Fraser & Neave Holdings Bhd Sustainability Report 2021

GRI Index: GRI 307-1, GRI 419-1 Embedding Halal Standards & Requirements As a leading manufacturer of Halal-compliant products, ensuring Halal compliance and maintaining Halal integrity is important throughout the supply chain for F&N. Strict adherence and implementation of Halal standards are needed to ensure that the needs of our local and global Muslim consumers are met and we will go beyond compliance of laws and regulations. • Establishing Group Halal Council With an aim to be the market leader in the Halal F&B industry, we have established a Group Halal Council in 2016 to embed the Halalan Toyyiban guidelines, extending it into our operations and our engagement with consumers and society. The Group Halal Council is assisted by the Halal Affairs Department, while a dedicated internal Halal Committee is set up in each of our manufacturing plants. The internal Halal Committee is responsible for all matters pertaining to Halal compliance in our supply chain, from material selection, purchasing, raw materials receiving, manufacturing facilities and personnel directly involved in production processes, to the storage and transportation of our products. • Strengthening Internal Control & Processes All our products are Halal-certified by the Department of Islamic Development Malaysia (JAKIM) and other relevant authorised certification bodies such as MUI (Majelis Ulama Indonesia) and CICOT (Central Islamic Council of Thailand). Our strict Halal standards and robust assurance system have enabled Shah Alam and Pulau Indah plant to be awarded the Whitelist status by JAKIM, in which Halal applications and approval are fast tracked. Halal Assurance Management System (HAS) is implemented to maintain and ensure sustainability of Halal production processes according to JAKIM Halal requirements and standards. Additionally, we have performed porcine analysis for our products as further assurance of Halal, and none of products was found to contain trace of porcine. Used equipments or machines brought into our factories underwent sertu cleansing (Shariah cleansing) to maintain Halal integrity of our products. We are fully committed to meet the Halal standards and requirements through continuous strengthening of employee’s Halal awareness and understanding with the following initiatives: • Regular Halal Awareness programme, including training, contests and quizzes • Regular training in Good Manufacturing Practices and Good Hygiene Practices • Prohibition of non-Halal foods and drinks within the factory premises, including o+ce and canteen All employees in Malaysia undergo mandatory Halal awareness training while employees with a responsibility in Halal matters also attended a series of professional training related to Halal internal audits and assurance. Over 700 employees attended Halal-related briefing/training this year. Apart from our employees, the Halal awareness training was also extended to our key transporters. Halal audits were conducted on our distributors to ensure Halal compliance downstream our supply chain. • External Engagement To further propel the Halal eco-system in Malaysia, we facilitate positive collaborative engagement with Halal authorities such as JAKIM, Jabatan Agama Islam Selangor (JAIS) and Halal Development Corporation Berhad (HDC). F&N is actively engaging with the Department of Malaysia standards through Federation of Malaysian Manufacturers (FMM) to provide our input towards developing Halal related standards to, such as Sertu standards and Malaysian Standard 1514 Good Manufacturing Practice (GMP for Food). This year, F&NHB continued to partner HDC on the Halal Sourcing Partnership Programme, a capacity-building programme aimed at sharing Halal industry best practices whilst providing technical advice and knowledge transfer to small and medium entreprises, and further coached them to elevate their capability to be qualified as Halal vendors for multi-national companies. F&NHB also participated in knowledge sharing forums during SC-HDC FORUM 2021 and the 17 th Malaysia International Halal Showcase (MIHAS). POLICY AND REGULATION APPROACH SDG 16: Peace, Justice and Strong Institutions Responsible Business Practice 047 Fraser & Neave Holdings Bhd ! Sustainability Report 2021