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Policies and Basic Approach


Sustainable Supply Chain Policy

Mitsui & Co.'s mission is to "build brighter futures, everywhere" through realizing a better tomorrow for earth and for people around the world. Toward the realization of this goal, Mitsui & Co. will strive to gain, through business activities of the Mitsui & Co. group, an understanding of issues associated with the supply chains in which Mitsui & Co. group is involved. Furthermore, based on various perspectives of stakeholders who may be affected by these issues, Mitsui & Co. will value dialogue with relevant parties, while working to find solutions to these issues on a global group basis. In this way, Mitsui & Co. will do its utmost to achieve sustainable development.

1. Conduct Guidelines

Mitsui & Co. will require its business partners, including suppliers, to understand and implement the following principles, and will strive to create sustainable supply chains in cooperation with them:

Respect for International Standards
To ensure compliance with applicable laws and regulations of relevant countries, fair transactions in accordance with international rules and practice, and corruption prevention.
Respect for Human Rights
To strive not to infringe on human rights in our business activities, nor to contribute to human rights infringements by others through our business relationships, including supply chains.
  • Forced Labor
    Not to tolerate forced labor or any forms of modern slavery, including bonded labor or human trafficking.
  • Child Labor
    Not to tolerate child labor and to comply with the minimum working age stipulated by the law. Not to hire individuals that are under the age of 18 for roles requiring hazardous work.
  • Discrimination
    To prohibit any form of discrimination in employment.
  • Harassment and Inhumane Treatment
    Not to tolerate any form of harassment, irrespective of whether it is physical or mental harassment.
  • Freedom of Association and Right to Collective Bargaining
    To respect the rights of employees to associate freely and bargain collectively in our labor-management relations.
  • Working Hours and Wages
    To properly manage employees’ working hours, holidays, leaves of absence, and wages in accordance with applicable laws and regulations.
  • Occupational Health and Safety
    To secure the health and safety of employees in the work environment.
  • Community impact
    To conduct human rights impact assessments, covering issues such as prevention of pollution and water stress, for prevention of adverse impacts on the safety and health of local communities. To implement necessary measures in line with international standards to avoid risks and mitigate negative impacts.
Reduction of Environmental Burden
To reduce the burden on the environment through the efficient utilization of resources, energy, and water, as well as the thorough reduction, reuse, and recycling of waste, including harmful substances, and its proper disposal. To give the utmost consideration to the environment to the extent technologically and economically feasible by exercising an appropriate degree of influence and evaluating the impact on the environment, not only in the prevention of pollution, but also on such issues as climate change and the conservation of biological diversity.
Safety and Security of Products and Services
To ensure safety and security of products and services.

2. Remedy

Where it is identified that in violation of this policy, Mitsui & Co. group's business activities have caused adverse environmental and human rights impact or contributed to it through its business transactions including its supply chains, Mitsui & Co. will work to remediate such impacts through appropriate processes.

3. Information Disclosure

Mitsui & Co. will properly disclose information related to the above principles in a timely manner.

Formulated in December 2007
Revised in July 2021

Shinichiro Omachi
Representative Director, Executive Vice President
Chief Strategy Officer (CSO)
Chairperson of the Sustainability Committee


Sustainable Supply Chain Policy

Procurement Policies for Specific Commodities

The procurement of all raw materials and commodities is carried out under the Mitsui & Co. Group Conduct Guidelines, Environmental Policy, and Sustainable Supply Chain Policy. We aim to fulfill our social responsibilities as a company and contribute to the sustainable development of society through production and procurement based on a procurement policy for each commodity. For certain raw materials and commodities in fields that pose a high risk of deforestation, environmental impact, or human rights violations, we strive to realize sustainable procurement by working with NGOs and other stakeholders to formulate a procurement policy for each specific commodity as an addition to our other policies. These policies are regularly reviewed and revised as necessary.

Goals and Targets


We regularly review each goal and target and revise it when necessary.

