RTRS Management Report 2021

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1MANAGEMENT REPORT 2021Round ActivitiesTable1 RTRS Certification 2 OpportunitiesNew REPORTMANAGEMENT320212021 RT R S

2MANAGEMENT REPORT 2021Round ActivitiesTable1 RTRS2 OpportunitiesNew3 2021 was a year of learning and continuous improvement, which contributed to the transformation of the soy value chain. We believe that shared responsibility and innovation are key in an increasingly challenging and demanding sectoral agenda, and RTRS actively commits and takes its part. Index1RoundTable Activities a.Strengthening the Round Table Role b.Strengthening the Membership Base 2 RTRS Certification a.Stepping up RTRS in Europe b.Asia as a Growth-Driver c.Market in South America d. Market Update 3 New Opportunities a. Expand Business Model from Soy to other Crops b. AddingValuetoRTRSCertified Material c. Communication Campaigns

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In June 2021, RTRS launched the “Beyond 2020” RTRS Strategy | 2021 - 2026, which was developed by RTRS Executive Board members in close collaboration with the Secretariat team and led by Malik, a leading Swiss leadership and governance solutions. for the Association. The “Beyond 2020” RTRS Strategy is RTRS´s approach to its strategic development for the 2021-2026 period. It is a roadmap and a guiding document that provides the framework for all strategic decisions within RTRS, the foundation for all functional strategies and concepts and provides the communication channel to the outside world. sentation of all constituencies. RTRS will renewthevaluepropositionofmembership.

4MANAGEMENT REPORT 2021Round ActivitiesTable1 RTRS2 OpportunitiesNew3 grains, and integrate the crop mix into the RTRS portfolio by providing RTRS’ expertise. In December direction by approving the RTRS Standard for Responsible Corn Production (RTRS Corn Standard). Consolidate RTRS’ current position in Latin America and Europe; and grow in new markets and regions such as China, India and Japan. RTRS Credits-Physical Flow and work on reducing the environmental footprint of food supply, further Sustainable Development Goals (UN-SDGs). This parties in the value chain. ,tairaterceSSRTRehtesilanoisseforprehtruF expanding its services and supporting functions.

Strengthening the Round Table Role 21 4356

Access the highlights of the “Beyond 2020” RTRS Strategy below and watch our video to learn more about the strategy. REPORT

Strbased,Re-evaluateandrepositionthecomprehensiveroleofRTRSasamultisectoral,globalconsensus-decision-makingroundtable.engthenthemembershipbasewithnewmembersandpromoteabalancedrepre

As a first step in a strategy to achieve a distinct profile, the Association evolved its brand identity to enhance visibility and reposition its dual role as a global multi-stakeholder and consensus-based decision-making round table and as an owner of certification schemes.

ORIGIN Back to what it was as originally conceived ADD-ON FOLDERS For new oils, seeds and grains FLEXIBLE TO POTENTIAL FUTURE CERTIFICATIONS

The original RTRS logo redesigned to represent RTRS certification for the responsible soy production, trade and use, which, at the same time, can be scalable to other oils, seeds and grains for potential future certifications. RTRS thus presents a new logo created to represent the Association as a round table

Fonts roundedwithcorners.

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ROOTED in RTRS’ original logo format KEEPING THE IMAGE OF THE SOYBEAN PLANT

New Visual Identity

WATCH

ROOTED in RTRS’ original logo format KEEPING THE IMAGE OF THE SOYBEAN PLANT Fonts roundedwithcorners.

ORIGIN Back to what it was as originally conceived ADD-ON FOLDERS For new oils, seeds and grains FLEXIBLE TO POTENTIAL FUTURE CERTIFICATIONS

SOJASOJA SOJA MAÍZ

SOJASOJA SOJA MAÍZ

Below is the creative process behind RTRS‘ new identity. VIDEO

ROUND TABLE Every member makes the round table what it is. WEIGHT Of the RTRS; the story behind the motto that gave origin to it. UNITY In the ideas of the round table.

ROUND TABLE Every member makes the round table what it is. WEIGHT Of the RTRS; the story behind the motto that gave origin to it. UNITY In the ideas of the round table.

RTRS ENGAGES, COOPERATES & COLLABORATES

The Association is always working to add value to the role of the multi-stakeholder round table through engagement activities in order to be recognised as a valuable dialogue partner in the soy sector by politicians, government representatives, and officials in international and multilateral organisations.

RTRS engaged with the following governmental institutions and their representatives:

RTRSdiligence”alsoorganisedbyDefra.keepscloselyinvolvedinthe UK due diligence process, anticipating the potential role certification schemesmighthave.

