SUSTAINABILITY REPORT 2022 1 Contents 1. Foreword ................................ ................................ ................................ ................................ ...................... 3 2. 100 years of chocolate passion ................................ ................................ ................................ ................... 3 3. Mission , values and vision ................................ ................................ ................................ ........................... 4 4. Our sustainable smiles roadmap ................................ ................................ ................................ ................. 6 5. Smiles through our products ................................ ................................ ................................ ....................... 7 5.1. Product Quality and Safety ................................ ................................ ................................ .......................... 7 5.2. Sustainable sourcing ................................ ................................ ................................ ................................ .... 8 5.3. Responsible consumption ................................ ................................ ................................ ......................... 10 6. Smiles by the people ................................ ................................ ................................ ................................ .. 11 6.1. Cocoa farmers ................................ ................................ ................................ ................................ ............ 11 6.2. Consumers ................................ ................................ ................................ ................................ .................. 12 6.3. Employees ................................ ................................ ................................ ................................ .................. 12 6.4. Suppliers ................................ ................................ ................................ ................................ ..................... 13 7. Smiles for the planet ................................ ................................ ................................ ................................ .. 14 7.1. Carbon footprint ................................ ................................ ................................ ................................ ........ 14 7.2. S ustainable packaging ................................ ................................ ................................ ............................... 15 8. Plastics ................................ ................................ ................................ ................................ ........................ 16 8.1. Monomaterials ................................ ................................ ................................ ................................ ........... 16 8.2. Dark coloured plastics ................................ ................................ ................................ ............................... 16 8.3. PVDC coating ................................ ................................ ................................ ................................ .............. 17 8.4. Plastic - free ................................ ................................ ................................ ................................ ................. 17 8.5. Cardboard ................................ ................................ ................................ ................................ ................... 17 8.6. Product design and inks ................................ ................................ ................................ ............................. 17 9. Energy and water ................................ ................................ ................................ ................................ ....... 18 9.1. Electricity ................................ ................................ ................................ ................................ .................... 18 9.2. W ater ................................ ................................ ................................ ................................ .......................... 18 10. Fo od waste ................................ ................................ ................................ ................................ ................. 19 11. Objectives and progress ................................ ................................ ................................ ............................ 19 Annex 1 - Monomaterials ................................ ................................ ................................ ................................ .. 20 Anne x 2 - PVDC coating ................................ ................................ ................................ ................................ ...... 20 Annex 3 - 100% green electricity ................................ ................................ ................................ ....................... 20 Annex 4 - Environmentally friendly cooling installations ................................ ................................ ................. 21 2 Annex 5 - LED lighting. ................................ ................................ ................................ ................................ ....... 