Targets and Action Plan

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Risks	Opportunities
Decline in credibility that would result from the occurrence of consumers and service users' safety or health issues.	Increase in demand for food safety, security and health improvement. Establishment of safe, stable supply system for product enabled by the consideration of human rights and improvement of work environment in the supply chain. Winning customer trust or creating new businesses with a stable supply of environmentally friendly resources and materials.

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Materiality	Impact Classification	Issues to Address	Business Area	Commitment	Specific Approach	Performance Indicators	Degree of Progress
Textile Company
Ensure Stable Procurement and Supply	Supply Chain	Reducing our environmental burden in manufacturing processes	Textile products in general	We will promote the building of value chains starting from raw materials focused on sustainable materials.	Promote the RENU project aiming to realize a circular economy in textile industry. Aim to further enhance and expand the handling of sustainable materials.	Contribute to fostering of environmental awareness and reducing our environmental burden by promoting the RENU project and further enhancing and expanding the handling of sustainable materials. Work for the goal of “Zero Fashion Loss” and “Carbon Neutrality” committed by Japan Sustainable Fashion Alliance to achieve by 2050.	Started the clothing collection service “WEAR TO FASHION” along with investment to ECOMMIT Corporation. By reusing the collected clothes and using some of them as raw materials for “RENU”, the “RENU” project will further promotes a circular economy. The Japan Sustainable Fashion Alliance made policy proposals to Consumer Affairs Agency, Ministry of Economy, Trade and Industry, and Ministry of the Environment for “zero fashion loss” and “carbon neutrality” this fiscal year.
Respect and Consider Human Rights Ensure Stable Procurement and Supply	Supply Chain	Establishing a supply chain reflecting consideration for human rights and the environment	Textile products in general	We will promote dealings with companies which respect human rights and which engage in environmental management throughout their entire supply chains.	Strive to understand at an early stage the human rights, social and environmental risks in supply chains by continually conducting surveys on major suppliers.	Conduct on-site visit surveys and questionnaires at more than 50 major suppliers a year on an ongoing basis.	Textile Company conducted human rights due diligence in FYE 2023. We screened domestic and overseas suppliers for all businesses, obtained questionnaire responses from 105 companies, and conducted on-site surveys at 4 companies. As a result, it was confirmed that there were no specific matters related to human rights issues. In the next fiscal year's supplier survey, we will continue to monitor the companies which do not yet have established internal manuals or regulations.
Food Company
Contribute to Healthier and More Affluent Lifestyles	Food Safety	Supplying safe, secure food	Overall food-related businesses	We will select and concentrate on suppliers to stably procure safe, secure food.	We will aim to strengthen the food safety management structures in our suppliers. We will do this by persons with certifications/qualifications related to the Food Safety Management System (FSMS) taking the central role in enhancing supplier audits and making requests for improvements.	Stably supply safe and secure food by enhancing the audits and guidance for suppliers mainly by persons with certifications/qualifications related to the Food Safety Management System (FSMS).	We are continuing to stably supply safe and secure food. We are achieving this by continuing to enhance the audits and guidance for suppliers mainly by persons with certifications/qualifications related to the Food Safety Management System (FSMS) or in-house qualification holders related to factory audit.
Respect and Consider Human Rights Ensure Stable Procurement and Supply	Supply Chain	Establishing a supply chain reflecting consideration for human rights and the environment	Provisions field	We will develop a procurement structure compliant with third-party body certification and supplier-specific codes of conduct.	We will promote procurement compliant with supplier-specific codes of conduct in coffee bean and cacao bean producing countries. We will strengthen the handling of oil certified by the RSPO - a third-party certification organization for palm oil. We will support the establishment of a promotion and distribution system in Japan for MSPO/ISPO in cooperation with domestic industrial associations. The aim of this is to encourage the use of certified oil systems in producing countries.	Coffee beans: Promotion of procurement of products compliant with supplier-specific codes of conduct or certified products based on our procurement policy. Cacao beans: Promotion of procurement of products compliant with supplier-specific codes of conduct (sustainable products) based on our procurement policy. Palm oil: Procurement of palm oil based on our procurement policy. Promotion of the disclosure of the set KPI indicators and supplier information. <2030> Coffee beans: Aim for a 50% switch to sustainable coffee beans. Cacao beans: Aim for a 100% switch to sustainable coffee beans. Aim for a 100% switch to sustainable palm oil.	Coffee beans：Regarding FYE 2023, our quantitative target 15% or more was achieved with the result of 28%, and its target for FYE 2024 should be 20% or above. In addition, from June 2022, we partially started disclosing BtoB level digital traceability information to our customers by using Farmer Connect (Coffee traceability platform). Cacao beans (traceable products): achieved 66% (5,975MT of traceable beans out of 9,025MT total.) Palm oil: Check supplier's sustainable palm oil sourcing policies through regular surveys, and continue purchasing based on our procurement policies. At the same time, we continue to publicize the ratio of RSPO certified Palm Oils and Traceable To Mill etc. Ratio of RSPO Certified Palm Products/Oleo chemicals Palm Oils 24% Oleo Chemical Products 65%
Respect and Consider Human Rights Ensure Stable Procurement and Supply	Supply Chain	Responsible Fisheries Procurement	Fresh food field	We will develop a procurement structure compliant with third-party body certification and supplier-specific codes of conduct.	Promote procurement in accordance with the supplier's own code of conduct in the country of origin of the tuna.	Develop a tuna procurement policy and promote procurement of products and certified products that comply with the policy.	We have acquired the MSC fisheries certification for six fishing vessels as of July 2022. ITOCHU and fishing companies are currently applying the second MSC fisheries certification for 19 vessels in addition to the above 1st MSC certification.
General Products & Realty Company
Ensure Stable Procurement and Supply	Forest	Using sustainable forest resources	Pulp Woodchips Wood products & materials	We deal in sustainable forest resources to reduce the impact on the environment and prevent the increase of greenhouse gases.	We handle certified or high-level management confirmed materials.	Ensure a 100% handling ratio of certified or high-level management confirmed materials.	In FYE 2023, 100% of our Pulp, Wood Products & Materials transactions and 97% of our Woodchips transactions were handled as certified material or were intensely managed.
Respect and Consider Human Rights Ensure Stable Procurement and Supply	Forest Supply Chain	Realization of sustainable supply of natural rubber	Natural Rubber	We will strive to establish measures to identify and avoid procuring rubber from any suppliers who dispossess indigenous people and develop High Conservation Value (HCV) areas, High Carbon Stock (HCS) areas and peatland. We support or offer a training to improve yields and quality for natural rubber producers, especially smallholders. We also offer a risk-assessment education that includes modern slavery issue.	We will establish a traceability system to make uncertain raw material procurement supply chain transparent. We will achieve our commitment through the sustainability activity of our unique initiative, named “PROJECT TREE”.	We aim to procure raw materials with traceability and sustainability ensured in natural rubber processing business. (Aiming to achieve 100% traceability for the natural rubber raw materials which we procure by 2025 through an original block chain-based traceability system.) We will increase the number of smallholders implementing sustainability training and education, and contribute to achieving sustainability in the natural rubber industry.	In FYE 2023, traceability of the natural rubber raw materials' procurement reported by suppliers reached 100%. Traceability of the natural rubber raw materials' procurement using our system reached 4.5%. 4,128 of smallholders implemented sustainability training and education.