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Following the engagement activities carried out since 2019, RTRS joined "The Role of Certifications in Due Diligence”, a public policy workshop organised by Defra to discuss the role of certifications/standards in due diligence within Defra policy. The workshop brought together a group of certification/standards to explore how to support businesses in meeting due diligence requirements for deforestation-free risk commodities. Later, RTRS took part in the follow-up workshop “How can certifications and standards Voluntary Sustainability Standards (VSS) be used as part of due

Voluntary certification schemes, as part of a multitakeholder approach, are an important part of the solution to tackle the deforestation challenge.

• The European Union Commission RTRS participated in “high level” meetings with different European Commission (EC) such as Agriculture and Rural Development (AGRI), Environment (ENVI), International Partnership (INTPA) and Trade (TRADE). The aim of these meetings was to engage and discuss the role of multiunder the framework of the “Proposal for a Regulation on Deforestation-free Products’’, as well as to exchange relevant information and insights.

• United Kingdom (UK) Department for Environment, Food & Rural Affairs (Defra)

There is increased recognition that integrating voluntary comprehensive approaches can support governments in achieving their sustainability goals. In November 2021, the EC “Proposal for a Regulation on Deforestation-free proposal clearly describes due diligence requirements as well as obligations operators are expected to comply recognised as a green lane for companies to comply with their upcoming mandatory due diligence requirements, it may be used in the risk assessment procedure, though it should not substitute to the operator’s responsibility regarding due diligence.

• Engagement activities with the public sector in Brazil Focused in targeted regions in the country, RTRS achieved different engagement opportunities in Paraná state with the Secretary of Agriculture and the Agriculture Commission; and in Goiás state, with the Superintendence of Sustainable Rural Production of the Government and the President of the Grain Commission of the Federation of Agriculture and Livestock, to name just a few.

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• Working Group 4 (WG4) on Biodiversity and Communication | Federal Ministry for the Environment, Nature Conservation and Nuclear Safety (BfN) and the German Federal Agency for Nature Conservation (BMUV) As of 2020, RTRS is part of the “WG4 on Biodiversity and Communication” organised by BfN and the BMUV, with support from the UN “One Planet Network”. The aim is to bring together various stakeholders to raise awareness and promote communication about the consequences of consumption on biodiversity and ecosystem services and to integrate biodiversity aspects into international processes of sustainable consumption and production. One of the objectives of this group is the development of the Communication Toolkit – Linking Consumpti During 2021, RTRS participated in the different strategic meetings of the WG4 to continue the development of the Communication Toolkit, planned for launch in 2022, and which will include ready-to-use informational material and open-use infographics, good practice examples and a communications guide with key points to consider when communicating. Some participants of this working group are, from the multilateral organisations and government sectors: the Costa Rican Ministry of Agriculture and Livestock; the French Ministry for the Ecological and Inclusive Transition; the UN Environment Programme; and from the multilateral sector, the Forest Stewardship Council International (FSC); Stockholm Environment Institute (SEI) and the International Trade Trade Centre (ITC), among others. Communication Toolkit – Linking Consumption and Biodiversity

RTRS’ activities and approaches as a credible reference in the soy sector also include par ticipation in mul tilateral platforms: • United Nations | Global Compact (CEOs’ commitments to implementing universal sustainability principes and to under taking steps to support UN Goals). As a member since 2014 , and as a reference in the soy sector, RTRS was invited to be par t of the trilateral project “European Union Triangular Cooperation Project, ADELANTE 2, for the strengthening of value chains and contribution to the SDGs in Paraguay and Argentina” implemented jointly by the Global Compact of Argentina, the Global Compact of Paraguay and ICEX of Spain in 2021.

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• United Nations Economic Commission for Europe (UNECE) RTRS remains an active par ticipant in the Working Group on “Knowledge Sharing & Training” within the f ramework of the initiative of Working Group 6 on Regulator y Cooperation and Standardisation Policies, which is intended to suppor t the integration This group continues to work on different activities to share experiences, knowledge and develop tools that will eventually contribute to achieving such objectives.

The Association participated in the “Virtual training course on strengthening value chains through corporate sustainability to contribute to the 2030 Agenda”, and was also selected to participate in an in-depth interview session in the context of a research study on how to strengthen value chains and contribute to SDGs in Paraguay and Argentina.

• World Agri-Tech South America summit

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RTRSsigned a Memorandum of Understanding (MoU) with GIZ Brazil (Deutsche Gesellschaft für Internationale Zusammenarbeit, theGermanSociety forInternational Cooperation) to promote and carry out joint activities andactionsthatfostersustainable agriculturalpracticesin the Maranhao/Tocantins/Piauí (MATOPI) states. One of the objectives is to strengthen RTRS’ activities in the region and the project “Sustainability and Value Creation in Productive Chains”, the results of the cooperation efforts between GIZ and the Government of Maranhão, and, eventually, increase the synergy betweenbothapproaches.

RTRS took part in a discussion panel convened by ProYungas entitled “Dialogues about the Great Chaco: the role of production in nature conservation”.

