sustainable supply chains - agrifirm.com

IN COOPERATION WITHSUSTAINABLE SUPPLY CHAINS

link to success

2014 CorPorATE SUSTAINABILITY rEPorT

3Agrifirm 2014 Corporate Sustainability Report 2

Facts and Figures

> Cooperative with about 17,000 members.

> Executive Board: 3 members.

> Managed by a Supervisory Board: 8 members.

> Net revenue € 2,359 million.

> Operating result (exclusive of exceptional charges) € 26.9 million.

> Net profit € 3.1 million.

> Number of employees: 3,328

> Number of FTEs: 2,999

Sales volume (x 1.000 tonnes) 2014

Compound feeds 4,248

Co-products 2,371

Premixes & concentrates 461

Cereals, potatoes, onions and carrots 612

Fertilisers 430

Organic fertilisers 537

Crop protection products (€ millions) 131.7

2014 Corporate Sustainability Report

The Corporate Sustainability Report is published annually and concerns all companies within

the Agrifirm Group, unless indicated otherwise for specific components. The previous report

was published in May 2014.

The guideline used in preparing the report is the Global Reporting Initiative (GRI), the

international guideline for sustainability reporting. This report was prepared in accordance

with the GRI G4 Guideline. The GRI Table with references to all reported information is available

on our website www.agrifirm.com under the header ‘Corporate Social Responsibility’.

For additional information about Agrifirm’s sustainability policy, please contact Ruud Tijssens,

Director Corporate Affairs, Strategic R&D and CSR, [email protected], or at +31 (0)88 488 29 00.

Reading referenceIn this Corporate Sustainability Report, Agrifirm reports on its sustainability policy and the

accomplishments realised in this domain in 2014.

Section 1 sets out Agrifirm’s mission, business principles and ambitions. It provides an overview

of the main events within Agrifirm Group in 2014.

Section 2 describes the stricter sustainability policy, including an explanation of the six pillars

and consultation of stakeholders relating to the policy.

Sections 3 through 8 focus on the objectives and key performance on the six sustainability

policy pillars. For each pillar, a responsible Agrifirm officer or external partner explains about an

example with high sustainability impact.

The Appendices list Agrifirm’s KPIs relating to the organisation, the environment, employee

benefits and human rights. We also added a separate Appendix relating to sustainability labels

with more background information about the calculation of the labels.

52014 Corporate Sustainability Report 4 Agrifirm

PrEfACE

Over one hundred trucks drove through the Netherlands in 2014

printed with pictures of, among others, a farm-fresh egg, cheerful

flowers, healthy fruit and juicy pork. All products and dishes in which

our livestock farmers and growers play a major role. You must have

encountered a few of these on your way.

Agrifirm used the campaign ‘In Cooperation With’ to show our pride

in the livestock farmers and growers who create the most wonderful

quality products on a daily basis. Products enjoyed by millions of

people both in the Netherlands and abroad on a daily basis. The

Dutch agriculture and horticulture is an industry to be proud of.

It is also a dynamic sector that is sometimes the subject of social

debate, for example relating to animal welfare, origin of raw materials,

environmental footprint or the application of crop protection agents.

Themes that Agrifirm is committed to, also in the next few years.

Agrifirm is dedicated to future-proof and profitable agriculture and

horticulture, able to provide the growing world population with

sufficient, healthy food in a sustainable manner. We are actively

working on that with our members and customers. We want to

increase profits on the farm yard with lower input. In the past few

years, we introduced a range of new concepts in this context: precision

fertilisation in arable farming, Line-up in poultry farming, Roughage

Total in cattle farming and Robustior in pig farms. In the past few

years, we have gained more clarity about exactly where Agrifirm can

make the difference in the chain. We used this in 2014 to increase the

level of our sustainability policy with six pillars and specific targets.

The six pillars symbolise all chain links where we can be impactful. We

aim to realise both sustainability impact in the chain and on the farm

yard. Naturally, we are equally sharp about opportunities in our own

organisation.

In 2014, Agrifirm has also refocused its business strategy on four

core activities: compound feed, arable farming and horticulture, co-

products and specialties. The recalibration of the strategy required

multiple adjustments to be made to the Agrifirm organisation,

enabling us to grow in our core activities from 2015 onwards.

However, the adjustments resulted in a one-off € 3.1 million decrease

in the net profit.

On balance, the number of members decreased by 500 in 2014, down

to 17,000. Agrifirm is frequently updating its member and customer

base. Non-active members are approached and requested to

terminate membership. This involved approximately 1,400 members

in 2014. We recruit new members among existing customers of

Agrifirm Plant and Agrifirm Feed who are not yet a member. In 2014,

we gained 900 new members by making such customers aware of the

benefits of membership.

We are proud of our members and customers. After all, it was a

challenging year for the Dutch agricultural sector, with problems

such as bird flu and Russia’s boycott of European food and dairy

products. The key task of our organisation is unchanged: to

create sustainable value for our members. I am convinced that

we reinforce our market position by giving sustainability a central

place in our business. For example by offering sustainable products

and concepts for our customers; having expert and motivated

employees; and buying sustainable raw materials. In 2014, we were

the most favourite employer of the agricultural sector and we would

like to keep it that way.

Our sustainability policy was one factor allowing our members and

customers, and Agrifirm, to make an impact on the farm yard. Also

in 2015, the six pillars of our higher-level CSR policy are a good basis

for establishing a connection between Agrifirm with the dynamic,

quickly changing environment in which we and our customers

are operating. This is why we continue to focus on developing

sustainable products and creating profit for our members. That

is how Agrifirm contributes to a future-proof, sustainable and

profitable agricultural sector.

Ton Loman

Chairman of the Executive Board Agrifirm Group


TABLE of CoNTENTS

Preface 4

Highlights 6

Table of contents 7

1. Agrifirm a link to success 8

2. Six pillars for more impact 13

3. Working on sustainable raw materials 19

4. Efficient production and logistics 22

5. Efficient use of raw materials 26

6. Healty plants, soil and animals for healty people 32

7. Contributing to a sustainable consumer supply 36

8. The Basis for Success 38

Colophon 42

Appendix 44

HIgHLIgHTS

Sustainable raw materialsSustainable production starts with the production and

procurement of sustainable raw materials. Agrifirm and

Wageningen UR are actively investing in Dutch soy crops.

In 2014 some 35 farmers grew a total of 110 hectares of

Dutch-grown soy. In order to secure sustainable soy crop

cultivation, Agrifirm is cooperating with the Dutch and European animal

feed industry to ensure 100 percent responsible soy.

“Agrifirm is really sticking out its neck by being one of the few

parties investing in research into European soy crops.”

Chris de Visser, business developer Wageningen UR

Sustainable consumer rangeAgrifirm is collaborating with chain partners to

develop and market sustainable concepts. In the

project ‘Brewing Barley from Sustainable Cultivation in

the Netherlands’, Agrifirm Plant, Heineken Netherlands

and Holland Malt collaborate in developing a

sustainable brewing barley.

“This project is a fine example of successful chain development

that also supports the transition towards sustainable

agriculture.”

Jan Kempers, manager Sustainable Development, Heineken Nederland BV

Efficient use of raw materialsAgrifirm invests in product innovations that help our

members and customers to achieve higher production

with less input. This benefits the environment and the

entrepreneur’s wallet.

“’Smart feeding’ or ‘precision feeding’ means that each animal

receives optimal feed rations, saving on raw materials.’

Albert van den Belt, director Agrifirm Innovation Centre

Healthy plants, soil and animals for healthy peopleAgrifirm develops products and services that reinforce

the natural resistance of plants, animals and soil.

“Together with our partner BioMygreen, we marketed Mycorrhiza

moulds in 2014 for a number of new crops, such as onions, flower

bulbs and tree crops, and also for public landscaping.”

Aaldrik Venhuizen, manager Research & Development Agrifirm Plant

Our employees: the foundation for successAgrifirm creates a stimulating environment for its

employees and invests in sound employee benefits,

training opportunities and career development. In

2014, Agrifirm was the most favourite employer in the

agricultural sector according to students.

“I think it is important that our staff can say: ‘I can make a

national or an international career at Agrifirm within its group

of companies’.”

Emiel Berg, director HR Agrifirm

Efficient production and logisticsAgrifirm aims for structural decrease of energy use

based on efficient processing of raw materials and

smart logistics. With Business Excellence projects,

Agrifirm encourages improvement of the energy

efficiency of product locations.

“In 2014, our product efficiency improved by eight percent and our

energy efficiency by twelve percent.”

Alexander Drees, managing director Agrifirm Magyarország

Sustainable Raw Materials

Efficient Use of Raw Materials

Efficient Production

and Logistics

Healthy Plants, Soil and Animals

for Healthy People

Sustainable Consumer

Range

Our Employees: the Foundation

for Success


1. AgrIfIrm, A LINk To SUCCESS

Koninklijke Coöperatie Agrifirm U.A. is a market leader in the Netherlands and is globally engaged in the

production and supply of products and services for feeding animals and cultivating crops. Its cooperative

origin has been translated into benefits for its members and customers since 1892. On the basis of the

breadth of its international activities, sector knowledge and innovative strength, Agrifirm develops innovative

products and services that yield benefits at the farm level to livestock farmers and growers alike.

Working TogetherAgricultural farmers are of vital importance to society and of crucial

importance to the world food supply. Enterprising livestock farmers

and growers are aware of this and have been anticipating social

trends for years. Farmers and market gardeners established the

first cooperatives well before 1900. Together they acquired greater

strength, for example in the purchase and sale of products. The role

of the cooperatives has grown along with the trends in the market

and in society. The interests of Agrifirm’s members are leading in this

respect.

Mission Agrifirm is an agricultural cooperative that operates globally, with

members in the Netherlands only, and with the following mission:

“Generating sustainable value for its members.”

Agrifirm accomplishes this by:

> Supporting customers by providing sustainable and profitable

products and concepts that enable livestock farmers and growers

to achieve the best possible results.

> Creating growth in value for the company that is partially passed

on to the cooperative’s members through means of a cooperative

profit-sharing scheme (Members Dividend and Members

Discount).

The Agrifirm Group creates value for members, customers, companies

and employees through means of various subsidiaries and

participating interests in the Netherlands and abroad. This creates an

opportunity for distributing profits to members.

Operating Principles Agrifirm is first and foremost a committed specialist for livestock

farmers and growers, which supports its customers with innovative

products, concepts and services, thus enabling them to achieve the

best possible results. To achieve this, Agrifirm acts in accordance with

AmbitionAgrifirm wants to further strengthen its leadership position on the

Dutch market in terms of sales and perception by being a front runner

in terms of knowledge and innovation, and through customer-

oriented consulting services. The enterprise wants to expand its

market share within the core area of the Netherlands, as well as

beyond, through organic growth and profitable acquisitions. To realise

this ambition, Agrifirm works with well-trained employees who are

sincerely interested in their customers.

Agrifirm operates in four core areas: compound feed, arable farming

and horticulture, co-products and specialties. A professional

knowledge & innovation cluster serves as the engine for knowledge

development and product innovation. In addition, Agrifirm is active

with a number of service companies and participating interests.

Passion for our profession

If there is one aspect that connects Agrifirm with customers, it would be the passion we have

for our profession. Furthermore, Agrifirm is proud of the companies in the agricultural sectors.

Agrifirm’s employees stand out on the basis of their professional knowledge and their high

level of commitment to livestock farming and cultivation tradesmanship, and enjoy going the

extra mile in order to achieve the best possible service and results for their customers.

Always staying on top of things

Successful enterprise requires continuous alertness for new developments, opportunities,

quality, revenues and costs. This applies to livestock farmers and growers, and likewise to

Agrifirm. This is why the principle, always staying on top of things, applies.

Working towards tomorrow

Agricultural entrepreneurs not only consider the present, but, even more important, the future

as well, often across many generations. This requires vision, knowledge and expertise Agrifirm

also looks ahead and, together with customers and chain partners, works on innovative and

sustainable solutions that enable customers to operate successfully ‘tomorrow’ as well.

Always staying

on top of things

Working towards

tomorrow

Passion for our

profession

three leading operating principles. These principles guide Agrifirm

in everything it does and ensure that there is an optimal connection

with the requirements and needs of livestock farmers and growers.


Organisational chart

Districts

Council ofmembersYouth Council

Cooperative boardRoyal Cooperative

Agrifirm U.A.=

=

Supervisory boardAgrifirm Group BV

Shareholdersmeeting Agrifirm

Group BV

Knowledge & Innovation ClusterAIC, NutriControl, Agrifirm Exlan, Schothorst*

Agrifirm Group BV

AgricultureCompound Feed Co-products Specialities

Agrifirm Feed The Netherlands

BV Oldambt

Agrifirm Belgium

Agrifirm Feed Deutschland

Agrifirm Magyarország

Agrifirm Polska

Sto Posto*

*minority interest

Agrifirm Plant The Netherlands

Agrifirm PlantDeutschland

Agrifirm Co-products

(Bonda)

Nuscience Group

Agrimec (51%)

Agrifirm Winkel BV

Agri Retail

Plukon

Services Participations

=

=

Members of Royal Cooperative Agrifirm U.A.

Royal Agrifirm Group

Agrifirm comprises six divisions: > Compound Feed Division: production and sale of animal feeds

and artificially dried fodder legumes and straw products;

consultancy and research.

> Arable Farming and Horticulture Division: production and sale

of sowing seeds, fertilisers, crop protection products; sale of

cereals, onions and carrots; consultancy and research.

> Co-products Division: processing of high-quality by-products

from the food industry into (raw materials for) animal feeds.

> Specialties Division: production of premixes, mineral mixes, pro

tein-rich raw materials and nutritional concepts for animal feed.

> Service Companies Division: agricultural mechanisation; sale of

agricultural consumer products.

> Participating Interests Division: minority interests in Plukon.

Knowledge & Innovation ClusterThe Agrifirm Exlan consulting firm, together with the Agrifirm

Innovation Centre and the NutriControl laboratory, forms part of the

newly formed knowledge and innovation cluster. A combination that

guarantees research and development of innovative products and

concepts offering advantages to livestock farmers and growers.