Supply Chain Management

Goals and Targets

  1. Achieving 100% awareness of our Sustainable Supply Chain Policy among new suppliers.

Progress

Rate of awareness of the Sustainable Supply Chain Policy
  FY Mar/2021
Ratio of new suppliers that have been sent the policy 100%

Natural Rubber

Goals and Targets

  1. Ensuring that all suppliers are aware of our Natural Rubber Procurement Policy.
  2. Aiming to secure 100% traceability of the natural rubber we handle by 2030.

Progress

Ratio of traceable natural rubber

Please scroll horizontally to look at table below.

  FY Mar/2019 FY Mar/2020 FY Mar/2021
Natural Rubber 100% 100% 100%

Palm Oil

Goals and Targets

  1. Ensuring that all suppliers are aware of our Palm Oil Procurement Policy.
  2. Aiming to ensure that 100% of palm oil is traceable to mill level by 2022.
  3. Aiming to ensure that 100% of palm oil handled has received sustainability certification from organizations such as the RSPO by 2030.

Progress

Ratio certified by RSPO and similar organizations, and ratio traceable to mill level

Please scroll horizontally to look at table below.

  FY Mar/2019 FY Mar/2020 FY Mar/2021
Ratio of the above that is Sustainability certified* 3.6% 5.0% 6.9%
Ratio traceable to mill level - 99.8% 99.1%

* Palm oil certified by RSPO and similar organizations

Timber

Goals and Targets

  1. Ensuring that all suppliers are aware of our Timber Procurement Policy.
  2. Aiming for 100% of lumber and woodchip for paper products handled to be certified by internationally recognized forest certification bodies, or of an equivalent standard, by 2030.

Progress

Ratio of certified timber

Please scroll horizontally to look at table below.

  FY Mar/2019 FY Mar/2020 FY Mar/2021
Lumber* 100% 100% 100%
Woodchips for paper products* 100% 100% 100%

*Lumber and woodchips for paper products that are handled by suppliers who are certified by internationally recognized forest certification bodies including FSC, PEFC, etc., or that are recognized by certification bodies as controlled materials.

Paper Products

Goals and Targets

  1. Ensuring that all suppliers are aware of our Paper Products Procurement Policy.
  2. Aiming for 100% traceability of pulp, paper and paperboard to legal raw materials, by 2030.

Progress

Ratio of pulp procured in compliance with our procurement policy

Please scroll horizontally to look at table below.

  FY Mar/2019 FY Mar/2020 FY Mar/2021
Pulp that is derived from certified wood or from wood verified as legal* 91% 91% 91%

*Pulp derived from wood that has been certified by FSC or other internationally recognized forest certification bodies, or that has been managed in accordance with the guidelines of our procurement policy for paper products.

Sustainability Governance and Oversight


Sustainability Management

The Sustainability Committee works under the Executive Committee to plan, formulate and provide proposals on basic management policies, business activities, and corporate policies and strategies related to supply chain management.
The Sustainability Committee is structured so that its activities are appropriately supervised by the Board of Directors, and matters discussed by the Sustainability Committee are regularly discussed and reported to the Executive Committee and the Board of Directors.

Officer in Charge Shinichiro Omachi (Representative Director, Executive Vice President, Chief Strategy Officer, Chairperson of the Sustainability Committee)
Deliberative body Sustainability Committee
Positioning
  • A subordinate committee of the Executive Committee, which is the decision-making body
  • Important matters related to supply chain management that have been deliberated by the Committee are discussed and reported to the Executive Committee and the Board of Directors.
Department in Charge Corporate Sustainability Div.

Please refer to the links below for more information on Mitsui’s Sustainability Management Framework and the activities of the Sustainability Committee.