Fundación ProYungas is an NGO that works for the conservation of the environm ent and sustainable developm ent, promoting territorial planning processes at different scales, ac tively linking produc tion with the preservation of nature. Created in 1999, it develops its ac tivities in the South American subtropics, mainly in Norte Grande of Argentina, a region that encompasses the greatest environm ental, cul tural and produc tive diversity in the country. They have been members of RTRS since 2019.

The aim of the collaboration effort between RTRS and Brazilian Institute for Development Sustainability (IABS) is to carry out promotional activities about certification, participate in training activities and provide training material, conduct a diagnostic of rural properties based on certification potential, disseminate good agricultural practices, and design and execute community development projects with more than 170 selected producers. IABS coordinates many consultants in the Rural Sustainable Project to encourage sustainable practices in a large number of medium- and small-sized farms and also promotes seven standards to certify them. RTRS will consolidate its role as a key partner of the initiative.

RTRS also engages in other sectoral initiatives and approaches:

RTRS was a panellist in the “Supply Chain Transparency: Identifying Capital Risks and Opportunities” session of the World Agri-Tech South America summit, that gathered more than 700 participants in São Paulo, Brazil.

• Collaborative Soy Initiative (CSI) As a participant of the CSI, a collaborative framework with the vision of 100% conversion-free, sustainable soy production and market uptake on a global scale, RTRS took part in more than ten of the meetings, seminars and engagement activities organised by the initiative.

• Giz Brazil

• IABS - Rural Sustainable Project

• Fundación ProYungas

10MANAGEMENT REPORT 2021Round ActivitiesTable1 RTRS Certification 2 OpportunitiesNew3 Arnhem Business School - The Netherlands Copenhagen Business School - Denmark Erasmus University Rotterdam - The Netherlands Lafayette College in Easton - United States Rotterdam School of Management - The Netherlands The American University of Paris - France Universidad de Buenos Aires - Argentina Universidade Federal Rural da Amazônia - Brazil Universidad Nacional de Córdoba - Argentina University of Amsterdam - The Netherlands University of Bern - Switzerland University of Copenhagen - Denmark University of Illinois - United States University of St Gallen - Switzerland University of Utrecht - The NetherlandsUniversities101214134213567151198 In the context of diverse initiatives and research projects on topics such as the role of multistakeholder associations, certification schemes and their impact in sustainable supply chains, the certified farms in Brazil and trading operations on the soy sector, RTRS engaged with different universities from all over the world:

In December, RTRS hosted a virtual visit to RTRS certified farms Kimex S.R.L and PAYCO S.A., located in the Itapúa and Caaguazú departments of Paraguay, respectively.

participants

The participants learned about the different stages of production and the RTRS certification process, the environmental and social projects carried out by the two certified producers and their impact on local communities, as well as the various activities they perform to ensure forest and biodiversity preservation and protection in the region.

organisations countries “The Tipping Point to Shared Responsibility”

In June, “RTRS Meeting Point 2021: The Tipping Point to Shared Responsibility” was held to promote and embrace multi-stakeholder dialogue about responsible soy production, trade and use, and to explore ways and methods on how to transform the supply chain.

Around 300 reference stakeholders from 25 different countries from the entire soy sector participated in the meeting to analyse relevant issues related to responsible soy and took part in the exchange and networking sessions proposed by the Association.

The participants enjoyed a tour of the farms that produce RTRS certified soy. The goal was to show, by means of 6 documentary videos and interviews, how RTRS certified producers work on all the stages of the production process while committing to social and environmental responsibility.

5 + +11020 +25+500 speakersmeetings

This means complying with five basic principles: Legal Compliance and Good Business Practices, Responsible Labour Conditions, Responsible Community Relations, Environmental Responsibility and Good Agricultural Practices. First Meeting Point Second Meeting Point

More than 170 people representing 110 organisations from 21 different countries attended this RTRS Virtual Field Trip. You can relive the event WATCH VIDEO

Virtual Field Trip to Paraguay

RTRS meets & connects RTRS continued working virtually in 2021 and this has allowed the round table to connect at different meeting points, thus further strengthening our multi-stakeholder dialogue.

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The event gathered more than 50 participants from the three constituencies: Industry, Trade and Finance, Producers and Civil Society Organisations. Task Force Brazil RTRS held task force meetings in May and November. in a hybrid format: face-to-face (in São Paulo) and also Differentvirtually. topics of relevance for both the soy sector in general and the local agenda were addressed and presented, and time was set aside to present the main guidelines of the “Beyond 2020” RTRS Strategy, and to review RTRS actions and objectives for 2022. speakers5

The event can be watched in Portuguese EO

The included:meetings moderator1

orepresentatives+100ofsoysectorrganisationsinBrazil attendeesin-person30 WATCH VID

The workshop was held in August with the participation of stakeholders from Brazil’s soy supply chain. The goal was to connect with those who are not that familiar with RTRS, and discuss and learn about the Association and schemes for the production, trade and use of responsible soy. What is the role of RTRS, what does it mean to participate in the round table and what it means to certify RTRS.

