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CONTENTS Proudly helping families to eat well, without costing the earth 01

WELCOME

02 ABOUT PRINCES

03 ABOUT MITSUBISHI CORPORATION

04

PROUDLY HELPING FAMILIES TO EAT WELL WITHOUT COSTING THE EARTH

05

BUSINESS STRATEGY & TRANSFORMATION

1

06 CUSTOMER & CONSUMER FOCUS

07 OPERATIONAL EXCELLENCE

08 PEOPLE EXCELLENCE

09 CORPORATE SOCIAL RESPONSIBILITY •

CLIMATE CHANGE & THE ENVIRONMENT

FAIR PARTNER & GOOD EMPLOYER

HEALTH & WELLBEING


Cameron Mackintosh Managing Director

01

WELCOME In the last year, our industry and the wider world have continued to change at a rapid pace, and so too has Princes Group. As a highly diversified business with a global supply chain, it is crucial for our future performance and growth that we respond and adapt to the changing economic, social and political climate.

As you’ll see from this report, we have changed the look and feel of our corporate identity. However, it’s not enough to just change our appearance, so through a series of consultations with our colleagues and customers, we’ve been able to take a look at ourselves from the outside in. The result is that we have a new vision that reflects our heritage, our unwavering desire to serve our customers well, putting them at the heart of all we do and our commitment to tread lightly on the environment. Proudly helping families to eat well, without costing the earth is our vision and we’re on a mission to deliver sustainable, profitable growth by embracing consumer insight and evolving to meet their changing needs through innovation, serving our customers to the highest standards as a trusted first choice partner, sourcing raw materials responsibly and ethically, adding value throughout our supply chain to provide great tasting food and drinks. We couldn’t do any of this without striving to be an employer of choice, where our colleagues are proud to represent our business.

The progress we have made in our transformation programme is exceptional. Every one of our 7,000 colleagues worldwide has played a role in making Princes Group more agile and progressive in the past year and helping us to deliver on our vision. A key driver of this programme has been to develop performance culture through our People Excellence Strategy that inspires people to give their best and sits firmly within our DNA. Operational excellence is a key part of our strategy and, we have invested over £150m across our UK food, drink and oil manufacturing sites at Long Sutton, Cardiff, Bradford and Erith. This represents the most significant period of capital investment in our history, and will positively redefine these sites for many years to come. We are embracing consumer insight and innovating to meet changing consumer needs on a major scale. We have delivered consumer rebrands not only on Crosse and Blackwell and Napolina, but also relaunched the iconic Princes brand with innovative new products and a more contemporary look and feel to help reach new consumers.

Corporate Social Responsibility remains at the heart of our business and we continue building and maintaining employee, customer and supplier trust in our business. In the last year we have continued to increase the recycled content of the plastics we use, signed a long term partnership agreement with our tomato growers and reported on our food waste and co-founded another tuna Fishery Improvement Project. Human rights in our supply chains is an issue we take very seriously and we continue to be a leading voice in ambient grocery on this issue. This year in addition to becoming a full member of the Ethical Trading Initiative we were also invited to take a seat on their corporate board in recognition of our approach. We will continue to evolve and innovate while serving our customers and consumers to the highest standards. I am rightly proud of the business I am privileged to lead and look forward to delivering future business growth and success.

2


02

About Princes

ABOUT PRINCES When it comes to food and drink, Princes has been caring about taste, quality and families for more than 130 years. The Princes Group now has over 7,000 employees worldwide, ÂŁ1.6 billion revenue with offices and production sites in the United Kingdom, Netherlands, Italy, Poland, France and Mauritius. Since 1989, we have been a wholly owned subsidiary of Mitsubishi Corporation. We provide safe, nutritious, responsibly sourced food and drink to be enjoyed by consumers every day.

PRINCES TUNA MAURITIUS LIMITED (PTM)

EDIBLE OILS LIMITED (EOL)

EOL POLSKA SP. ZO.O.

In addition to our fully owned UK manufacturing sites and our Italian tomato processing site, held through our subsidiary Princes Industrie Alimentari S.r.L (PIA), we have joint ventures that complement our production:

Joint venture with Seafood Hub Ltd, IBL Ltd and the Mauritian State Investment Corporation.

Joint venture with Archer Daniels Midland, operating two edible oil bottling plants in Kent, UK.

Joint venture with Archer Daniels Midland, operating an edible oil bottling plant in Szamotuly, Poland.

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OUR FAMILY OF BRANDS

KEY STATS SELL OVER 3,500 DIFFERENT PRODUCTS

40+

SOURCING COUNTRIES

2000+

DIRECT SUPPLIERS

250

MILLION CASES OF FOOD AND DRINK SOLD EVERY YEAR

14

PRODUCTION SITES

Flora ® and the sunflower device are registered trademarks of Unilever and used under licence. Batchelors ® is a registered trade mark of Premier Foods Group Limited and used under licence. Branston ® is a registered trademark of Mizkan Euro Limited and used under licence.

45


OVER 130 YEARS OF HISTORY Princes has a rich and diverse heritage dating back to 1880 when it was established as a fish importing business in Liverpool, the city where our international headquarters remain today.

5

FOUNDING FATHERS

OUR EARLY YEARS FRANK ROBERTS

WILLIAM MUIRHEAD SIMPSON

Princes built strong foundations for the future by introducing a wealth of new products and brands into the market that were, at the time, considered luxury products such as lobster and salmon.


1960

1915

By the 1960’s, Princes was a household name in the UK, international expansion followed and we opened an office in the Netherlands to serve the European market.

The company became the largest exporter of lobsters in the world and handled one third of the world’s output from sites at Charlottetown, Prince Edward Island; Shediac, New Brunswick; St John’s, Newfoundland and Vancouver.

1946 Princes opened its first factory in Southport Lancashire, and became manufacturers of canned foods.

1989 Princes was incorporated into Mitsubishi Corporation (MC). Since then, Princes has made 22 mergers and acquisitions, which combined with on-going organic growth, has helped us continue to diversify and become one of Europe’s leading grocery suppliers.

6


CHRONOLOGY Princes Pure Foods formed & Princes brand established

1880

Founded in Liverpool by Simpson & Roberts

7

1900

European operation set up (Holland)

1946

Princes secure manufacturing base (Southport)

1960

1989

Mitsubishi Corporation acquires Princes

Princes aquires both Napolina and Shippam’s brands and businesses

Princes enters the soft drinks category through the acquisition of Bradford Site

1991

1999

Princes aquires Mauritian tuna operation

2001

2004

Princes aquires bottled water business and the Aqua Pura brand


Princes aquires cooking oil brands and forms Edible Oils joint venture business

2005

2010

Princes expands canning operations with acquisition of brands including Crosse & Blackwell and major production sites at Long Sutton and Wisbech

2011

Princes opens Princes Polska office and forms joint venture business to expand distribution of oils in central and eastern Europe

2012

Princes Tuna Mauritius (PTM) completes transaction to create enlarged tuna processing operation in the Indian Ocean region

2015

Princes Industrie Alimentari S.r.L. (PIA) created and processing factory in Foggia Italy acquired

2016

Princes opens office in Paris

Transformation Project launches across Operations, Customer & Consumer Focus, People Excellence

2017

2018

New corporate vision established, Proudly helping families eat well, without costing the earth.

2019

Major investments at Long Sutton and Cardiff announced

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03 PRINCES IS A WHOLLY - OWNED SUBSIDIARY OF MITSUBISHI CORPORATION

ABOUT MITSUBISHI CORPORATION Mitsubishi Corporation (MC) is a global integrated business enterprise that develops and operates businesses together with its offices and subsidiaries in approximately 90 countries and regions worldwide, as well as a global network of around 1,400 group companies. MC has 10 Business Groups that operate across virtually every industry: Natural Gas, Industrial Materials, Petroleum and Chemicals, Mineral Resources, Industrial Infrastructure, Automotive and Mobility, Food Industry, Consumer Industry, Power Solution and Urban Development. Through these 10 Business Groups, MC’s current activities have expanded far beyond its traditional trading operations to include project development, production and manufacturing operations, working in collaboration with our trusted partners around the globe. With an unwavering commitment to conducting business with integrity and fairness, MC remains fully dedicated to growing its businesses while contributing to a prosperous society.