Our Approach to Sustainability: Sustainability Governance and Oversight

Our Approach to Sustainability: Sustainability Committee

Supply Chain Risk Management System

By formulating the Sustainable Supply Chain Policy and taking the following stages of the Identification-Awareness-Surveys-Disclosures/Improvements cycle, Mitsui & Co. aims to prevent problems from arising and, furthermore, identify and resolve issues in the supply chain.
Details regarding the progress made, results achieved, and administrative conditions of our supply chain management are reported to the Sustainability Committee every year, and to the Executive Committee and the Board of Directors on a regular basis. We also share the comments from stakeholders and review each of the relevant policies if any issues are found.

Supply Chain Risk Management System

Identifying High-Risk Business Areas

We employ external experts to assess human rights risks in the supply chains of products handled by Mitsui and overseas trading affiliates, as well as the main business operations of consolidated subsidiaries. These assessments are carried out for each product and country using international indicators and other tools. Human rights risks, including an exhaustive list of social, human rights, and labor practice risks that comply with international norms and standards concerning corporate social responsibility, are then identified in order to narrow down which fields are high risk. Following this, our business and the businesses of our subsidiaries are assessed as to whether they correspond to these areas. The results of these risk assessments identified area in which there is generally a high risk of the occurrence of human rights issues such as forced labor or child labor in our supply chains, mainly related to food, textiles, building materials, and mining, primarily in production regions in emerging countries in regions such as Southeast Asia, Africa, and South America.

New Suppliers

When engaging in business with new suppliers, we send all suppliers our Sustainable Supply Chain Policy, and require that they understand and implement our policy. We also conduct an advance risk assessment covering social issues (including environmental issues such as climate change) based on our own ESG due diligence checklists.

Existing Suppliers

For existing businesses and relevant suppliers, we have identified high risk areas within our business and we carry out regular surveys of suppliers in these areas. Through these surveys, we work to monitor the actual situation within our supply chains regarding environmental and social issues such as climate change, biodiversity, environment management, human rights, and occupational health and safety.

Corrective Action and Remediation Concerning Suppliers

Our suppliers are required to understand and implement our Sustainable Supply Chain Policy. If a supplier’s efforts to implement our Sustainable Supply Chain Policy are insufficient, or if it is revealed that a supplier has environmental issues or human rights violations within their supply chain, we will take corrective or remedying action through appropriate processes.

Management of Hazardous Chemical Substances

In the chemicals segment, we review the handling of hazardous chemical substances. In Japan, these reviews are based on relevant laws and regulations such as the Chemical Substances Control Law, the Industrial Safety and Health Act, and the Fire Services Act. Overseas, these reviews are based on relevant local laws and regulations. In order to ensure that the results of these reviews are communicated appropriately throughout supply chains, we provide safety data sheets and ensure that products are properly labelled with hazard information. We also frequently hold various types of training to ensure that employees consider our responsibilities as an importer to disclose hazard information regarding imported chemical substances is exactly the same as our responsibility to disclose hazard information regarding our products manufactured in Japan.

Food Safety Initiatives

The Food Business Unit and the Retail Business Unit are building a food safety management database containing information such as movement by suppliers before import agreements are concluded, situations regarding the introduction of HACCP, handling under the positive list system for food container and packaging materials, residual agricultural chemicals, and labelling. We are using this database to check compliance with food-related laws and regulations, ensure proper import procedures, and disseminate information in order to facilitate the distribution of safe and reliable foods. We are also working to ensure employees are more informed. Internal committees for food sanitation management meet once a month to share information on revisions to various laws and other topics and we carry out various training on a monthly basis, such as food safety seminars.

Collaborating with Stakeholders


Participation in Initiatives

We are promoting and expanding our efforts to address our supply chain management through participation in initiatives. Participation in each initiative is decided after confirming that it is consistent with our basic policy and initiatives for supply chain management.