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RTRS Soy Workshop “Responsible soy supply chains: First Steps to RTRS

13MANAGEMENT REPORT 2021Round ActivitiesTable1 RTRS2 OpportunitiesNew3 NEW MEMBERS In 2021 RTRS continued growing and adding new members. Throughout the year, RTRS welcomed 28 organisations from the Industry, Trade and Finance, Producers and Civil Society constituencies. Twenty-one new organisations joined RTRS in the first half of the year and seven more organisations joined in the second half. As of December 2021, the RTRS community comprised 188 members f rom more than 30 countries. All of them have made a commitment to contribute to making the soy value chain more responsible: 01 SocietyCivil Organisation 01ObservingMember 10Producers16 Industry, Trade and Finance Organisations Learn more about new RTRS members.MEMBERSNEW READ BRIEF Strengthen1 MembershiptheBase

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15MANAGEMENT REPORT 2021 RTRS RTRS Certification

16MANAGEMENT REPORT 2021Round Table Activities 1 RTRS2 OppoNewrtunities3 Evolution of RTRS pglobalroduc tion420,706 1,006,982 1,157,583 1,355,052 2,344,466 3,266,561 4,149,069 2011 2012 2013 2014 2015 2016 2017 4,465,232 4,114,443 4,639,0714,799,011 2018 2019 2020 2021 In 42021,,639,07 1 tons of RTRS soy worldwide 1, 332 ,065 ha CERTIFIED SOY

17MANAGEMENT REPORT 2021Round ActivitiesTable1 RTRS2 OpportunitiesNew3 RTRS GLOBAL CERTIFIED PRODUCERS Standard for Responsible Soy (RTRS Soy Standard) worldwide.669ofthese producers are from India and they are RTRS producers celebrated 10 years of In 2021, six RTRS producers celebrated the10-year responsiblewereThisresponsiblewereArgentina,AgropecuariaandImplementationStandard.anniversaryoftheircertificationundertheRTRSSoyoftheRTRSSoyStandardbeganin2011inthatsameyearAceiteraGeneralDeheza,AdecoS.A.,CaldenesS.A.andVilucofromandAmaggiandSLCAgrícolafromBrazilthefirsttoobtaintheRTRScertificateforsoyproduction.tenthanniversarymeansthattheseproducersthefirsttoobtaintheRTRScertificateforsoyproduction. ARGENTINAUruguayParaguayIndiaArgentinaBrazilCOUNTRY Total PRODUCERS 174431989,669 49,918 1GROUPS -4-4 18 TONS 21,241132,803242,507606,4023,636,118 4,639,071 HECTARES 11,7413120,440193,211967,8648,809 1,332,065 BRAZIL

RTRS

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The Chain of Custody

Standard describes the requirements for the different traceability systems an organisation can implement to keep control of RTRS certified material inventories, either soybean or soy byproducts and corn or corn byproducts. It is applied across the entire supply chain and it is mandatory for organisations wishing to receive, process and trade RTRS certified material. The RTRS Chain of Custody system continued to grow in 2021: At the end of the year, 45 new sites in Argentina, Brazil, India, Ireland, Northern InIreland,ParaguayandTheNetherlandswerecertifiedagainstChainofCustodyStandard.total,therewere184sitescertifiedtoreceive,processandtradeRTRS-certifiedphysicalsoyin13countriesinAmerica,EuropeandAsia;127storageplants,56processingfacilities,35ports,1transshipmentfacilitiesand25tradingofficeswhichareChainofCustodycertified. Evolution of Chain of Custody Certification

Stepping up RTRS in Europe Europe is a trendsetter in matters of sustainability. RTRS will focus its actions in strengthening both its market is good and will be expanded. At the same time, RTRS will broaden its contact with governments, parliaments and NGOs. Danish Crown was the largest adopter of RTRS certi In May 2020, Danish Crown publicly announced an action plan to ensure that their Danish production needs for soy are covered by third party certified or verified responsible soy that does not cause deforestation, and further stated that they expected it to account for a very significant part of the global market for RTRS soy. In 2021, Danish Crown acquired 460,000 Credits Supporting Responsible Soy to compensate for part of the soy needs of the company's Danish production. This acquisition made Danish Crown the first largest RTRS certified material adopter in 2021. Danish Crown is one of the world’s largest exporters and one of Europe’s largest producers of pork. The Danish Crown Group is also the largest meatprocessing company in Europe, and Danish Crown Beef is a key player in the European beef market.

