Nippon Soda : ESG Data Book 2021

Nippon Soda Group

ESG Data Book 2021

ESG Data Book 2021 Contents
ESG Management
Nippon Soda Group's ESG ...................................	2
Business and ESG of the Nippon Soda Group .....	4
Value Creation of the Nippon Soda Group ...........	5
CSR Management ................................................	9
CSR Activities to Improve Corporate Value
Agriculture ..........................................................	16
Healthcare ..........................................................	18
Environment .......................................................	20
ICT ......................................................................	22
Initiatives for the Next Generation ......................	23
CSR Activities to Protect Corporate Value
Environmental Protection ...................................	25
Process Safety and Disaster Prevention/BCP ....	29
Occupational Safety and Health .........................	35
Logistics Safety and Quality Assurance .............	40
Chemicals and Product Safety ...........................	42
Social Activities
Together with Our Customers
(Consumer Issues) ..........................................	45
Together with Our Employees (Human Rights
and Labor Practices) .......................................	48
Together with Our Business Partners
(Fair Operating Practices) ...............................	53
Together with Our Shareholders and Investors ..	55
Together with Our Local Communities (Community
Involvement and Social Dialogue) ..................	57
Corporate Governance/Compliance/Risk Management
Corporate Governance .......................................	62
Compliance .........................................................	69
Risk Management ...............................................	71

Scope of the Report

The ESG Data Book 2021 summarizes the CSR and Responsible Care activities of Nippon Soda Co., Ltd. and the major Nippon Soda Group companies (three manufacturing Group companies: Nisso Metallochemical Co., Ltd., Nisso Fine Co., Ltd. and Shinfuji Kaseiyaku Co., Ltd.; and five non- manufacturing Group companies: Nisso Shoji Co., Ltd., Sanwa Soko Co., Ltd., Nisso Engineering Co., Ltd., Nisso Kensetsu Co., Ltd. and Nisso Green Co., Ltd.). This report provides results for fiscal 2021 (April 1, 2020 to March 31, 2021). The data on occupational accidents are based on results for the period from January 1, 2020 to December 31, 2020. As of this fiscal year, the data in the former CSR Report has been updated and published in the ESG Data Book and the Integrated Report.

Guidelines Used as References

Global Reporting Initiative: Global Reporting Initiative (GRI) Standards

Ministry of the Environment's Environmental Reporting Guidelines 2012

Japanese Standards Association in cooperation with the International Organization for Standardization (ISO 26000: 2010 Guidance on Social Responsibility)

Responsible Care

Responsible Care (RC) was launched in 1985 in Canada. The International Council of Chemical Associations (ICCA) was established in 1989, and today RC is practiced in more than 65 countries and regions around the world.

Editorial Policy

The Nippon Soda Group's basic concept of and initiatives for ESG focus on three areas: CSR Activities to Improve Corporate Value, CSR Activities to Protect Corporate Value, and Social Activities. In this report, we are publicizing the results of the Nippon Soda Group's ESG initiatives. With a focus on promoting transparency and accountability, we designed this report to help readers readily understand the Nippon Soda Group's ESG activities.

Data
ESG Data ...........................................................	74
CSR Activities at Plants ......................................	82
Third-Party Evaluations: ESG Verification ..........	86
Guidelines ...........................................................	89

Third-Party Verification

To ensure the transparency and reliability of the information contained in our Integrated Report 2021 and ESG Data Book 2021, a third-party verification is carried out by the Japan Chemical Industry Association. The results of this verification are outlined on page 86 in "Third-Party Evaluations: ESG Verification."

Cautionary note regarding forward-looking statements

The Company's plans, prospects, strategies and other information published in this report, excluding past performance and facts, have been prepared based on currently available information, hypotheses and judgments, and are subject to various risks and uncertainties. Our predictions can be affected by various factors, such as future economic situations and industry trends, and may turn out to be incorrect.

Nippon Soda Group ESG Data Book 2021 1

Nippon Soda Group ESG Data Book 2021

ESG Management		CSR Activities to Improve		CSR Activities to Protect		Social Activities		Corporate Governance/Compliance/		Data
	Corporate Value		Corporate Value			Risk Management

Nippon Soda Group's ESG

Basic Management Policy

The Nippon Soda Group places primary importance on sound and transparent business management in compliance with law. Our management philosophy is to contribute to social development through chemistry, to meet expectations from stakeholders, including customers, shareholders and investors, business partners, employees and local communities, and to promote environmentally conscious business practices and activities. Under this philosophy, we are committed to growing into a technology-oriented group that develops high-value- added products by making best use of its proprietary technologies and expands its business with a global point of view and a focus on chemistry. Our efforts are also directed at increasing the Group's revenue by developing our business with a focus on the chemicals industry in such areas as trading, logistics and engineering.