CEFLEX (Circular economy for flexible packaging)

CEFLEX is a European collaborative consortium of companies and associations representing the entire value chain of flexible packaging. CEFLEX is exploring the development of infrastructure systems to collect, sort, and recycle plastic flexible packaging. Mitsui has participated in the consortium since 2018 as one of more than 200 companies that are involved in the plastic packaging materials value chain. Mitsui has been playing active roles in various work groups and will continue to contribute to the realization of a circular economy through its participation in CEFLEX.

ASI (Aluminium Stewardship Initiative)

ASI was established in 2012 with a vision of maximizing the contribution of aluminum to a sustainable society. As of June 2021, approximately 175 companies and groups have joined ASI, including a variety of stakeholders such as aluminum producers and users and the International Aluminium Institute. Its purpose is to increase sustainability in the aluminum supply chain and contribute to ESG engagement by formulating international standards and establishing certification systems. Mitsui joined in January 2020 and supports these initiatives as a member.

Forest Stewardship Council® (FSC®)

The Forest Stewardship Council® (FSC®) is an international non-profit organization that promotes management of the world's forests in a way that is environmentally appropriate, economically viable, and socially beneficial, including with regard to respect for human rights.
Mitsui has obtained FSC® forest management (FM) certification at all 74 of its forests, which in total approximately 44,000 hectares, while Mitsui Bussan Forest Co., Ltd., a Mitsui subsidiary, has obtained Chain of Custody (CoC) certification for the processing and distribution of cut lumber (FSC®-C031328). As the biggest supplier of Japanese-grown lumber with FSC® certification, Mitsui is helping to promote FSC® in Japan and to discuss and draft the Japanese version of principles, standards, and risk assessments. Mitsui has obtained FSC® certification for its forest resources business as well, and promotes responsible management of forest resources.

RSPO (Roundtable on Sustainable Palm Oil)

The Roundtable on Sustainable Palm Oil (RSPO) is a non-profit organization established to promote the sustainable production and utilization of palm oil through the conservation of tropical rain forests and biodiversity. Palm oil production has been linked to the destruction of tropical forests through the development of oil palm plantations, as well as human rights issues. As a business that handles palm oil, Mitsui agrees with the RSPO's philosophy of contributing to sustainability through industry. Since joining the organization as an ordinary member in 2008, we have been collaborating on business-based sustainable procurement initiatives that take into account the conservation of tropical forests and biodiversity, respect for the rights of indigenous and local peoples, and other considerations. A sustainability-focused procurement code, including specific standards for palm oil, has been formulated for the 2021 Olympic and Paralympic Games in Tokyo. In connection with this, Mitsui representatives as members of an oil and fat industry association verified progress on and promoted initiatives related to the RSPO and activities under the Malaysia Sustainable Palm Oil (MSPO) and Indonesia Sustainable Palm Oil (ISPO) systems.

EcoVadis

EcoVadis is a ratings provider that has developed its own platform for evaluating the performance of companies in terms of environmental and social sustainability. Certain Mitsui group companies are registered on the EcoVadis platform and are evaluated on their performance regarding sustainability.

Sedex (Supplier Ethical Data Exchange)

Sedex is an NPO established in 2001 primarily by British retailers and auditing companies and it has become the top global ethical services provider. It provides registered companies with the world's largest information platform for managing and sharing data concerning ethical supply chains and it also offers globally recognized evaluations of responsible supply chain activities, known as SMETA audits, which audit aspects such as labor rights, occupational health and safety, environmental performance, and business ethics. Certain Mitsui group companies use the services provided by Sedex.