Members and Young People’s Days In 2014 Agrifirm once again organised the Agrifirm Members’ Days,

as members are the most important stakeholders of our Cooperative.

Spread over 10 locations, Agrifirm spoke with 1,600 members about

the 2013 results and 2014 strategy. Visitors were offered workshops

on a broad range of subjects, including social media, cattle feed and

precision growing methods.

Agrifirm organised the fifth consecutive Young People’s Day for young

agricultural farmers on 8 January 2014. Almost 550 young entrepreneurs

visited the Agrifirm Young People’s Day with the theme ‘Business

Succession’. Speakers and visitors discussed the importance of a clear

strategy and adequate communication when transferring a company.

Partnerships and AcquisitionsAgrifirm’s business strategy was further specified in concrete detail

during 2014. This has resulted in a re-stated vision entitled: ‘Focus

and Acceleration’. The core of the strategy is a further focus on core

activities and an acceleration of various improvement processes.

In 2014, this resulted, among other things, in the sale of the

minority share in Holland Malt, a malting plant, to Bavaria, and the

acquisition of all shares in AgriRetail, which is now a full subsidiary

of Agrifirm.

Sector CouncilsThe Sector Councils for Dairy Farming, Pig Farming, Poultry Farming,

Broiler Farming and Arable Farming have an advisory role to the

executive boards of the Agrifirm Plant and Agrifirm Feed companies. In

2014, each Sector Council met a minimum of two times. Agrifirm Feed

also has a biology sounding board.

Campaign ‘In cooperation with’The Dutch livestock farming, arable farming and horticulture sectors

are globally leading in terms of productivity, efficiency and certainly

also sustainability. Agrifirm feels that farmers and growers should be

proud on the wonderful products they make. To share these with a

broad audience, we developed the campaign ‘In cooperation with’ in

2014. Glossy pictures of eight different finished products of Agrifirm’s

members and customers were in the spotlight of this campaign,

driving through the Netherlands on the full length of 100 bulk trucks.

On the internet, the story behind these products came to life in eight

transparent videos. Also, features and advertisements were printed in

journals such as Nieuwe Oogst, the Agri-Food special of De Telegraaf and

some regional dailies. Both customers and stakeholders responded very

well to the campaign. This way, Agrifirm contributes to a positive image

of the agricultural sector and a better connection between farmers,

growers and the consumer. In 2015, the campaign will be continued

with, among other things, more trailers depicting the products of our

members and customers.

Agrifirm 2014 Corporate Sustainability Report 12

Sustainability Labels for Feed Concepts and ProductsIn 2014, Agrifirm was the first animal feed company to develop

sustainability labels for feed concepts and products. The sustainability

labels offer both members and customers specific information on

sustainability performance of our feed concepts and products for cattle,

poultry and pigs. This gives our members and customers insight into

the impact they can realise with the feed concept or product, and

assists them in producing feed in a profitable and sustainable way.

Five labels

Agrifirm Feed NL introduces five sustainability themes, labelling a

number of existing and new products and concepts: mineral efficiency,

animal health, climate, recycling and more sustainable raw materials.

From research conducted by HAS University of Applied Sciences in Den

Bosch and from sector interaction, it is clear that livestock farmers would

like to receive more information about these themes. Furthermore, the

selected themes are consistent with Agrifirm’s sustainability strategy.

The five sustainability themes each have their own icon. A feed concept

or product can have one or more sustainability labels.

Together with Blonk Consultants, an environmental consultancy

firm, Agrifirm developed a method for calculating the underlying

sustainability indicators for the sustainability labels in 2014 (see

Appendix 3). Also, the sustainability labels for a number of existing feed

concepts and products were calculated. In 2015, Agrifirm calculates the

sustainability performance for more new and existing products and

feed concepts.

The world population is forecast to grow to 9 billion people by 2050.

The increasing prosperity levels come with more food consumption,

raising the pressure on limited raw materials, water and nature.

Agriculture is faced with the challenge of producing food in an

efficient and sustainable way.

Re-stated Sustainability PolicyThis challenge is the core of Agrifirm’s policy on corporate social

responsibility. As a supplier to the agricultural sector, Agrifirm is at

the cradle of efficient and sustainable food production. In order to

continue successful operations and to realise even more impact,

Agrifirm re-stated its sustainability policy in 2014 based on six pillars

and specific objectives. The six pillars reflect the places in the chain

where Agrifirm can make an impact: from growing raw materials to

food on your plate. With this re-stated focus, Agrifirm contributes

to innovations, both in the chain and on the farm yard. This way,

Agrifirm develops commercial opportunities for new products and

services that contribute to a sustainable food supply. The re-stated

sustainability policy has become effective in 2015.

2. SIx PILLArS for morE ImPACT

Agrifirm’s corporate social responsibility policy derives from its ‘Working towards Tomorrow’ operating

principle. The core of our approach is to connect Agrifirm with the environment in which the company

and our customers operate. Six pillars form the foundation for sustainability in Agrifirm’s daily business.

13

Working on Sustainable Raw Materials By 2020, all major commodities, including wheat, corn and soy, are part

of Agrifirm’s sustainable buying policy. The specific risks of producing

all these commodities are charted for a certain region with the actions

Agrifirm is taking in that context. We also make organic fertilisers and

compost widely available to growers.

Agrifirm processes residual flows from

foodstuffs and bio-based industries into

high-end animal feeds. Together with

suppliers, Agrifirm is working on sustainable

and responsible cultivation and use of raw

materials.

Efficient Production and Logistics Agrifirm aims for a structural decrease in energy consumption By 2025,

Agrifirm has improved its energy efficiency by 15 percent compared

to 2015. We aim to also improve energy efficiency by 15 percent in

all production sites. Furthermore, we make binding agreements with

our carriers on reducing energy consumption and emissions due to

transport.

Agrifirm aims for a structural reduction of

energy consumption based on efficient

processing of raw materials and smart

logistics.

Goals on Six Pillars

For each of the six pillars of the sustainability policy, Agrifirm defined strategic goals. Realising these goals is an integral part of the

company’s commercial and development focus.

Sustainable Raw Materials

Efficient Production

and Logistics


Efficient Use of Raw Materials By 2025, Agrifirm will have developed sustainable agricultural practices.

These assist our members and customers in reducing the environmental

footprint of animal and arable production by 15 percent compared to

2015.

Agrifirm is investing in product innovations

to help our members realise higher

production based on lower input.

Healthy Plants, Soil and Animals for Healthy PeopleBy 2025, Agrifirm has developed sustainable agricultural practices,

ensuring a central role for natural crop protection, including the use of

20 percent green crop protection agents. Reinforcing natural resistance

of animals will reduce the use of veterinary drugs by our members and

customers by 20 to 30 percent compared to 2015.

Agrifirm develops products and services

improving the natural resistance of plants,

soil and animals.

Contributing to a Sustainable Consumer Supply By 2025, Agrifirm is the main partner for chain parties in developing and

testing new chain concepts.

Agrifirm cooperates with chain partners

to develop and market sustainable

concepts for consumers.

Our Employees: the Foundation for SuccessBy 2020, Agrifirm is the most favourite employer of the agricultural sector. Agrifirm creates a stimulating environment for

its employees and invests in excellent employee

benefits and training and career opportunities.

Sustainable Innovations

“We are operating in a dynamic and rapidly changing environment. Developing sustainable and

innovative solutions will ensure growth and continuity in both farms and Agrifirm. We operate in a

highly competitive market. This is why sustainable solutions must be based on long-term financial

profitability. In the past few years, we have zoomed in on where Agrifirm can make the difference in

the chain. We reflected that in the six pillars of our sustainability policy.”

In this report we highlight our vision, objectives and accomplishments in 2014

for each pillar in the following sections.

Realistic objectives“In the past five years, we set out Agrifirm’s sustainability performance.

This helped us determine the strategic goals, which are also realistic.

For example, we now know that the CO2 emissions of a new feed

concept are 2 to 3 percent lower on average, up to 4 to 5 percent

in some concepts. The numbers also give us an insight in what we

can influence and measure, the annual variations and the significant

indicators. The average CO2 emission of raw materials proved

unreliable as a performance indicator. The price is the main factor

in the origin of the raw materials. This results in substantial annual

variations in CO2 emissions. This is why we are currently developing a

rolling average indicator. This allows for calculating the average feed

composition over the past five years, which also gives the average

origin of the feed. Determining this rolling average on an annual basis

cushions the variation, thus revealing the structural improvements in

the CO2 emissions more clearly.

Integral partThis learning process was vital to Agrifirm employees in realising that

a good result on the farm yard can coincide with a positive impact on

sustainability. I am proud to see that sustainability is now an integral

part of assessing innovations. I have seen a true transformation

compared to a few years ago, both within Agrifirm and in the

agricultural sector. We have already achieved serious results in 2014

in terms of developing sustainability labels and buying responsible

soy. Our stakeholders are positive about Agrifirm’s structural focus on

sustainability. In the middle of the complex playing field of agricultural

commodities, we are working on sustainability. In some instances, we

really have had to invent the wheel. As a result, we should not be

afraid to conclude at times that we should change direction. As long

as we keep our goal in sight: increasing profits on the farm yard with

lower input.

OperationalisationHaving determined the strategic goals, we are working on translating

these into operational objectives based on clear performance

indicators. For example, we are going to further specify the EEI, the

Energy Efficiency Index for our plants in the next few years. We are

convinced that a fully specified sustainability policy contributes to

future-proof and profitable agriculture and horticulture sectors. This

enables us to continue our competitive operations and to create

sustainable value for our members.”

Ruud Tijssens

Director Corporate Affairs, R&D and CSR

Efficient Use of Raw Materials

Healthy Plants, Soil and Animals

for Healthy People

Sustainable Consumer

Range

Our Employees: the Foundation

for Success


Consultation and Collaboration with StakeholdersSustainable food supply is a theme that touches upon many parties and

is frequently in the limelight of social debate. Agrifirm is in the middle

of this dynamic field, seeking to connect with all parties. In principle,

Agrifirm does not exclude any parties, ensuring optimal operations

and contributing to future-proof and sustainable agriculture and

horticulture. Agrifirm is in touch with and collaborates with suppliers,

independent research institutions, scientists, environmental and

development organisations, chain parties and umbrella organisations

such as Netherlands Feed Industry Association (Nevedi), FEFAC (the

Europe Federation of Compound Feed Manufacturers), Plantum

(sector board for companies in the plant-based starting materials

sector) and Nefyto (sector board of the agro-chemical industry in the

Netherlands).

Agrifirm’s corporate social responsibility policy is rooted in parties who

are in nearly daily contact with Agrifirm relating to the subjects that

interconnect us. The connection between chain partners, employees,

members and customers with each other and with the environment is

very direct - but never taken for granted. Agrifirm intensively consults

with them on the priorities in sustainability themes, depending on the

impact that can be achieved together.

Additionally, Agrifirm deliberately seeks to connect with various

stakeholders on a regular basis. For example, we participate in joint

ventures with various scientific and social organisations, enter into

short-term and long-term agreements, organise meetings and

workshops and participate in research projects. These types of

coordination opportunities to a significant degree also influence the

priorities Agrifirm assigns to certain sustainability themes. On the one

hand, the value attached to a theme by our stakeholders carries a

great deal of weight in determining our focus. On the other hand, the

degree of impact and influence that Agrifirm has, determines which

themes are prioritised.

New and remarkable partnerships in 2014

In 2014, Agrifirm started collaborating with the Dutch Biorefinery

Cluster. This platform aims to fully use organic raw materials and

develop more high-end bio-based products. To reinforce its sector

position, Agrifirm is cooperating with various links in the arable

farming sector through the Arable BO (Sector Board). Agrifirm

Plant is one of the organisation’s initiators. This allows us to work

on cross-sector issues together, further reinforcing and expanding

our position.

Dialogue on re-stated sustainability policy

When re-stating its sustainability policy, Agrifirm also involves

external perspectives to determine the stakeholders’ opinion of

Agrifirm’s role in the chain. On 27 October 2014, Agrifirm organised

a meeting with the CSR sounding board group of Agrifirm.

Participants included Imke de Boer (Professor Animal Production

Systems Wageningen UR), Chris Kalden (Former Secretary General

of LNV, Chairman of Outdoor Grazing Foundation), Jan Cees

Vogelaar (former dairy farmer and Director of HarvestaGG), Tjerk

Wagenaar (Director of Nature & Environment) and Wouter van der

Weijden (Director CLM). The meeting focused on Agrifirm’s re-stated

corporate social responsibility policy.

The participants were positive about the structural way in which

Agrifirm details its sustainability policy. They stressed the importance of

continuing the pioneering, and also in particular getting to work with it

and translating the strategic goals into operational plans and concrete

milestones. Simultaneously, Agrifirm should also develop various

scenarios to better prepare for a range of developments, such as family

business versus professionalisation and upscaling; globalisation versus

regionalisation/localisation; and shifting market ratios.

The contrast that is sometimes perceived between economic

profitability and sustainability was seen as a key challenge, where

Agrifirm should sometimes make a more delineated choice based on

a mix of indicators. The CSR sounding board group advised Agrifirm to

give more insight into the financial consequences of its options and

make this an integral part of its policy. Here too, scenarios could help

in respect of strategic choices and developing R&D projects. Relating

to the six pillars, the attendants advocated centring on sustainable

soil use as a valuable production resource in agriculture. The human

aspects of the CSR policy could also do with more fleshing out

according to the attendants.

Finally, the importance of both internal and external communication

was highlighted. Within Agrifirm, it is important to keep CSR alive

at all levels in the organisation by integrating this in management

contracts. The field representatives can fulfil a key role in the dialogue

with society.

The many valuable recommendations and perspectives from

the sounding board meeting were used to re-state Agrifirm’s

sustainability policy and further specify the operational translation. In

2015, the meeting will be repeated in a symposium for stakeholders

on Agrifirm’s sustainability policy. The system of Agrifirm’s dialogue

with the stakeholders will be further structured in 2015 by actively

discussing a number of strategic themes with the stakeholders.

