Vilmorin & Cie - Annual report 2017-2018

ANNUAL REPORT Vilmorin & Cie 126 2017-2018 Social, environmental and societal INFORMATION 4 Respect for the soil and its preservation are at the heart of all the Company's actions. As part of their agronomic strategy, Vilmorin SA (France) and HM.CLAUSE SA (France), are conducting extensive research into the improvement of agronomic soil management. Projects involve preserving soil quality and ensuring healthy crops by optimizing the use of inputs*, particularly through the improved management of organic matter. In order to preserve macrofauna and micro-organisms in the soil, they systematically rotate crops with the introduction of a cereal cycle every two or three years in order to break up disease cycles, and they sow a vegetation cover during the winter period. This avoids leaving the soil bare, which encourages its leaching. This rotation practice is a long-term process to guarantee optimal agronomic efficiency. Moreover, Vilmorin SA has adopted novel techniques to work the soil: no more ploughing, investment in superficial soil working tools which break up the surface without upsetting the different layers, and so maintain the balance of ecosystems, the removal of tools that restructure the soil, thermic weeding, etc. At the site of La Costière (France), Vilmorin SA analyzes the soil before using amendments and fertilizers so the right amounts are applied. Finally, Vilmorin SA strives to work closely with its seed multiplication farmers* to experiment on any new techniques for sustainable production. For example, for several years in Anjou (France), a great deal of work has been carried out to assess the agronomic, economic, environmental and societal benefits when growing lettuce, endive, bean, etc. of integrated biological protection, particularly against aphids, thrips or bugs. This demanding work requires technical and empirical know-how, and is carried out in conjunction with companies specialized in biological control* and local agronomy schools. Best practices are exchanged during the regularly organized meetings with producers in the region. Consumption of raw materials Dependence on raw materials is limited by the very nature of the business. Vilmorin & Cie, as a seed producer, is primarily involved in creating renewable raw materials. In 2015-2016, Vilmorin & Cie initiated global tracking of packaging used for seeds. In 2017-2018, for the purpose of packing its seeds, Vilmorin & Cie consumed 11,315 tonnes of plastic transport film, 3,477 tonnes of paper bags, 136 tonnes of big bags, and 634 tonnes of other packing materials. Where technological conditions make it possible (oxygen and water barrier properties primarily used to guarantee seed quality), the group’s companies strive to optimize their packing materials, in particular by reducing the thickness of protective films and by using recycled, biodegradable or renewable materials. For example, Limagrain Europe is a partner of ADIVALOR (Farmers, Distributors, Industrial companies for the recycling of agricultural waste) . This partnership is working to set up a network for collecting and recycling seed bags sold on the market, primarily paper bags. Other potential sources of pollution Vilmorin & Cie develops numerous protected seeds. Seed protection is vital in the fight against diseases and the protection of crops, particularly in their early stages. It means input* can be used more sparingly, and by targeting needs, more efficiently. This technique minimizes environmental impacts. Protected seeds have very limited contact with the soil. The risk of dispersion in the environment is therefore reduced – particularly the risk with regard to non-targeted insects, including pollinators such as bees. And any reduction in the number of tractor passes in the field means a better carbon footprint. Air : Dust generated during seed processing is the main source of any possible pollution. To limit such releases into the air, some of Vilmorin & Cie’s companies have deployed means to prevent this environmental risk, and have installed systems to filter and capture this dust of plant origin. As an illustration, Bisco Bio Sciences, in India, now has a global quality system for the extraction of dust, air quality, light quality and noise pollution. In Australia, HM.CLAUSE detects wind direction to prevent the odors of chemical products heading towards neighboring communities. Noise pollution: Most of Vilmorin & Cie’s sites do not present particularly high noise levels, and in any case are not located in urban areas. Nonetheless, noise levels are regularly monitored at the sites. Vilmorin & Cie recommends to all of its subsidiaries that, where noise levels exceed 85 decibels, they should adjust their machinery to insure a reduction and make it mandatory for individuals to wear individual protective equipment, even if it is not mandatory under national legislation. Vilmorin & Cie is also concerned not to disturb its neighbors because of its industrial activities. 4.3. Conducting activities in an ethical, sustainable and effective manner