# LEADING CASE “AtDanishCrownwechosetoworkwithRTRSinordertosetrobustandholisticsustainabilitystandardsforourselvesandforoursupplierstosuccessfullytransitiontowardsresponsiblefoodproduction

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This is why, as a starting point, Danish Crown adopted RTRS credits supporting Responsible Soy, as a clear demostration that we support social and environmentally sustainable practices. We see that RTRS certificacion is a tangible tool to deliver these commitments, while we provide direct economic incentives to producers to keep producing and sourcingsustainably.”

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the RTRS Corn Standard. RTRS participated in different engagement

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growth driver

Asia as a

focus is soy, but other crops will follow, starting direction by

The main approving activities Supply Chain and Mainstreaming Ecological Civilization - Green Supply Chain”, workshop organised by the World Economic Forum (WEF), Tropical Forest Alliance (TFA) and ISEAL

China. “Parallel Session of the CBD COP 15 | Towards Kunming: Symposium on Non-State Actor Actions for Post-2020 Global Biodiversity "ConformityConservation”.assessment to promote sustainability" exploreChainIninpanelorganisedbyChinaInternationalFairforTradeServices(CIFTIS).Japan,theGlobalAllianceforSustainableSupply(ASSC)andRTRShostedawebinartodiscusshowtheJapanesemarketcanensurethesustainabilityofthesoysupplychainthroughRTRScertifiedmaterial.Themeetingwasattendedby47representativesfromJapaneseorganisations.RTRSengagedwithSolidaridadIndiatopotentialcollaborationoptions-forexample,benchmarkingformutualrecognitionbetweentheRTRSSoyStandardandtheIndiaSustainableSoyStandard(ISSS).43215

to sustainability agenda and local innovation initiatives to comply with the UN SDGs in Asia: “Sustainable

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Supporting farmers with their production, Aliança da Terra (ADT) is a Brazilian organisation that develops projects to promote environmental protection in harmony with agricultural and livestock production. Their methods include developing socio-environmental diagnoses and highlighting and protecting vulnerabilities with the help of 930 trained volunteers that collaborate in different projects, which help protect 2.9 millions ha of native vegetation, assure that 20.000 people working in rural areas are safe and have good working conditions and contribute to support 10 indigenous communities, among others.

Later in April 2018, Grupo IV and Grupo Comigo, both of them representing 49 rural producers, achieved RTRS c They worked closely with ADT for this achievement in order to offer a path to more responsible production and meet market expectations. Together both groups c 72,667 hectares, totaling 290,742 tons of soy. Today, both groups are organised and known as Produzindo Certo Grupo Comigo, Aliança da Terra Grupo IV and Produzindo Certo - Grupo Castrolanda, all of them located in Goiás state, in the midwest region of Brazil. As a result in 2021, these producers 263,554 tons of responsible soy and 63,162 hectares in 43 establishments. (It is important to highlight that the size of their farms can vary, from 300 to 10,000 hectares).

The role of A l ia n ça da Terra to e xp an d s ustainable practices in B ra zil

In 2019, ADT activities with the agriculture supply chain were the genesis for the company Produzindo Certo (from Portuguese, Producing Appropriately); a platform that promotes transformation in the agribusiness chains, bringing together producers and companies committed to the proper management of natural resources and respect for society. Today Produzindo Certo, by using special tools and technological data, provides producers and organisations services of consultation, management assessment and processes and partners to restructure value chains when they need it.

The collaboration between ADT and RTRS goes back a few years; in 2015 ADT worked with Group Wegener, in Rio Verde-Goiás, to help them produce following good agricultural practices while minimising their impact on the environment. By compiling a detailed socioenvironmental diagnosis, ADT provided the necessary support for the group to comply with the guidelines required to reach RTRS As a result, in the 2016/2017 campaign Group Wegener certified 1.729 hect reas, which represented 6.679,80 tons of RTRS certified soy.

“We are very happy to help farmers to be internationally recognised for producing soy linked to socio-environmental responsibility. The RTRS seal brings this recognition, in addition to opening up possibilities for farmers to have real benefits and new avenues for their responsible production commented Aline Locks, CEO of Produzindo Certo.”

Market in South America In South America, the RTRS certification of farms is consolidating its associated added value with its concrete social, environmental and economic impacts. In the region, RTRS promotes these achievements in the value chain through alliances and collaborative synergies.