21 3 1. Foreword Libeert’s first s ustainability r eport complements our financial report s by focusing on the social, environmental and economic aspects of sustainability , a pivotal theme to Libeert and to its stakeholders The report particularises Libeert NV, with its registered office and production facilities located at Kastelenlaan 107a, 7780 Komen in Belgium. This document covers our sustainable path from the start all the way to today. Since we prioritise being transparent, it will be updated regularly to remain in line with our ambitions for the coming years. We are convinced that sustainability, health and wellbeing are fundamental for a business in order to be successful in a future - proof food industry Starting from this principle, the United Nations Sustainable Development Goals set the framework for our roadmap. We intend to publish a sustainability report at least every two years a nd make it available for the SBTi (Science Based Targets Initiative ) audit. 2. 100 years of chocolate passion For 100 years now, driven by passion, we have been producing the most delicious chocolate, loved by every generation. Our story starts when our great - grandfather, Joseph Dequeker, son of an artisan pâtissier chocolatier and fascinated by/passionate about all things sweet , in 1923 discovers the world of chocolate during a trip to Italy and Switzerland. This beautiful product touched him to his core, so he decided to start making his own chocolate, straight from the cocoa bean, as well as starting up a busi ness in Belgium named ‘Les Spécialités Suisses Italiennes’ . His range of home - made chocolate consisted of top - quality chocolate figurines and bars. The second generation continued to develop the working methods and especially concentrated on the quality of the chocolate. Quality, Quality, Quality became the mantra – which boosted demand. The machine park also grew, allowing volume to increase. Of cour se, as long as the quality of the chocolate remained top notch. Focus 4 by then had switched to manufacturing chocolate figurines on an industrial scale, however, still with a level of quality and taste on par with artisan products. The chocolate retailers a nd confection e ry wholesalers were thrilled, since they knew they were buying quality products while at the same time having less work. By then, the products’ brand changed to a more general name: ‘ITALO SUISSE’. The third generation thrived in this enthu siastic atmosphere of manufacturing and sales. Production kept evolving and further automation resulted in even better and nicer figurines. In the sixties, sales channels saw a huge leap as well, with self - service and supermarkets becoming mainstream. Beca use of these developments, demand for chocolate bars increased and clients from abroad also started showing interest in our unique chocolate figurines and bars. For a couple of years now , the business is being run by the fourth generation. In 2015, our c ompany name changed from ‘Italo Suisse’ to ‘Libeert’. This fourth generation emphasises our engagement towards sustainable growth. T he marketing and design approach is being refined, while the taste of our chocolate simply... tastes of more. The focus remain s on the two most important product groups: chocolate figurines and chocolate bars. With the ‘Libeert’ chocolate figurines, made of sustainable chocolate, we boast our Belgian pride. We are market leader in this segment in Belgium, thanks to our large pr oduct range. We also produce numerous private label products for a large number of retail and chocolate partners. Again, sustainability is pivotal and we are in the position to help retailers in rendering their offering more sustainable as well. Innovati on is an important driver at Libeert, not just when it comes to products, but also in terms of processing and technology. We constantly invest in sustainable production facilities, product quality, packaging and safety. The world’s population grows by mill ions each year, and we would love for all of them to get acquainted with our delicious Belgian chocolate. Challenges galore! 3. Mission , values and vision Libeert’s highest goal is to bring one of the most beautiful things in the world to life: a smile on the faces of all our stakeholders: consumers, colleagues, clients, suppliers and cocoa farmers. We want to do so by being the leading master chocolatier for everyone, who creates delicious and nice - looking chocolate products in a sustainable way. 5 Ambition Libeert’s ultimate ambition is to be the leading master chocolatier for everyone. Leading master chocolatier : ‘setting the tone’ with regard to taste, quality, design, packaging, precision, finishing, service, reliability, in short ‘being pro fessional’ and targeting simply everyone. How we will get there We want to create Smiles by creating delicious and nice - looking chocolate products in a sustainable way. Delicious: without a doubt, taste is essential and something we hold dear, since we represent one of Belgium’s national symbols: chocolate. In many pa rts of the world, this delicacy invokes adjectives such as ‘Heavenly’ or ‘Unique’. At Libeert, that idea of being ‘Heavenly’ and ‘Unique’ is of tremendous importance. We taste the difference. Nice - looking: Beauty is in the eye of the beholder, a notion y ou could summarise as ‘a feast to the eyes’. Libeert equals details and precision, in production design as well as in packaging design. We aim to be a source of innovation for our clients and surprise our consumers – and that way, make them smile. Our in - h ouse design team is unsurpassed and cross - departmentally, creative minds bring their ideas to the table, which is why we can make the difference. Chocolate products: Libeert specifically targets two product groups: premium chocolate bars and hollow figuri nes. 6 Sustainable: We aim to offer chocolate products that are as sustainable as possible and, in that sense, comply