Mondi: Mondi : Sustainability report & indices 2024 SD Report 2024 (19 MB)

Sustainable by design Mondi Group Sustainable Development report 2024 Mondi Group Sustainable Development report 2024 1 Table of contents and external recognitions Introduction Table of contents and external recognitions 1 Our reporting approach 2 Our business 3 Our Group strategy 4 Leadership insights 5 Our progress against MAP2030 Circular Driven Solutions 22-38 - Performance against our targets 23 - Reusable, recyclable or compostable solutions 24 External recognition of our sustainability performance Our leading performance in sustainability has been recognised by external corporate ratings and indices, including: Our Sustainability Approach Mondi Action Plan 2030 8 2024 performance at a glance 9 Delivering on our MAP2030 commitments 10 - Keeping materials in circulation 33 - Eliminate unsustainable packaging together 35 Created by Empowered People 39-54 - Performance against our targets 40 - Upskilling for long-term employability 41 - Purposeful and inclusive workplaces 44 - Safety, health and mental wellbeing 48 CDP A List, with double 'A' for climate change and forests and an 'A-' score for water Sustainalytics Ranked first in Paper and Forestry industry out of 76 companies rated in the sector (January 2025) Our global context 11 Our material sustainability topics 13 Our material sustainability topics across the value chain 15 How we engage with our stakeholders 16 Sustainability governance 18 Taking Action on Climate 56-77 - Performance against our targets 57 - Reduce greenhouse gas emissions 58 - Maintain zero deforestation 68 - Safeguard biodiversity and water resources 72 Built on Responsible Business Practices 77-102 - Environmental performance 78 - Human rights 87 ISS ESG EcoVadis 'Prime' rating as the Platinum status as one highest sector-specific of the top 1% globally in score for ESG EcoVadis Corporate Social performance Responsibility ratings MSCI ESG Rating Transition Pathway Initiative - Communities 91 - Procurement 96 - Business conduct 101 Reporting Standards and Assurance Top 'AAA' score for strong resilience to environmental, social and governance risks 1 of 4 companies (out of 35) with a transition planning and implementation Level 5 rating Carbon performance aligned with Paris Pledges Reporting standards and scope 104 Independent Assurance Report 107 Contact information 109 FTSE4Good Index Series WBCSD's Reporting Matters Member of Index Series, Included in 'Top performer' demonstrating strong ESG category since 2018 by practices WBCSD and Radley Yeldar Mondi Group Sustainable Development report 2024 2 Our reporting approach This Sustainable Development (SD) report provides a comprehensive overview of our approach to sustainable development and performance across our Mondi Action Plan 2030 (MAP2030) commitments and targets, covering the financial year 1 January to 31 December 2024. This report has been prepared and independently assured in accordance with Global Reporting Initiative (GRI) Universal Standards and the SASB Sustainability Accounting Standard for the Containers & Packaging Industry. We will transition our sustainability reporting in accordance with the European Sustainability Reporting Standards (ESRS), as required under the Corporate Sustainability Reporting Directive (CSRD) applicable for our next report. This report structure has been adapted to support our transition to ESRS, including the addition of a separate and new ESRS & Performance index. The disclosure is based on our current understanding of ESRS requirements. We acknowledge that gaps remain this year as we work towards ESRS consistent disclosures in 2025. In addition, we have introduced a detailed ESRS & Performance index to map our ESRS disclosures throughout this report. As part of our reporting changes, we have moved our glossary to our website. Find out more about the changes in reporting and our methodology Page 104 ERM Certification and Verification Services Limited (ERM CVS) has provided third-party reasonable assurance on our Scope 1 and 2 GHG emissions and limited assurance on other selected sustainability information and KPIs, Gladys Naylor, including whether our Sustainable Development report has been prepared in accordance with Mondi Group Head of Sustainable the GRI Universal Standards (2021) and the SASB: Development Containers & Packaging Industry Standard. The MAP2030 section includes new content to reflect the ESRS disclosure requirements on our material topics. We have included a new chapter on 'Business conduct' to reflect ESRS G1 requirements. Alongside this SD report, see our full suite of 2024 Mondi Group reporting documents Our focus is on driving impact and progress towards MAP2030, with high-quality reporting supporting us to demonstrate how integral sustainability is to Mondi's business model and for our commercial success. In this year's report we are embarking on our transition to the requirements of the EU CSRD with new content and an