9


CONTRIBUTING TO SOCIETY THROUGH BUSINESS FIRMLY ROOTED IN PRINCIPLES OF INTEGRITY AND FAIRNESS The Three Corporate Principles Corporate Responsibility to Society; Integrity and Fairness; and Global Understanding Through Business have served as Mitsubishi Corporation’s core philosophy since the company’s inception, inspiring us to continually improve the way we address our economic, environmental, and social responsibilities around the world. Building upon the foundation of these Three Corporate Principles, our Corporate Standards of Conduct establish the Company’s expectations with regard to how business should be conducted, while the Mitsubishi Corporation Code of Conduct provides guidance to our employees worldwide based on local laws and global standards such as the Universal Declaration of Human Rights and the ILO Core Labour Standards. Furthermore, our Environmental Charter and Social Charter also provide further guidance in relation to our sustainable business endeavours.

CORPORATE RESPONSIBILITY TO SOCIETY

INTEGRITY AND FAIRNESS

GLOBAL UNDERSTANDING THROUGH BUSINESS

“Shoki Hoko”

“Shoji Komei”

“Ritsugyo Boeki”

Strive to enrich society, both materially and spiritually, while contributing towards the preservation of the global environment.

Maintain principles of transparency and openness, conducting business with integrity and fairness.

Expand business, based on an all-encompassing global perspective.

(The modern day interpretation of the Three Corporate Principles, as agreed on at the Mitsubishi Kinyokai meeting of the companies that constitute the so-called Mitsubishi group in January 2001.)

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04 PROUDLY HELPING FAMILIES TO EAT WELL, WITHOUT COSTING THE EARTH Our new vision reflects who we are as a business for today and tomorrow. Having a clear shared vision and mission with a common set of values is important to Princes achieving overall business success.

PRIDE We want our colleagues to be proud to serve the needs of our customers and to be proud of the company they represent.

HELPING FAMILIES TO EAT WELL We are a food and drink company providing a diverse portfolio of products to enable people to eat well and support a healthy lifestyle. We have been doing this for over 130 years and key to successfully transforming Princes is our desire to fulfil that promise for the next 130 years.

WITHOUT COSTING THE EARTH In a trading environment that is increasingly (and rightly) demanding transparency, innovation and sustainability we are very well placed as a trusted and respected manufacturer. This statement also demonstrates that we supply products that represent good value for consumers.

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HOW WE WILL DO IT We will deliver sustainable profit growth by: Being an employer of choice where our colleagues are proud to represent the business. We work together to create a real sense of purpose and Pride in Princes, recognising our achievements and celebrating them! Embracing consumer insight and evolving to meet their changing needs through innovation. Our operating environment is fast paced, and we use insight to adapt and innovate to ensure that we keep ahead of consumer demand. Serving our customers to the highest standard as a trusted first choice partner. Our products reach millions of people. We will continue to build on our strength as a trusted partner for our customers by doing things the right way. Sourcing raw materials responsibly and ethically, adding value throughout our Supply Chain to provide great tasting food and drink. We have a wealth of experience to utilise in sourcing raw materials efficiently, cost effectively, responsibly and ethically.

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05 BUSINESS STRATEGY & TRANSFORMATION We evolve our understanding of customer and consumer needs through a cycle of continuous improvement

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PROUDLY HELPING FAMILIES TO EAT WELL, WITHOUT COSTING THE EARTH

• CUSTOMER & CONSUMER FOCUS A key part of our programme of transformation is ensuring that customers and consumers are firmly at the heart of everything we do. We are a food and drink company helping families to eat well and healthily. Our differentiating factor is our focus on environmental and social sustainability, which we take all the way through our supply chain – “from field to fork”.

• OPERATIONAL EXCELLENCE

• PEOPLE EXCELLENCE

We’re transforming our operations; simplifying our systems and processes, investing in equipment and right sizing our assets to either remove or utilise spare capacity, ensuring that we’re agile enough to respond to changing customer demand and to innovation.

Our vision remains to make Princes an ‘Employer of Choice’ that existing colleagues are proud to be part of and future colleagues want to join. We strive to recruit the best, people who are customer and consumer focussed. We embrace a performance culture, helping us to deliver our strategy.

CONTINUOUS CYCLE OF IMPROVEMENT 14


06 CUSTOMER & CONSUMER FOCUS Princes are a diverse and expanding international food and drink group with extensive manufacturing and import operations and a diverse portfolio of brands. We are a major supplier to UK and continental European retail, wholesale, food service and food manufacturing customers.

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INNOVATION Innovation drives our business. Our focus on continual improvement enables us to deliver the best quality products to meet changing customer and consumer needs.

BRAND We have delivered consumer rebrands not only on Crosse and Blackwell and Napolina, but also re-launched the iconic Princes brand with innovative new products and a more contemporary look and feel to help reach new consumers.

CSR We have taken a lead position on recycled PET and we’re already hitting 45% across all the plastics we use in UK manufacturing. In addition, our positive action through the Fishery Improvement Project (known as FIP), aims to get Indian Ocean tuna to a stage where it can be MSC certified. We have many initiatives we’re undertaking ensuring that we have a progressive approach toward ethical supply chains and human rights. We have a leading position on Italian tomatoes, for example, and have taken huge steps in transforming our supply chain and tackling human rights issues in Italian agriculture.


A KEY PART OF OUR BUSINESS IS ENSURING THAT CUSTOMERS AND CONSUMERS ARE FIRMLY AT THE HEART OF EVERYTHING WE DO.

16 3


We are a UK marketleading supplier of branded and customer own-brand for a wide range of food products including fish, tomatoes, pasta, meat and ready meals, soups, beans and pulses, pastes and spreads.

FISH

TOMATOES

Our expertise spans the canned fish category, as the owner of leading brands and a major supplier of customer own-brand products. We provide unrivalled category management support, driving sales across all channels and delivering positive and sustainable returns for our customers.

From our ultramodern factory in Foggia, we produce and import a range of branded and customer own-brand tomato products in cans, jars, tetra packs, tubes and aseptic drums.

SOUPS

Our UK-market-leading Princes range has a wide collection of products, including corned beef, hot dogs, ham, stewed steak and mince. In addition, we’re a major producer of branded and customer own-brand canned ready meals.

Our Bachelors and Crosse & Blackwell soups, use quality produce, sourced locally.

PASTA Our pasta is made in Italy from durum wheat semolina. Our ranges include standard pasta, 50%/50% pasta, egg pasta, gluten free pasta and premium bronze die pasta. Napolina offers a range of premium whole wheat pastas e.g. penne, fusilli and spaghetti.

BAKED BEANS & PULSES Our Branston baked beans, are consistently preferred to other brands in independent taste panels and a range of baked bean meals. In addition, our sites in East Anglia and Foggia manufacture pulses, from Chickpeas to Haricot Beans.

17

MEAT & READY MEALS

PASTES AND SPREADS We’re the UK’s leading producer and supplier of pastes and spreads. They are stocked by all major UK food retailers, offer excellent value for money and are purchased by a stet of UK households annually.

COOKING SAUCES, STOCKS AND GRAVIES We supply a range of branded and own-brand cooking sauces, liquid stocks and gravies in a variety of pack formats from jars to convenient microwavable pouches.


WE PRODUCE OVER 1 BILLION CANS OF BRANDED AND CUSTOMER OWNBRAND FOOD EACH YEAR

18 3


Princes has been caring about taste, quality and families since 1900. The complete Princes range includes a diverse selection of over 200 food and drink products including canned fish, meat, fruit, sandwich fillings and fruit juices.

Brand Renewal

Product Innovation

Princes has been one of the nation’s favourite food and drink brands for generations, bringing millions of people simple and delicious products every day. In 2019, an updated brand proposition was completed to help redefine what the Princes brand stands for and how the brand should portray itself to its target consumers. The outputs demonstrated a significant step in strategic direction and provided the framework for a new advertising and communications campaign as well as a new packaging design that was implemented across the full product range.

As part of the brand re-launch, Princes has developed a programme of innovation across the portfolio tapping into new usage occasions and answering the needs of the modern consumers.

The new campaign “There for you all ways” plays on the rich brand heritage whilst showcasing the role Princes plays in modern day mealtime moments. The activity will drive re-appraisal of the brand and includes TV, radio and out of home advertising. In order to drive engagement with a younger audience the campaign is complemented with an up-weighted digital and social media platform.

We have already launched our new Infused Tuna Fillets and Mackerel Sizzle lines for shoppers on the lookout for health, taste and convenience. Princes Mackerel Sizzle range is high in Omega 3 and unlocks a new evening usage as a quick and satisfying hot meal that’s easy to prepare. More recently Princes has launched a range of breakfast fruits in a convenient single serve can size, ideal for a quick and easy breakfast.

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BreAkFast

the Easy way TimEs, and

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Fish

Fruit

Meat

Fruit Juice

Princes is one of the leading brands in the UK canned fish market. Our heritage in fish dates back to 1880 when the company’s founders, Simpson & Roberts began trading in canned salmon and lobster. Now our fish range includes a wide selection of products including tuna, mackerel, salmon and other fish species.