Initiatives


Animal Welfare Initiatives

We believe that raising domestic animals in a comfortable environment reduces stress on the animals and diseases, leading to greater productivity and safe animal products. Therefore, we strive to operate our businesses with consideration for animal welfare by respecting the recommendations of the World Organisation for Animal Health and complying with local laws.
Prifoods Co., Ltd., a consolidated subsidiary of Mitsui, raises broiler chickens in accordance with the Ministry of Agriculture, Forestry and Fisheries' Management Guidelines for Raising Broiler Chickens According to the Basic Approach to Animal Welfare, based on its belief that broiler chickens raised in a comfortable environment will be less affected by stress and disease, resulting in the production of safe and reliable chicken. Specifically, it creates a comfortable environments that put the lowest amount of stress possible on the chickens while they are in the growth stage and pays detailed attention to nutritional management, rearing environments, and health management.
Prifoods' production and manufacturing management structure, which includes its handling of animal welfare, has been evaluated by third party organizations. In its main production area, 14 farms have received domestic certification in the form of the JGAP group certification(*1), and its processing plant and 20 farms have received international certification in the form of the world's first SQF-TSA multisite certification(*2).

*1. JGAP (Japan Good Agricultural Practice) is a Japanese certification recognizing appropriate farm management in terms of farm management, food safety, animal hygiene, environmental conservation, worker safety, human rights and welfare, and animal welfare in accordance with the Ministry of Agriculture, Forestry and Fisheries' standards. In March 2020, Prifoods received this certification for 14 farms in Aomori Prefecture.
*2. SQF-TSA (Safe Quality Food-Tokyo Sustainability Addendum) is an addendum to the international SQF certification. It recognizes that in addition to ensuring food safety and quality under the SQF certification, the recipient also meets the food safety and hygiene standards, which include animal welfare, stipulated by the Tokyo Organising Committee of the Olympic and Paralympic Games. A processing plant and 20 farms operated by Prifoods in Aomori Prefecture acquired SQF certification in October 2010 and in November 2019, they received the world’s first SQF-TSA certification.

Fisheries Initiatives

We recognize the risk that overfishing, illegal fishery operations and destructive fishing practices can lead to a loss of biodiversity and have a severe impact on local communities in marine areas, as well as the risk to the environment if aquaculture businesses insufficiently manage water intake, feed supply, and excrement.
Therefore, we have made it a priority that our aquaculture businesses incorporate a sustainability perspective in order to protect marine resources and realize stable and sustainable supplies of marine products. As a group that handles marine products, we work to raise and procure these products in a responsible manner, giving consideration to the conservation of marine resources and ocean environments and to coexistence with local communities.

Minh Phu's Initiatives

Shrimp farms developed and operated by Minh Phu — Loc An Aquaculture Co., Ltd., a subsidiary of Minh Phu Shrimp farms developed and operated by Minh Phu - Loc An Aquaculture Co., Ltd., a subsidiary of Minh Phu

In 2013, we invested in Minh Phu Hau Giang Joint Stock Company, a Vietnamese shrimp farming and processing company, and in June 2016, we fully entered the shrimp farming business by acquiring a 35.1% equity interest in its parent company, Minh Phu Seafood Joint Stock Company, the world's biggest shrimp integrator from farming to processing and sales. While Minh Phu Seafood Joint Stock Company had been engaged in shrimp farming before we acquired an interest, the scale was limited, and it was using traditional methods in which shrimp were released into large field-like plots of water and then raised using the sight and intuition of employees. After acquiring an interest, we began the full-scale operation of shrimp farms using a new aquaculture method. This new method uses small circular farming ponds which make environmental management easier and enable detailed water quality monitoring and water to be completely replaced. Going forward, we will make further efforts to realize more sustainable farming environments and minimize environmental pollution by using DX to automate and streamline the entire management process while optimizing feed and water quality.

Quantity of Certified Products Handled by Minh Phu
  Jan-Dec, 2019 Jan-Dec, 2020
Quantity of marine product transactions (MT) 57,483 54,357
Ratio of ASC certified products 4.9% 2.7%
Ratio of BAP certified products 16.8% 15.5%
Ratio of Global GAP certified products 0.1% 1.1%

Toho Bussan Initiatives

Mitsui subsidiary Toho Bussan Kaisha Ltd, is primarily engaged in trading marine products and it requires that the marine products in its commercial transactions have CoC certification to ensures traceability. CoC certification assures that certified products have been managed appropriately at every stage of production, from manufacturing to processing and distribution, and it also guarantees that there is no contamination by uncertified products and that labeling is authentic. Toho Bussan strives to procure sustainable products and it has acquired both MSC and ASC CoC certification. It has also concluded an endorser agreement with the Global Seafood Alliance (renamed from the Global Aquaculture Alliance in April 2021), a U.S.-based NGO that operates BAP, a certification system that is widely recognized in the U.S., and it is working to promote the spread of BAP certified products.

