Carrefour - 2017 Registration Document

2 CORPORATE SOCIAL RESPONSIBILITY Protecting biodiversity CARREFOUR | 2017 REGISTRATION DOCUMENT 57 Carrefour’s performance In 2017, Carrefour introduced a new composite indicator to measure progress made in the fight against deforestation relating to the wood/paper sector. The objective is to reach 100% compliance with our Sustainable Forests initiative by 2020 [CSR Index]. The new indicator takes into account four main deforestation risk categories: soy farming, wood, wood pulp and paper production, palm oil production, and Brazilian cattle ranching. The indicator’s main sub-objectives for 2020 are as follows: 100% of sales of the top 10 wood, wood pulp and paper product ● families must be sourced from responsible suppliers; 100% of palm oil supplies must comply with sustainable ● procurement commitments: certified RSPO ‘segregated’ (fully traced), RSPO mass balance, RSPO Next, POIG or similar; 100% of Brazilian cattle suppliers must be geo-referenced, with ● zero deforestation; the Group must develop a Carrefour Quality Line for animals fed ● with zero-deforestation vegetable proteins in all countries. 2017 % of compliance with our Sustainable Forests initiative 39.8% Highlights Carrefour formed the first panel of stakeholders to discuss efforts support, discussing points such as sustainable forestry management on combatting deforestation. Two meetings were held, with WWF ® and solutions for setting up a responsible soy supply chain. Priority wood and paper products Carrefour’s policy Carrefour promotes sustainable forest management for its audited wood products and derivatives. For the highest-impact priority product families, accounting for close to 80% of the consumption of components derived from wood or paper, Carrefour is committed to sourcing 100% of supplies from sustainably managed forests by 2020. Sustainability criteria are the FSC (Forest Stewardship Council) 100%, FSC Mix and PEFC (Pan European Forest Certification) Europe labels, which attest to sustainably managed forests and sustainable wood varieties or sourcing. Carrefour is also committed to discontinuing supplies of timbers from tropical forests by 2020. Priority product families are covered by a responsible purchasing process: All suppliers are required to sign the Carrefour Wood Charter, ● which is systematically appended to contracts. This charter covers the following points: the legality of procurement; the respect of local populations; that supplies are not sourced from high conservation value forests (HCVF); that supplies are not sourced from species included on the International Union for Conservation of Nature (IUCN) red list of threatened species or species protected under the Convention on International Trade in Endangered Species of Wild Fauna and Flora (CITES); All suppliers undergo a technical audit which includes a wood ● traceability check. Carrefour’s performance Since 2015, the Group has taken steps to boost sales of Carrefour PEFC and FSC products. Sales retreated slightly year on year. Change in sales 2017 2016 Change Sales of Carrefour PEFC and FSC products (in millions of euros) 102.0 105.0 -2.8% Scope: Like-for-like BUs (100% of 2017 consolidated sales excl. VAT). In France, 100% of charcoal is FSC certified from European or French sources, and 100% of garden furniture made from tropical wood (acacia and eucalyptus) is FSC certified.