# LE ADING CASE

In Brazil, ADT through Produzindo Certo, acts as a vehicle and collaborates with farmers applying the best social and environmental standards and practices in the market, like the RTRS Standard for Responsible Soy Production. This means complying basic principles: legal compliance and good business practices, responsible labour conditions, responsible communities relations, environmental responsibility and good agricultural practices.

theTanguroofsoythevalue.RTRShasbeenoneofthemaintoolsforcompanytopromotebestpracticesinthechain.In2021AMAGGIcompleted10yearsRTRScertificationintheTucunaréandfarms.In2022itwillbetheturnofproducergroupinruralareasthatsupplygrain,AMAGGIcelebrate

“AMAGGI remains committed to work for an increasingly responsible production, whether on their own farms or in their supply chain

s this. During this period, AMAGGI has always invested in transparency and continuous improvement processes in the management of certified farms, always looking to improve social aspects, working conditions, quality of worker’s life and relationship with the community, in addition to the environmental produtheandagriculturalrequirements.Onthisjourneycompanyhasnoticedagrowthofthec ers and the market, which has shownagrowinginterestinRTRSsoybeans.” commented Fabiana Luri Dias Doi Reguero, SocioenvironmentalManager-SustainabilityinAmaggi.

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Every year since 2012, AMAGGI es an average of 40 rural properties against the RTRS Soy Standard in the states of Mato Grosso and Rondônia. 1,000,000 tons of soy under RTRS EU RED scope. And in ed soy under that same scope, exceeding their own annual average of AMAGGI allocated their RTRS EU RED certified soy in the biofuel market. For example, in 2019 they allocated 501,762 tons, in 2020, 524,543 tons and in 2021 they allocated 351,707 tons. Mostly, each year these volumes were acquired by ADM. In addition to farms, the scope of AMAGGI's six warehouses (in Mato Grosso and Rondônia), two processing plants (in Lucas do Rio Verde-Mato Grosso in Porto Velho-Rondonia and the rest in Itacoatiara-Amazonas, Barcarena-Pará and GuarujáSan Paulo).

AMAGGI maintains its strong commitment with responsible supply chains Besides being one of RTRS founding members, AMAGGI is also one of the producers to certify their soy production under the RTRS Soy Standard. Actually, in other producers from Brazil and Argentina.

# LE ADING CASE

# LEA DING

Thisregion.economic support helps about 25 producers who are part of the Cultivando a Vida Sustentável (Cultivating Sustainable Life) program, co-financed by IDH and CAT in Sorriso. The farmers go through the audit to reach RTRS certification with the Impulso Bayer loyalty program, a marketplace for inputs, seeds and commodities. The total area of farms under this program is 128,000 hectares, with 75,000 hectares Since 2013, Bayer and RTRS have cooperated to raise awareness of the importance of sustainable agricultural practices and certification for producers. In 2019, RTRS signed a Memorandum of Understanding (MoU) with IDH and CAT Sorriso to adhere to the Produce, Conserve, Include (PCI) strategy intended to promote sustainable soy production in Sorriso through a jurisdictional approach (PCI Sorriso Pact). One year later, Bayer CASE Bay e r has d ir ect l y s u pp or te d R T RS c er ti ficat ion in S or riso

In partnership with the IDH - Sustainable Trade Initiative and Clube Amigos da Terra (CAT) under PCI Sorriso Pact, Bayer has directly supported RTRS certification in Sorriso. This is part of their commitment to sustainability in agricultural production in the region and the company has covered 50% of the costs of the audit processes needed to receive RTRS certification in the country's primary grain producer

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24MANAGEMENT REPORT 2021Round ActivitiesTable1 RTRS Certification 2 OpportunitiesNew3 Countries that uptake RTRS soy 2011 2012 2013 2014 2015 2016 2017 140,100 2018 82,96234,019 43,080 56,000 241,225 95,772 83,753 316,742 2019 555,562 441,053 691,635 1,297,712 2,118,085 1,944,949 2,110,426 2,485,980 3,395,8472,802,7222,194,1792,040,7212,359,310 1,335,712774,597484,133174,119 3,951,409 2020 2021 4,115,403634,759 4,750,162 4,974,091 4,257,223716,868Mass TotalCreditsBalance UnitedUnitedNetherlandsKingdomGermanyBrazilDenmarkBelgiumEcuadorChileFranceFinlandSwedenItalyParaguayPeruHondurasSpainArgentinaIrelandSwitzerlandThailandStatesSouthAfricaRussiaNicaraguaMexicoCanadaChinaCostaRicaLatviaVietnamJapanRomaniaEstoniaSingaporeSloveniaUkraineCountry Uptake 2021 (%) MB/Credits21.10%20.31%18.62%12.58%10.79%3.34%3.06%2.14%1.54%0.95%0.73%0.67%0.66%0.59%0.56%0.42%0.42%0.41%0.24%0.21%0.17%0.15%0.13%0.06%0.04%0.04%0.02%0.01%0.01%0.01%0.01%0.01%0.01%0.01%0.00%0.00% Market Update UPTAKE OF RTRS CERTIFIED MATERIAL In 2021, uptake of RTRS certified material increased by 5% compared to 2020. Of the total certified material adopted (4,974,091 tons), 716,868 were physical flow and 4,257,223 were RTRS Credits Supporting Responsible Soy. Both indicators represented an increase in soy adoption relative to 2020; a 12% increase in physical flow, and a 3% increase in uptake of Credits Supporting Responsible Soy.