We produce and import a range of canned fruit products from all across the world. Fruit types include peaches, pineapple, mango, fruit cocktail, grapefruit, mandarins, berries, prunes and pears. Our existing fruit range in juice counts towards one of your 5 a day and creates simple, cost-effective recipe ideas for all the family. In addition, Princes also produces a range of fruit fillings to encourage usage of baking and creating at home.

Our expertise in sourcing and producing quality ingredients from around the world, has resulted in our canned meat products being known and trusted for their quality. The long shelf lives mean they are always ready when you are and, because it’s Princes, you can be sure we’ve only packed the best quality cuts into our cans. The range includes corned beef, hot dogs, ham, canned ready meals and pastes.

Princes produce a large variety of ambient fruit juices in carton format. As part of the brand re-launch, we have implemented a new pack format which positions Princes Juices within the category at a more premium level. The new carton format and vibrant design is intended to encourage purchase from new and younger shoppers.

There for you, all ways

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Napolina is the “Fastest growing ambient food brand in the UK” and brand leader in a number of dry grocery categories. Napolina is the UK’s number one ambient brand for tomatoes, brand leader in canned pulses and growing ahead of the market in both categories. Passata is a particularly strong sector for healthier alternatives to ready prepared cooking sauces. We are driving growth through increased distribution and listings of the new Napolina Soffritto and Rustica passata.

We’re proud to be the brand leader in pasta and achieved record marketshare in 2019. In response to a growing demand for sustainable products, Napolina’s added value pasta range has moved from single use plastic packaging to 100% recyclable cardboard boxes, saving 17.5 tonnes of plastic per year. Products launching in the new packaging are: • • •

Napolina Whole Wheat Pasta Napolina Bronze Die Pasta Napolina 50% / 50% Pasta

REBRAND In 2019, we significantly rebranded our packaging. This featured a new logo, contemporary typography and vibrant imagery, showcasing the quality of our ingredients. The new packaging also details the provenance of the products. IN RESPONSE TO CONSUMERS REDUCING MEAT CONSUMPTION AND OPTING FOR FLEXITARIAN / VEGETARIAN DIETS, WE EXPANDED OUR PORTFOLIO AND LAUNCHED CANNED BARLEY, SPELT AND MIXED BEANS IN WATER.

This was complemented by our biggest national campaign, with a first national advertising on mainstream television: ‘For the Love of Italian Food’ positioning. The ad is supplemented by a digital campaign, including targeted influencer engagement across Instagram and an increased focus on our ‘Cooking with Napolina’ YouTube channel, in order to drive engagement with a wider audience. We’re building on key trends: scratch cooking and healthy eating, providing consumers with Italian recipes and food inspiration, across several platforms.


well amongst consumers. The campaign will see the brand advert air during December 2019 and January 2020.

A new Crosse & Blackwell brand proposition has been developed and implemented following a complete strategic brand overhaul. The new brand is based on “Perfect Partnerships” which is taken from the original establishment of the brand by Mr Crosse & Mr Blackwell, a farmer and a chef, 200 years ago. The brand purpose is advocacy of the people and producers behind it. At the heart of the Crosse and Blackwell lies the steadfast commitment to use British produce. This is our USP and sets us apart from our competitors.

has been well received by customers and consumers alike and has contributed to increased distribution.

Our new identity (pack design) was launched this year. The objective was to be disruptive on the shelf, make the brand contemporary and communicate British provenance. The new design

The brand support campaign involves the national roll-out of the TV advert communicating the brand partnership proposition that was aired in three regions in February 2019. The advert has researched very

We’re continuing to introduce new soups to the range and our new flavours are inspired by a combination of the latest consumer trends and traditional recipes. We still use local British produce whenever we can, creating perfect partnerships between the ingredients and soup innovation.

The second aspect of the campaign involves enlisting Jimmy Doherty (TV and media personality) as Brand Ambassador. Being a farmer and a chef he is the personification of the brand; a modern day Mr Crosse and Mr Blackwell rolled into one and a strong and passionate advocate of British farming. Jimmy is endorsing the new products and conducting radio and press interviews. We will also take advantage of Jimmy’s strong social media presence.

THE TV AND PRESS CAMPAIGNS WILL BE BACKED BY THE IMPLEMENTATION OF STRONG IN-STORE PROMOTIONS WITH THE OBJECTIVE OF GENERATING TRIAL, DRIVING SALES AND LIFTING BRAND SHARE. 22


Branston ® is one of the UK’s most iconic food brands and has been a firm favourite with households since 1922. Branston is named after the small village of the same name near Burton, Staffordshire, where the brand first began. The brand is now well known for its household favourites such as baked beans, pasta, spaghetti bolognese, macaroni cheese and raviolis. Branston baked beans launched in 2005 and the brand proposition focused on product taste Since launch, Branston baked beans have consistently been preferred in independent taste tests to the market leading brand and Branston uses these credentials in its brand marketing campaign. Branston ® is a registered trademark of Mizkan Euro Limited and used under licence.

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THIS YEAR’S INNOVATION/NEWS 2020 WILL BE THE SECOND YEAR OF THE ‘BRANSTON BEAN CHALLENGE’, A TASTE LED AWARENESS CAMPAIGN WHERE WE’VE CHALLENGED THE NATION’S OTHER BEANS IN BLIND TASTE TESTS. WE ARE CONFIDENT THAT CONSUMERS WILL PREFER THE RICH, THICK TOMATOEY TASTE OF BRANSTON BAKED BEANS.


Farrows peas have been British Grown and Packed since 1929. With its instantly recognisable label, Farrow’s giant marrowfat processed peas are the perfect accompaniment to traditional British dishes.

®

2020 will see the launch of Batchelors Gastro Pub range of three new premium Mushy Peas. • • •

Batchelors ® has been creating top quality food products for well over 100 years. Started by William Batchelor in 1895, he soon established the brand as a market leader by adopting breakthrough canning technology.

Mushy Peas with Mint Mushy Peas with a hint of Chilli Mushy Peas with Double Cream

The Mint and Chilli variants are vegan friendly and this will be communicated on the front of pack. In 2020 Batchelors will continue to partner with Rugby Super League and the England Rugby League team. This will be the 5th consecutive year that Batchelors has partnered with Rugby League.

The Batchelors range of canned soups remains a kitchen essential while another Batchelors speciality is its range of canned peas which continues to be the perfect accompaniment to traditional British meals such as fish and chips.

BATCHELORS PEAS FEATURE THE RED TRACTOR LOGO DEMONSTRATING THEY HAVE BEEN GROWN, PACKED AND PROCESSED IN THE UK.

Batchelors ® is a registered trade mark of Premier Foods Group Limited and used under licence.

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From our UK soft drinks production sites we produce a wide range of branded and customer own-brand products. FRUIT JUICE We produce a variety of chilled and ambient fruit juices in bottle and carton formats. As well as our market-leading Princes branded range of ambient juices, we make extensive ranges of customer ownbrand products in pack formats, including standard and lunchbox size cartons, bottles and gable top cartons. This year, we relaunched Princes juice with a new screw top cap, offering easier pouring and resealing.

SQUASH We produce a wide range of branded and customer own-brand squash products including cordials, premium high juice and standard squash. Our brands include family favourite Jucee, Geebee and Wells. None of our brands contain added sugar.

CARBONATES We are one of the UK’s leading suppliers of customer own-brand carbonated soft drinks – offering a large variety of flavours and pack formats. We also produce branded products including Geebee fruit carbonates.

WATER From our Eden Valley site in rural Cumbria, we supply bottled water to a wide range of customers and produce our leading UK bottled natural mineral water brand Aqua Pura.

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JUCEE

Jucee was launched in the early 1980’s, as the UK’s first longlife juice in a carton. In 1990, Jucee squash was launched as a good quality, good value alternative to the brand leader. Over the years, Jucee became a firm favourite with local independent retailers and to this day remains the second biggest brand in that sector of the market. In 2011, Jucee 100% pure juice was re-introduced; firstly in small ‘lunchbox’ cartons with a straw. On the back of their successful introduction, juice drinks in small bottles were launched at the end of 2012.