with our clients’ expectations. At the same time, we are actively committed to become even more sustainable in the future. We are ready to tackle this challenge , together with all of our stakeholders. Values Libeert’s values are the main drivers of our organisation. Th ey embody our DNA and the foundation of our corporate culture. These values will probably sound familiar, since in fact we actually live by them every da y , be it consciously or subconsciously. TOGETHER we make the difference The fact we can rely on a wide array of competencies, fields of expertise and experience within our organisation, combined with respect and trust, is the reason why we make the difference and are in fact complementary. ENTREPRENEURSHIP is d aring to take initiative when an opportunity arises. At times, this might cause stressful moments or even fear. This is normal and even positive, since it is by taking on a challenge that growth occurs. We develop and take steps forward. When we motivate each other in such times, we will for sure make the difference even more. PASSI ON in w hat we do, and we do it wholeheartedly We go by the principle that anything you do should act as an energi s er. When you radiate tangible energy that in turn triggers the people around you, or your colleagues: how fantastic! Obviously, not every day can be a good day. Sometimes , that passion might wane away and some days just don’t go as planned. That’s exactly when the people around you can give you that much - needed boost to pick yourself up ag ain. ENGAGEMENT towards societal and sustainable entrepreneurship Being a family business, the next generation is important to us. Becoming a more sustainable business in a more sustainable environment is a must. Sustainability isn’t a tangible, well - defined subject. However, it is a subject we can all contribute to, be it a small or big way. GRO WTH a s a person, as a team and as a business Of everything we do, growth is at the centre. To us, it is important to activate growth as a person, as a team and as a business. It all starts with personal growth, which can be gain ed by training but also by giving and receiving feedback. To us, feedback is a gift that helps you grow 4. Our sustainable smiles roadmap The core of our existence is to create a smile through our chocolate products. We wish to see that smile not only on the faces of the people around us, but also for our planet’s benefit. We value the fact people can enjoy our chocolate products, but we jus t as much value the fact our products are manufactured in the most sustainable way possible, respecting people and nature. 7 A first step in Libeert’s transition towards a sustainable business has been bringing together a team to actually work and frequentl y brainstorm on this sustainability topic. At the beginning, these sessions remained largely inspirational, based on daily life, literature and current affairs. After a while, these meetings became more methodical, as in we analysed our business processes and our current position, whilst also pinpointing opportunities to install improvements. The outcome of these sessions has been bundled in a first sustainability report which in turn defines our future sustainability roadmap. In second phase, we aim to de fine exactly what we will invest in in the coming year s , for each of the building blocks of sustainable growth ( People, Planet, Profit) , in order to become a more sustainable business and c ontribute to a more sustaina ble future. Our road ahead will be managed and monitored by means of KPIs, indicators and results which in turn will be summari s ed every two years. 5. Smiles through our products The chocolate products Libeert produces daily are the result of 100 years of passion and know - how. We aim to cont inue this story in the coming century, whilst we also continue to focus on our raw materials, our process and our product. In order to do so, we have established what is important to us in order to continue to bring that smile on people’s faces. 5.1. Product Q uality and Safety The power of our products is harnessed by the excellent product quality and safety we offer our clients. Since the year 2000, Libeert has been GFSI certified. GFSI, or Global Food Safety Initiative, is an initiative by the international retail industry and a certification body regarding food safety standards, with the aim to monitor and optimise food safety m anagement systems applied by businesses. That way, the consumer is guaranteed safe food at all times. Two important GFSI standards within international retail, which are prerequisites to be a supplier, are the BRC and IFS standard. These are renewed annual ly, based on the outcome of an unannounced audit. To us, food safety is important and we expect the same attitude of our suppliers. We only engage suppliers that are GFSI certified. That certificate is an important requirement, by which we try to avoid an y external risks. Raw materials delivered to us have to carry all required attestations or certificates. Next to that, raw materials are subject to internal checks, before being used in production. In case a quality or safety risk is detected, the raw mat erials in question are returned to the supplier. We put all these measures in place in order to guarantee product quality and food safety. In our production facility, hygiene and cleanliness are top priorities. Weekly checks make sure we can guarantee the quality and safety levels we want to promise our clients. Our employees receive regular training sessions on the most up - to - date food safety requirements. Each product that rolls off the production line is checked for deviations using predefined paramete rs. We also have a monitoring plan in place, which enables us to immediately detect possible risks, before the product leaves our warehouse. 