25MANAGEMENT REPORT 2021Round ActivitiesTable1 RTRS Certification 2 OpportunitiesNew3 Top 20 organisations adopting RTRS certified material worldwide Danish Crown ADM Hamburg AG Lidl Stiftung & Co. KG De Heus Voeders B.V. Agrifirm B.V. Unilever Brasil Sun Valley (Cargill UK) Solae do Brasil Industria e Comercio de Alimentos Ltda AvaraForFarmersFoods Limited BFA Belgian Feed Association (BFA former BEMEFA) CargillTesco Plc DMK CranswickMilchkontorDeutschesGmbHCountry Foods GISIS S.A. AB Agri The Co-operative food Ahold Delhaize NV Agravis Raiffeisen AG DenmarkGermanyGermany The Netherlands The NetherlandsBrazilUKBrazil The NetherlandsUKBelgiumBrazilUKGermanyUKEcuadorUKUK The NetherlandsGermany 460,000 (C) 351,708 (MB) 283,333 (C) 250,817 63,00070,89171,50087,424101,857102,108108,001110,986119,472120,000127,987139,550148,654195,000197,599200,000(C)(C)(C)(C)(C)(C)(C)(C)(MB)(C)(C)(C)(C)(C)(C)(C)(C) Organisation Certified material adopted (Mass Balance Credits) Country

26MANAGEMENT REPORT 2021Round ActivitiesTable1 RTRS Certification 2 OpportunitiesNew3 Top 10 ADM Hamburg AG - Units Avara Foods Limited DMK Deutsches Milchkontor GmbH Cranswick Country Foods Bunge Alimentos - Units Sainsbur y’s Supermarkets Ltd Nomad Foods Europe Premier Foods Plc Bakkavor Foods Ltd. BRF S .A.10432159678 A record 63 new adopters of RTRS cer tified material in 2021 The demand for RTRS certified material has become an increasing trend that grows every year. In 2021, 63 companies from 20 different countries adopted RTRS certified material for the first time. This was a 61% increase over 2020. This trend shows that more and more organisations in the soy value chain are more engaged in promoting the production, processing, and trade of sustainable soy. At the same time, it recognises the value of RTRS certification as a tool that helps the soy supply chain comply with its sustainability goals and policies. In 2021 these companies adopted more than 1,079,994 tons in RTRS certified material in total (621,680 of RTRS Credits Supporting Responsible Soy and 458,314 tons in Mass Balance tons). San Félix S.A.

27MANAGEMENT REPORT 2021 RTRS OpportunitiesNew

RTRS introduced version 4 .0 of the RTRS Soy Standard and the version 1.0 of the RTRS Corn Standard, which were approved by RTRS members in Written Resolution 2-2021, along with documents including new requirements for RTRS to be admitted as an ISEAL Community Member.

• It aims to provide a deeper understanding production system, because we are in the process of systematising quantitative environmental information in compliance with the ISEAL Code of Good Practices and RTRS environmental footprint project.

• It seeks to adjust the standard to gender equality terminology in line with the UN SDG 5 Gender equality and women's empowerment.

OppoNewrtunities3

28MANAGEMENT REPORT 2021Round Table Activities 1 RTRS2 OppoNewrtunities3 Expan d th e Busin ess Model f rom Soy to oth er Crops

• It complies with the FEFAC (Federation of European Feed Producers) 2021 Soy Sourcing and non-conversion criteria. This means that the RTRS Soy Standard is complementar y to the recommendations addressed to feed suppliers and chain par tners who wish to source their soy in compliance with the European feed industr y requirements for responsible soy production within and outside Europe.

Highlights of the RTRS Soy Standard V4 .0:

T h e n e w Sta n da r ds we r e t h e r e su l t of a mu l ti stakeholder review and development process, in compliance with the ISEAL’s Codes of Good Practice, and the integration with different global sustainability guidelines and initiatives.

Launch of the RTRS Soy Standard V.4.0 and the RTRS Corn Standard V.1.0

• It the Accountability Framework Initiative (AFi), par ticularly those on deforestation and conversion of natural lands, and those related to respecting the rights of indigenous peoples, local communities and workers.

• It enables producers to expand the supply of cropsproducedinaresponsiblemanner.

Watch the video to find out more about the development and features of the new standards: Keep in mind that:

• achieveandhelpsSoyrotationwithcornpreventssoilerosion,maintainsoilqualityandimprovesoilfertility,isapracticethatfarmersmustcomplywithtosoycertification.

• Many of the requirements provided for in the RTRS Soy Standard are applicable to corn and that is why the integration of a soy/corn certification systemisfeasible.

• The RTRS Corn Standard will be available to all those producers cer tified under the RTRS Soy Standard who want to cer tify their corn production; it is an add-on module, meaning that it cannot be cer tified independently from the RTRS Soy Standard.