FOR MORE INFORMATION:

www.jucee.co.uk

The range includes a choice of no added sugar flavours and regular variants, all of which are made with real fruit juice and have the added reassurance of no artificial colours or flavours. The Jucee range also includes Jucee Juice in convenient ready-to-drink cartons and bottles for kids. 26


Aqua Pura natural mineral water is a leading British bottled water brand, sourced from a special area of conservation right in the heart of the Cumbrian countryside. Our water flows deep below the surface of the stunning Eden Valley, filtering naturally through ancient rocks known as an aquifer. Our aquifer is rich in minerals that enhance the unique and refreshing taste of Aqua Pura. Aqua Pura offers something for everyone, with a bottle size and shape or every use, occasion or outing, available in large 5 litre take home bottles and also on-the-go 500ml screw-cap and sports-cap bottles. We recognise that too much packaging is thrown away and not enough goods are made from recycled materials, that’s why our Aqua Pura bottles are made from 50%+ recycled material and we’ve introduced 50% recycled materials in the plastic shrink wrap.

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OUR BOTTLES ARE MADE FROM 50%+ RECYCLED MATERIAL

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Through our Edible Oils Limited (EOL) partnership with Archer Daniels Midland (ADM), we are a major supplier of branded and customer ownbrand seed, olive and speciality oils, as well as white fat products, to the retail and food service trades. SPECIALITY OILS

WHITE FATS

SEED OILS

OLIVE OILS

We are also experts in the supply of speciality oils sourced from around the world. Products range from corn to rapeseed, groundnut to sesame oils and many others.

EOL supplies a selection of white fats, which are perfect for baking and cooking. The range includes iconic brands such as Trex, Cookeen, Crisp ’n’ Dry and Britannia.

As a major European food oil supplier we work closely with customers and provide quality sunflower and vegetable oils.

We blend a range of extra virgin olive oils and pack all grades of olive oil, from extra virgin through to light and mild. All of our oils are supplied by the UK’s leading olive oil production facility and are available in a variety of pack sizes and formats.


CRISP ‘N DRY, the UK’s number one cooking oil brand. A national TV campaign showcased TV adverts positioning Crisp ‘n Dry as the “unsung hero of delicious cooking”. The adverts were shown on a number of national TV channels and supported by a series of radio adverts which were played on Smooth FM in the Crisp ‘n Dry heartland regions of the North West, North East, Scotland and Wales.

Is an icon of British home baking. First launched in the 1930s, it has been the baker best friend for generations. The fact that it is lower in saturated and trans fats than butter make it a popular choice with consumers and a recent brand campaigns have made it well placed to attract sales from the growing wave of new home cooks. Did you know that if a recipe uses butter, you can use 20% less when using Trex because there is no water in our product. Water burns off and can lead to an uneven bake.

MAZOLA is a leading corn and speciality oil brand with more than a century of heritage and experience.

FLORA is one of the UK’s most

recognisable food brands – with its heritage based in chilled spreads. Flora ® and the sunflower device are registered trademarks of Unilever and used under licence.

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The Wielkopolski brand is one of the most recognisable in Poland’s edible oils category, constantly improving its market share and brand awareness. Launched in October 2010, Wielkopolski oil is distinguished by its clear, golden hue and delicate flavour; it is pressed only once and rich in Omega-3 and vitamin E. 31

Recently Wielkopolski increased its Corporate Social Responsibility (CSR) activities with “#mission recycling”, implementing a new and unique rPET bottle to Poland, with 51% of recycled rPET content. From March till August 2019 the brand achieved over 10% market share, building a strong second position, just behind category leader Kujawski. In hypermarket channels Wielkopolski is a leading brand. Continuous brand advertising supported by consumer activities and in-store visibility building resulted in growth of loyal users and repeated purchases (+50%). The CSR initiative, ‘Keep the stork with Wielkopolski was very well received by both the public and the group.’

This year saw the launch of our rPET bottle, just part of our commitment to CSR. New category entrance, mayonnaise, is being developed with gradual growth of distribution in main retailers.


Vier Diamanten offers premium quality canned fish and has been Austria’s most popular canned tuna brand for more than 55 years. AT THE BEGINNING OF 2019 WIELKOPOLSKI, WITH A LONGTERM PLAN OF CREATING AN UMBRELLA BRAND, ENTERED INTO THE MARKET WITH A NEW CATEGORY OF MAYONNAISE FROM FIRST PRESSING RAPESEED OIL.

Vier Diamanten long-term success is driven by the supply of premium quality canned tuna products in combination with a continuous investment in marketing the brand and telling an open and honest story about the work we are doing.

Combining quality, convenience and value, the range includes canned tuna and mackerel. The brand’s leading position provides a strong platform to drive further category growth through brand support and new product innovations. Its website is packed with recipe inspiration to expand usage.

www.vierdiamanten.com

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07

1 2

OPERATIONAL EXCELLENCE

14

DRINK SITES

8

FOOD SITES

3 11

7 6

5

10 9

16

13

OIL SITES

1. GLASGOW 2. EDEN VALLEY 3. BRADFORD 4. MANCHESTER 5. CARDIFF 6. WISBECH 7. LONG SUTTON 8. CHICHESTER 9. ERITH 10. BELVEDERE 11. SZAMOTULY, POLAND 12. PRINCES TUNA, MAURITIUS (2 SITES) 13. FOGGIA, ITALY 14. LIVERPOOL, HEAD OFFICE 15. PARIS, FRANCE 16. PRINCES FOODS B.V, NETHERLANDS 17. PRINCES POLSKA, WARSAW, POLAND 33

17

15

Princes’ heritage in manufacturing dates back to 1946. Today, we operate fourteen well-invested food, drink and edible oil manufacturing sites across the UK as well as international facilities in Italy, Mauritius and Poland.

OFFICES

4

12

MAURITIUS


COMMERCIAL OFFICES Princes group head office is located in Liverpool, UK. We also operate commercial offices in Foggia (Italy), Paris (France), Warsaw (Poland), Rotterdam (Netherlands) and Mauritius, which are responsible for servicing our customers across continental Europe.

PRINCES GROUP HEAD OFFICE IS IN THE ICONIC ROYAL LIVER BUILDING

FOOD SITES We operate three food sites in the UK, a tomato processing site in Italy and two tuna processing sites in Mauritius.

SOFT DRINKS SITES Princes is a major supplier of soft drinks with five production sites in the UK, a portfolio of major brands and production facilities for a wide range of customer own brand products for the retail, wholesale and food service sectors.

OILS SITES Edible Oils Limited (EOL) and Edible Oils Polska SP. Z.O.O are joint ventures between Archer Daniels Midland (ADM) and Princes Limited. The companies are leading suppliers of branded and customer own brand bottled oils and white fats to the UK and continental European market.

34 3


FOOD

LONG SUTTON

WISBECH This is our food production site in Cambridgeshire, producing canned and pouch products including baked beans, soups, pulses, pasta, vegetables and sauces.

ACCREDITATIONS: • •

OHSAS 18001 BRC Global Standard for Food Safety AA+ Laboratory Accreditation CLAS Member of SEDEX

• •

Located in rural Lincolnshire, this site is our largest food production site in the UK, producing a range of canned products including baked beans, vegetables, fruit, pulses, pasta and meatballs. It also produces a wide range of can sizes to meet customers’ needs, from 145g to 3kg industrial packs.

ACCREDITATIONS: • • •

35

OHSAS 18001 BRC Global Standard for Food Safety AA+ Member of SEDEX

WE ARE A MAJOR PURCHASER OF LOCALLY-GROWN PRODUCE FROM INDEPENDENT FARMS.


CHICHESTER

Shippam’s was founded 1750 in Chichester. Their classic sandwich spreads are still produced in the area and are part of the extensive Princes portfolio. Based on the south coast of England, this site has specialty, high quality production lines producing a variety of pack formats from cans and jars to pouches and microwavable pots. Purpose-built and opened in 2002, it has the capability to supply a diverse range of ambient food categories including pastes and spreads, canned and ready meals, canned pies, stocks and gravies, cooking sauces and sandwich fillings.

ACCREDITATIONS: • • • • •

OHSAS 18001 ISO14001 BRC Global Standard for Food Safety AA+ Laboratory Accreditation CLAS Member of SEDEX

36


RICHE TERRE & MARINE ROAD These sites are two of only a handful of tuna processing facilities worldwide to hold the SA8000 certification for social accountability. The certification provides a measurable, international standard in working conditions and practices. It forms part of our ongoing commitment to developing our workforce and ensuring the highest standards of workplace conditions are met. Our facility in Riche Terre is one of the most technologically advanced tuna processing facilities in the world. Marine Road processes tuna loins for export to canneries and pouches for food service and industrial customers. The addition of this tuna loin business, which involves all of the primary stages of

37

processing our tuna prior to canning, and the expansion of our food service pouch business complements our Riche Terre site, creates access to new customers and markets and allows us to better serve existing customers.