Quantity of Certified Products Handled by Toho Bussan

Please scroll horizontally to look at table below.

  FY Mar/2019 FY Mar/2020 FY Mar/2021
Quantity of marine product transactions (MT) 20,670 13,827 14,418
Ratio of MSC certified products 1.5% 0 0
Ratio of ASC certified products 0.5% 0.8% 2.6%
Ratio of BAP certified products 0 0.9% 3.9%

Salmones Multiexport Initiatives

In 2015, we invested in Salmones Multiexport S. A. ("Salmex"), a Chilean company that farms, processes, and sells Atlantic salmon. Salmex applies a vertically integrated business model to the farming and sale of salmon, including its mainstay product of Atlantic salmon, and it exports to Brazil, Japan, China, and other Asian countries, and particularly to the United States, amid growing demand for healthy protein sources. It has also acquired various certifications relating to environmental performance, quality, occupational safety, and traceability, including OHSAS18001*, ISO14001*, ISO9001*, BAP, and Global GAP. Since the early 1990's, Chilean salmon aquaculture has provided either the largest or second largest amount of salmon exports in the world. During this time, in addition to establishing a fish-disease and quarantine control system, government and industry have worked together to reduce the use of chemicals. As a result, significant reductions have been achieved, and Salmex is continuing with its own efforts to reduce chemical consumption. Also, the use of fishmeal and fish oil in feed has been greatly reduced by substituting it with raw materials such as soybean meal and vegetable oils. In recent years, fish meal has accounted for less than 10% of feed. As demand for high-quality, safe and secure protein sources continues to increase worldwide, we will work with our suppliers to develop a sustainable aquaculture industry that can coexist harmoniously with local communities, local residents, and ecosystems.

*Certification covers the management and operation of fish farms and plants.

Quantity of Certified Products Handled by Salmex

Please scroll horizontally to look at table below.

  FY Dec/2018 FY Dec/2019 FY Dec/2020
Quantity of marine product transactions (MT) 81,839 95,475 99,240
Ratio of ASC certified products 0 7.8% 11.1%
Ratio of BAP certified products 100% 100% 100%

Engagement with Suppliers

Policy Promotion and Awareness Raising

When engaging in sales transactions, we work to ensure that all Mitsui suppliers are aware of our policies by sending our Sustainable Supply Chain Policy (in Japanese, English, Chinese, French, Spanish, Portuguese, and Thai) to all suppliers of our business units, overseas offices, and subsidiaries (excluding indirectly owned subsidiaries), and requiring their understanding and cooperation in regard to the policy. We manage the supplier awareness situation through an annual inhouse survey that confirms the status regarding the sending of these policies.

Supplier Training

In order to raise awareness regarding our Sustainable Supply Chain Policy and supply chain management initiatives to suppliers of Mitsui and consolidated subsidiaries, as well as employees of Mitsui and consolidated subsidiaries engaged in procurement, we invited an external speaker from the international conservation NGO WWF Japan (World Wide Fund for Nature Japan) to hold an online training session on environmental and human rights issues concerning the natural rubber, palm oil, timber and paper products businesses. A total of 130 employees from Mitsui and suppliers participated in the training and were required to understand and implement initiatives to reduce environmental impact, including conserving biodiversity and eliminating deforestation, and to promote human rights due diligence, including protecting the customary rights of indigenous and local peoples, and improving labor environments. We plan to continue providing regular training to our suppliers and our employees engaged in procurement.

