Fraser & Neave Holdings Bhd Annual Report 2020

3 CONSUMER HEALTH AND SAFETY 071 ANNUAL REPORT 2020 03 md&a WHY IT IS IMPORTANT TO US Our success are built on mutual trust with our consumers. We consistently maintain the highest quality and safety standards so that customers have full confidence when purchasing and consuming our products. RISKS • Failure to address the shift in consumer trends effectively will result in loss of sales. • Reputational risk and customer claims arising from break of supply chain or compromised packaging outside of factory. • Regulatory changes that may affect product recipe and/or packaging. OPPORTUNITIES • Transforming product portfolio towards healthier options that contribute to consumers’ well-being. • Higher sales and revenue from product range expansion and portfolio diversity. • Improvement in product quality results in increased consumer trust and strong credibility in exports market. OUR RESPONSE Our products comply with relevant standards across their entire life cycle. Proper governance system supported by Group’s various policies and frameworks are put in place to ensure that controls are working as intended. i. Healthier Options • Continuously develop new healthier options and reformulating existing product to cater to consumer’s demand. • Reduced the sugar index of our total beverage portfolio. • Support Government’s Healthier Choice Logo certification in Malaysia and Thailand. ii. Halal Assurance • All products are halal certified by the Department of Islamic Development Malaysia, and other relevant authorised certification bodies. • Established F&N Group Halal Council at strategic level and an internal Halal Committee in each of our manufacturing plants to ensure halal compliance in our supply chain. iii. Quality & Safety • Adherence to health and safety regulations in the markets where we operate and international food safety standard like Food Safety Management System ISO 22000, Quality Management System ISO 9001, Accredited Laboratory, Good Manufacturing Practice, and Hazard Analysis and Critical Control Points (HACCP). iv. Nutritional goodness • Our Nutrition Charter guides all aspects of our product development, marketing and initiatives to advocate healthy lifestyles. Refer to the ‘Sustainability Statement’ section on pages 133 to 139 in this AR, or read more in the F&NHB Sustainability Report 2020.