Sustainability

Malee Group is determined to become the “Top Beverage Brand of Choice” by taking into account the production standards, quality, safety, and hygiene. This includes operating a business with responsibility by concerning all groups of stakeholders such as clients, employees, partners, society, and communities to drive our business towards sustainability.

The Company has an integrated and sustainable development structure under the management of the Board of Directors. As a result, the Executive Committee has been assigned to oversee sustainable development and the formation of policy, criteria, and guidelines in various aspects of the Company under the principles of good corporate governance and social responsibility. The aim is to lead the organization to sustainable success.

The Company produces and distributes canned fruit products, UHT fruit juices, and pasteurized products under the “Malee” brand, distributes and markets UHT and pasteurized milk under the “Farm Chokchai” brand, and produces other beverage products. Moreover, the Company conducts the contract manufacturing business in cooperation with both domestic and international clients, as well as other businesses in Malee Group.

The business value chain begins when raw materials were delivered from sources to the Company’s factories and then processed into canned fruit, UHT juice, pasteurized, and other beverage products. The Company’s products are then sent to warehouses for distribution to many forms of distributors, before reaching consumers. The rest of the products are awaiting delivery of the contract manufacturing to the clients. As for the processes and guidelines on managing sustainability to stakeholders in the business value chain, the Company has operated as follows:

3.1 Environmental Policies and practice Guidelines

Malee Group Public Company Limited has an internal environmental management system that allows the Company to plan its operations and store environmental data in an orderly fashion. The Company has an environmental management system with a tendency to continuously improve environmental performance, reduce costs, reduce the potential financial risks of violating environmental regulations, as well as formulate environmental management and stewardship policies that cover key operational issues following environmental requirements and environmental issues that are relevant to the business. The Company controls potential environmental impacts from business activities such as pollution, waste, levels of resource usage, etc., and assigns Mr. Manit Jumnongwat to the position of Environmental Manager. The position has been appointed and notified to the Department of Industrial Works which is responsible for overseeing environmental operations and processes used in environmental management within the organization. The Company also defines environmental performance as its goal or one of the Company’s metrics, and encourages employees to participate in environmental management within the organization with guidelines for environmental operations as follows:

1. Effective Usage of Resources
The Company emphasizes the use of resources in business processes, including the use of electricity and energy, water consumption, waste reduction caused by business processes, as well as other related pollutions.

– The production processes and the production lines are designed and then inspected by a team of experts and consultants before being presented and approved for operations. A report on the efficiency of the production lines is done with a requirement for improvement.

– A system for regular maintenance of machinery (Preventive maintenance) is provided for high efficiency to efficiently use resources and energy.

– Waste management from the production processes is strictly carried out under environmental laws, regulations, and other requirements to properly control the impact on the environment. This enables the stakeholders to be assured that the Company’s operations are not contrary to legal requirements.

– The Company operates under the laws, regulations, and international quality standards systems such as FSSC 22000, IFS: International Food Standard, HACCP Codex Alimentarius Commission, Halal Certificate, Kosher Certificate, GMP Codex Alimentarius Commission Recommended International Code of Practice General Principles of Food. Hygiene, ISO22000 and Food Safety System Certification 22000. The Company also operates upon customer requirements.

2. Climate Management

The Company emphasizes on the preparedness of coping with potential impacts, and contributing to reducing greenhouse gas emissions which is the cause of global warming. At present, the Company focuses on the prevention and solution of pollution arising from the activities that directly and indirectly affect the use of natural resources. The aims are to support knowledge in the development of mechanisms that reduce greenhouse gas emissions into the atmosphere, leading to a revolution in the reduction of greenhouse gas emissions in the industrial sector.

3. Energy Management

The Company is aware of and is committed to controlling energy usage to maximum efficiency. The aim is to use natural resources cost-effectively to reduce the impact on the environment as much as possible, and in turn, reduce the Company’s energy costs. Alternative energy resources such as LPG gas and clean energy are one of the main goals of building environmental-friendly factories. The Company has set up a team to study the feasibility of using alternative clean energy such as solar energy.

4. Procurement of raw materials with responsibility

The Company is aware of the continuous acquisition of quality raw materials while not affecting the environment and society. Therefore, guidelines are formulated to help reduce risks and reflect the responsible sourcing of raw materials of the organization. The Company sets good policy, practices, and frameworks for responsible sourcing of raw materials. These include details such as reducing the use of chemicals, pesticides and insecticides. Actions are done to improve sustainable cultivation, protect biodiversity, properly use water resources, procure raw materials produced by law-abiding manufacturers, and operate with respect to human rights including the use of non-child labors, non-forced labors, and legal foreign workers, etc.

5. Efficiency of Water Usage

The Company has systematic water management throughout the organization. There is a campaign to raise awareness among employees about using water for the most value and benefit.

3.2 Environmental Performance in 2022

Management and plans to reduce greenhouse gas emissions.