ACCREDITATIONS: RICHE TERRE • • • • • •

MSC Chain of Custody SA8000 certified IFS – Higher Level COFRAC Laboratory Accreditation BRC Global Standard AA+ Member of SEDEX

MARINE ROAD • • • • •

MSC Chain of Custody SA8000 certified IFS – Higher Level BRC Global Standard AA+ Member of SEDEX


FOGGIA

ACCREDITATIONS:

This site is one of the most modern and efficient ambient tomato processing facilities in Europe. The 120,000 sq metre factory has the capability to process around 300,000 tonnes of fresh tomatoes annually.

• • • • • •

ISO 11233:2009 ISO 2205:2008 Kosher Food Certification BRC Global Standard AA+ Organic certification Member of SEDEX

The vast majority of fresh tomatoes used at Foggia are picked locally and travel just a short distance once harvested for processing at the plant. The addition of a pulses line in 2014 increased the site capability as well as offering more local employment opportunities.

38


SOFT DRINKS GLASGOW This site supplies some of the largest UK and customer own brand canned soft drinks through our high-speed line. Our Glasgow team has expertise in domestic UK supply and international markets.

ACCREDITATIONS: • • •

OHSAS 18001 ISO14001 BRC Global Standard for Food Safety A+ Laboratory Accreditation Exova Member of SEDEX

• •

BRADFORD

MANCHESTER

This is our largest UK soft drinks production site and leading producer of customer own brand carbonated soft drinks, offering a large variety of flavours and pack formats. Bradford is our centre of excellence for fruit squash, manufacturing products for Jucee, Geebee and Wells. We also produce a wide range of customer own brand squash products including cordials, premium high juice and standard squash.

This site produces a large variety of fruit juices in bottle and carton formats with strong in-house expertise that enables us to manage supply and demand of fresh products. Manchester also manufactures products for our market-leading Princes brand and a range of customer own brand juice. With several high speed lines, it supplies a number of pack formats including standard and multipack cartons, bottles and gable top cartons.

ACCREDITATIONS:

• • •

• • • • •

39

OHSAS 18001 ISO14001 BRC Global Standard for Food Safety AA+ Laboratory Accreditation Exova Member of SEDEX

ACCREDITATIONS:

• •

OHSAS 18001 ISO14001 BRC Global Standard for Food Safety AA+ Laboratory Accreditation CLAS Member of SEDEX


CARDIFF

EDEN VALLEY

The site produces juice products in one litre cartons, multipacks and ready to merchandise display units. It is a centre for excellence for one litre cartons of ambient fruit juice and drinks, manufacturing our Princes and customer own brand contracts.

The site draws natural mineral water from one of Europe’s largest aquifers. The purity of our natural mineral water sources is protected as the site is set in an EU Special Area of Conservation. As well as producing our Aqua Pura mineral water, Eden Valley produces a wide range of customer own brand water in several bottle sizes, multipacks and display units.

ACCREDITATIONS: • • • • •

OHSAS 18001 ISO14001 BRC Global Standard for Food Safety A+ Laboratory Accreditation CLAS Member of SEDEX

ACCREDITATIONS: • • • • •

OHSAS 18001 ISO14001 BRC Global Standard for Food Safety AA+ Laboratory Accreditation CLAS Member of SEDEX

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OILS ERITH This site forms the hub of our cooking oil production and is located immediately adjacent to one of the largest seed oil crushing and refining establishments in Europe. It bottles the market-leading Crisp ‘n Dry and Flora products and Mazola Corn Oil. The site also packs rapeseed and sunflower oils for customer own brands. It is fully integrated with the adjacent refinery complex, with raw material oil supplied through a direct pipeline to the holding tanks on the bottling site.

ACCREDITATIONS: • • •

OHSAS 18001 ISO14001 BRC Global Standard for Food Safety AA+ Member of SEDEX

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SZAMOTULY Located in the Polish region of Wielkopolska, this site is the newest addition to our Edible Oils portfolio, primarily producing branded and customer own label rapeseed oil. The site is fully integrated with an adjacent refinery complex. The sales, marketing and supply of products produced here is managed by Princes Polska (based in Warsaw) which serves customers across Eastern Europe.

ACCREDITATIONS: • •

IFS – Higher Level Member of SEDEX


BELVEDERE This site is the UK’s leading and largest producer of olive and specialty oils. The majority of our customer own brand products are blended and bottled here. These products are produced in glass bottles, PET bottles, bulk containers and tins.

ACCREDITATIONS: • • • •

OHSAS 18001 ISO14001 BRC Global Standard for Food Safety AA+ Member of SEDEX

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08

EMPLOYER OF CHOICE

PEOPLE EXCELLENCE At Princes ‘people’ are at the heart of our business and within our strategic pillar of ‘People Excellence’ we have a clear vision and purpose. Our vision is to be an Employer of Choice, an organisation that current colleagues are proud to represent and future colleagues hope to represent. Our purpose is to develop a performance culture that inspires our people to give their best always. 43

“OUR PURPOSE IS TO DEVELOP A PERFORMANCE CULTURE THAT INSPIRES OUR PEOPLE TO GIVE THEIR BEST” Joe Dent Group HR Director


ROAD MAP TO EMPLOYER OF CHOICE PEOPLE DEVELOPMENT

EM

PL

OYE

R OF CH

OI

CE

⋆ ⋆ ⋆ ⋆

COLLEAGUE VALUE PROPOSITION

⋆ ⋆ ⋆ ⋆

PERFORMANCE CULTURE

PEOPLE ENGAGEMENT HR DEVELOPMENT

EM

PL

OYE

R OF C

I HO

CE

PEOPLE EXCELLENCE STRATEGY We have a clear roadmap to take the business toward being an Employer of Choice. This journey starts with developing and embedding a ‘Performance Culture’ that creates an environment that supports colleagues to develop and be empowered to achieve high performance. This process naturally evolves to enable Princes to create a compelling ‘Colleague Value Proposition’ for both current and future colleagues to engage with and only then can we achieve our vision to be an ‘Employer of Choice’.

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OUR PEOPLE VALUES

PROFESSIONAL

COLLEAGUE INCENTIVE SCHEME

We take pride in our work and demonstrate the highest standards in everything we do.

Princes has operated a discretionary bonus scheme for over 20 years. This year, we reviewed the triggers and introduced a 25% personal bonus based entirely on the performance of eligible colleagues. This change supports our performance culture that inspires people to give their best.

RESPECT We are respectful of others at all times.

DEVELOPMENT HUB

INTEGRITY We consistently behave with integrity and remain true to our Three Corporate Principles and Code of Conduct.

NURTURING We are committed to the development and growth of our colleagues to support the businesses long term vision.

COMMERCIAL We are all responsible with company resources. We think from our customers’ perspective and strive to provide win win solutions at all times.

EXCELLENCE We are committed to the continual development and improvement of our processes

SUSTAINABLE

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We think long term and take a strategic approach in supporting our responsible sourcing and ethical positions.

Our Learning and Development Team work hard to ensure that colleagues are fully supported to develop in their current role and beyond. Our online Development Hub gives people easy access to over 2000 resources to help them drive their career progression and realise their full potential.

PEOPLE EXCELLENCE Supporting our people managers to help them feel confident and equipped to embed our performance culture is key. This year, we launched an ambitious learning and development programme called People Excellence that will enable managers to better engage, coach and support their teams, as we continue on our journey of business transformation.

PRIDE IN PRINCES When colleagues go the extra mile - and they do – it is important to us to celebrate that effort. In 2019 we launched The Pride in Princes Awards Scheme which helps to unite colleagues across the Group and bring our values to life. We reward people who champion change, improvement and great service.


COMMERCIAL GRADUATE PROGRAMME All the roles at Princes come with personal growth and development opportunities, competitive benefits and a chance to work across our diverse brand portfolio. This is demonstrated by our competitive commercial graduate scheme that attracts high calibre candidates keen to contribute to our success as they navigate the two year programme, learning real skills as they rotate through placements in Sales, Buying & Marketing.

APPRENTICESHIPS As a diverse business with a global supply chain, we are delighted to be able to offer real opportunities through our Apprenticeship Programme in areas such as Leadership, Management, Engineering, IS Business Analyst and Purchasing. We have 80 apprentices in the UK and will be extending this offer next year.

JACK GRAY ‘I joined Princes on the graduate scheme in 2014 and was able to gain invaluable experience across the Sales, Marketing and Buying functions. The graduate scheme proved to be an excellent platform for me to develop my career and I was able to progress into more senior roles, firstly as a Marketing Manager in the Soft Drinks team and more recently as National Account Manager within the Sales team. Our business is changing rapidly and is positively embracing the changing world environment we live in, which is really exciting to be a part of!’ National Account Manager

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09

CORPORATE SOCIAL RESPONSIBILITY Corporate Social Responsibility (CSR) is fundamental to our business, never seen as a project or undertaken for the sake of compliance.