Agrifirm will also more intensively monitor the follow-up of discussions

with stakeholders.

CSR Update

In order to keep relations and stakeholders of Agrifirm posted of

developments relating to sustainability, Agrifirm introduced the CSR

Update newsletter in April 2014. In 2014, Agrifirm published seven

newsletters showing progress in corporate social responsibility

within our own organisations and also within organisations we

cooperate with.


BiodiversityIn the past few years, attention to the importance of biodiversity in

agriculture has increased. Biodiversity plays a major role at all levels

and in all processes within an agricultural company: soil, crops,

animals and the environment. Agrifirm focuses on the consequences

of our activities on biodiversity both at a local and international level.

Elements that impact biodiversity at a local level include phosphate

and nitrogen efficiency of plants and animals by preventing leakage

into soil or manure, the physical condition of the soil (organic matter

content and soil life), use of crop protection agents and direct

protection of bird life. At international level, land use is the key factor.

Minimising the use of land for producing animal feeds ensures that

more land is available for purposes with a higher biodiversity value.

Agrifirm Plant creates the conditions for biodiversity with sustainable

use of crop protection agents and fertilisers and by encouraging

healthy soil life. Agrifirm Plant is investigating the possibility of using

resources allowing for reduced use of crop protection agents while

stimulating or maintaining healthy soil. The CleanLight treatment

unit for flower bulbs is a great example in this context. This machine

beams a dose of special light to crops killing micro-organisms

such as moulds, bacteria and viruses. Research by Agrifirm Plant

has established that lily bulbs can safely be exposed to high

concentrations of CleanLight UV. The application of CleanLight UV

does not have any adverse effects on bulb quality and on the growth

of the lilies after planting.

Protection of bird life

A great example of protecting bird life is the partnership between

Agrifirm and the Grey Harrier Work Group Foundation, focusing on

maintaining and regeneration of nature. Groenvoerdrogerij Oldambt

BV, a crop drier, part of Agrifirm, is closely collaborating with this

foundation. The foundation works on conservation of the bird of prey

in the Netherlands, advising authorities and nature organisations

relating to developing policy and the practical implementation

of Agricultural Nature Management. In 2014, at the foundation’s

initiative, Parliament included the ‘bird field’ in the new GLB (Common

Agricultural Policy). From a GLB pilot, it became clear that a perennial

protein crop combined with natural fallow strips contributes to

healthy soil and maintaining threatened species such as the grey

harrier, while also being good for the farmers’ wallets. Protecting nests

of nesting birds of prey is one action that helps Oldambt BV contribute

to biodiversity on farm land.

Working on sustainable food production is an essential sustainability

theme for Agrifirm. With a growing world population and increasing

prosperity, demand for food and dairy products is set to increase in

the coming decades. Agrifirm aims to encourage its members and

customers to respond to this increase in a sustainable way. Naturally,

Agrifirm, as a supplier to farm yards, is committed to sustainability. This

is why we process co-products of the food industry in animal feeds,

and why we are committed to buying sustainable raw materials. This

is the result of Agrifirm’s intensive consultation with suppliers and

agreements with chain parties.

Our ObjectivesBy 2020, Agrifirm aims to buy all major commodities required for

animal feed, including wheat, corn and soy, subject to a sustainable

buying policy. Agrifirm bases this policy on regional risk analyses.

With these analyses, we chart the specific environmental and social

risks relating to major commodities of the production region, such

as deforestation for soy crops in South America. This analysis also

describes the actions that Agrifirm is taking to mitigate the risks

detected. This comes together in a sustainable buying policy, allowing

us to actively work on sustainable cultivation, processing and trade

of and in all our major raw materials. Agrifirm primarily focuses on

responsible procurement of major commodities used for animal feed,

but we are also assessing the policy frameworks on applicability to

raw materials for Agrifirm Plant.

Agrifirm’s investment in responsible soy and growing Dutch soy was

a major contribution to this pillar in 2014. Soy is a high-protein raw

material for animal feeds. Demand for soy is substantially increasing

worldwide, among others due to growing demand for animal

3. WorkINg oN SUSTAINABLE rAW mATErIALS

Demand for food will increase in the coming decades. This increases the pressure on limited raw

materials, water and nature. Sustainable production of agricultural products while respecting the

environment and surroundings is crucial for our future. Sustainable production starts at the front-end of

the chain, with buying sustainable raw materials. Agrifirm encourages growing and using sustainable

and responsible raw materials.

feeds, food and bio-fuels. In order to secure sustainable soy crop

cultivation, Agrifirm is cooperating with, among others, the Dutch

and European animal feed industry to ensure 100 percent responsible

soy. Additionally, Agrifirm has been co-developing the Dutch soy crop

cultivation and market with Wageningen UR since 2013.


0 Growers

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Soy cultivation in The Netherlands

Buying responsible soy

In 2015, Agrifirm is closely involved in the soy case file and in the Chain Transition

Responsible Soy Foundation, which has been working on 100 percent sustainable

soy since 2012. Responsible soy is cultivated in accordance with the RTRS (Round

Table on Responsible Soy) or equivalent standards. This soy fulfils a number of

criteria relating to nature conservation, biodiversity, sound agricultural practices,

healthy working conditions and respect for local land rights. In 2014, the animal feed

industry signed the Nevedi covenant, agreeing to use 100% RTRS certified soy for

the production of meat, dairy and eggs for the Dutch market if market demand is

also implemented as such. The soy for foreign market demand fulfils the minimum

sustainability requirements as determined by FEFAC, the European federation of

compound feed manufacturers.

In 2014, Agrifirm bought RTRS credits for 100,000 tonnes of responsible soy (about

one third of soy consumption). The credits are to be applied on several years. In

2014, Agrifirm was a Board Member of RTRS on behalf of FEFAC in order to actively

contribute to sustainable cultivation and production of soy.

Development European benchmark responsible soy

FEFAC, the European federation of compound feed manufacturers, is developing

a European system to compare and classify the various standards for responsible

soy based on the RTRS standard. This allows a transparent way for the animal feed

industry to interact with soy buyers. The aim is sustainably produced soy that is

feasible in practical terms and affordable. Ruud Tijssens, Director Corporate Affairs,

R&D and CSR, and Chairman of FEFAC, plays a leading role in this process. In this

context, Ruud Tijssens visited Brazil and the United States three times for meetings

with major stakeholders in these regions.

Increased sales in green crop protection agents

Green crop protection agents are based on natural origins (such as plants, animals,

micro-organisms or certain minerals), or synthesized agents that are identical to the

natural substance, and low-risk to humans, animals and the environment.

The sale of green crop protection agents amounted to barely 2% of the total sales

of crop protection agents in 2014. Agrifirm’s target is for this percentage to increase

to 20% of the crop protection agents by 2025. In late 2014, the Ministry of Economic

Affairs closed a Green Deal with the sector and other parties, to the effect of

accelerating sustainability in crop protection agents in agriculture and horticulture

by facilitating the admission of green crop protection agents carrying a low risk to

humans, animals and the environment.

Dutch-grown soyMarket development and a pilot test should lead to economically

viable soy cultivation in the Netherlands. Soy cultivation in north

western Europe offers benefits, such as closing regional cycles

and reducing feed miles. In the pilot test, Agrifirm Plant and

Wageningen UR are researching which soy varieties are most

economically viable for cultivating in the Netherlands, and the

optimal fertilising and crop cultivation methods. In the first year,

11 growers cultivated soy on 35 hectares. In 2014, this tripled to 35

growers on 110 hectares.

Through field meetings, an active Facebook group and cultivation

advice, growers learn from each other and from the knowledge of

Agrifirm Plant. On average, the best 25% of the growers realised 3.4

tonnes per hectare in 2014, compared to 2.8 tonnes per hectare

in 2013. Two varieties offer the best perspective for the future,

combining high yield and early maturing with a high protein

content. Agrifirm Plant is responsible for selling the Dutch-grown

soy to the food industry and the livestock sector. Three Dutch dairy

farms have been feeding Dutch-grown soy to their cows since

late 2014. The soy has been processed to make it suitable as high-

quality animal feed. The object of this trial run is to investigate how

this Dutch-grown soy can be incorporated into the formula, and to

study its effect on the cows’ performance.

Bulk market for Dutch-grown soy is feasible“The high-end market is now the main sales market for Dutch-grown soy, both for human consumption and non-GM animal feeds. Dutch

soy crops are already almost economically viable because of the mark-up for non-GM soy. The revenue is already substantially higher

than forecast in 2013. In 5 years’ time, we expect to achieve a yield of around 4.5 tonnes per hectares. This means the bulk market that is

interesting to Agrifirm is in sight. Agrifirm is really sticking out its neck by being one of the few parties investing

in research into European soy cultivation. It would not be a real pilot test without market development, because

after all, Dutch-grown soy must become a business case in progress. If we can cultivate 30 to 40 percent of the

soy required in Europe at the end of the day, my mission is accomplished.”

Chris de Visser, business developer Wageningen UR


Agrifirm expects the global economy and demand for agricultural

products to grow in the next few decades. This means that both

land and raw materials will become scarcer, increasing pressure on

ecosystems. The emission of fine dust particles and greenhouse gases

will increase, accelerating climate change. Agrifirm closely monitors

the emission of greenhouse gases and the share of renewable energy.

Our ObjectivesAgrifirm aims to improve its organisation’s energy efficiency by 15

percent in 2025, compared to 2015. For all production site, we aim to

also improve energy efficiency by 15 percent in 2025. Furthermore,

Agrifirm aims to have binding agreements with its carriers on reducing

to be a reliable partner and more efficient production. The Business

Excellence project in Hungary had the highest impact in 2014.

Energy Efficiency Since 2013, Agrifirm calculates the EEI (Energy Efficiency Index) for

most plants. This enables Agrifirm to identify the energy consumption

by product unit at key production sites. The index indicates the energy

efficiency in comparison to the 2010 reference year. In Agrifirm Feed,

the reference year is 2011, as this was the first year Agrifirm measured

the EEI of production sites. By annually repeating this survey, the

energy efficiency trend at each site becomes evident and this provides

Agrifirm with an accurate impression of the impact of implemented

efficiency measures.

The EEI shows some ups and downs; for some sites it decreased,

whereas others show an increase. In Agrifirm Feed’s Emmen

production site, the EEI decreased due to closing the plant in October

2014. The EEI of the Drachten production site improved thanks to a

renovated steam boiler and increased capacity. As the plant in Oss

required more energy to improve pellet consistency, its EEI decreased.

The Szamotuly site of Agrifirm Polska improved its energy efficiency

once more by investing in a new engine. The EEI of the Margonin plant

4. EffICIENT ProdUCTIoN ANd LogISTICS

Efficient processing of raw materials and smart logistics are high priorities for Agrifirm. Agrifirm’s logistics

contribute to the emissions of greenhouse gases and fine dust particles, among others. This is part of the

environmental footprint, which is a factor in climate change. Also, plants use energy for the production of

products and feedstuffs. This contributes to Agrifirm’s CO2 emissions. Investing in efficient production and

logistics enables Agrifirm to decrease its environmental footprint.

energy consumption and emissions due to transport by 2025.

Business Excellence ProjectsAgrifirm’s Business Excellence projects are a great example of actively

working on improving efficient production and logistics. These

projects aim to improve various business processes in Agrifirm. The

goal is higher customer satisfaction and better performance by

working more efficiently. In a Business Excellence project, various

measures relating to production and logistics are implemented to

improve efficiency. For example, the ‘Order to Cash’ project is designed

to gain insight into the bottlenecks in the order process, ensuring

that nothing can go wrong in this process. The aim of the project is

decreased due to increased feed meal production. This production

increase was not factored into the EEI calculation as no feed meal

production was made in the reference year, 2010. The German

plants achieved good results, among others by better monitoring

energy efficiency. In Hungary, the Bocs plant closed in late 2014. The

EEI of both Gyor and Kaba was lower as a result of increased pellet

production. We replaced two loose pelletizer machines with a single

large-capacity machines with higher energy consumption. The Kaba

plant also used the drier more because the corn was wetter than in

previous years.

The EEI of the Baasrode production site of Nuscience Group decreased,

as the plant is closing in 2015 and Agrifirm no longer invests in this

site. The results of NutriControl improved in 2014, among others due

to renovation and a Black Belt project. This allows personnel to more

efficiently align activities with each other and to more efficiently utilise

equipment. The results of the Oldambt site of Oldambt BV improved

thanks to a dry season. This allowed for properly drying the lucerne on

the field, requiring less energy for processing this crop. The Opeinde

site used more energy as the grass was harvested longer and with

higher moisture content in comparison with previous years. For this

reason, the site used more fuel per tonne of dried product.

The true benefit is that we continue to improve“The animal feed market in Hungary poses two major challenges: maintaining and expanding our market position and responding to our

customers’ wish for high-end custom products and services at sharp prices. In 2012, our production, efficiency and flexibility were not

yet sufficient. This is why we implemented a Business Excellence project in 2013, taking measures such as innovating the feed formula,

restructuring production planning and more accurate order forecasting.

The project reduced operational costs, providing more insight into the business processes. The result was worth it.

In 2014, our product efficiency improved by eight percent and our energy efficiency by twelve percent. However,

the biggest gain of all was that our team continues to improve, even without the Business Excellence project.

We are now truly aware of the benefits we can achieve by improving our business processes. This is necessary

to continue operating with a competitive edge, realising more with less and decreasing our environmental

footprint. I am convinced that continuous improvement is crucial to Agrifirm’s future.”

Alexander Drees, managing director Agrifirm Magyarország

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Feed’s carriers consisted of Euro6-certified trucks in order to reduce

the emission of NOx and fine dust particles.

In 2013, Agrifirm Plant decided on contemporary logistics, customised

to the customer’s wishes. In 2014, this was implemented in the entire

country for a full year for the first time. Agrifirm Plant replaced the

method of having the customer pick up his/her products by full

service delivery with the motto ‘efficient if allowed, rush if required’.