Auditing (Supplier Surveys and On-Site Inspections)

We consider interactive communication with our suppliers to be very important, so we work to build relationships of trust and strengthen our supply chain management by working jointly on ideas for improvements with our partners, wherever needed. For this reason, since the fiscal year ended March 2012, we have been regularly conducting surveys targeting the suppliers of Mitsui and our subsidiaries to confirm the status of their business in regard to social issues such as climate change, biodiversity, environmental management, human rights, labor practices, and occupational health and safety, and to provide correction if necessary. In the fiscal year ended March 2020, we began surveying suppliers that handle products in high-risk business domains as part of human rights due diligence.
In addition to the surveys, since the fiscal year ended March 2015, we have been carrying out on-site inspections of suppliers. In addition to inspecting compliance with our Sustainable Supply Chain Policy using a checklist, we also employ independent experts to participate in conducting interviews with persons in charge and carrying out observations of manufacturing plants and related facilities. When required, we also provide advice and guidance following the on-site surveys.

Providing Feedback and Requesting Improvements Based on Auditing Results

Our auditing efforts did not detect any major environmental problems or human rights violations, but there were cases in which understanding of the Guiding Principles on Business and Human Rights, as well as international norms and local laws and regulations, was insufficient and we also found suppliers who did not have clear policies, such as an approach to occupational health and safety or to human rights. We improved the understanding of these suppliers regarding international norms and other matters by reiterating the content of our Sustainable Supply Chain Policy, alongside other actions such as proposing the formulation of policies.

Number of Suppliers Surveyed

Please scroll horizontally to look at table below.

FY Mar/2019 FY Mar/2020 FY Mar/2021
Number of suppliers surveyed 74 11 293
Main Questions in Supplier Surveys
Human Rights, Labor Prohibition of forced labor, child labor, discrimination and harassment, and wage payment in accordance with applicable laws and regulations etc.
Occupational Health and Safety Fire safety, use of personal protective equipment, handling of hazardous substances including chemical substances and pesticides etc.
Business Ethics Compliance, free and fair competition, intellectual property, privacy and data protection, anti-corruption etc.
Environmental Management Pollution, greenhouse gas emissions, biodiversity etc.
Conflict Minerals Whether the company handles conflict materials, or has a policy on conflict materials
Supply Chain CSR Whether the company has a CSR procurement policy

On-Site Inspections of Suppliers (Auditing)

  Suppliers surveyed
FY Mar/2021

Suppliers of wooden fuel

In the fiscal year ended March 2021, Mitsui and an external expert jointly conducted on-site surveys of Mitsui Bussan Forest Co., Ltd. and Butsurin Co., Ltd., which are the main suppliers of wooden fuel to Tomakomai Biomass Power Co., Ltd. ("TBP") and Hokkaido Biomass Energy Co., Ltd. ("HBE"), companies in which Mitsui has an equity interest The surveys lasted three days and consisted of site inspections of thier suppliers' plants, forests, and other facilities, interviews with managers and workers, and checks of related documents. The main focal points of the surveys were raw material procurement, occupational health and safety, and environmental management. The results of the surveys confirmed that both companies are taking appropriate action on all items, and that both factories meet the requirements stipulated in our Sustainable Supply Chain Policy.

FY Mar/2020

Suppliers of apparel products

In the fiscal year ended March 2020, Mitsui and a third-party expert jointly conducted on-site surveys at the suit factory of MAY10 Joint Stock Company ("MAY10"), and the sewing factory of Viet Thinh Garment Joint Stock Co. ("Viet Thinh") in Vietnam. Both are suppliers of Mitsui Bussan I-Fashion Ltd. ("MIF"), Mitsui's consolidated subsidiary, which trades in textile raw materials, industrial raw materials, and woven and knitted fabrics, and also produces and procures apparel and fashion goods, as well as accessories. The surveys lasted two days and consisted of site inspections, interviews with managers and workers, and checks of related documents. The main focal points of the surveys were human rights, occupational safety and health, compliance with laws and regulations, environmental management, and relationships with local communities. The results of the surveys confirmed that both companies are taking appropriate action on all items, and that both factories meet the requirements stipulated in the Supply Chain Policy.


