Mewah International : SGX Announcement- Sustainability Report

From innovating

to offering

STAYING

RESILIENT

Mewah International Inc. Sustainability Report 2020

Reporting Scope

and Boundaries:

1. Mewah International Inc ("Mewah" or the "Group") has worked unswervingly to integrate corporate sustainability across every aspect of our business and to make a difference. This is our forth (4th) sustainability report since we first published our first sustainability report in year 2017. Through the sustainability report, we endeavour to provide our stakeholders with updates and insights of the Group sustainability performance. We want to reiterate the commitments we made in our Sustainable Palm Oil Policy, the understanding of our approach towards building a more sustainable business as well as the key sustainability measurements that we have put in place at our operating sites.
2. We have sought to seek guidance from the Global Reporting Initiative
   (GRI) Standard index for boundary settings, focusing on performance data and reporting on aspects which are most significant, as reflected in Mewah Sustainability Framework and the Group Sustainable Palm Oil Policy. We also support and integrated the 17 United Nations Sustainable Development Goals (SDGs) into the Group's business strategies.
3. In this Sustainability Report 2020, we stay focus in the five (5) focus areas and twenty (20) core areas as defined in Mewah Sustainability
   Framework. We seek to strengthen this framework by continue promoting sustainability and putting sustainability at the heart of our business and leadership. In order to define the contents of this report, we have worked with all the relevant stakeholders in our supply chain to identify key risk areas. Such data is collected and analysed to further discern, and design improvement plans qualitatively and annually. We believe that sustainability development can only achieved through working together to create a better shared future for our people, our communities, and our planet.
4. The focal points of this report are our upstream and downstream palm oil processing and manufacturing plants in Indonesia, Malaysia, and
   Singapore. It covers performance data for the calendar year 2020 and historical numbers are shared to facilitate performance analysis as well as the measurement of key performance indicator & milestones that we set for 2020. In relation to the Crude Palm Oil (CPO) and Crude Palm
   Kernel Oil (CPKO) supply chain, the reporting will be based on policy implementation, traceability milestones and progress in Traceability to Mill (TTM) & Traceability to Plantation (TTP). The performance data will also focus on identifying material ESG (Environmental, Social, and
   Governance) factors in all our manufacturing sites. We believe that we must continue to improve our ESG performance in tandem with our business growth and that is the cornerstone of the Group's long-term success.
5. There has been no restatement of information in the scope of our reporting from the previous report. We commit to progressively extend the scope of our reporting to cover other business segments more comprehensively in forthcoming reports as we increase our reporting capacity and understanding of our new businesses.

Contents

Board of Directors' Statement for 2020 About Mewah Group

Corporate Profile

Sustainability Management and Governance

Structure

Materiality Assessment

Overview of Mewah Sustainability Framework

Mewah Sustainability Roadmap

Key Highlights of Sustainability Performance in

Year 2020

Mewah's COVID-19 Response:

FOCUS AREA 1: ENVIRONMENTAL PROTECTION AND STEWARDSHIP

Core Area 1: Carbon Management

1. GHG Emissions in our Production Sites
2. Energy efficiency in our Production Sites
3. Air Emission Management

Core Area 2: Water Management

02 Core Area 3: Stakeholder Engagement

03 2.3.1 Assessment to high-risk suppliers' mill

04 2.3.2 Supplier Group Level Sustainability

06 Engagement Program

2.3.3 Mewah's Sustainability Dashboard

1. 2.3.4 Mewah's Supplier Engagement Program

1. 2.3.5 Smallholders - Big Impacts

1. 2.3.6 Multi-Stakeholders Engagement
2. Approach

Core Area 4: Grievance Mechanism

1. Our Approach towards Responsible Supply

1. Chain

Our Sustainable Shipping Initiatives

18 FOCUS AREA 3: PRODUCT QUALITY AND

1. SAFETY
2. Core Area 1: Our Commitment to Customers
3. Core Area 2: Quality Management System
4. Core Area 3: Quality and Sustainability Certifications

38

38

40

41

41

42

42

43

44

44

45

47

48

50

1.2.1	Our Focus & Action Plan
Core Area 3: Waste Management
1.3.1	Refusing Plastic Waste

21

24

25

3.3.1 Sustainability Certification

3.3.2 Product Quality & Safety Certification

Core Area 4: Product Development and

52

53

54

1.3.2	Reducing General Waste
1.3.3	Reusing Scrap Waste
1.3.4	Recycling Production Waste
1.3.5	Recovering Schedule Waste
Core Area 4: Biodiversity Management
Core Area 5: Fire Management
Core Area 6: Pest Management
FOCUS AREA 2: RESPONSIBLE SUPPLY CHAIN
Core Area 1: Sustainability Policies
Core Area 2: Towards Full Traceability

1. Overview of Mewah's Palm Oil and Coconut Oil Supply Chain
2. Mewah's Traceability Approach
3. Commitment Towards 100% Traceability
4. Year 2020 CPO/CPKO Traceability Score

25 Innovation

25 FOCUS AREA 4: VALUING OUR PEOPLE

25 Core Area 1: Human Rights and Labour Policy

25 Core Area 2: Training & Development

27 4.2.1 Recruitment and Retention

1. 4.2.2 Recognizing and Rewarding Performance
2. 4.2.3 Training and Education
3. Core area 3: Safety, Health and Well-being

1. 4.3.1 Health, Safety & Environment (HSE)
2. Campaign in all Production Sites

1. 4.3.2 Healthier Lifestyle Begins from
   Workplace
2. FOCUS AREA 5: COMMUNITY SUPPORT
3. Global Reporting Initiatives (GRI) Standards Index

37

Glossary

About This Report

57

60

63

64

65

65

66

72

72

73

82

86

87

Board of Directors' Statement for 2020

We are pleased to introduce the 2020 Mewah Group Sustainability Report. This is the fourth (4th) annual sustainability report since we first published the Group's Sustainability performance in 2017. The purpose of this report is to provide a comprehensive, thorough, and transparent overview of our on-going Sustainability efforts in our business, measured against objectives and targets we have set based on the identified material Environmental, Social & Governance (ESG) factors where we have direct impact on environments, societies, and economies.