Using the ‘ex farm’ concept, the grower collects the grain at the farm

yard, where Agrifirm Plant picks it up within one week at no cost. In

2013, the cereals were centrally stored in the new grain storage in

Kampen for the first time. In 2014, the second section of the storage

facility was commissioned. In 2014, Agrifirm Plant also operated with

fewer carriers.

From the efficiency statistics for all product types, it is clear that the

2014 mileage is higher than in 2013. This increase is mainly due to two

causes. In the first place, the choice of continuing to offer rush orders to

members and customers cause sub-efficient loading of trucks. Another

cause is Agrifirm taking over carriage from the growers, such as based

on the ‘ex farm’ concept. Due to using large trucks with a higher loading

capacity such as 30 tonnes, Agrifirm Plant is able to pick up the grain

harvest from growers using lower mileage than the growers, who

would have to drive the distance several times for the same load. This

has made ‘ex farm’ transport of cereals more efficient, but also safer and

Agrifirm 2014 Energy Consumption

Energy consumption of the companies in the Agrifirm Group

last year amounted to:

2013 2014

Gas (m3) 14,814,015 12,888,053

Gas (l) 93,539 329,836

Electricity (kWh) 159,019,319 154,468,567

Coal (tonnes) 9,881 13,631

Heating oil (l) 787,501 639,908

Diesel (l) 5,335,582 507,062

Petrol (l) 23,930 20,518

AdBlue (l) 31,200 0

Share of renewable energy 3.16% 2.56%

Compared with 2013, gas consumption (m3) decreased, among

others because Agrifirm Plant used less gas. In 2014, growers

harvested relatively dry grains, resulting in less gas required to dry the

grain. The use of coal (per tonne) increased as Oldambt BV used more

fuel to dry the grass after a long, damp season. The use of diesel and

AdBlue significantly decreased because Agrifirm Feed has outsourced

the carrier activities from 2014.

Renewable energy by site

Agrifirm has invested in reduction measures in the past few years

to improve the EEI of production sites, among others. By annually

more professional. This measure has significantly decreased the number

of transport journeys in the polders, increasing road safety.

CO2-Emissions

Based on energy consumption, Agrifirm calculated its CO2 emissions

(Organisational Environmental Footprint) in 2014. The results of

the CO2 emissions are based on the emission factors published by

Stimular (on the basis of CE Delf 2010) and the Climate Neutral Group

(on the basis of NL Agency, 2012 CO2 performance ladder). In 2014,

our emissions amounted to:

CO2 emissions from direct energy consumption:

61,175,090 kg CO2 equivalent

CO2 emissions from indirect energy consumption:

77,036,084 kg CO2 equivalent

The CO2 emissions from direct energy increased compared to 2013

because Oldambt BV used more coal to dry the grass. The grass was

longer, but also damper when harvesting.

Green LeaseThe number of Agrifirm employees with a green lease car rose from

76 in 2013 to 81 in 2014. The data provided by the lease company

show that in 2014, the average CO2 emissions per kilometre of the

employees with a green lease contract is 152 grammes per kilometre.

repeating the energy efficiency survey, the energy efficiency trend at

each site becomes evident and this provides Agrifirm with an accurate

impression of the impact of implemented efficiency measures. In the

past few years, we made progress. The goal is further improvement in

the EEI in the coming years. Increasing the share of renewable energy

is part of this goal.

Investing in a better environment

Agrifirm’s production and logistics contribute to the emissions

of greenhouse gases, among others. In 2014, therefore, Agrifirm

invested in various measures designed to decrease the environmental

footprint. Agrifirm Feed invested € 75,000 in the Wanssum production

site for better extraction of the silos in order to reduce emission of

gases. Agrifirm Deutschland invested € 80,000 in a new control system

for efficiency improvement in the Drentwede site.

More energy-efficient transport

Transporting products is responsible for a significant portion of

Agrifirm’s energy consumption and therefore its CO2 emissions.

From 2014, Agrifirm outsourced all of its transport of animal feed to

customers. Agrifirm will make binding agreements with its carriers

on reducing energy consumption and emissions due to transport.

Agrifirm Feed also supplied bags and units on varying days in 2014.

This allowed for more efficiency, optimising the carrier planning. Due

to optimised carrier planning this resulted in lower CO2 emissions and

fewer kilometres. Furthermore, in 2014, 35% of the fleet of Agrifirm

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Efficient use of fertilisers and crop protection agents benefit the

environment and the entrepreneur’s wallet. More with less is a key

starting point in realising sustainable agriculture. Although Dutch

agriculture is already one of the most efficient in the world, there is

still plenty of room for improvement.

Our ObjectivesBy 2025, Agrifirm will have developed sustainable agricultural

practices. The aim is to assist Agrifirm’s members and customers

achieve efficiency improvements. This is designed to help Agrifirm’s

members and customers in reducing the environmental footprint

of animal and arable production by 15 percent in 2025 compared to

2015. Agrifirm actively encourages manure processing by members

and customers, in order to ensure optimal use of valuable components

in organic manure. This is how we help our members and customers

use raw materials efficiently.

Smart Dairy Farming The Smart Dairy Farming innovation project in which Agrifirm

participates is another great example. This project serves to develop

new technology, linking data and translating the data into real-

time work instructions for dairy farms. This increases the dairy cows’

lifespan and improves their health. In 2014, the project succeeded in

developing the first ten real-time work instructions for individual cows.

Dairy farmers in seven pilot companies tested the work instructions.

This is the first step in precision feeding, helping cows grow older in

good health with more productive years.

Veris soil scanIn order to efficiently use raw materials and fertilisers, Agrifirm Plant

and Agrometius offer growers the Veris soil scan. This scan was

5. EffICIENT USE of rAW mATErIALS

Efficient production results in a smaller environmental footprint. Efficient use of raw materials ensures

that more can be produced with less. This is why Agrifirm invests in research for the purpose of introducing

product innovations that help our members and customers to achieve higher production with less feed,

fertilisers or crop protection agents.

developed in 2014. Based on GPS, Agrometius records data, among

others on the variation in organic matter, pH, EC (salt concentration)

and the altitude of the soil within a plot. These data are calibrated

with soil samples. Subsequently, Agrifirm Plant specialists prepare

a job card together with the grower that the grower or worker can

use to fertilise, chalk or apply crop protection to specific spots.

This means growers have fewer corrections to make during the

cultivation and allows for optimising crop growth. The result is

improved yield, higher revenue and more specific use of fertilisers

and crop protection agents.

This is how we make the step to real-time livestock management“In the Smart Dairy Farming project, we have partnered with chain parties in a new approach of real-time translation of data on individual

dairy cows into practical advice for the dairy farmers. A treasure of data is available from each dairy farm, some measured using sensors.

Using these data on a real-time basis, we are shifting towards precision livestock farming, with each individual animal receiving the feed

and care that it requires at that time. This results in healthier animals that live longer and it contributes to more sustainable supply chains.

Combining knowledge of genetics, nutrition and animal health serves to extend the life of dairy cattle by at least one lactation period.

For example, the rumen is a complex ecosystem that is quickly out of order, with major consequences to the health and life span of the

animals. Sensors provide a real-time impression of the developments of rumen health. This way, the farmer can manage a condition

long before the cow gets sick, for example by reducing the amount of pelleted feed. We are currently developing models for individual

feeding based on production and health data. I also call this ‘smart feeding’ or ‘precision feeding’. This way, each animal receives optimal

feed rations, saving on raw materials.

These developments help us make the step from concluding that something is wrong when a condition is

visible to real-time assessment and early health management of individual cows. The result is healthy cows

that grow older and are consequently productive for a longer time. Efficiently using raw materials, decreasing

the environmental impact and improving animal health in companies improve the profitability of agricultural

companies.”

Albert van den Belt, director Agrifirm Innovation Centre

Biological soil remediationIn 2014, Agrifirm Plant and other parties started up a pilot project

for a new method of biological soil remediation targeting harmful

nematodes. The results of existing biological soil remediation vary

and a full growing season is often lost. The new ‘Soil Reset’ method

is more practical and can be completed in a short time. In 2015, the

first results of the Soil Reset method are expected for bulb crops and

open field vegetable crops. If the method works well, it provides an

environment friendly and safe alternative to regular remediation

agents, also for other crop cultivations. This enables Agrifirm Plant to

contribute to a sustainable crop cultivation that has less of an impact

on the environment.

Agrifirm Plant innovationsInnovations such as the corn seed coating Top Coat by Agrifirm Plant

are good examples of high-impact innovations. This coating does

not contain any inorganic phosphates. Instead, it ensures better soil

utilisation of nitrogen and phosphate than regular corn. Furthermore,

Top Coat corn shoots up quickly with high starch yields. A win-win

situation.

In 2014, Agrifirm Plant, together with other parties, introduced a

Toolbox to help growers keep the surface water cleaner. The Toolbox

contains 17 information cards with practical measures to reduce

the emission of crop protection agents to the surface water. The

Toolbox perfectly matches the government’s objectives and makes

growers aware of the emission routes in their company. Agrifirm Plant

encourages members and customers to use the Toolbox. In this context

it is important to thoroughly inform the growers about the practical

application. This is why the Toolbox is extensively highlighted in

customer meetings, lectures to growers and newsletters. Additionally,

Agrifirm Plant also researches the possibilities of purification of

residual liquids.


Phosphate reductionPhosphate is a key component of animal and plant food. Agriculture

uses phosphate from raw phosphate in animal feed and fertilisers.

Excess phosphates are bad for the environment and nature.

Additionally, raw phosphate is getting scarce. This is why we are

focusing on reducing phosphates in animal feed and fertilisers,

and efficient use and re-use of phosphate. Agrifirm Plant’s research

is focused on optimal yields and soil fertility with less phosphate.

Agrifirm Feed emphasises reducing phosphates in animal feed. A total

reduction of 910,432 million kilogrammes of phosphate was achieved

in 2014 in comparison to the 2009 reference year. This contributes to a

healthy environment and biodiversity.

Reducing phosphate in animal feed

Phosphate reduction (kg 2013 2014

Cattle 534,650 615,322

Pigs 538,886 295,110

In 2014, Agrifirm reduced phosphate further in cattle feedstuffs

because the feed had lower protein content. The cattle feed

contained 2.42 percent phosphorus as the share of raw protein in

the feed. This is well under the 2.5 percent standard as agreed in

the Nevedi covenant. In 2014, Agrifirm realised lower phosphate

reductions in pig feedstuffs. The share of co-products from the food

industry, such as semolina and sunflower kernels increased in pig

feed. These co-products often have high phosphorus content that

is not always bio-available to the animals and reduces phosphate

reductions.

The Cycle Management Guide brings the feed, manure and soil cycle

of a dairy farm into focus. These data enable the dairy farmer to better

respond to the needs of the crops and the directives for applying

manure on his own grounds. The Agrifirm dairy farm advisors are

trained to support dairy farmers in using the Cycle Management

Guide.

Efficient feedstuffs and concepts of Agrifirm Feed

In late 2014, Agrifirm Feed was the first animal feed

company to introduce sustainability labels providing

specific information on the sustainability performance

of feed concepts and products. This way, Agrifirm Feed

helps customers have an impact on their own company.

Additionally, we introduced new feed concepts, such as

Compound Feeding 2.0 for dairy cows. This approach

prevents feed selection, thus resulting in higher feeding

efficiency and improved animal health. In 2014, Agrifirm

Feed expanded the moist feed concept SOLIQ for laying

hen poultry to broiler hen rearing stock. SOLIQ prevents

selective pecking of chickens, reducing the loss rate and

increasing yield. Additionally, Agrifirm Feed introduced the

new Robustior fattening pig feed for the finishing phase

of the pigs in 2014. This feed enables the customers to

feed their fattening pigs even more efficiently. With the

introduction of innovative feed concepts, Agrifirm Feed

contributes to efficient use of raw materials, with gains both

for the environment and the entrepreneur.

Please find below the fact sheet of SOLIQ. In 2014, Agrifirm

started calculations of the sustainability performance of this

moist feed concept for poultry.

(Factsheet)

schakel in succes

Duurzaamheidslabels voor verantwoorde keuzeNegen miljard mensen voorzien van gezond en

duurzaam voedsel. Dat is de grote uitdaging waar de

wereld voor staat. Agrifirm helpt leden en klanten

om op een rendabele en duurzame manier voedsel te

produceren. Als eerste diervoederbedrijf kiest Agrifirm

voor duurzaamheidslabels voor voeders en concepten.

De labels zijn bedoeld om inzicht te geven in de

duurzaamheidsprestaties van het concept of product.

DuurzaamheiDsprestaties van sOLiQ

Vijf labelsEr zijn vijf labels: mineralenefficiëntie, diergezondheid,

klimaat, recycling en verduurzaming grondstoffen.

Elk label heeft een eigen symbool en geeft concrete

informatie over de duurzaamheidsprestaties van uw

voerconcept of product. Zo helpen we u een volgende

stap te zetten naar een duurzame voedselvoorziening.

Hieronder vindt u de duurzaamheidsprestaties van SOLIQ.

Voor elk duurzaamheidslabel geldt een andere schaalverdeling. U vindt deze op de laatste pagina van deze factsheet.

Legenda:negatieve impact Neutraal positieve impact

7,3%

Het landgebruik per ei melk

daalt met 7,3%, mede door de

aanzienlijke stijging van het

aandeel van co-producten.

Landgebruik

Landgebruik

Reductie

Verduurzaminggrondstoffen

11%

SOLIQ bevat 11% meer

co-producten dan gangbaar

pluimveevoer.

Recycling

Co-producten

Co-producten

Reductie

5,0%

Doordat soja wordt vervangen

voor een vergelijkbaar deel

co-producten, bereikt u met

SOLIQ een hoge reductie van

klimaatemissies per kg ei.

Klimaat

Carbon Footprint

Carbon Footprint

Reductie

Door een vlotte en uniforme

voeropname is de gezondheids-

toestand van het koppel veel

stabieler en is er minder uitval.

Dier-gezondheid

Gezondheidseffect

Op het gebeid van mineralen-

efficiëntie zijn er geen

aanzienlijke veranderingen te

verwachten.