ESG Management Concept

The Nippon Soda Group's mission is to "create new value through the power of chemistry and increase corporate value by contributing to society." We will contribute to society by providing the products and services demanded by customers and the social environment of the 2020s. We believe that in order for the Nippon Soda Group to realize its mission and sustainable growth, it is important to increase both its corporate value and its social value. The practice of ESG management is the embodiment of increasing social value, and we will promote initiatives from the two perspectives of CSR Activities to Protect Corporate Value and CSR Activities to Improve Corporate Value.

Increasing Corporate Value

Increasing Social Value

CSR Activities to Protect Corporate Value

• Responses to climate change issues and preservation of biodiversity

• Delivering deeper value to all stakeholders in society

CSR Activities to Improve Corporate Value

• Materialities in four fields (creation of new value) for realizing a sustainable society

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Nippon Soda Group ESG Data Book 2021

ESG Management		CSR Activities to Improve		CSR Activities to Protect		Social Activities		Corporate Governance/Compliance/		Data
	Corporate Value		Corporate Value			Risk Management

Nippon Soda Group's ESG

Stakeholders

The management philosophy of the Nippon Soda Group is to meet expectations from stakeholders, including customers, shareholders and investors, business partners, employees and local communities, and promote environmentally conscious business practices and activities. The Nippon Soda Group will continue to play a significant role in realizing the sustainable development of our society. At the same time, the Group is continuing to develop as a sought-after chemical group that meets 21st-century social needs by contributing to the creation of a prosperous society based on its desire to create new value through its unique technologies and products.

Customers	Global environment	Business
International	partners
Long-term trust	Fair
society
	transactions
	Employees and people who
	work with our Group
	Nippon
	Soda
	Group

Local	Shareholders
communities	and
Safety and	investors
environmental	Improve
protection	corporate
	value

Continuous communication

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Nippon Soda Group ESG Data Book 2021

ESG Management		CSR Activities to Improve		CSR Activities to Protect		Social Activities		Corporate Governance/Compliance/		Data
	Corporate Value		Corporate Value			Risk Management

Business and ESG of the Nippon Soda Group

Overview of the Nippon Soda Group (As of April 1, 2021)

7	5	2
	6	12	10
		15	4 11				8	1
		13	14
		16
							11	9	3
					3	9	12
					j
					4 14 b
					13 1 a c d f g h i
					7	6	10 e
			5	2	8
		15

Site			Sales Offices		Group Companies in Japan
❶ Head Office			⓫ Sapporo Office
	Chemicals		Trading
❷ Osaka Branch Office			⓬ Sendai Office		a Nisso Fine Co., Ltd.		f Nisso Shoji Co., Ltd.
			⓭ Kanto Office		b Shinfuji Kaseiyaku Co., Ltd.	g Nisso Green Co., Ltd.
			⓮ Takaoka Office		c Nisso Metallochemical
			Engineering
Plants			⓯ Fukuoka Office		Co., Ltd.			h Nisso Engineering Co., Ltd.
❸ Nihongi Plant			⓰ Bangkok
			Logistics
					R&D Consultants
❹ Takaoka Plant				d Sanwa Soko Co., Ltd.
		Representative Office		i Nisso Chemical Analysis
❺ Mizushima Plant					e Sanso Unyu Co., Ltd.
					Service Co., Ltd.
❻ Chiba Plant
							Civil Engineering and Construction
							j Nisso Kensetsu Co., Ltd.
Research Centers			Overseas Group Companies
❼ Odawara Research			❶ NISSO AMERICA INC.		❾ Iharabras S/A. Indústrias Químicas
Center			❷ NISSO CHEMICAL EUROPE GmbH	❿ NISSO KOREA CO., LTD.
❽ Haibara Field Research			❸ NISSO BRASILEIRA REPRESENTAÇÃO LTDA.	⓫ Nisso Namhae Agro Co., Ltd.
Center			❹ NIPPON SODA TRADING (SHANGHAI) Co., Ltd.	⓬ Alkaline SAS
❾ Bandai Field Research
		❺ Certis Europe B.V.		(including 4 group subsidiaries)
Station
		❻ Japan Agro Services (JAS) S.A.	⓭ NISSO CHEMICAL INDIA LLP
❿ Chiba Research
		❼ SUMI AGRO Limited		⓮ SUMMIT AGRO VIETNAM LLC.
Center*1
			❽ Novus International, Inc.		⓯ Bharat Certis Agriscience Ltd.*2

*1 Reorganized as the Chiba Research Center on April 1, 2021 *2 Changed name from Bharat Insecticides Ltd. on April 1, 2021

Nippon Soda Group ESG Data Book 2021 4