Fraser & Neave Holdings Bhd Sustainability Report 2020

Our Approach The circular economy is a growing focus area for our stakeholders. There is increasing stakeholder awareness of the importance of environmental-friendly packaging, especially in relation to plastics. Increasing the sustainability of our packaging is important to support our national regulators’ and government’s effort to phase out single-use plastics and go zero waste, as well as reduce the extraction of raw resources and waste generation. We strive to ensure our packaging protects the integrity of the contents and fulfils the visual and functional expectations of our consumers. We have been improving our packaging materials by progressively reducing material usage, increasing the use of sustainable materials and increasing the recyclability of our packaging. There is much room for innovation in packaging which we have been exploring over the years (more details are included in the ‘Innovation’ chapter of this report). Reducing Packaging Materials We are reducing the volume of packaging materials used as a percentage of product. We areminimisingmaterials that are not favourable to the environment in our labels and flexibles by switching to PET, laminate paper packaging and Transverse Direction (TD) flute in cartons. Actively source and develop packaging solutions that contributes to recyclability, reusability and carbon footprint reduction. Increase recycled content in our packaging while maintaining the integrity of product, and minimise waste to landfill. Minimise packagingmaterial usage and waste in our total supply chain. Increasing Use of Sustainable Packaging Materials We are working to include more recycled content in the packaging materials, as well as sourcing more renewable and bio-based packaging materials such as sugarcane-based plastic. We are working to find new suppliers who can meet our requirements for sustainable packaging materials including rPET. For example, we are increasing the use of recycled paper in our beverage trays. Improving Recyclability of Packaging We are increasing the recyclability of the primary and secondary packaging used in our products. This requires us to address challenging packaging materials such as labels and be flexible in order to find alternative solutions. Collaboration Together with ThaiBev, we take part in industry collaborations to realise closed loop recycling in our value chain and also support the Circular Economy and Recycling learning and education in schools. We have also attended the Post- Consumer Plastic (PCR) Training session with Dow Jones and Scientex to learn about post-consumer plastic. Packaging Sustainability Policy FNDT has recently launched the new Packaging Sustainability Policy which places Green Packaging as our priority commitment. With our main packaging materials being aluminium cans, plastic and paper, this policy considers the impact of products from design and development, to post-consumption management. With this, FNDT has also set a Packaging Intensity Ratio Roadmap that we closely monitor. PACKAGING SOLUTION GO GREEN 360 DEGREE MINIMISE PACKAGING WASTE Eco- Efficiency PACKAGING SUSTAINABILITY POLICY Green packaging is our priority PACKAGING 078 FRASER & NEAVE HOLDINGS BHD