adapted structure. We hope you find our Sustainable Development report insightful and engaging. Integrated report and financial statements ESRS & Performance index GRI & SASB index GRI Biodiversity disclosures Our businesses Mondi Group Sustainable Development report 2024 3 Corrugated Mondi is a leading producer of corrugated packaging with a cost-competitive Packaging asset base and strong customer offering focused on quality, reliability and service. We are the leading virgin containerboard producer in Europe and the largest containerboard producer in emerging Europe. Our virgin containerboard is a high-quality product with excellent properties for specialised end-use applications, ideal to meet our customers' needs around the globe. We are also a leading corrugated solutions producer across central and emerging Europe. We leverage our integrated production network and partner with our customers to create fully recyclable corrugated boxes and packaging. Leading positions #1 virgin containerboard producer in Europe #1 containerboard producer in emerging Europe #1 corrugated solutions producer in emerging Europe End-uses Consumer and retail Industrial and agriculture Flexible We are a global flexible packaging producer with a unique portfolio of Packaging solutions. We primarily produce kraft paper which is converted into paper bags or used for specialist consumer or industrial applications. As the global leader in kraft paper and paper bag production, and together with our high level of integration, our customers come to us for scale, security of supply and global reach. We are also a leading producer of high-quality, flexible plastic-based packaging for consumer end - uses in Europe. Furthermore, we have broad coating capabilities which add barriers to create functional paper solutions that protect the goods inside while continuing to be recyclable in paper waste streams. Uncoated Our Uncoated Fine Paper business produces a wide range of home, office, Fine Paper converting and professional printing papers at our mills in central Europe and South Africa. We have strong customer relationships, leveraging our leading positions in these regions. We also produce and sell market pulp to customers around the world. #1 kraft paper producer globally #1 paper bags producer globally #3 consumer flexible packaging producer in Europe #2 uncoated fine paper producer in Europe #1 uncoated fine paper producer in South Africa Consumer and retail Building and construction Industrial and agriculture Uncoated fine paper Market pulp Mondi Group Sustainable Development report 2024 4 Our Group strategy Our strategy We drive value accretive growth, sustainably. Our strategic value drivers Drive performance Invest in along the value chain quality assets Drive performance along Invest in quality assets the value chain to optimise to drive growth, improve productivity, enhance efficiency competitiveness, and enhance and prevent waste. sustainability, product quality and customer service. Empower our people Partner with customers Create an inspiring, inclusive and safe Innovate in partnership with our customers workplace that empowers leaders to take to create a unique range of sustainable accountability for attracting, developing, and packaging and paper solutions that are fit retaining talent to foster innovation, growth for a circular economy. and contribute to a better world. Mondi Action Plan 2030 The Mondi Action Plan 2030 (MAP2030) sets out the actions, targets and milestones we need to achieve to meet our ambitious 2030 sustainability commitments. It is a framework built on our purpose of contributing to a better world by making innovative packaging and paper solutions that are sustainable by design. Built on Responsible Business Practices Read more about where we operate (page 5) and our Group strategy (page 14) in the Integrated report Mondi Group Sustainable Development report 2024 5 Leadership insights Interview with... Dame Angela Strank, Chair of Mondi's Sustainable Development Committee Andrew King, Mondi Group CEO MAP2030 Angela, tell us about the work of the Sustainable Development Committee, which you recently took on as Chair? Angela: I'm excited to have taken on the role of Chair of the Sustainable Development Committee (SD Committee) at Mondi, which promotes accountability, integrity and transparency by overseeing Mondi's sustainability approach and monitoring progress against our MAP2030 commitments. We look to see that initiatives are aligned with our strategy to create value-accretive growth sustainably. The SD Committee met seven times this year and discussed updates on progress against the various MAP2030 targets. As we reach the midpoint of MAP2030 and with the expansion of our global footprint, we will be reviewing and, where relevant, updating our MAP2030 targets. I also attended an excellent 'Social Psychology of Risk' workshop this year, where I gained insights into the essential work and impact of Mondi's safety team. It was encouraging to se