8 Libeert always prioritises quality and safety. At each step of the production process, measures are put in place t o produce products of the highest quality. This is something we want to maintain and optimise in the future. 5.2. Sustainable sourcing Creating responsible, delicious products is what we do every day at Libeert. We are passionate about chocolate and we want to offer our customers and consumers only the best. The best not only means top quality product s, but it also means we create our products in a sustainable and responsible way , with respect for the people and our planet Chocolate Chocolate is what we live for and therefore deserves the utmost attention. We purchase liquid chocolate as a raw material and process it into the chocolate products we offer you. The main ingredient of chocolate is cocoa. Cocoa is derived from the cocoa fruit which only grows around the equator , in a tropical climate. Approximately 70% of the worldwide cocoa vol ume is produced in West Africa , of which 60% comes from Ghana and Ivory Coast Cocoa is mainly grown by a large number of small - scale farms. The cocoa from these farms is collected by cooperatives to be shipped to Europe for further processing and the use in chocolate production Cocoa farmers face many social, economic and environmental challenges , which results in limited yields, a small income and a life in poverty. As a producer of chocolate, it is our duty to contribute to equality in the cocoa supply chain wherever possible. The more we consume sustainable chocolate, the more impact we have on the living conditions of the cocoa farmers. This is a commitment we made by signing the ‘Beyond Chocolate Initiative’, a partner ship of the Belgian chocolate and retail sector, social impact investors, trade unions and universities with the ambition to make the Belgian chocolate industry more sustainable In fact, we were one of the fi r st members. By the end of 2021, about 65% of all our chocolate was purchased sustainabl y, which means we pay an additional premium price for the chocolate . That surplus is used to improve the living and working conditions of the cocoa farmer s. The funds are managed by the certification body (Fairtrade, Rainforest Alliance, Open Chain , Cocoa Horizons ). Th e annual volume of su stainable chocolate we purchase increases each year but is not yet sufficient . Our ultimate goal is to purchase 100% sustainable chocolate , in line with the ‘ Beyond Chocolate ’ goal s Cocoa Horizons We want to have a positive impact on the life of cocoa farmers To this end, since 2019, we have been sourc ing all chocolate for the Libeert brand via the Cocoa Horizons program . The program is an independent, non - profit, impact - driven organi s ation that sets out to improve the livelihoods of the cocoa farmers and their communities through promotion of sustainable, entrepreneurial farming, improved productivity and community development focused on protect ing nature and children. 9 The main focus area of the program is based on three pillars : Productivity and prospering farmers H elping farmers earn a better income by increasing their yield and ensuring a lasting supply through farmer coaching (agricultural training, traceability, human rights, quality, health and safety, environmental protection), farmer support (premium, services) and farmer financing. Environment T he Cocoa Horizons program is committed to a deforestation - free, carbon positive cocoa supply chain. This is managed by focusing on activities and farmer s coaching that help increase carbon sequestration, reduce carbon emissions and ensure deforestation free sourcing. Community B esides improving the cocoa production, critical social challenges in farmer communities need to be tackled as well. The program focuses on child protection, empowerment of women and education through sensitisation , training, raising committees, interventions, school enrolment and supporting activities. More information on the program can be found online: https://www.cocoahorizons.org Ingredients Next to choc ol ate, Libeert also purchases other ingredients , such as nuts, fruit, cookies, grain , etc. Apart from the principle of only using GFSI certified suppliers, all purchased ingredients have to comply with a number of other conditions before being included in our ingredients portfolio: o non - GMO o non - irradiated o only RSPO MB or SG palm is accepted; preferably, products are palm oil free o sustainable sourcing and certificate where possible o natural aromas only o additives (E - numbers) are avoided as much as possible Parallel to chocolate, we are also looking to make our ingredients portfolio more sustainable in the coming years. 