Mineralen-efficiëntie

0,4% 0,5%

N efficiëntie

N en P efficiëntie

P efficiëntie

N efficiëntie P efficiëntie

sOLiQ

ReductieVerhoging

312014 Corporate Sustainability Report 30 Agrifirm

Investing in valorising manureUnder new manure legislation, it is mandatory for farmers with excess

manure to process a portion of their manure. Manure processing

converts manure into valuable nutrients and organic materials for

the soil. This allows for efficient utilisation of manure flows and the

proper use of these new organic manure flows improves soil fertility.

Agrifirm is one of the initiators of the Manure Investment Fund. This

fund stimulates specific investment plans for manure processing. In

2014, the fund financed the second and third manure processing

project. This allowed the fund to realise 430,000 kg of phosphate for

exporting abroad.

Use of organic fertilisers

More efficient use of organic fertilisers is a key objective to Agrifirm Plant.

This strategy of Agrifirm Plant is effective; the sales volume of organic

fertilisers and liquid manure once more increased in 2014. The sales

volume of stackable fertilisers is comparable to that of previous years.

The sales volume of compost slightly decreased in 2014 due to lower

supply and increased prices. In 2014, entrepreneurs also used more

slurry and due to limited storage space, this decreased the sales

volume of compost. In 2015, Agrifirm Plant aims to become a party

adding value in the residual flows column.

600.000

500.000

400.000

300.000

200.000

100.000

0

Liquid (t)

2008 2009 2010 2011 2012 2013 2014

Stackable (t) Compost (t) Organic fertilisers

Organic fertilisers

Water consumption With the growing world population, demand for food and water increases accordingly. Simultaneously, availability of water decreases

due to water wastage and pollution, climatic change and deforestation. Agriculture is a major water consumer. Worldwide, about 70%

of the available water is used for agriculture. A sound water level and effective water management are basic requirements for healthy

agriculture.

To ensure future supply of sufficient clean water, Agrifirm is committed to awareness in using water. This is why Agrifirm uses water

conscientiously in its various product sites. However, the highest impact in terms of water is achieved on the farm yard. This is why

Agrifirm Plant developed innovative irrigation methods that reduce water consumption in order to achieve optimal results with

minimum water quantities.

Sensetion soil water sensor In the past year, Agrifirm Plant and Dacom launched

a sensor system for agriculture and horticulture on

the market: Sensetion. This sensor system for growers

indicates exactly when a plot should be sprinkled. This

concerns a soil water sensor interacting with a mobile

app for irrigation advice, and is user-friendly. Sensetion

is equipped with intelligent sensor technology.

Effective water management quickly pays back

the investment. In dry areas, the added value is

mainly in saving water. In wetter areas, such as the

Netherlands, irrigation at just the right times allows

for higher quality of the harvest and higher yields. So

specific irrigation is not only better for the crops and

the soil, but it also results in direct savings on water

consumption. Fuel use is also lower due to fewer

transports to the plots and lower diesel use during

irrigation. Furthermore, the system itself fully operates

on solar energy.


Due to increasing urbanisation, consumers are not as close

to agriculture as before. Sustainability is linked to traditional

craftsmanship. New technology based on chemistry and modern

breeding methods are mistrusted. Using substances such as crop

protection agents and antibiotics are under the scrutinising eye of

society, often with a ‘zero tolerance’ filter. Healthy plants, soil and

animals reduce the need for corrective measures such as the use of

crop protection agents and veterinary drugs. This is why Agrifirm is

committed to plants, soil and animals with high natural resistance.

This decreases the necessity for corrective measures such as the use

of veterinary drugs or crop protection agents.

Our ObjectivesBy 2025, Agrifirm has developed sustainable agricultural practices,

including natural crop protection and a 20 percent increase in the

use of green crop protection agents. Reinforcing natural resistance of

animals will reduce the use of veterinary drugs by our members and

customers by 20 to 30 percent compared to 2015.

Healthy soil and balanced plant and animal feed is the basis for

profitable and sustainable agriculture. Balanced plant and animal

feed is the basis for profitable and sustainable agriculture. Feed

concepts such as OPFOK24 for dairy cattle and Line-Up for broilers

are fine examples showing how Agrifirm is contributing to healthy

animals. Agrifirm also actively works on healthy soil.

6. HEALTHY PLANTS, SoIL ANd ANImALS for HEALTHY PEoPLE

Plants and animals with high natural resistance need fewer supporting substances such as

crop protection agents and veterinary drugs. This benefits plants, animals, the environment

and the entrepreneur’s wallet. Eventually, healthy plants and animals of course also

contribute to improved human health.

Concepts for healthy animalsA feed concept or product that is optimally aligned to the needs of

the animal is a great basis for healthy animals. In early 2014, Agrifirm

Feed introduced the innovative concept Line-Up, housing hens and

cocks separately in the same stable but giving specific feed to each.

This is an optimal response to the specific nutrient needs of hens

and cocks. This results in healthier chicks, fewer foot sole problems

and better yield for the entrepreneur.

Additionally, Agrifirm introduced the concept Roughage Total

in 2014. This concept ensures optimal alignment of regulations,

soil, fertilisation, crop, harvest and nutrition. This always centres

Attention to healthy soil is a stayer“Healthy soil is a vital part of worldwide food supply. If the soil is balanced in chemical, physical and biological terms, you can say

that the soil is healthy. This would involve the right balance of nutrients and trace elements suitable for the soil type; a sound ratio of

air, water and soil; and healthy soil life with sufficient organic matter content. The soil can properly feed the plants only if all of these

elements are balanced.

In our cultivation advice for healthy soil, we focus on two aspects. We advise growers how to balance the organic matter content in

order to maintain soil fertility and soil health. We also advise on proper nutrient supply. In particular in clay grounds, this affects the

right structure in the soil. In the past year, we once again launched a number of innovative products that help growers in that respect.

NemaDecide is a nematode advisory system, among others for potato growers, to manage the correct crop rotation for proper control

of pathogen soil life. We converted the system to Geonema in 2014, which is a system accessible via internet. This enables growers to

calculate the development of pathogenic nematodes during a period of over ten years based on certain crop rotations and crop se-

lections. This helps growers to prepare a healthy crop rotation schedule in terms of nematode control. We are set to roll out Geonema

in 2015.

Another great example is Mycorrhiza, a mould that lives symbiotically with plant roots, assisting in better access to nutrients and water.

Mycorrhiza is suitable for healthy soils, but requires the grower to adjust fertilisation and the use of crop protection agents. Together

with our partner BioMygreen, we marketed Mycorrhiza moulds in 2014 for a number of new crops, such as onions, flower bulbs and

tree crops, and also for public landscaping. We offer a comprehensive solution, so we also give the growers advice on how to best

make their crop ‘Mycorrhiza-proof’.

Attention to healthy soil is certainly a stayer. Concepts such as Mycorrhiza are just the start of what is possible.

In our crop advice and research, the added value to the customer always has the highest priority. After all, we

are not researchers solely on a quest for knowledge in itself.”

Aaldrik Venhuizen, manager Research & Development Agrifirm Plant

on the need and nutrition of the cow. This concept enables the

entrepreneur to achieve excellent yields on healthy cows.

In 2014, the sustainability labels were calculated for the existing

concepts OPFOK24 and the 100 days concept. Agrifirm Feed’s

OPFOK24 concept for dairy cattle is a structured schedule with

specific feedstuffs and advice for efficient rearing of young cattle. The

100-day approach for dairy cows contains the right products and the

best recommendations concerning nutrition, accommodation and

the care of cows around calving time. This results in fewer digestive

diseases around calving time and increased life-time production.

Vitanox and Vitafix for healthy young animalsIn 2014, Health4U’s R&D department, part of Nuscience, introduced

the natural anti-oxidants Vitanox and Vitafix. Adding Vitanox to

feed reduces the number of harmful free radicals while requiring

less vitamin E. This gives the animal better protection, which has

a positive impact on health. Health4U also developed the feed

additive Vitafix, countering mycotoxins. Mycotoxins can suppress

the immune system, making animals more vulnerable to diseases.

Vitafix enables the entrepreneur to actively work on having healthy

animals that require fewer veterinary drugs.


Agrifirm Plant testingIn 2014, Agrifirm Plant conducted tests all year, testing innovations

relating to fertilisation, crop protection agents, soil health and

soil fertility. These tests are designed to collect knowledge and

translate it to the customer’s situation. For example, in 2014, we

tested Top Soil humus acids that can be used for better availability

of soil phosphate to plants. This helps them grow better. We also

researched improving soil health using Mycorrhiza. Agrifirm Plant

developed an innovative cultivation system in onion crops using

Mycorrhiza. In 2014, we extended this system to potato and bulb

crops. We also deploy this beneficial mould in sports fields.

Implementation Cycle Management Guide As from 2015, the Cycle Management Guide is mandatory to

dairy farmers with a phosphate surplus. The Cycle Manage-

ment Guide brings the feed, manure and soil cycle of a dairy

farm into focus. This data makes it easier for the farmer to

take the impact on the soil into account and to opt for a

different feed ratio and a more efficient fertilising method.

It enables better performance of both plants and animals,

and benefits the environment. Agrifirm Exlan, a member of

the Agrifirm Group, advised 15 study groups of dairy farmers

concerning the Cycle Management Guide in 2014.

People

Contribution to improvement public health consumer level: AIC 25% Plant 14%

Contribution to preventing human resistance to antibiotics: AIC 42%

Improvement of animal health and animal welfare: AIC 50%

Contribution to training internal or external involved parties: AIC 58% Plant 31% BE 92%

Planet

Biodiversity: improve phosphate efficiency soil: AIC 50% Plant 39%

Biodiversity: improve nitrogen efficiency soil: AIC 8% Plant 39%

Biodiversity: improve soil physics: AIC 50% Plant 42%

Biodiversity: improve the use of Crop Protection Products: Plant 28%

Climate: curb the emission of heavy greenhouse gases (methane and nitrous oxide): AIC 8%

Climate: improve feed conversion: AIC 71%

Climate: reduce own energy consumption: AIC 17% BE 15%

Alternative sources of protein: AIC 21% Plant 3%

Reuse of raw materials (recycling) Plant 6%

Air and water quality: Plant 6%

Profit

Direct cost reduction of own and/or member activities: AIC 92% Plant 36% BE 77%

Internal collaboration: AIC 85% Plant 22% BE 100%

Collaboration within the chain: AIC 46% Plant 19%

Contribution of Innovation Projects to SustainabilityAgrifirm is investing in fundamental and practical tests to realise

higher yield and sustainability impact on the farm yard, to maintain

its position as market leader and to contribute to sustainable food

supply. As in previous years, AIC, Agrifirm Plant and Agrifirm Business

Excellence (BE) conducted a sustainability scan to determine which

projects in 2014 contributed to people’s and animal’s health (People),

biodiversity and the emission of greenhouse gases (Planet) and

returns for the farmer (Profit). The percentage of the research projects

with specific focus on people, planet and profit are presented in the

table below.

The research projects of Agrifirm focus on a wide range of subjects

within the themes of people, planet and profit. Research can score

on the various themes, which explains the variation in percentages.

A great example is the research into the feed conversion for the

100-day plan. This research was about looking for ways to improve

feed efficiency and simultaneously to realise a better bottom line

for the livestock farmer. The research into the Cleanlight treatment

unit for flower bulbs is a great example of this ‘cross-pollination’. The

research contributes to the theme Planet as a lower amount of crop

protection agents is required when using the Cleanlight treatment

unit. Simultaneously, it improves yields as it tackles a virus in the crop.

This research therefore also contributes to the Profit theme.


Worldwide, a growing percentage of people age 20 and older are

overweight and have health issues, with unhealthy food as a major factor.

Sufficient supply of sustainable and healthy products can change the

consumption pattern. Simultaneously, Agrifirm notes that society shows

a growing interest in recognisable products and transparent production

processes. Consumers increasingly label ‘regional’ products as sustainable

and healthy. This is why Agrifirm invests in new chain concepts, reducing

chain length or processing locally sourced raw materials.

Our ObjectivesBy 2020, Agrifirm wants to be the main partner for chain parties

in developing and testing new chain concepts. This is why

Agrifirm participates in partnerships such as the ‘Brewing Barley

from Sustainable Crops in the Netherlands’ project. In this project,

Agrifirm Plant, Heineken Netherlands and Holland Malt collaborate

in developing the market for sustainable brewing barley up to

15,000 tonnes in 2015. The 2020 target is to grow 50,000 tonnes of

sustainable brewing barley. Agrifirm Plant is testing barley varieties

with excellent growing properties, thus supporting sustainable

cultivation of brewing barley.

European animal feed studyProtein-based raw materials are a vital component in animal feeds.

In Europe, we import a relatively large amount of protein-based raw

materials such as soy. This increases the environmental footprint,

among others due to transport. Various chain parties are interested

in European raw materials for animal feeds. In 2014 at the Laverdonk

experimental farm, Agrifirm studied the consequences of feeding

7. CoNTrIBUTINg To A SUSTAINABLE CoNSUmEr SUPPLY

Agrifirm is committed to offering consumers the choice of responsible products. Agrifirm sees growing

attention for the influence of food on health. Simultaneously, interest in recognisable products is growing.

In order to encourage the production of sustainable products, collaboration in the chain is essential. This

is why Agrifirm supports livestock farmers in optimising outdoor grazing with the Meadow Compass. In

this way we contribute to the dairy produced from cows that graze in meadows.

broiler chicks using only European raw materials. The study showed

that it was not possible to compose optimal feed for the broilers

using the available raw materials. In particular the levels of a number

of amino acids fell short. Research to find the best alternative showed

that the feed profit was lower by 30%. We aim to be an discussion

partner to chain partners by conducting research and contribute to a

sustainable range for consumers.

Agrifirm Plant in ‘Did you know that?’ In 2014, one edition the popular RTL4 TV show ‘Did you know that?’

focused on leeks. In this broadcast, a cultivation specialist, an Agrifirm

Plant customer, told viewers all about sustainable cultivation of leeks.