Our new Group vision of being Proud to help families eat well, without costing the earth reflects not only the business we aspire to be, but reflects the existing passion and commitment of our colleagues to become a truly sustainable business. Our supply chains and operations are global and therefore we believe in collaboration with stakeholders to make lasting improvements in environmental and social issues. We regularly engage with colleagues, suppliers, customers, neighbours, Non-Governmental Organisations, policymakers and many others to build relationships, learn from each other, expand our scope and aim for the greater good.

Our efforts are focussed on three pillars of CSR • • •

Climate Change & The Environment Fair Partner & Good Employer Health & Wellbeing

Cross functional work streams for each pillar monitor our progress and set new targets while we have a number of specific working groups encompassing seafood sustainability, human rights, packaging, energy and colleague health and safety.

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UNITED NATIONS SUSTAINABLE DEVELOPMENT GOALS (SDGS) Princes is committed to upholding human rights and fully supports the UN Universal Declaration of Human Rights and the International Labour Organization (ILO) Declaration on Fundamental Principles and Rights at Work. The SDGs have been developed to make the world more sustainable by 2030 in challenges as diverse as ending poverty to tackling climate change. We support the aspirations of the SDGs and have identified specific goals where we think we can make a real contribution to our areas of expertise and operation.

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CLIMATE CHANGE & THE ENVIRONMENT Climate change and resource scarcity are complex global challenges which will affect every part of our business. To grow our business sustainably and meet our corporate vision. We are committed to reducing the environmental impact of our business, and helping our customers live more sustainably too. We’re cutting carbon in our operations and increasingly exploring and implementing new technologies to maximise energy efficiency. We’re also working hard to keep food waste at a minimum and ensuring that the waste we do generate is used positively.

PROGRESS AGAINST OUR TARGETS TYPE

TARGET

ENERGY

REDUCE PRIMARY ENERGY FROM OUR GROUP CONTROLLED MANUFACTURING SITES BY 10% BY 2020 ( BASELINE 2014/15)

AHEAD OF TARGET REDUCED BY 12%

WATER

REDUCE TOTAL AMOUNT OF MAINS WATER USED THROUGHOUT MANUFACTURING OPERATIONS ( MEASURED BY CASE PRODUCED FROM BASELINE 2014/15 )

ON-GOING REDUCED BY 16%

LANDFILL

PET

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ZERO FOOD AND PACKAGING WASTE TO LANDFILL BY 2020

MAINTAIN RECYCLED MATERIAL WITHIN OUR PET SOFT DRINKS BOTTLES AT 25%

STATUS

ZERO WASTE OF ANY KIND SENT TO LANDFILL BY OUR UK MANUFACTURING SITES. FOR OUR OVERSEAS OPERATIONS 2.19% OF WASTE WAS SENT TO LANDFILL ALL SOFT DRINKS AND OILS BOTTLES BLOWN AT OUR MANUFACTURING SITES CONTAIN 51% RECYCLED PET


%

WE MUST USE OUR PLANET’S RESOURCES APPROPRIATELY AND TAKE ACTION TO TACKLE CLIMATE CHANGE.

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FOOD WASTE We understand our responsibility to ensure that food does not go to waste. All our manufacturing sites are tasked with reducing food waste to ensure that what is generated is positively used, whether through human consumption, animal feed, biofuel or for anaerobic digestion. None of our UK food waste goes to landfill. Since 2013, we have been partnered with FareShare, the UK’s leading charity tackling hunger and food waste. All food and drink that we produce at our UK sites but cannot sell for whatever reason and is fit for human consumption is donated to them. Since this partnership began, we have donated over 65,000 cases of branded and customer own brand products. We have also established a food bank partnership in Italy 51

for excess stock at our PIA operation. We have communicated Sustainable Development Goal (SDG) 12.3 to all key suppliers of imported products, asking them to set food waste targets and publicly adopt 12.3. We have also requested they challenge us on our requirements and specifications - if there are appropriate changes we can make that reduce food waste in their operations, we will do so. We are committed to challenging ourselves to not only reduce waste but find better uses for it. By changing our mind-set and seeing waste not just as a problem but an asset, we believe we can find alternate innovative uses for our waste. Of the 22,386 tonnes of total Group food waste, 93% ( 20,831 tonnes ) is sent to anaerobic digestion plants to be converted into fuel but we record this as waste in line with reporting guidance and the food waste hierarchy from WRAP.

WE ARE NOT COMPLACENT. WE FULLY SUPPORT THE UN SUSTAINABLE DEVELOPMENT GOAL 12.3 TO HALVE PER CAPITA GLOBAL FOOD WASTE AT THE RETAIL AND CONSUMER LEVELS AND REDUCE FOOD LOSSES ALONG PRODUCTION AND SUPPLY CHAINS, INCLUDING POST-HARVEST LOSSES

OUR FOOD WASTE DATA : Excludes waste diverted for human consumption (charity donations) or animal feed PRODUCTION TONNAGE

WASTE TONNAGE

UK SITES

1,658,591

17,911

1.08%

OVERSEAS SITES

296,473

4,475

1.51%

TOTAL GROUP

1,955,064

22,386

1.15%

%


THE VAST MAJORITY OF THE FOOD WE MANUFACTURE OR IMPORT IS AMBIENT SHELF STABLE GROCERIES WHICH LEND THEMSELVES TO LOW LEVELS OF WASTE IN OUR SUPPLY CHAIN FROM FARM TO FORK.

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PLASTIC & PACKAGING

PLASTICS - RECYCLED CONTENT AND RECYCLABILITY

The primary function of the packaging we use is to ensure the safety and quality of our products for consumers, however the environmental impact is also important. Packaging is critical in protecting products and reducing food waste but it must not come at an unaffordable cost to the planet.

RECYCLABLE

RECYCLED CONTENT

The recyclable content of the plastics we use within the UK manufacturing is:

The average recycled content of the plastic we use within the UK manufacturing is:

TOTAL PLASTIC TONNAGE

TOTAL RECYCLED CONTENT TONNAGE

= 31,804

= 14,512.71

TOTAL RECYCLABLE

TOTAL RECYCLED CONTENT AS % OF ALL PLASTIC

We are committed to using the maximum possible recycled content possible for the plastics we use and ensuring that they are recyclable.

= 31,768

99.89%

(36 tonnes) Pouches - investigating alternatives 53

= 45.63%

45.63%


Across our ten UK sites, the average recycled content of our packaging is 45% while 99.89% of plastic we use are recyclable. We announced in 2018 the roll out of 51% recycled content in our drinks and oils bottles and this year we have implemented 50% recycled content in the shrink-wrap film we use around multipacks of our food and drink. We have taken steps to remove non-recyclable plastics ; none of our packaging contains PVC (Polyvinyl Chloride) and we are phasing out products using non-recyclable Expanded Polystyrene (EPS). A key future focus area for us is plastic pouches. While they are convenient, light weight and very popular with consumers, the barrier properties required to enable cooking in the pouch means they are not currently recyclable.

All our product packaging should be widely recyclable, use the minimum materials necessary, be durable for supply chain movements and help families reduce food waste in the home. Our business and colleagues understand our circular economy responsibility to ensure that materials are reduced and re used. When we consider new packaging for a product we will take the overall environmental life-cycle and supply chain impact of materials into account to make the best decision for our customers and consumers. In the last year we have continued to make progress and have committed that all our consumer packaging, including plastics, should be widely recyclable, reusable or compostable by 2025.

THE KEY PRINCIPLES FOR

OUR PACKAGING ARE TO REDUCE, REMOVE, RECYCLE MORE AND SUSTAINABLY SOURCE

DEPOSIT RETURN SCHEMES AND PACKAGING LEGISLATION The increased attention by consumers and media on plastics and litter has resulted in a number of new pieces of legislation that will impact our business in the near future. We are engaging with industry and political stakeholders to ensure we are well prepared . We will be introducing a paper straw onto our juice cartons in 2020 ahead of the legislative deadline in 2021. We have started dialogue with our suppliers on legislation to introduce tethered caps onto all drinks bottles in 2024.

We have engaged in the government consultation on a plastics tax from 2022 and have expressed our concerns that the current proposals do not encourage higher recycled content beyond the planned 30% inclusion level. We believe that businesses such as Princes should be encouraged to go beyond the 30% level – as we already have in our recycled PET. We support the introduction of a well-designed Deposit Return Scheme (DRS) on drinks containers in order to reduce litter and improve recycling rates. We have engaged with industry and the Scottish Government on their plans for introducing DRS in 2021 but will continue to call for a unified approach across Great Britain and Northern Ireland.