10 5.3. Responsible consumption Libeert wants to invest in a sustainable future and support its clien ts and consumers in making responsible choices and in adopting a balanced and sustainable way of living. That is why we, apart from our basic product portfolio, also offer sustainable products in which we continue to invest. Organic Making chocolate requires a rather complex production process. It all starts with the cocoa farms harvesting cabosse or cocoa fruits. These cocoa fruits are grown using mainly traditional farming methods, as well as a percentage of the cocoa fruits being o f organic origin. In the latter case, alternative methods are applied, without any use of synthetic fertilisers or pesticides. Growing organic raw materials does have a number of advantages compared to conventional farming: Health : Organic chocolate is made from raw materials that are grown without the aid of chemical fertilisers, pesticides and herbicides. Alternative agricultural methods are used instead (crop rotation, natural fertilisers and pesticides. Environment : Organic farming metho ds help maintain the balance of the local ecosystem without any hazardous chemicals ending up in the environment. Just like cacao, other raw materials can be grown organically. We offer a large range of organic chocolate and ingredients and have a dedicat ed organic - only production line. About 7% of our annual chocolate production consumption is of organic origin and we aim to increase that percentage in the years to come. Plant - based A responsible choice entails opting for a healthier alternative. But to Libeert, making a responsible choice also means a choice that fits with your individual lifestyle and personal choices. Anno 2022, about 1 in 2 people worldwide is a flexitarian: consumers who do not eat meat on a daily basis, but opt to regularly replace meat by a plant - based alternative. Each person has their own personal reason as to why they make that choice, such as an imal rights, health and the environment. Libeert offers clients and consumers the optio n to purchase a chocolate product that matches with their personal needs, including some plant - based chocola t e couvertures and ingredients in our portfolio. We stand by this choice to do so and aim to further extend and optimise this portfolio. Health Chocolate is a product you can indulge in – many people eat a piece of chocolate just to create a small moment of happiness for themselves. To be able to create such feelin g with our chocolate products is our reason for being and an absolute priority. Despite chocolate being so indulgent, we are very much aware of the impact chocolate can have on (mental) health when consumed in large quantities. In order to respect that in dulgent nature and at the same time minimise the health impact, we are researching ways in which we can help our consumers to still enjoy chocolate responsibly. We already made a first step by nudging towards smaller portion sizes, having introduced small portion packs and indicating the recommended portion size on the packaging. In 11 the future, we will continue to invest in ways to keep the impact of our products healthier, whilst retaining top quality and taste. 6. S miles by the p eople All stakeholders involved in the value chain are worth that smile From the cocoa f armer s , our supplier partners, the in - house Libeert team, our customers to the chocolate consumer: that smile represents their experience within the chocolate supply chain. In fact, a prerequisite for that authentic, genuine smile , is to continuously improve t he chocolate experience. To Libeert, s ustainability and enjoying sustainable chocolate products are pivotal contributors to m ake this happen. 6.1. Co coa farmers The cocoa farmers are an important group of stakeholders within the chocolate value chain, who are overlooked far too often. However, they deserve the utmost respect, since without them, we would not be able to enjoy that chocolate bar. Libeert’s entrepreneurial culture respects the cocoa farmers and their work, whilst also contributing to society as much as possible Child labour It is no longer a secret illegal child labour does happen in the cocoa industry . Children are illegally employed on the plantations to help earn a living for the ir family . A large - scale study* on the presence of child labour in cocoa - growing areas in Ghana and Ivory Coast has shown that 45% of the children in cocoa communities are working in the fields. Almost all of them (43%) are forced to work in hazardous conditions. To us, i llegal child labour is unacceptable and fighting this practice is one of our main focus points. The Cocoa Horizons Program applies a risk - based approach on eradic ating child labour. Cocoa farming communities are categori s ed as low, medium or high risk based on socio - economic data. Interventions are prioriti s ed based on this risk - based approach. In 2020/2021, 18 , 529 cases of illegal child labour have been identified . Compared to the previous year 2019/2020 , this is a decrease by 18% (22 , 519 cases). *Assessing Progress in Reducing Child Labour in c ocoa - g rowing a reas of Côte d’Ivoire and Ghana Scholarships through Cunina We think it is important for kids everywhere to have the oppo r tunity to build a great future. Many of the cocoa farmers’ kids do not have that chance, because they have to work on the plantations and help provide. Just to give you an idea: in Ghana and Ivory Coast, the t wo most prominent cocoa countries which together grow about 60% of global cocoa production, at least 1.48 million children cannot attend school. In 2021, Libeert became partner of non - profit organisation Cunina: a private, non - governmental development org anisation striving for better access to and quality of primary and secondary education, 12 independent of political, religious or societal convictions. Cunina offers underprivileged children the chance to solid education and as such a way out of the vicious c ircle of poverty. With a monthly contribution to Cunina, Libeert sponsors a pilot in which 50 kids from the very poor region of Chungui, Ayacucho in Peru are given the opportunity to enjoy primary and secondary education. In Libeert’s team, a number of em ployees have taken up the role of ‘godmother’ or ‘godfather’. 