Relating to growing sustainable leeks, we are actively working on

a sustainable consumer range. The ‘Did you know that’ broadcast

offered consumers an insight into sustainable cultivation of a

frequently used vegetable in the every-day Dutch kitchen.

Carbon footprintingCarbon footprinting is the calculation of the total greenhouse gas

emissions of a product throughout its entire lifespan. This subject

is gaining in prominence on the agricultural sector’s agenda in the

Netherlands, Europe and throughout the world. Through a partnership

between the FEFAC (the European Federation of Compound Feed

Manufacturers) and the UN Food and Agriculture Organisation (FAO),

Agrifirm is working on the international standardisation of the FeedPrint

methodology. The partnership launched the Livestock Environmental

Assessment and Performance (LEAP) partnership. In 2013 this

partnership worked on a global methodology for CO2 footprinting for

animal feeds. In 2014, an agreement was reached and final guidelines

were published. In addition, the FAO and the American animal feed

industry are consulted concerning the creation of a global database for

data on the environmental impact of certain raw materials.

The CO2 Footprint of Milk, Meat and Eggs

The infographic below illustrates the CO2 equivalent number of

Sustainable brewing barley is a great example of successful chain development“In the past three years, about 70 growers of Veldleeuwerik Foundation were growing brewing barley on Dutch soil with sustainable

methods. Agrifirm Plant provides, among other things, accredited advisers, who issue advice to the growers relating to sustainable cul-

tivation of brewing barley. Holland Malt is responsible for malting the barley and subsequently Heineken brews beer from the malt. In

2014, the brewing barley growers of Veldleeuwerik Foundation supplied 8,000 tonnes of sustainable barley, allowing Heineken to brew

as much as 440,000 hectolitres of beer.

We think it is important that the brewing barley is cultivated also in the Netherlands. This projects gives us a direct link with the Dutch

brewing barley growers. In this case, the growers are very special because they develop sustainable agriculture. The project is a fine

example of successful chain development that also supports the transition towards sustainable agriculture. That is also the reason for us

to continue our partnership with Agrifirm Plant and Holland Malt, having extended the project by three years.

The first three cultivation years were successful, and so we increased the target to 15,000 tonnes of sustainably

grown brewing barley in 2015. Our ambition is 50,000 tonnes of sustainably grown brewing barley by 2020. We

also introduced a field shoulder scheme to the growers, making sowing seeds for flower strips available free

of charge to the growers. This way, we promote both biodiversity and the grower’s image. Heineken aims to

become the greenest brewer in the world, and that means good collaboration with committed partners such

as Agrifirm Plant are essential.”

Jan Kempers, manager Sustainable Development, Heineken Nederland BV

Carbon footprint Kg Co2 eq/ton product

Pig meat Chicken meat Milk Eggs

2010

2011

2012

2013

2014

2010

2011

2012

2013

2014

2010

2011

2012

2013

2014

2010

2011

2012

2013

2014

5000

4000

3000

2000

1000

0

LuLuc

Feed

Farm

kilogrammes of emissions released during the production of a

kilogramme of milk, meat or eggs produced using Agrifirm Feed’s

feeds. The carbon footprint of chicken meat and milk remained

fairly stable compared to previous years. The footprint of eggs

showed a slight decline. The carbon footprint of pork is slightly

higher due to adjustment of the piglet feed calculation method.

The adjusted method is based on a new definition, for example of

the energy required for growing and drying the crops for piglet

feed.


Agrifirm is committed to being an attractive employer. This is how

we can recruit the best employees and achieve the best results.

Corporate social responsibility and relevant business operations are

vital therefore. Offering excellent opportunities for further growth

and a pleasant company culture are also factors in Agrifirm’s success.

Agrifirm aims to take good care of its employees, and consequently

invests in excellent employee benefits and training options.

Our GoalIn order to remain successful, Agrifirm aims to be the most favourite

employer of the agricultural sector by 2020. By 2020, Agrifirm has

developed leadership as one of the key success factors of the

company. This is clear, among others, from a large share of internal

promotions.

Best employer agricultural sectorThe journal ‘V-focus’ performed an online survey in 2014 among

students of agricultural curriculums of four agricultural academies,

Wageningen University and Utrecht University. Students were

asked for companies where they would like to work. Agrifirm was

mentioned at the students’ initiative most frequently and was chosen

as best employer in the survey. We were proud to receive the V-focus

award. This highlights that Agrifirm is appreciated for its activities in

the employee context.

8. THE BASIS for SUCCESS

Expert, motivated employees are indispensable to a successful enterprise. It is important for Agrifirm

to recruit and retain talented employees. This is why Agrifirm creates a stimulating and inspiring work

environment and invests in sound terms and conditions of employment and in training opportunities and

career development.

We aim to be a leading employer“After Agrifirm’s merger with Cehave Landbouwbelang in

2010, we already expressed the ambition to be part of the

top 3 favourite employers in the agricultural sector. This

ambition expresses our scale and market position. When re-

stating our sustainability policy, we also determined we aim

to become a leading employer. As a top company, recruiting

and retaining talents is essential. Products and services are

important - but without the right people, the company is

not ‘rolling’.

So in the next few years we will continue to look for potential

employees from outside the agricultural sector. This enables

us to invite new knowledge and competencies and stay a

large, international company. Additionally, the HR (Human

Resource) departments of the individual companies will

be collaborating to encourage internal promotion of

employees. I think it is important that our staff can say: ‘I

can make a national or an international career at Agrifirm

within its group of companies’. This is why we introduced

an international performance management platform in

2014, allowing employees to work on improving their

performance in a sophisticated way.

We also took a step forward in further leadership

development of managers in 2014. Training managers

enables them to support ambitious employees. In 2015,

we will continue working on this goal with the Agrifirm

Academy, supporting people in their personal development

plans. This will help us remain a leading employer in our

sector.”

Emiel Berg, director HR Agrifirm

LeadershipAgrifirm aims to be the best company in its market by 2016. The way in

which managers exercise their responsibilities is very important in this

respect. This is why Agrifirm is implementing the Leadership@Agrifirm

project. This project is a continuous process and a development

initiative for the entire organisation. Furthermore, Agrifirm frequently

organises training for ‘Young Employees Agrifirm’ (YEA) for employees

up to age 35 with a higher education level.

Training cost per employeeIn addition to leadership training, Agrifirm invests in (further) training,

for example relating to working conditions and safety.

Expenses for training employees (x 1000 euro)

2013 2014

Agrifirm Group 1079 1221

Agrifirm Feed 217 98

Nuscience Group 123 244

Agrifirm Germany 1433 155

Agrifirm Poland 83 120

Agrifirm Hungary 85 86

Agrifirm Co-products 118 42

Agrifirm Belgium 1389 1125

Agrifirm Plant 749 945

Abemec 1753 1944

Oldambt BV 103 90

Agrifirm Exlan 971 549

NutriControl 707 0

Agrifirm Winkel 233 91

AgriRetail 297

International collaborationIn line with its commitment to corporate social responsibility,

Agrifirm contributes to developing the agricultural sector in

various developing countries. Agrifirm Plant supports ‘Building on

fertile grounds’ between 2014 through 2016, a ZOA agricultural

development project in Burundi. Various Agrifirm Plant specialists

visited the project to issue practical crop and cultivation advice. In

2014, a group of 13 representatives of Kenyan dairy cooperatives

visited the Agrifirm head offices. We exchanged knowledge during

this visit and explained our sustainability policy. This visit and some

missions to Kenya and Indonesia are part of the partnership with

Agriterra. This organisation supports farmer organisations in their

battle against poverty based on using experts from the Dutch

agricultural sector and sponsored by the Dutch government.

Customer satisfactionIt is very important to any company to understand their customers’

opinion of them - also to Agrifirm. Therefore Agrifirm performs

a survey of customer satisfaction and its image once every two

years. In 2013 the survey showed that 84 percent of customers

was satisfied. Improving customer complaint handling was one

of the recommendations. Agrifirm Plant edited the procedure in

a number of aspects. For example, complaints are recorded in a

complaints module, and we make a follow-up call on one in every

five complaints to receive feedback on the handling of complaints.

The general target is to resolve 90 percent of all complaints within

two weeks. Agrifirm Feed organised the ‘More Happy Customers’

promotion in 2014, and highlighted customer satisfaction during

the 2014 field sales day. Agrifirm Feed also invested in improving

complaint handling. This is how we reduced our customer losses by

30 percent. In the survey, almost all customers showed a positive

attitude towards Agrifirm. Also non-customers are mostly positive

about Agrifirm.

Agrifirm best employer 2014!1


Health and safety policy Working in a safe environment is important for everyone. This is why

Agrifirm initiated the Safety First Project in 2012. The objective of this

project is to reduce the number of accidents and to introduce safety

principles. In 2014, all Agrifirm companies prepared an Annual Arbo

Plan (Working Conditions Plan).

The Agrifirm Group has good insight into the safety policies of the

different companies. In 2013 a quick scan was performed for the

Agrifirm companies in the context of the Safety First Project. The

scan was completed by all directors of the subsidiaries. The Agrifirm

companies were questioned on eight components:

> Having a safety policy in place

> Performing a risk identification

> Registration of accidents

> Employee safety training

> The presence of health and safety officers

> The presence of designated implementation officers with

specific authorities

> Safety consultation

> Performance of regular medical examinations (‘PMOs’)

Based on the results, each company prepared an action plan in

2014. Some implemented measures. Agrifirm Feed provided

additional training relating to working conditions legislation and

safety. The safety officer passed his exam in 2014 and was certified

as ‘Higher-Level Safety Expert’. The Emergency Response manager

also passed his exam and was certified as an occupational hygienist.

Agrifirm Plant communicated the company regulations once

more, and trained employees in handling hazardous substances

and loading trucks. Safety remains a recurring agenda item for

various Agrifirm units.

Accidents and Sickness AbsenceAgrifirm’s sickness absence rate was 3.7 percent in 2014. In comparison

with 2013, the absence rate remained stable and the duration of

absence decreased. The frequency of accidents slightly rose.

> Accident frequency (incidents per 1,000,000 working hours):

3.9 percent in 2014, versus 2.5 percent in 2013.

> Average duration of absence due to accidents:

10 working days in 2014, versus 22 in 2013.

> Rate of absence due to accidents:

0.2 percent in 2014, versus 0.2 percent in 2013.

Fatal accidents happened to two Abemec employees in 2014. The

causes of the accidents were investigated by the Labour Inspectorate,

among others. This investigation did not turn up any lack of actions or

measures on Abemec’s part.

Average sickness absence as a % 2013 2014

Agrifirm Group BV (excluding participating interests) 2.3 4.4

Agrifirm Feed 4.7 4.5

Nuscience Group 1.7 2.1

Agrifirm Deutschland 7.5 3.4

Agrifirm Polska 2.5 7.1

Agrifirm Magyarország Zrt. 1.8 1.1

Agrifirm Co-products 3.2 3.7

Agrifirm Belgium 3.2 1.2

Agrifirm Plant 2.7 2.7

Abemec 3.6 1.9

Oldambt BV 5.9 7.3

Agrifirm Exlan 3.7 2.9

NutriControl 2.7 4.6

Agrifirm Winkel BV 3.1 4.0

Agrifirm Retail 4.4 4.6

Composition of personnel population

Total number of FTEs in 2014: 3004

Total number of Employees in 2014: 3328

Distribution of Total Number of Employees

Agrifirm Group BV 66

Agrifirm Plant 238

Agrifirm Magyarország Zrt. 128

Agrifirm Feed 583

Abemec 233

Agrifirm Winkel BV 552

Nuscience Group 758

Oldambt BV 29

Agrifirm Co-products 142

Agrifirm Deutschland 194

Agrifirm Exlan 45

Agrifirm Belgium 32

Agrifirm Polska 125

NutriControl 85

AgriRetail 118

Job Families

Management 3,4 %

Commercie 23,7 %

Staff, Support and 15.2 % Services

Research and 5,3 % Innovation

Operations 48,4 %

Other 4%

Gender

Male 74 %

Female 26 %

Employment Contract

Permanent 86 %

Temporary 14 %

Age distribution

< 29 25 %

30-50 48 %

> 51 27 %

Total of 3.328 employees


CoLoPHoN

Agrifirm’s 2014 Corporate Sustainability Report is a publication of Agrifirm Group

and is available in digital format from Agrifirm’s website.