We are closely monitoring proposals on Extended Producer Responsibility for 2023 and a much needed reform of the existing PRN (Packaging Recovery Note ) system which we hope will increase transparency of how our waste is recycled.

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SEAFOOD SUSTAINABILITY Whether it’s for Tuna, Salmon, Mackerel or Sardines – we know and trust our fishing partners. In fact, we can trace every can of Princes fish right back to its original boat. FOUNDED IN 1880 Initially trading solely in canned fish, few businesses have a heritage as rich as Princes in the procurement of seafood. Even though we don’t own any boats, our commitment to sourcing seafood sustainably is a key part of our corporate responsibility.

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PRINCES’ GLOBAL APPROACH TO FISH SOURCING Princes source a range of fish species from around the world. Where possible, we aim to source from Marine Stewardship Council (MSC) certified fisheries or those that are actively involved in Fishery Improvement Projects (FIPs) with the aim of achieving MSC certification.

TUNA Our goal is to source all of our tuna from fisheries that are MSC certified or in a FIP by the end of 2019. At the end of 2018, 94% of our tuna was from FIPs, MSC certified fisheries or well managed pole and line or FAD free purse seine fisheries. In the UK, all of our Princes brand tuna meets industry agreed Responsibly Sourced criteria.

As one of the founding partners of the International Seafood Sustainability Foundation (ISSF), Princes helps to advance the sustainability of tuna stocks and their ecosystems through research – for example improvements to fishing practices; ensuring transparency and compliance throughout our supply chain; and influence, calling for fishery managers to set the rules needed to improve sustainability.


WESTERN PACIFIC

EASTERN PACIFIC

NEW ZEALAND

MACKEREL

Princes sources MSC tuna from the PNA fishery, the Solomon Islands and American Samoa certified fisheries.

Princes sources tuna from the TUNACONS FIP in the Eastern Pacific.

We source tuna from the purse seine FAD free fishery in New Zealand. Part of this fishery is certified to the MSC standard.

Princes sources mackerel from the North East Atlantic’s MINSA fishery.

INDONESIA

Princes is a founding member of the Sustainable Indian Ocean Tuna Initiative (SIOTI), a FIP involving tuna processors, vessel owners, government agencies and WWF. The vessels within the FIP represent Princes core supply base for its two processing sites on Mauritius. We also source MSC certified tuna from the Echebastar fleet and from the Maldives pole and line fishery.

We source pole and line tuna from Indonesia’s AP2HI FIP. The FIP aims to enter into MSC assessment in 2020.

ATLANTIC Princes is a founder member of the Senegal pole and line tuna FIP which started in the summer of 2019. We also source from the Eastern Atlantic and OPAGAC purse seine FIPs.

INDIAN OCEAN

SARDINES Our key sardine supplier is a member of the Moroccan sardine FIP. The FIP commenced in 2015 and hopes to enter into MSC assessment in 2020.

SALMON Princes sources MSC certified pink and red salmon from the Alaskan fishery.

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FAIR PARTNER & GOOD EMPLOYER Being a fair partner and good employer means improving the lives of workers in our supply chain and developing a performance culture that inspires our people to give their best.

COLLEAGUES

ETHNICITY %

We employ more than 7,000 colleagues worldwide. We aim to be a business that our people are proud to represent and that attracts talented candidates hoping to join us. With a strong ambition to become an employer of choice, by developing a performance culture that inspires our people to give their best, we continually strive to support, engage and empower our colleagues. That performance culture is supported by our values, strategic plan and compelling (and evolving) colleague value proposition.

GENDER % 76.6%

15% BANGLADESHI 25% BRITISH 6% INDIAN

23.4%

16% ITALIAN 30% MAURITIAN 3% POLISH 6% REST OF THE WORLD

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GENDER PAY GAP Our people are at the heart of our strategy and we continuously review how we operate to ensure we treat people fairly – this applies to remuneration, career development, training and bonuses. Taking into account national and industry statistics, our Gender Pay Gap is narrow. Overall, we are performing well when compared to the economy as a whole, the manufacturing sector and most of the other comparative organisations who have reported.

MEAN AND MEDIAN GENDER PAY GAP DIFFERENCE IN MEDIAN PAY

6.1%

DIFFERENCE IN MEAN PAY

8.3%

MEAN AND MEDIAN BONUS PAY GAP DIFFERENCE IN MEDIAN BONUS

2.0%

DIFFERENCE IN MEAN BONUS

8.5%

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ETHICAL TRADING & HUMAN RIGHTS As a values-led organisation, we are proud to support the Modern Slavery Act (2015) and highlight the steps we are taking to ensure that modern slavery is eradicated from every part of our business.

OUR VALUE CHAINS Princes’ global supply chains are complex and extensive with our suppliers providing both finished goods and raw materials for manufacturing across all of our core product areas, which include fish, meat, fruit, tomatoes, pasta, beans, vegetables, edible oils and a broad range of soft drinks. We partner with suppliers, seeking to foster long term agreements in order to provide the security, integrity and quality we, our customers and consumers require.

SUPPLY CHAIN STRUCTURE NUMBER OF SUPPLIERS

SUPPLIER CATEGORY 1

FULLY OWNED OR JOINT VENTURE SITES

14

2

THIRD PARTY FINISHED GOODS SUPPLIERS

93

3

INGREDIENTS SUPPLIERS

395

4

PACKAGING SUPPLIERS

93

5

GNFR (GOODS AND SERVICES NOT FOR RESALE) & OUTSOURCED SERVICE SUPPLIERS

1,763 TOTAL

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2,358


ENDING MIGRANT WORKER EXPLOITATION IN ITALY’S TOMATO INDUSTRY We process around 300,000 tonnes of fresh tomatoes annually. 100% of tomatoes processed from our Italian supply chain come from farms with independent ethical accreditations (Global GAP GRASP or SA8000). In February 2019, our Italian tomato processing operation, Princes Industrie Alimentari S.r.L. (PIA) signed a breakthrough partnership agreement with Coldiretti, a leading Italian agricultural union. It provides financial stability for growers through guaranteed three-year contracts, while ensuring tomato pricing reflects the true costs of farming, enabling long-term industry sustainability. Growers also have access to grant and financing opportunities, transport for seasonal agricultural workers for signatory farms, training and a commitment to participate in Blockchain digital traceability technology to protect workers’ safety. PRINCES GROUP - Ethical Trading 60 61


PARTNERING TO ADDRESS ROOT CAUSE ISSUES Princes recognises the benefit in collaborating to drive meaningful change and address some of the root cause issues of large and complex modern slavery incidences. Our partners include:

A leading alliance of Companies, Trade Unions and NGOs that promotes respect for workers’ rights around the globe. Princes joined the Board of ETI as a Corporate Representative in January 2019.

Network of UK food companies collaborating to improve working conditions in supply chains. Their activities comprise of supplier support, risk assessment and guidance, collaborative working and joint learning to form a framework for identifying, managing and responding to global food supply chain ethical trade risks.

Participating in this group allows us to collaborate with suppliers and retailers to improve our understanding of the ethical issues impacting the seafood supply chain. 61

INDIRECT PROCUREMENT HUMAN RIGHTS FORUM We contribute to a new initiative for workers in indirect procurement supply chains. We aim to share insights and best practice with others, to build capacity, identify opportunities, and speak collectively on human rights issues.

The Sedex Stakeholder Forum (SSF) brings together leaders in ethical trade and responsible sourcing to solve shared challenges. The forum houses SMETA, one of the world’s most widely used audit formats.

Supplies resources and support for raising the awareness of how to spot the signs of modern slavery, and how to approach modern slavery in value chains.

KEY PERFORMANCE INDICATORS We are committed to measuring our ethical trading performance to maximise focus within our business and supply chain. We measure ourselves against the following indicators: •

Reported incidences of modern slavery in our supply chains and our responses.

Number of third party ethical audits undertaken within our fully owned or joint venture sites as well as third party finished goods suppliers.

Number of overdue and outstanding Business Critical and Critical Non-Conformances within our fully owned or joint venture sites.

Number of overdue and outstanding Business Critical and Critical Non-Conformances within our direct supply chain and how we are dealing with these.

RISK ASSESSMENTS & DUE DILIGENCE Risks of modern slavery are dynamic and can evolve quickly. We regularly assess and respond to risks in our business and wider supply chain. In January 2019, we enhanced our Supplier Ethical Requirements and communicated these via a series of webinars. This requires that any direct ingredient and packaging suppliers deemed to be Higher Risk (based on their sourcing country) would be required to undertake and share details of an independent, third-party ethical / social audit. We are also members of the Supplier Ethical Data Exchange (Sedex). We use Sedex to help us assess and manage compliance across our manufacturing sites and direct suppliers.