6.2. Consumers We believe that people deserve the best Belgian c hocolate product when it comes to consuming chocolate. Libeert processes the finest Belgian chocolate to the most fun and creative hollow figur in e s and most delicious , indulgent chocolate bars based on no less than 100 years of expertise. One secret ingredient of the perfect chocolate product is the artisan way in which we man ufactur e our chocolate products , with respect for the product and creating that perfect ‘ bite’. Consuming a piece of chocolate is all about creating a joyful moment for yourself or to share and cherish with your nearest and dearest. It’s about a great chocolate experience that is made from sustainably sourced cocoa beans and packed in sustainable packaging that keeps the chocolate in the best possible condition to preserve all its quality. C onsuming a piece of chocolate is all about creating a joy ful moment for yourself or to share and c herish with your nearest and dearest. It’s about experiencing great chocolate made from sustainably sourced cocoa beans and packed in sustainable packaging to keep the chocolate in the best possible condition to pre serve all its quality. That ’ s wha t Libeert is all about: delicious and happy moments! 6.3. Employees Having the best people b e part of a team is what make s all t he difference People are the heart and s oul of a business. Our team is our company’s DNA and we feel responsible for everyone in our business. Libeert can rely on a multifunctional team with the right mindset and passion for what they do , so that every day we can make the difference. Safety At Libeert, we aim to create a safe and pleasant workplace for our colleagues . Our responsibility as an employer goes beyond ensuring technical safety W e promote colleagues ’ awareness of unsafe behaviour We perform regular workplace and occupational health risk assessments to implement preventive and p rotective measures in order to avoid incidents and accidents. Besides technical and procedural safety, a substantial effort goes in to growing a high safety leadership level amongst all our associates, individual s and our team. We focus on attitude, peer - to - peer interaction, safety dialogues and constructive feedback. Wellbeing As an employer , it is also our duty to contribute to the wellbeing of our colleagues We understand that wellbeing is a highly personal matter: what brings happiness to one person may not do so for another. 13 Therefore , we have outlined 5 values: together, passion, entrepreneurship, engaging in sustainability and growth as a person, as a team and as a company. In order to make this happen, continuous training, growth programs, the monitoring of a safe and healthy work environment and regular feedback are part of our daily work practices. Celebrate We all need a kind of food in our lives that is de dicated to c elebrat ory moments. The secret to work satisfaction is working as a team, and to celebrate together as a team We organi s e happy Friday event s quarterly to share accomplishments, projects and to celebrate team members’ successes. Celebrating small wins is a great way to build confidence as an individual and as a team. Apart from these quarterly events, we also organise our annual ‘Great Team’ day to look back and more importantly to look forward. This day is all about exchanging experiences, laughter and enjoying time together. E quality Libeert aims to establish a wo r k environment in which everybody, regardless of their age, gender , race, skin tone or sexual orientation , feels at home. By no means do we condone or toler ate any form of discrimination or racism . Libeert also appointed a confidential advisor , who can be notified anonymously of any breaches. We also introduced a Code of Ethics and Business Conduct, in accordance with the OECD Due Diligence Guidance for Respo nsible Business Conduct, which can be requested and consulted at all times by our stakeholders Fit together Libeert w ishes to be a healthy work environment for its employees. A place where people feel good, both physically and mentally. A healthy mind in a healthy body is an important go - to rule for us, which is why we regularly organise s port s activities . Of course, thi s also benefits team spirit. 6.4. Suppliers We select our suppliers ‒ with whom we set up long - term partnerships ‒ not only based on the quality of their product , but also based on their values and vision We go by what we perceive when meeting new suppliers and during conversations with existing suppliers Our suppliers play a n important role at every stage of the product lifecycle. From sourcing raw materials , helping t o ramp up production volume , to finding alternative ingredients. We closely collaborate with our suppliers to get the best out of our cooperation and thus our end products. W e believe that c lose collaborations foster innovation and that in doing so, both parties can improve their offering exponentially. Strong partnerships embrace feedback. On a regular bas is, we provide feedback to our suppliers. As feedback becomes commonplace , suppliers can really get to grips with the inner working s of our collaboration and grow their understanding of what products or services might be of interes t to improve business, to render it stronger and more sustainable. 14 7. Smile s for the p lanet The chocolate products we manufacture every day would not exist without the raw materials our planet has to offer. Since the Industrial Revolution, however, we are slowly depleting raw materials and natural resources, which in fact today has brought us to a point of no return. A business cannot focus solely on economic growth, but has to build and implement sustainable processes. Libeert fully subscribes to this principle and will place a lot of emphasis on this towards the future. 