• These innovations seek to ensure synergies, build on what already exists and be complementary to the more recent needs and requirements of the sector and the market, thus contributing to the fulfilment of sustainability objective WATCH

RTRS Corn Standard V1.0 Corn is the most important cereal in terms of global production, and the second most relevant in terms of planted area. In addition to the fact that RTRS certification is applicable worldwide to several commodities, continuous contact with producers has confirmed the importance of creating synergies and opportunities to extend soybean certification to other grains, oils and seeds - particularly corn, a crop that is commonly included in rotations with soy. As such, the RTRS Corn Standardisanadd-ontotheexistingsoy standard:

29MANAGEMENT REPORT 2021Round ActivitiesTable1 RTRS Certification 2 OpportunitiesNew3

• To certify corn, the producers will only have to comply with 14 additional criteria beyond those required by the RTRS Soy Standard.

VIDEO OpportunitiesNew3

• Italsoenablescapitalisingonsustainabilitygains resulting from certifying soy and a sustainable production process by extending soy certification to corn.

30MANAGEMENT REPORT 2021Round ActivitiesTable1 RTRS Certification 2 OpportunitiesNew3 Adding Value to RTRS materialcertifiedSOY&CORNFOOTPRINTCALCULATOR In ordertoprovide continuity tothe SoyConversion Factors and SoyFootprint Calculator launched in 2020and in line with the innovations announcedin the “Beyond 2020”RTRSStrategy,RTRSproposesto innovate and upgrade current tools. RTRSandofitAsthenewRTRSCornStandardisrolledoutinpractice,isimportantthatorganisationscanunderstandwhichtheirproductsmayhaveanassociatedcornfootprinthowsignificantitis.,alongwithCEAg-theAustralUniversity’sFoodandAgribusinessCentre(Argentina)-and3Keel(UK)developedtheCornConversionFactorsSystemandfurtherrevisedandimprovedtheSoyFootprintCalculatorin2021.Thenewversionwillnowenableplayersinthesoysector,organisationsandconsumersingeneraltocalculatehowmuchsoyandcornisembeddedinsoyandcornproducts,animalfeedandfoodproducts. More news will be shared soon in 2022. Corn FactorsConversion OpportunitiesNew3

CAMPAIGN: RTRS Chain of Answers Series

RTRS is a global, multi-stakeholder, holistic, consensusbased decision-making round table that also sets credible certification standards for responsible soy production and chain of custody. RTRS standards are a complementary tool to achieving sustainability goals. The Chain of Answers Series aims to inform, raise awareness and bring about transformation in the soy supply chain.

OpportunitiesNew3

31MANAGEMENT REPORT 2021Round ActivitiesTable1 RTRS Certification 2 OpportunitiesNew3

Communication campaigns

CAMPAIGN: TRUST

WATCH VIDEOS

32MANAGEMENT REPORT 2021Round ActivitiesTable1 RTRS Certification 2 OpportunitiesNew3 ExecutiveRTRS Board SecretariatRTRSINDUSTRY, TRADE & FINANCE LIEVEN CALLEWAERT President BelgiumAlliance4Soy MARÍA DO CARMO FERRANTE Treasurer BrazilRabobank GERHARD ADAM Bayer GermanyAG DAMIANA MENEGHETTI ACT Commodities The Netherlands KOBUS PIENAAR Woolworths Holdings Limited South Africa South Africa PRODUCERS GISELA REGINA INTROVINI Vice BrazilFAPCENPresident ENRIQUE MOLAS Productores de Soja Paraguay Paraguay JUAN QUAINE Salentein Argentina B.V. Argentina SÉBASTIEN TERWAGNE GAEC NOURY and CUMA de la Vallée de la Trouille France YOGESH DWIVEDI Madhya Bharat Consortium of Farmers Producer Company Limited (MBCFPCL) India CIVIL SOCIETY ORGANISATIONS THOMAS MADDOX Vice President CDP UnitedWorldwideKingdom DAVID CLEARLY The Nature Conservancy Brazil SWITZERLAND SECRETARIAT EVERT RAYMAKERS Europe Outreach & Engagement Manager INGRID KORN Administration Officer ROMINA PIPINO Administration Officer ARGENTINA SECRETARIAT MARCELO VISCONTI Executive Director LAURA VILLEGAS Communication & Engagement Officer PABLO NICOLINI Business Development & Technical Unit Officer ANA LAURA ANDREANI Technical Unit Coordinator EXTERNAL CONSULTANTS CID SANCHES RTRS External Consultant, Brazil ISABEL NEPSTAD RTRS External Consultant, China OpportunitiesNew3

33MANAGEMENT REPORT 2021Round ActivitiesTable1 RTRS Certification 2 OpportunitiesNew3 responsiblesoy.org

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