Editorial Committee

CSR department (Agrifirm Group), Communication Department Agrifirm Group,

HR Department and Finance Agrifirm Group, Agrifirm Innovation Center, R&D Plant

Text

Schuttelaar & Partners

Concept and realisation

DTP Agrifirm, JEEN, Made in May

Contact

Agrifirm Group

Landgoedlaan 20

7325 AW Apeldoorn, The Netherlands

PO Box 20000

7302 HA Apeldoorn, The Netherlands

T +31 (0) 88 488 10 00

[email protected]

website: www.agrifirm.com/duurzaam

June 2015


Appendix 1: KPIs relating to our organisation

AMCRA

Bemefa

Identification Group pig veterinaries

WPSA

European pig producers platform

Consultation platform Premixes of Nevedi

Fefana

Frana

Advice committee animal feed research and Product Board Animal Feed

Nevedi Consultation platform premixes

IPVS

Ava Schothorst

Ava AniMedica

Agrivaknet

Agrifirm Co-products

FEFAC work group former feedstuffs on behalf of VIDO

International expert committee of GMP+ (on behalf of OPNV), transport

International Expert committee of GMP+ (on behalf of OPNV), Feed Safety database

OPNV

Agrifirm Plant

Steering group Programme Precision Agriculture

Steering group SGGV Crop protection agents

Nemadecide

Geonema

Agrodis

Mineral fertilisers federation (MMF)

Plantum, cereals section

Plantum, trade licence crops section

NAK

Veldleeuwerik Foundation

Dutch Carrot Group

LLTB

ZLTO

Netrecycle

Mineral Fertilisers Federation

Mineral Fertilisers Distribution

Arable Product Board

Top Sectors Chain Platform

Steering group Thorough Farming with Corn in Drenthe

NIBEM (brewing barley Advisory Committee)

Nemadecide

List of memberships

Agrifirm Group BV

FEFAC, task force sustainability

FEFAC Praesidium

Project leadership, Foundation Responsible Soy Chain Transition

Dairy Campus Innovation Committee

SAI (Sustainable Agriculture Initiative)

Agrifirm Feed / AIC

Top sectors project Feed4Foodure

Animal Feed Research Netherlands Association

GMP committees for logistics and product assessment

Schothorst: Foundation Board, basic package committee, animal committee cattle, pigs, poultry

PR and communications Agrivaknet

Trustfeed, work group supplier assessment

Platform organic food and livestock

CVB

WPSA

Nevedi Atex

Nevedi Board

Trustfeed Board

CVB

International Expert Committee GMP+

FEFAC Quality Feed

FEFAC Committee Animal Nutrition

International GMP+ Sustainable Fishmeal & Fish oil

Occupational Health & Safety Catalogue

GMP+ guidance

NEVEDI substance and endotoxins

Nevedi Arbo (working conditions) and the Environment

Expert committee Rikilt Risk System

raw materials and lab methods

Nevedi Animal feed legislation

SecureFeed Work group Product Assessment

SecureFeed Technical Committee

Nuscience Group

APPENdIx

Agrifirm 2014 Corporate Sustainability Report 46 47

Overview of key themes that emerged in consultation with stakeholders

Plant activities

Sustainable raw materials Biodiversity Transport Health and safety of

(recycling, crops, certifications) (plant health, soil healt, customers and consumers

flowers & bees) (safety at work, advice)

Geonema

Sector board for logistics Netherlands EVO

Abemec

Oldambt BV

Dutch Fodder Legumes Driers Association

CIDE (European association of fodder legumes driers)

Copa-Cogeca, work group fodder legumes

EU advisory group

Agrifirm Exlan

Cumela Section manure distribution

Manure Sales Office

Steering group project office Local Manure Processing

Nevedi work groups Cycle Management Guide

User work group Cycle Management Guide

User group Database Cycle Management Guide

RAV committee

NutriControl

NEN committee food

NEN committee animal feed

NEN committee Halal Food

Fenelab committee agrofood

Fenelab committee accreditation

VRS

Steering group reliability of laboratory testing of GMP+

Agrifirm Winkel

Agri Retail/Agrifirm Winkel

Flowering Platform

RND

BPN

Dibevo

NMF/NMD

Fagrovet

Empty barrel collection

GBM ex farm Netrecycling

Van Gansewinkel Groep

Collaboration Veldleeuwerik

Foundation

Continuation sustainable

brewing barley chain

(Heineken & Holland Malt)

Resetting soil, public-private

partnership (biological soil

remediation)

Partnership Agrometium

(Veris scan): soil analysis in

combination with job cards

for grower

Partnership sector

organisation Nefyto for using

toolbox cards for emission

limitation crop protection

agents

Public-private Partnerships

/ top sectors programmes:

PPP sustainable soil, IJkakker,

GeoNema, Soil Reset Project


Feed activities

Company Animal health and animal Minerals Co-products

welfare (efficiency, manure processing,

cycles)

Climate Sustainable raw materials Safety and liveability for Food safety

(greenhouse gas emissions) (local raw materials, sustainable local residents near plants

soy, sustainable procurement)

Agrifirm Group

(excluding participating

interests)

Agrifirm Feed / AIC Smart Dairy Farming

partnership

WUR + private partners:

research into intestinal health

of piglets

LEAP partnership FAO,

FEFAC, AFIA

F4F FeedPrint WUR,

F4F partners

Agreements with carriers

about more EURO6 trucks

Promoting awareness of

European soy, WUR, ILVO

Partnership Provinces and

private partners for marketing

Dutch soy

F4F alternative proteins,

WUR, F4F partners

Chain transition responsible

soy: Sustainable Dairy Chain,

Environmental

Procurement Sustainable raw

materials: Sustainable soy grit,

sustainable soy oil RTRS,

ProTerra, Amaggi, etc.

Manure Processing

For Farmers, De Heus, ZLTO

Smart Diary Farming Partnership

partnership Belgium (lancom

and University of Louvain) for

precision feeding

Continuation of Manure

investment fund

Partnership Cycle Management

Guide

Partners with scientific and

private partners on better

availability of amino acids

partnership with private

partner for better availability

of residual flows

Establishing Secure Feed

organisation


Nuscience NV

Agrifirm Deutschland

Agrifirm Polska

Agrifirm Hungary

Agrifirm co-products

Feed Belgium

Partnership with Free Uni-

versity Berlin: The effect of

functional feed ingredients on

animal health.

Partnership with private part-

ners: Fermentative upgrade of

raw materials.

Procurement of sustainable

raw materials: mostly broiler

meat non-GM

Regional based sourced

soy bean meal for specific

customers

limestone flour and

limestone granulated for feed

purpose, originally from local

mines in a continuous supply

Sourcing form local farmers

for corn, wheat, barley – all

GMO-free.

Oils and feed meal (as oil

extraction secondary

products) produced locally

Purchasing of responsible soy

via Bemefa

Partnership with private

partners: Conversion of

co-products to energy and

functional feed ingredients.

University of Antwerp:

In-vitro platform

Feed activities



cycles)





Abemec BV

Oldambt BV

Agrifirm Exlan BV

Nutricontrol BV

Agrifirm Winkel BV

Partnership Grey Harrier

Foundation

Feed activities



cycles)





Services and sales markets

The various Agrifirm companies offer the following services:

> Agrifirm Plant: cultivation advice to members in arable farming, organic arable farming, flower bulbs, fruit growers, contract workers,

public landscaping and open-field vegetable crops.

> Agrifirm Feed: advice and assistance to members in cattle farming, dairy farming, meat cattle, goat, horse, poultry and pig

livestock farming.

> NutriControl: laboratory testing relating to nutritional issues in the feed and food industry (analytical chemistry, instrumental analysis,

microbiology, BSE monitoring and customer-specific services relating to quality assurance).

> Abemec: part of Agrimec, and supplier of agricultural mechanisation systems, also provides services relating to maintenance and

24-hour break-down service.

> Agrifirm Exlan: services relating to company development and manure legislation.

> Bonda: advice relating to storage and feeding systems in compliance with all conditions for optimal, efficient and safe use of moist

and dry animal feeds.

These services are provided by the following companies.

> Agrifirm Group

> Agrifirm Feed

> Agrifirm Plant

> Nuscience Group

> Agrifirm Co-products

> Feed Europe:

- Agrifirm Belgium

- Agrifirm Deutschland

- Agrifirm Polska

- Agrifirm Magyarorzág Zrt

> Oldambt BV

> Agrifirm Exlan

> NutriControl

> Abemec

> Agrifirm Winkel

Agrifirm companies are operating in:

The Netherlands, Belgium, Germany, France, the United Kingdom, Spain, Hungary, Poland, Ukraine, Serbia, Romania, Bulgaria,

Russia, Brazil and China.

Partnerships and acquisitions

In 2014 Agrifirm further developed and specified its strategic policy lines laid down in the 2014-2016 Strategic Plan: ‘Agrifirm the Best

Company in its Market by 2016’. This has resulted in a restated vision entitled: ‘Focus and Acceleration’. The core of the strategy is a further focus

on core activities and an acceleration of various improvement processes. This will enable Agrifirm to position and develop itself in the market

with even greater focus and more decisively.

The disposal of minority interests forms part of the strategy. In 2014, this resulted in divestment of the 43 percent share in Holland Malt, a

malting company, to Bavaria. Together with Bavaria, we invested in a modern malting plant in 2003 to support brewing barley crops in the

Netherlands. The inception of Holland Malt achieved an important objective for cereal growers: the creation of long-term sales volume for

brewer’s yeast and the realisation of additional cereal storage.

In 2014, Agrifirm acquired a 100% interest in Agri Retail. This acquisition was based on using Welkoop as the only retail formula. This allows a

clear strategy to be developed for a strong Welkoop brand with the associated shops.

The Agrifirm Exlan consulting firm, together with the Agrifirm Innovation Centre and the NutriControl laboratory, forms part of the newly

formed knowledge cluster. A combination that guarantees innovation and knowledge development.

In 2014, Nuscience split its organisation into two product lines: Nutrition4U and Health4U. Both product lines have their own markets and

marketing. Nuscience’s R&D Department focuses on development of feeds for both product lines.

Eurotier: collaboration is synergy

Agrifirm is always looking for partnerships with mutual benefits. This synergy is the power of our international operations. We increasingly let

the whole world know, too. In November 2014, Agrifirm was presented at Eurotier, the largest livestock farming show in Europe, for the first

time. Agrifirm’s stand was themed with the campaign ‘In cooperation with’ and offered visitors information on our European feed activities.

Together with Bonda, we presented compound feed and by-products on the show. In both western and eastern European countries, Agrifirm

is currently developing commercial activities with jointly offering compound feed and by-products.

Collaborating on sustainable raw materials

In 2014, Agrifirm started collaborating with the Dutch Biorefinery Cluster. This platform aims to fully use organic raw materials and develop

more high-end bio-based products. Agrifirm is also active in themes such as closing mineral cycles and isolating building blocks in plants. This

way, Agrifirm aims to encourage the use of sustainable raw materials together with its partners.

Agrifirm is also active in the ‘Sustainable Agriculture Initiative Platform’ (SAI Platform), which aims to stimulate sustainable agriculture.

Agrifirm participates in the biodiversity committee, for example, developing methods for regional risk analyses with partners. Agrifirm uses

its knowledge of farming practices to develop practically applicable methods. This enables Agrifirm to implement sustainable procurement

policies while working on sustainable crops, processing and trading raw materials.


In general, land use remained stable or decreased in the various countries where Agrifirm is active. The significant decrease in land use for

broilers in the Netherlands can be explained by lower use of soy grit and higher use of corn and rapeseed. The latter two crops require a

smaller land surface. In Belgium, the land use for pigs and laying hens has decreased. This is probably due to the fact that corn, a main source

of pig feed, was mainly sourced from Ukraine in 2013. In 2014, it was sourced mainly from Belgium, France and the Netherlands, where the

crop has much higher yields.

Recycling materials

Recycling materials allows for more efficient use of raw materials. This is why Agrifirm Plant invested in recycling bulb nets in 2014. The

collected bulb nets were recycled into a base product for the plastic industry. Agrifirm Plant collected a total of 3,564 tonnes of bulb nets in

2014. Agrifirm Plant also offers growers the option of having empty jerry cans of crop protection agents, barrels and big-bags recycled. In 2014,

Agrifirm Plant received a total of 91 big-bags with a total weight of 170.75 tonnes. NutriControl also separated its different materials in 2014.

NutriControl Chemical 3,722 kg

NutriControl Plastic 920 kg

NutriControl Paper 5,174 kg

NutriControl Glass 2,225 kg

NutriControl Hospital waste 18,575 kg

NutriControl Dry feed 15,040 kg

NutriControl Residual waste 19,087 kg

Nuscience invested € 2,000 in the Vitamex and Baasrode sites to separate biodegradable waste. Agrifirm Hungary sold paper and metal waste,

saving € 1,000 in the process.

Reuse of residual products from the food industry

44.6 percent of all dry raw materials that Agrifirm processes into livestock feed consists of residual products that originate from the food

industry. These co-products are left over from the production of, for example, bread, cookies, margarine, beer and sugar. Aside from this, food

producers are faced with a large number of residual batches. These residual products, provided they are mixed to create a well-balanced

composition, are extremely well suited as raw material for animal feeds. In general, the 2014 results were comparable to those of 2013. The

percentage co-products in Agrifirm products remained stable or increased slightly compared to 2013.

Appendix 2: KPIs relating to the environment

Carbon footprint

The carbon footprint is the sum of the greenhouse gas emissions during the life cycle of the animal products based on the unit kg CO2

equivalent/tonne functional unit (FU) (milk, meat or eggs). In this Corporate Sustainability Report, Agrifirm has based its carbon footprint

reporting on the FeedPrint tool developed by WUR and Blonk Environmental Advice.

Feed miles and land use

Efficient production results in a smaller environmental footprint. Efficient use of raw materials ensures that more can be produced with less. This is

why Agrifirm annually calculates the transport mileage (‘feed miles’) and the area of agricultural land (‘land use’) required for the production of

a kilogramme of milk, pig meat, poultry meat and eggs. This calculation includes all links in the chain, from the cultivation of raw materials for

animal feeds up to and including the products produced by livestock farmers. From 2015 onwards, Agrifirm performs sector reports.

Land use 2013 2014 Feedmiles 2013 2014

Pig meat 4.7 m2/ kg 3.5 m2/ kg Pig meat 5.67 km/ kg 5.38 km/ kg

Eggs 4.8 m2/ kg 2.8 m2/ kg Eggs 5.672 km/ kg 3.57 km/ kg

Poultry meat 4.9 m2/ kg 2.8 m2/ kg Poultry meat 6.185 km/ kg 3.73 km/ kg

Milk 1.2 m2/ kg 0.8 m2/ kg Milk 1.002 km/ kg 1.459 km/kg

Carbon footprint Kg Co2 eq/ton product

Land use ha/tonne fu

Pig meat Chciken meat Milk Eggs

2010

2011

2012

2013

2014

2010

2011

2012

2013

2014

2010

2011

2012

2013

2014

2010

2011

2012

2013

2014

5000

4000

3000

2000

1000

0

LuLuc

Feed

Farm

Pigs (live weight) Laying hens (eggs) Broilers (live weight) Dairy cows (milk)

NL B

Ger Po

l

Hun N

L B

Ger Po

l

Hun N

L B

Pol

Hun N

L

Ger

0,70000,60000,50000,40000,30000,20000,1000

0

2010

2011

2012

2013

2014

Pol

Percentage per animal type 2013 2014

Dairy cattle 57.2 59.9

Pigs 37.2 37.5

Laying hens 34.6 34.6

Broilers 42.3 43.3


> Szamotuly showed another improvement in plant efficiency. This year, this is due to an investment in a new engine (grinder).

