Our vision is to contribute to food culture and society through great taste and excitement. This means that, as well as achieving sustainable business growth for our own corporate group, we aim to contribute toward a more sustainable world. To that end, we must procure raw materials, parts, and products that are safe and kind to the environment and society, based on trusting relationships with business partners and other parties in our supply chain and a spirit of mutual prosperity. This policy is designed to achieve this goal. Please read and agree to abide by this policy.

1. Securing safe, reliable food

In their procurement activities, companies are expected to place utmost importance on securing safe, reliable food in accordance with our Food Safety and Quality Policy.

1. 1.1 Compliance with Laws and Regulations
   Companies are expected to comply with the Food Safety Act, food safety standards established by Prima Meat Packers Group, and all other relevant laws and regulations.
2. 1.2 Ensuring quality and safety in products and services
   Companies are expected to qualify and ensure safety when supplying products and services.
3. 1.3 Appropriate response to product and service accidents and the circulation of defective goods
   Companies should establish a system for dealing with such incidents. The system should include processes for information disclosure, notification of the relevant authorities, product recall, and safety measures for supply destinations.

2. Concern for the environment across our supply chain

In their procurement activities, companies should endeavor to minimize the carbon footprint across their supply chain, contribute to a circular economy, and contribute to a society that co-exists with nature, in accordance with the code of conduct in the Prima Meat Packers Group Environmental Policy.

1. 2.1 Reduction of greenhouse gases (GHGs)
   To counter climate change and prevent global warming, companies are expected to set independent reduction targets for greenhouse gases, such as carbon dioxide, methane and fluorocarbons, and make efforts to reduce them to help combat climate change.
2. 2.2 Sustainable and efficient utilization of resources (energy, water, raw materials, etc.)
   Companies are expected to set independent targets for implementing resource conservation and energy savings, and to make efforts to effectively use sustainable resources and energies.
3. Identification, management, reduction, and responsible disposal or recycling of waste
   Companies are expected to set independent reduction targets for waste, and make efforts to reduce it.
4. 2.4 Reducing carbon footprint in the delivery and procurement of products
   Companies are expected to work to reduce our carbon footprint in delivering products and to be mindful of carbon footprint when procuring products and services.
5. 2.5 Initiatives related to biodiversity
   Companies are expected to conduct investigations into the direct and indirect impacts of their business activities on the ecosystem, and make efforts to protect biodiversity and ensure its sustainable utilization.
6. 2.6 Control and reduction of waste water, sludge and air emissions
   Companies are expected to set targets at the level prescribed by law or more rigorous voluntary environmental impact reduction targets. In addition, efforts should be made to prevent pollution, to monitor and control waste water, sludge and air emissions etc., and to reduce outflow.
7. 2.7 Harmonious coexistence with local communities
   Companies are expected to contribute to the local community and residents and collaborate towards sustainable development.

3. Collaborating with business partners

Companies are expected to inform their internal and external stakeholders about the need to ensure sustainable procurement both by the company itself and by its supply chain partners, so that they fulfill their corporate social responsibility in developing products and services.

4. Addressing animal welfare

Companies are expected to work to safeguard the Five Freedoms (five aspects of animal welfare for animals under human control) defined by the World Organization for Animal Health (OIE).

5. Respect for internationally recognized human rights

In their procurement activities, companies are expected, in accordance with the Prima Meat Packers Group Human Rights Policy, to respect and observe international standards and attitudes on human rights and try to rid their supply chain of discrimination, unfair labor practices, and workplace bullying and discrimination. If it comes to light that their business operations are causing or abetting human rights violations, companies are expected to deal with the matter swiftly and appropriately to fulfill their responsibility regarding human rights.

1. 5.1 Respect for human rights and prohibition of discrimination
   
   • Companies should respect human rights and never discriminate against anyone in employment, treatment, training, or career opportunities, or otherwise treat the person inhumanely, based on race, nationality, gender, sexual orientation, age, ancestry, religion, ethnicity, or immigration, etc., or against children, senior citizens, persons with disabilities, indigenous populations, the poor, or persons with HIV/AIDS, etc. Companies should prohibit forced labor and child labor.
   • We will pay a fair wage and provide fair hours, rest periods, and paid holidays.
   • Companies are expected to respect for the religious traditions and customs of the country of operation.
   • Companies are expected to recognize and respect the right of employees to unionize and engage in collective bargaining, and to provide opportunities for dialogue between management and workers.
2. 5.2 Avoidance of complicity in or contribution to human rights abuses
   Companies should ensure that the company's decision-making, business activities, and products and services do not lead to complicity in (or contributions to) human rights abuses of consumers or members of the local community.
3. 5.3 Proper management of employee safety and health
   Companies should take steps so that the risk of accidents occurring during work and the risks of harmful chemical substances, noise, and odors on the human body are understood and that appropriate safety measures, etc., are taken. In addition, measures that give consideration to employees' mental health should also be taken.

6. Complying with laws and societal norms, ensuring proper and equitable trade

Companies are expected to observe laws and societal norms in all their domestic and international transactions to ensure that their trading practices are proper and equitable. Companies are expected to safeguard confidential business information that we learn in the course of our procurement activities.

1. 6.1 Establishment of internal controls
   In order to ensure the establishment of an organizational structure for sound corporate management, it is expected that management systems and schemes are in place within the company to ensure effectiveness and efficiency of operations as a company, reliability of financial reporting, compliance with laws and regulations related to business activities, and asset protection.
2. 6.2 Establishment of a whistle-blower system
   It is expected that a system is in place for employees who have learned of a compliance problem in the company's business activities in general, such as a legal violation or wrongful act or an act that could be a compliance problem, or for employees who themselves have suffered human rights or labor abuses to directly report to or consult with a dedicated department or outside contact. It is also expected that the system is set up to ensure confidentiality and that the whistleblower will not be treated unfavorably.
3. 6.3 Fair business practices
   Companies are expected to engage in fair business practices (e.g., prevention of corruption, responsible political involvement, fair competition, rejection of relationships with antisocial forces/ organizations) in business processes producing/providing products and services.
4. 6.4 Information security
   
   • Defensive measures should be taken against attacks on computer networks, and managed so as to not cause damage to the company or other businesses.
   • The personal information of customers, third parties, and employees should be properly managed and protected.
   • The confidential information of customers and third parties should be properly managed and protected.

Prima Meat Packers, Ltd.
Formulated on 26 April, 2024