7.1. Carbon footprint As a family business since 1923, we feel responsible for ensuring the next generations can also live in a healthy environment. Libeert aims to operate ecologically and sustainably , by limiting , reducing and eliminating any harmful impact on the environment We see it as an undisputable duty to contribute to continuously improv e our environmental performance. Similar to all food manufacturing industries , the chocolate production process has an impact on CO2 emissions and as such on the environment . Libeert wants to measure and monitor their CO 2 emission levels in order to t ake appropriate measures to reduce their CO2 emissions and eventually pursue C O2 neutrality. Even though we are not active in the chemical industry or any other heavily environmentally harmful industry , we recogni s e that our business activities inevitably ha ve an impact on the environment. For Libeert, t his mainly concerns the use of electricity ( priority 1) and gas (priority 2) as well as water consumption (priority 3) but also CO 2 emission in the up stream and downstream activities of the entire chocolate supply chain Besides conscious use of energy and water resources , Libeert is committed to l imit waste of edible ingredients during the manufacturing process and to use sustainable and recyclable packaging where appropriate. Overall , Libeert aims to comply with all applicable local, national and international environmental laws and regulations. In 2021, Libeert has started the process to select the appropriate partner to guide us through th is exercise of carbon footprint measurement and de tection of ways on how to reduce this , with the view to draw up the long - term approach rather th an working on ad hoc considerations. 15 7.2. Sustainable packaging The use of packaging has an important value in the food industry. It protects the product from external factors such as oxygen, humidity, foreign objects and micro - organisms and as a result maintains the quality and safety of the product inside . Neverthele ss, over the recent years, packaging has become a rather difficult topic because of its enormous environmental impact For many years , t he world has been run from the viewpoint of a linear economy, i n which natural resources are used to create consumer goods . In turn, these goods give rise to waste products that are disposed in nature , even without recycling them. However , the shift towards a more circular economy in which n atural resources are used, broken down and recycled for reuse , is taking place Such a shift is a necessity to protect nature and at the same time maintain economic growth. Libeert has taken several initiatives to reduce packaging consumption and packaging waste . At the same time, we look into ways to increas e recyclability , by turning around existing products as well as explor ing envir o nment - friendly options in new product development. Recyclability The EU has defined a target for all plastic packaging brought onto the market to be recyclable or reusable by 2030. Fevia, the federation of the Belgian food industry, states that all food packaging should be reusable, recyclable or compostable by 2025. The roadmap ‘ Food packaging of the future ’ mentions desi gn for recycling as one of the important pillars to reali s e the transition to circular packaging. Recyclability goes beyond just being technically recyclable . Th ere must be consumer access to a recycling program, a recycler must be able to process the mat erial, and there must be an end market Therefore , the International Plastic s Recycling Groups a nnounced a global definition of ‘ Plastics Recyclability ’ Plastics must meet four conditions for a product to be considered recyclable: 1) The product must be made with a plastic that is collected for recycling, has market value and/or is supported by a legislatively mandated program 2) The product must be sorted and aggregated into defined streams for recycling processes 3) The product can be processed and reclaimed/ recycled with commercial recycling processes 4) The recycled plastic becomes a raw material that is used in the production of new products Compos t ability Compos t ability refers to the ability of materials to biodegrade naturally within a specified timeframe under controlled conditions. The overall compos t ability of a piece of packag ing , labels included, directly relates to its components — inks, substrates and more — which must comply with a set of rules determined by official regulations. With rega rds to the carbon footprint plan , Libeert will start from the above definitions to define their approach and appropriate measures with respect to S cope 3 In the next subject , titled ‘ Plastics ’ , you can find the actions already put in place to increase recyclability as well as sustainability. 16 8. Plastics It takes a tremendously long time for p lastic s to deteriorate , and if left in nature, they form a threat to wildlife and continue to spread toxins. Plastic also contributes to global warming. Almost all plastics are made from chemicals derived from the production of planet - warming fuels (gas, oil and even coal). Once at sea, sunlight, wind and wave s break down plastic into small particles, often less than one fifth of an inch across. These so - called microplastics have spread throughout every ocean and are being detected in every corner of the globe, from Mount Everest, the highest peak, to the Mariana Trench , the deepest trough. Microplastics continue to break down into increasingly smaller particles . Plastic microfib re s, meanwhile, have been found in municipal drinking water systems and drifting thro ugh the air. Some key facts: - Half of all plas