In 2022, the Company has effectively implemented the plan to reduce the greenhouse gas emissions caused by direct and indirect business operations. Data collections and calculations are based on reference standards from reliable third- party agencies, with retrospective comparison to show the success of the plan in reducing the amount of carbon footprint per ton from manufacturing as detailed in the following table:

In 2022, the amount of carbon footprint has continuously decreased due to the plan to reduce greenhouse gas emissions through these main methods:

– Operating with high-e fficiency machinery and electrical equipment to replace the original set that has deteriorated.

– Switching to alternative fuels instead of fuel oil.

– Getting rid of sewage sludge in the area and donating it to other factories to use as a start-up system instead of transporting it for external deposal.

Transition to Sustainability Project

The Company has established an environmental sustainability plan and incorporated sustainability into one of the organization’s strategies.

4.1 Social Policies and Practices

The Company has a business policy on Corporate Social Responsibility (CSR) under basic ethical principles to ensure fairness to all stakeholders involved, as well as to apply the good corporate governance principle as a guideline to maintain a balance of operations in terms of economy, community, society, and environment, leading to the development of the business that sustainably succeeds. The guidelines are as follows.

1. Conducting business with fairness

Conducting business with fairness is one of the topics in the Malee Group Code of Conduct. The Company emphasizes doing business with fairness. We understand the nature of business and the situation of clients, partners, suppliers, farmers, and the surrounding communities so that they keep in mind that they have to depend on each other. This results in creating confidence that will benefit both the business and related parties in the long run.

2. Respect for Human Rights

Respecting the human rights of employees as well as employees of partners without discrimination, while creating corporate values and promoting learning opportunities for employees. This leads to the development of full potential according to roles and duties of each person. The Company has a commitment to develop employees, enabling them to have confidence in the value of human beings. The Company emphasizes on taking care of employees and human resource development so that they are more than our employees. Importantly, the Company focuses on developing employees to have Knowledge Competency, Skill Competency, and Attributes Competency.

3. Fair Treatment of Labor

The Company is committed to development of the organization’s personnel so that they have knowledge and competence as their competitive advantage. We build pride in Malee’s family by supporting career advancement with an international standard compensation and welfare structure. There is a fair performance appraisal (KPI) that focuses on brainstorming to create creativity in work as well as being sincere and honest with everyone. The Company is responsible to employees and society in terms of product quality, rewarding the quality of life and well-being of employees. We build acceptance, appreciate their works, respect their ideas, and take human rights into account to open an opportunity to a new perspective of learning as well as being able to develop skills, ideas, and behavior change. The Company opens up a new world of experiences that will bring about professional career development and happy coexistence as a Malee family.

Since 2022, the Company has added welfare benefits to employees by providing equality between males and females in their increasing rights to leave for male employees to take care of their wives after giving birth for 15 days per pregnancy. In addition, the Company has supported religious equality by granting the rights to leave for religious ceremonies up to 30 days. Previously, only Buddhist males have the rights to leave for their ordination.

4. Consumer Responsibility

The Company is a manufacturer and distributor of consumer products. We have the policy to conduct business with cleanliness and safety standards until it is accepted both within the country and in terms of testimonials and certificates for various quality standards such as a Certificate in the Program of Industrial Production Process Improvement with Cleaner Technology from Mahidol University in collaboration with NSTDA (NSTDA), many international organizations such as HACCP, GMP, KOSHER, Q Mark, IFS, BRC., Halal Certificate, etc. The Company also has a consumer protection hotline at 02-532-3572 to show responsibility for the Company’s products to consumers.

5. Community Contribution and Development

The Company will use the potential and knowledge of the organization to create engagement with the community and promote personnel by providing guidelines for managing and solving problems so that the community can be self-reliant. We contribute to improving the quality of life in the community, improving the quality of life, and developing the community and society.

6. Contribution of Stakeholders

The Company has a process to create engagement with stakeholders so that we know the expectations of the relevant stakeholders and meet the expectations of society. This includes creating long-term values for all groups of stakeholders Throughout the recent past, the Company focuses on creating engagement with important stakeholders towards cooperation that will overcome obstacles together in times of crisis and maintain good relations between the Company and stakeholders.

4.2 Social Performance

The Company provides employees with suitable working environment so that they can work safely with dignity and due regard for the environment. Relaxation will be good for the health and safety of employees and allow them to adjust the balance between life and work, and then end up able to be self-sustaining. We support money saving and sharing time between working and living with family creatively.

In 2022, the Company has had some activities related to welfare to promote and develop employees’ potential as follows:

– Annual health check-ups for employees with a program in accordance with the employee’s work The Company has coordinated with the hospital to allow employees to add health check-up items at a special rate, as well as facilitate by allowing the hospital to provide health check-up services at the Company’s office. They can see the doctor in the occupational medicine to discuss health problems.

– Election of the Safety and Welfare Committee.

– Employee benefits such as medical expenses/life and accident insurances/ welfare benefits/ provident funds, etc.

– The Company has taken care of the safety of employees in their The statistics of accidents in 2022 were as follows:

As for the COVID-19 situation in 2022, the prevention of the epidemic caused society to adopt a new way of life (New Normal), affecting both lifestyle and concept changes including the forms of operation such as forms of work among the staff and physical distancing.