> The deterioration of EEI in Margonin is probably due to the increased feed meal production. This production increase was not factored into

the EEI calculation for this site as no feed meal production was made in the reference year.

> The increased attention for monitoring in Germany also showed improvement in the 2014 results.

> Hungary: in both Gyor and Kaba, the EEI scores were better last year. The pellet production increased significantly. Normally, the effect of

changes to the ratio feed meal/pellets is not factored into the EEI. However, in this case, the increased pellet production is factored in

because the production process changed. The two separate pelletizer machines were replaced with a single large-capacity pelletizer

machine with higher energy consumption. In Kaba, a large amount of wet corn was processed, so that the drier was used more in 2014.

The Bocs plant stopped production as per February 2014 and serves as a distribution centre only. This plant was removed from the table

for this reason.

> The EEI of Nuscience Baasrode deteriorated dramatically. The plant is closing in 2015, which is why Nuscience no longer invests in this

plant. The personnel was informed of the plant being closed and employment contracts were terminated. Such elements are obviously

not conducive to productivity and efficient energy consumption. Furthermore, the production shifted towards specialties.

> For NutriControl, the EEI results showed significant improvement. This is mainly due to the 2014 renovation of NutriControl’s building, as a

result of which the activity flow has been aligned much more efficiently and transparently. Furthermore, a Black Belt project was carried

out, aligning the activities for even more efficiency (adjustment of process and training). This also possibly resulted in more efficient

utilisation of the equipment.

> Within Oldambt BV, the production is mostly focused on processing lucerne (65 percent). The lucerne season is May through September.

The fine weather conditions allowed for pre-drying the lucerne on the land. This means the lucerne had a lower moisture content upon

intake, which allowed Oldambt BV to improve its EEI. Naturally, this is classed as a one-off seasonal effect.

> In Opeinde, another seasonal effect is visible, this time relating to grass drying. In the period of the fresh grass having a low dry dust

content (late April/May, October and even November), a lot of grass was dried for livestock farmers. The wet period had a favourable effect

on the harvest of grass until late in fall, but the moisture content of the grass was above average upon intake. In April and November, grass

drying is rare. The grass was longer and more moist during harvesting, which resulted in additional fuel being required for each tonne of

dried product.

In Germany, the use of co-products in feeds increased. In cattle feeds, the use of co-products increased compared to 2013. In 2013, Agrifirm

incurred a decrease in the use of citrus pulp.

NL B

Ger Po

l

Hun N

L B

Ger Po

l

Hun N

L B

Pol

Hun N

L

Ger

90,080,070,060,050,040,030,020,010,0

0

2010

2011

2012

2013

2014

Pol

Co-products (%)

Energy efficiency index

Agrifirm Feed

Dra

chte

n

Emm

en

Mep

pel

Oss

Veg

hel

Wan

sum

Zwol

le

Gro

bben

donk

Mar

gon

in

Szam

otu

ly

Top

ola

Neu

ss

Kab

a

Gyo

r

Bocs

Dro

ng

en

Baas

rod

e

Veg

hel

Old

amb

t

Op

ein

de

200180160140120100

80604020

0

2010 2011 2012 2013

AgrifirmBelgium

AgrifirmDeutschlandAgrifirm Polska

Agrifirm Magyarország Zrt.

Nutri-Control BV OldambtNuscience Group

2014

> When comparing 2013 and 2014, we can see decreased EEI (improvement) in some sites, and increased EEI (worse) in others.

> Since 2013, Agrifirm Feed has factored in the results before EEI calculations in the EEI calculations. The reference year is 2011. In Emmen,

the EEI had decreased due to closing the plant in October 2014. Drachten shows another improvement in efficiency, the effect of the

renovated steam boiler. Also, this plant’s capacity was increased. The plant is producing at full speed after taking over some of Emmen’s

production. This is a factor in the EEI calculation. Oss also took over part of Emmen’s production, but shows a deterioration of the EEI. This

is explained by the extra energy required in the production process to improve the quality of the pellet (pellet consistency). We have no

direct explanation for the improved EEI in Wanssum.

> Grobbendonk’s EEI shows a slight deterioration compared to last year.

2014 compared with reference year

160

140

120

100

80

60

40

20

0

Dra

chte

n

Agrifirm Feed Belgium Poland Germany Hungary NuscienceNutri-

Control Oldambt

Emm

en

Mep

pel

Oss

Vegh

el

Wan

ssum

Zwol

le

Gro

bb

endo

nk

Mar

goni

n

Szam

otul

y

Top

ola

Neu

ss

Kab

a

Gyo

r

Bocs

Dro

ngen

Baas

rode

Vegh

el

Old

amb

t

Op

eind

e

Pigs (live weight) Laying hens (eggs) Broilers (live weight) Dairy cows (milk)


Appendix 4: Sustainability labels

Sustainability labels for feed concepts and products

In 2014, Agrifirm was the first animal feed company to develop sustainability labels for feed concepts and products. The sustainability labels

offer both members and customers specific information on sustainability performance of our feed concepts and products for cattle, poultry

and pigs. This gives our members and customers insight into the impact they can realise with the feed concept or product, and assists them in

producing feed in a profitable and sustainable way.

Together with Blonk Consultants, an environmental consultancy firm, Agrifirm developed a method for calculating the underlying

sustainability indicators for the sustainability labels in 2014. This was set out in a protocol. Six indicators were determined for the five labels.

Label: Mineral efficiency

> Indicator: Nitrogen efficiency

> Indicator: Phosphate efficiency

Label: Animal health

This label offers qualitative information only

as animal health is difficult to capture in statistics.

Label: Climate

> Indicator: Carbon Footprint

Label: Recycling

> Indicator: % Co-products

Label: Sustainable Raw Materials

> Indicator: Land Use

Improvement percentage and impact score

The sustainability label lists the indicator on which the theme is measured and a short description of the sustainability effect of the feed

concept or product. This effect is presented in the bottom of the label with an improvement percentage. The impact of the percentage

increase or decrease is expressed with one of three scores: substantial, high or very high (in a positive or negative sense) If the impact is

negligible, the score is ‘neutral’. For each indicator, the lower limit for the score ‘substantial’ was determined using a literature study.

This requires significant improvement compared with a reference situation. These scores are always summarised in a fact sheet for

the sustainability performance of a feed concept or product. All published fact sheets are available from the sustainability page of the

Agrifirm website.

The impact scores substantial, high or very high thus indicate the importance of the percentage increase or reduction on the sustainability

label. After all, the score on one label is easier to influence than the score on another. This is due to the range of measures and the challenge

of implementing measures to realise an improvement on the label. In order to use a sustainability label, the sum of the indicators of a feed

concept or product must always be positive. Only indicators with a positive score may be issued with a sustainability label. This analysis is

set out in the protocol of the sustainability labels. This protocol is available from the sustainability page of the Agrifirm website.

Appendix 3: KPIs relating to the employee benefits and human rights

Codes and regulations

Agrifirm voluntarily abides by the Netherlands Corporate Governance Code. This code is mandatory for companies listed on the stock

exchange and contains principles and provisions that regulate the relationship between the Executive Board, the Supervisory Board,

shareholders and the General Meeting of Shareholders. In the case of Agrifirm, the code has been adapted so as to provide a proper fit with its

cooperative character. Furthermore, the company has a Fair Business Practices code of conduct. This code of conduct is a guideline designed

to promote conscious and ethical actions under all circumstances. For example in situations involving a conflict of interest or competitive

methods. Employees who report abuse are protected by the Whistle-blowing Regulation. In 2014 there were no reports concerning

corruption or discrimination submitted pursuant to these regulations.

Collective labour agreements on notice of termination

In collective labour agreements, Agrifirm sets out that employees on temporary and permanent contracts are subject to a notice period from

the employer up to 13 weeks, and from the employee up to 6 weeks. This depends on the employment contract term and the employment

conditions.

Sector campaign ‘Flanders’ Pride’

In April 2014, Agrifirm started its ‘In cooperation with’ campaign. This campaign demonstrates what Agrifirm is proud of: the entrepreneurs

who work with passion and dedication to produce the most magnificent products. This campaign was also used in Belgium. Bulk lorries were

showing truck-wide quality products and the proud Flemish livestock farmers and growers to a broad audience.

Young Employees, Young Potentials

The ‘Young Employees Agrifirm’ (YEA) consists of higher-educated employees up to the age of 35 who regularly meet to take courses

and expand their network. This year, a conference of several days took place in Poland. The conference theme was leadership roles and

organisation culture. In late 2014, the second conference was held in Amsterdam to discuss trend developments and opportunities for

Agrifirm. Agrifirm Winkel BV has its own version: the Young Potentials Programme.

Working Together on Success III

In 2014, Agrifirm organised another edition of Working Together on Success for three target groups. The field representatives attended

workshops relating to the theme ‘Commercially Stronger’, centring on interview techniques and presenting the customer relationship. For

the managers, the programme focused on preparing a personal action plan for achieving strategic and company objectives. All employees of

Agrifirm Feed participated in the programme ‘I & My Team’, highlighting personal development. X employees participated in Working Together

on Success in 2014.

Participating in sports at Agrifirm

Playing sports is good for one’s health and a fun way to get to know colleagues better. This is why Agrifirm organises several sporting events

each year.

Sponsoring

Contributing to an agricultural powerhouse and a sound society is important to Agrifirm. This is why we sponsored various initiatives at home

and abroad. For example, Agrifirm Feed sponsored study meetings and LTO Netherlands in 2014 to an amount of € 77,000. Agrifirm Plant

and Agrifirm Co-products sponsored a ZOA project in Burundi to an amount of € 20,000. Agrifirm Poland and Hungary also sponsored social

initiatives to amounts of € 1,500 and € 3,500 respectively. Oldambt BV sponsored landscaping and biodiversity to an amount of € 2,500.

(Factsheet)

schakel in succes

Duurzaamheidslabels voor verantwoorde keuzeNegen miljard mensen voorzien van gezond en

duurzaam voedsel. Dat is de grote uitdaging waar de

wereld voor staat. Agrifirm helpt leden en klanten

om op een rendabele en duurzame manier voedsel te

produceren. Als eerste diervoederbedrijf kiest Agrifirm

voor duurzaamheidslabels voor voeders en concepten.

De labels zijn bedoeld om inzicht te geven in de

duurzaamheidsprestaties van het concept of product.

DuurzaamheiDsprestaties van sOLiQ

Vijf labelsEr zijn vijf labels: mineralenefficiëntie, diergezondheid,

klimaat, recycling en verduurzaming grondstoffen.

Elk label heeft een eigen symbool en geeft concrete

informatie over de duurzaamheidsprestaties van uw

voerconcept of product. Zo helpen we u een volgende

stap te zetten naar een duurzame voedselvoorziening.

Hieronder vindt u de duurzaamheidsprestaties van SOLIQ.

Voor elk duurzaamheidslabel geldt een andere schaalverdeling. U vindt deze op de laatste pagina van deze factsheet.

Legenda:negatieve impact Neutraal positieve impact

7,3%

Het landgebruik per ei melk

daalt met 7,3%, mede door de

aanzienlijke stijging van het

aandeel van co-producten.

Landgebruik

Landgebruik

Reductie


11%

SOLIQ bevat 11% meer

co-producten dan gangbaar

pluimveevoer.

Recycling

Co-producten

Co-producten

Reductie

5,0%

Doordat soja wordt vervangen

voor een vergelijkbaar deel

co-producten, bereikt u met

SOLIQ een hoge reductie van

klimaatemissies per kg ei.

Klimaat

Carbon Footprint

Carbon Footprint

Reductie

Door een vlotte en uniforme

voeropname is de gezondheids-

toestand van het koppel veel

stabieler en is er minder uitval.

Dier-gezondheid

Gezondheidseffect

Op het gebeid van mineralen-

efficiëntie zijn er geen

aanzienlijke veranderingen te

verwachten.


0,4% 0,5%

N efficiëntie

N en P efficiëntie

P efficiëntie


sOLiQ

ReductieVerhoging

(Factsheet)

schakel in succes

Duurzaamheidslabels voor verantwoorde keuzeNegen miljard mensen voorzien van gezond enduurzaam voedsel. Dat is de grote uitdaging waar dewereld voor staat. Agrifirm helpt leden en klantenom op een rendabele en duurzame manier voedsel teproduceren. Als eerste diervoederbedrijf kiest Agrifirmvoor duurzaamheidslabels voor voeders en concepten.De labels zijn bedoeld om inzicht te geven in deduurzaamheidsprestaties van het concept of product.

DuurzaamheiDsprestaties van Line-upVijf labelsEr zijn vijf labels: mineralenefficiëntie, diergezondheid, klimaat, recycling en verduurzaming grondstoffen. Elk label heeft een eigen symbool en geeft concrete informatie over de duurzaamheidsprestaties van uw voerconcept of product. Zo helpen we u een volgende stap te zetten naar een duurzame voedselvoorziening. Hieronder vindt u de duurzaamheidsprestaties van Line-Up.

Voor elk duurzaamheidslabel geldt een andere schaalverdeling. U vindt deze op de laatste pagina van deze factsheet.Legenda:

negatieve impact Neutraal positieve impact

4,8%

Het landgebruik (m2) per kg vleeskuiken daalt met 4,8% wanneer Line-Up wordt toegepast.

Landgebruik

Landgebruik

Reductie


1,1%

Binnen Line-Up is het aandeel co-producten zeer licht gestegen met 1,1%.

Recycling

Co-producten

Co-producten

Verhoging

0,1%

De carbon footprint is zo goed als onveranderd.

Klimaat

Carbon Footprint

Carbon Footprint

Verhoging

In de Line-Up proeven op Laverdonk werden de voetzoolleasies aanzienlijk teruggebracht.

Dier-gezondheid

Gezondheidseffect

Op basis van de voerproef zijn de stikstofefficiëntie en fosfaatefficiëntie met respectievelijk 1,6% en 2,5% iets verslechterd. Deze ver-slechtering was echter niet significant in de dierproef.


1,6% 2,5%

N efficiëntie

N en P efficiëntie

P efficiëntie

Reductie


Line-up

sustainable supply chains - agrifirm.com

Documents