The framework of Mewah's sustainability reporting is consistent with Singapore Exchange's (SGX) Guidelines and Rule on Sustainability Reporting. These guidelines are in line with increasing investor demand for sustainable returns. We are cognizant of our responsibility to use our global scale and influence for betterment of this ecosystem. We strive to use leadership towards achieving positive change in every part of the world we operate in, towards delivering on our commitment to make sustainable palm oil a commonplace and towards building a more sustainable future for our communities and our planets.

The theme of this Sustainability Report is "Staying Resilient". We are at a key moment in the evolution of sustainability in global businesses. The COVID-19 pandemic is a wakeup call for all businesses having revealed that markets and supply chains are fragile and susceptible to disruptions. The COVID-19 induced crisis are creating new and unfamiliar stressors such as challenges for the students in underdeveloped region to access education, unprecedented mental health consequences due

to lockdowns, and increased risks to maintaining healthy natural ecosystems that are essential to human health. The Board is conscious towards the importance of ESG initiatives, particularly in a post- pandemic era and acknowledge that any shortfall in the adoption of ESG practices by businesses can create significant impediments towards larger objective of achieving United Nations Sustainable Development Goals (SDGs) by 2030. For Mewah's leaders and managers, the true symbol of resilience is the ability to withstand such stresses and to bounce back from adversity. Given the close link between the environment and human health, livelihoods, water and food security, the Board is determined to endure key sustainability efforts in environmental protection, conservation as well as sustainable management in all our levels of our operations. Our post Covid-19 recovery plans include alignment with long-term emission reduction goals factoring in resilience to climate change and catalysing the shift towards sustainable sourcing.

Environmental Protection & Stewardship has been the top priority under Mewah's Sustainability Framework. We believe that a more resilient business also depends on successful adoption of sustainability practices. Articulating our ambitions for sustainable energy, we took a strategic step 2 years back to invest in cogeneration plants to support our major refineries. The investment in cogeneration technology at our refineries has significantly reduced our consumption of externally generated energy and as a result reduced Greenhouse Gas (GHG) emission footprint of our operations. Furthermore, it has presented the

Group with a valuable opportunity to strengthen our commitment to energy conservation and effective climate change mitigation.

This year we are pleased to observe zero fatal accidents and lower lost time injury rate (LTIR) in our operations. We recognize the need for more people-centred recovery plan that focuses on safety, health, and well-being. In accordance with our Health & Safety policy, we aim to maintain and improve the health of our employees. The long-term goal is to create a safe and comfortable work environment in which each employee can reach their full potential. We want to make Mewah an attractive workplace for our employees by ensuring every employee is healthy and safe both physically and mentally.

Looking ahead, the Board is fully committed to continue working closely with Management by doing more to increase economic, environmental, and social resilience for ensuring long-term sustainable success of Mewah. We continue to maintain our commitment to support and contribute towards the 17 SDGs that are closely integrated to the identified material ESG factors defined under the Group Sustainability Framework. We have achieved success during a challenging 2020 and we aim to continue staying resilient in 2021. We are fully committed to work together with the Management ably supported by the Group Sustainability Team in our journey towards continuously shaping a more sustainable business and enriching lives through positive influence on our people, our environment and our society that underpin Mewah's sustainability strategy.

02	Mewah International Inc.

About Mewah Group

Mewah Group is a global agri-	applications and customer solutions
business, focused on edible oils and	while consolidating our position in
fats with refineries and processing	oils and fats business.
facilities in Malaysia and Singapore,
established brands and sales to	We are one of the largest edible oil
customers in over 100 countries.	processors in the world by capacity.
We are	strategically	positioning	Our business	activities	include
ourselves to become a global	edible oil refining, specialty fats
consumer	products	business by	and biodiesel. Featuring integrated
expanding	range	of	consumer	operations	throughout	the	edible
products,	offering		specialised	oils and fats value chain, from
				sourcing and processing of raw
				materials	to	packing,	branding,
				merchandising,	shipping	and
				distribution of the products. We are
				growing at an impressive rate with

more than 2,600 employees under Mewah's wings.

Our operations are integrated throughout the value chain from sourcing of raw materials, refining, processing, packing, branding to marketing and distribution to end customers under our own brands. Our range of consumer products include cooking oils, margarine, rice, sweetened condensed creamer, evaporated milk, cheese, soap, detergent, and premix powder. We are continuously working on expanding the products range.

SALES AND

MARKETING

OFFICES

Malaysia, Singapore,

Australia, China,Russia,

Turkey, India,Ivory

Coast,Thailand,USA,

Benin, Ghana,Uganda,

Mozambiqueand

Cameroon

Russia

USA		Turkey	China
		India	Thailand
	Benin
Ivory Coast	Ghana	Cameroon	Malaysia
	Uganda	Singapore

Indonesia

Mozambique

Australia

				MANUFACTURING
Malaysia	Singapore	OPERATIONS
Malaysia,
• 4 refining and	• 1 packing plant
Singapore,
	processing plants	Indonesia
	Indonesia
• 2 packing plants
•	1 refining and
•	1 biodiesel plant
	processing plant
•	1 dairy
•	1 milling plant*
	manufacturing plant
	• 1 plantation*

* Plantation and milling plant in Indonesia are insignificant to the Group

Sustainability Report 2020

03