cheese products are all-

natural made on West Cork grass fed milk.

Our innovation pipeline is focused

around the health benefits of protein and

cheese as they relate to metabolic health,

muscle and bone health, immunity

and inflammation.

At Carbery our vision is around enriching lives;

creating great tasting, healthy food experiences

enjoyed by people everywhere.

�ARBERY SUSTAINABILITY REPORT 2017 23�ARBERY SUSTAINABILITY REPORT 2017 22

We believe in growing responsiblyCarbery’s pathway to responsible growth

C02

Grass fed

Cow care

Soil sampling

Milk qualityEnergy

efficiency

Carbonemissions

Carbery Greener Dairy Farm

Farm safety

Record keeping

Financial care

Fertiliserplanning

Biodiversity

Water quality

ARBERY SUSTAINABILITY REPORT 2017 25ARBERY SUSTAINABILITY REPORT 2017 24

A new horizonOpportunities and future focus

Environment obligations

and wider sustainability

commitments are key

priorities for Ireland’s

food sector.

Demand for food has changed and

consumers now wish for their food to be

produced in a sustainable environment.

For many the primary consideration is

addressing climate change; for others it

is about ethical procurement; for many

more it is about social sustainability.

The only difference is the priority that

consumers place on these differing

aspects of sustainability. More and more,

people want to know where their products

come from and how they’re made – and

consumers increasingly need to feel

confident they’re not buying brands that

conflict with their values.

The issue of sustainability and increasing

environmental costs has the potential

to undermine the growth potential of

our industry. For the food processing

sector, the Emissions Trading Scheme

(ETS) stands as a clear example of how

measures can rapidly become significant

costs on operations and how the wider

part of sustainability needs to be

addressed. The burning of fossil fuels in

processing, refrigeration and transport are

primary emitters of CO2 and as the cost

of carbon heads for the €30/tonne mark,

so too does the financial cost to industry.

Irish agriculture is now challenged with a

legal obligation to reduce Green House

Gas (GHG) emissions by 20% by 2020.

The primary objective for Carbery and

its farmers is to turn this challenge into

opportunity by implementing greater

efficiencies leading to cost reductions,

while enabling sustainable production

growth. Carbery Group is ready for the

challenge, and as an organisation has a

track record of adoption, evolvement and

ultimate endurance. It is essential for the

group to keep learning and developing

to enable us to adapt to the changes

around us and to satisfy the ever stricter

demands of consumers, customers

and authorities.

As a leading food and ingredients

company with a global reach we believe

that with the exceptional team of

people we employ and with the right

sustainability strategy we have an

enormous opportunity to help drive

positive change and make Carbery

synonymous with sustainable production.


Our journey of sustainable progress

www.carbery.com

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