ETHICAL RECRUITMENT IN MAURITIUS Princes Tuna (Mauritius) hold SA8000 certification; a voluntary social accountability standard demonstrating our best-in-class approach to ethical trading and human rights. In Mauritius, there remains strong competition for domestic labour in the tourism, textile and chemical industries. Princes Tuna (Mauritius) Limited (PTM) relies on recruiting a large number of workers from India and Bangladesh. In March 2019, PTM launched “Know Your Rights” (working closely with the British High Commission in Mauritius), to ensure that our colleagues know what to expect from Princes and the Government when in Mauritius. All hiring decisions are made by PTM’s Head of Human Resources. Candidates are supported throughout the process via pre-induction meetings and detailed reviews of employment contracts (with a translator).

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100% OF OUR OWNED OR JOINT VENTURE PRODUCTION SITES HAVE CONDUCTED AN INDEPENDENT ETHICAL / SOCIAL AUDIT (PAST 24 MONTHS).

100% OF OUR THIRD PARTY FINISHED GOOD SUPPLIERS HAVE COMMISSIONED AND SHARED DETAILS OF AN ETHICAL / SOCIAL AUDIT (PAST 24 MONTHS).

0 OVERDUE AND OUTSTANDING CRITICAL NON-CONFORMANCES WITHIN OUR FULLY OWNED OR JOINT VENTURE SITES.

52 OVERDUE AND OUTSTANDING CRITICAL NON-CONFORMANCES WITHIN OUR DIRECT SUPPLY CHAIN ACROSS 48 SUPPLIERS. ALL HAVE A TIME-BOUND ACTION PLAN.

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GOODS AND SERVICES NOT FOR RESALE

BEYOND AUDIT

We categorise our 1,763 GNFR and Outsourced service suppliers in order to ensure maximum engagement and action on those deemed highest risk. For Princes, this included labour providers, catering, security, cleaning and construction suppliers. All temporary agency labour utilised in the UK is provided through Association of Labour Providers member companies who are registered Stronger Together Business Partners. They have a documented Hidden Labour Exploitation Policy and have demonstrated a commitment to raising awareness of hidden labour exploitation through their processes and communication with staff. We are also enhancing our audit process taking into account the Stronger Together checklist, annual assessments and action plans.

Ethical audits provide a good foundation to build knowledge and understanding of some of the risks our suppliers face at a factory level. In addition to independent audits, we continue to enhance our approach to identify and mitigate ethical trade risks within our supply chain. Based on our updated assessment of known and potential risks our priority focus countries were reassessed and are currently: Brazil, China, Indonesia, Italy, Thailand and the United Kingdom. The reason for initially focussing on these six countries is that they reflect the supply relations we have and the leverage we are able to exert to influence positive actions with regard to ensuring incidents of modern slavery and human trafficking do not occur.


HUMAN RIGHTS RISK ASSESSMENT IN THAILAND We conducted risk assessments in our Thai poultry and pineapple value chains. We found that several suppliers were already identifying, and mitigating ethical trading and human rights risks. There remain risks around migrant workers paying recruitment fees and ensuring that farm-level due diligence continues – to protect safe and hygienic living and working conditions. We engaged with Oxfam Thailand and the International Labour Organization to share insights. Since then, we’ve collaborated with one of our pineapple suppliers and an external organisation, conducting an independent “worker voice” survey. This pilot project enabled migrant workers to anonymously answer work-related questions via mobile phones. The findings are shaping the development of action plans, training and engagement with workers.

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HEALTH & WELLBEING Consumers are increasingly aware of how food and drink consumption is an essential part of an overall healthy lifestyle. Our core products are key components of a balanced diet and we are committed to improving their nutritional content as well as being transparent in our labelling and communication. As a major supplier of own label products we also work with many retailers to improve recipes and help consumers make the best decisions for themselves and their families.

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0% OF OUR BRANDED SOFT

DRINKS CONTAIN ANY ADDED SUGAR

>75%

OF OUR BRANDED PRODUCTS ARE COMPLIANT WITH LATEST FSA SALT TARGETS OVER 200 BRANDED PRODUCTS WE SUPPLY COUNT TOWARD 2 OF YOUR 5 A DAY


“OUR PRIMARY RESPONSIBILITY IS TO PROVIDE SAFE AND NUTRITIOUS FOOD AND DRINK TO MILLIONS OF CONSUMERS EVERY SINGLE DAY”

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THE NATION’S HEALTH

A BALANCED DIET

Childhood obesity is a significant issue in the UK and the NHS body Public Health England is focusing its attention on the level of calorie intake– whatever the source – in foods that are not targeted at children but are nonetheless consumed by them. 15 categories have been identified and we are working through them to see if we can reformulate, reduce portion size or increase communication of healthier alternatives, in line with PHE recommendations. We will report in detail in 2020 on our progress in these areas.

The vast majority of our products, whether branded or supplied as customer own brand are healthy when consumed as part of a balanced diet. Our core range of fish, fruit, pulses, meat, pasta, oils, juice and water are all to be found on the ‘NHS Eat Well Plate’.

In February 2019 the UK National Diet and Nutrition Survey published its latest data from its rolling study of the diets of a representative sample of 1,000 people, tracking their diet since 2009. Positively the results show a decrease in sugar intake by children and teenagers which is attributed to a decrease in consumption of sugar sweetened drinks. A downward consumption of fruit juice is more concerning give that fruit juice remains the main route for UK consumers to achieve their 5 a day.

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www.nhs.uk/live-well/eat-well/the-eatwell-guide/


“FROZEN AND CANNED FRUIT AND VEGETABLES ARE JUST AS GOOD - WE NEED TO ENCOURAGE PEOPLE TO USE THEM AS WELL AS FRESH PRODUCTS” British Dietetic Association.

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SUGAR & SWEETENERS

Carbohydrates, and specifically sugar, is a big focus for consumers and government. Historically our largest area of use was in our soft drinks manufacturing, but in the period 2011-2016 we reformulated our brands and worked with our customers on their own label recipes in recognition of growing consumer concern and rising levels of obesity in the UK. No branded soft drink we manufacture contains any added sugar and in our extensive range of customer own brand there remain only a handful of products to which sugar is an added ingredient. Reducing sugar does mean that we use sweeteners in many of our soft drinks, particularly dilute to taste squash and carbonates. We always follow very carefully the advice of regulatory, trade and scientific bodies on the use of sweeteners. We are not complacent however and continually strive to improve the nutritional content of our brands and products for our millions of consumers.

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NO BRANDED SOFT DRINK WE MANUFACTURE CONTAINS ANY ADDED SUGAR


NEW FROM NAPOLINA

Improving the health of consumers comes through changing the composition of our products and also bringing healthier alternatives to the market.

THIS YEAR HAS SEEN FURTHER DEVELOPMENTS WITH THE ADDITIONS TO OUR RANGE OF BARLEY AND SPELT, BOTH GREAT SOURCES OF LOW FAT PROTEIN AND INCREASINGLY BEING USED BY CONSUMERS AS AN ALTERNATE TO MEAT IN CASSEROLES, STEWS AND SOUPS.

Our leading Napolina brand has a strong track record with launches of gluten free pasta, 50/50 durum wheat and whole wheat durum semolina pastas for increased fibre amongst launches to market in 2018. OUR NAPOLINA TEAM HAS ALSO LAUNCHED A NEW RANGE OF 100% NATURAL INGREDIENT PASSATA, WITH NO ADDED SUGAR, NO ARTIFICIAL COLOURS OR FLAVOURS AND COUNTING TOWARDS 1 OF 5 A DAY 70


GROUP HEAD OFFICE (UK) Princes Ltd Royal Liver Building Pier Head Liverpool L3 1NX UK

CONTINENTAL EUROPE HEAD OFFICE Princes Foods BV Boompjes 40 PO Box 19157 3001 BD Rotterdam Netherlands

POLAND OFFICE Princes Polska Warsaw Metropolitan Pl. Piłsudskiego 3 00-078 Warszawa Polska

www.princesgroup.com

ITALY OFFICE Princes Italy Zona Industriale Localita Incoronata 71121 Foggia (FG) Italy

FRANCE OFFICE Princes France 3 Avenue Hoche 75008 Paris France

MAURITIUS OFFICE Princes Tuna (Mauritius) Limited, PO Box 131, New Trunk Road, Riche Terre, Port Louis, Republic of Mauritius

Profile for princes6

Business Report 2019/20  

Business Report 2019/20  

Profile for princes6