FY Mar/2020 on-site survey of suppliers

FY Mar/2019

Supplier of seafood (salmon), feed manufacturer

In the fiscal year ended March 2019, we visited a Chilean salmon farming, processing and sales company, Salmones Multiexport S. A., which Mitsui has invested in and which we procure from, and carried out on-site surveys of freshwater and seawater farms, a processing plant, and a feed company which is one of the Salmex's main suppliers. We inspected farming facilities including a hatchery, a sea water farm with a pontoon, feeding control units and a set of net pens. At the processing plant, we inspected the processing and packaging lines, automatic quality sensors, smoke facilities, and washing rooms. We also conducted interviews with managers and employees. Through these, we checked environmental management, human rights and labor practices, regulatory compliance, and quality control and traceability. At the feed factory, we inspected processing facilities, storage warehouses, the main control rooms, and the quality control rooms, and conducted interviews with managers and employees. Through these, we confirmed that initiatives are being properly implemented in respect to the environment, labor and safety, and traceability.
Results from the surveys showed that the supplier was acting appropriately, and that all items met the requirements of our Supply Chain CSR Policy.


FY Mar/2019 on-site survey of suppliers

FY Mar/2018

Supplier of oleochemical products (oleochemicals)

In March 2018, we visited the factory and plantations of a Malaysian oleochemicals manufacturing company that we procure from and carried out on-site surveys. At the manufacturing company's factory, we inspected the manufacturing processes, the quality control laboratory, the control room, storage facilities, packaging processes, the wastewater treatment facility, and the employees' canteen, and conducted interviews with the managers and employees. Through these, we checked environmental management, human rights and labor practices, regulatory compliance, and quality control and traceability. At the palm plantations, we inspected the plantations, the oil mill, and the biomass power plants and conducted interviews with the managers and employees. Through these, we checked that initiatives are being implemented in respect to the environment, as well as safety and labor practices. Results from the surveys showed that the supplier was acting appropriately, and that all items met the requirements of our Supply Chain CSR Policy.


FY Mar/2018 on-site survey of suppliers

FY Mar/2017

Supplier of food raw materials (apple juice)

In September 2016, we visited a fruit juice processing company that we procure from in Shandong Province, China, and carried out on-site surveys of its factories and fruit farms. We inspected a variety of workplaces, including a fruit farm, fruit transportation equipment, juice extraction factories, chemicals storage facilities, quality inspection rooms, filling factories, low-temperature warehouses, wastewater treatment facilities, control centers, canteens, and dormitories and conducted interviews with factory supervisors and farmers. Through these, we checked various aspects of suppliers' operations, including environmental management, labor practices, regulatory compliance, and quality control and traceability. Results from the surveys showed that the supplier was acting appropriately, and that all items met the requirements of our Supply Chain CSR Policy.


FY Mar/2017 on-site survey of suppliers

FYE Mar/2016

Suppliers of wood chips (raw material for pulp and paper)

In March 2016, we conducted on-site surveys of timber suppliers and their plantations, processing and export companies, and forest management contractors at six locations in the Green Triangle region of western Victoria, Australia, where we procure wood chips for pulp and paper manufacturing. Through on-site inspections of plantations, processing facilities (chipping), and stockyards, as well as interviews with representatives of log suppliers and forest management contractors, we checked various aspects of suppliers' operations, including regulatory compliance, environmental performance, and labor practices. Results from the surveys showed that all suppliers were acting appropriately, and that all items met the requirements of our Supply Chain CSR Policy.


FY Mar/2016 on-site survey of suppliers

Initiatives Concerning Subsidiaries and Affiliates

Starting from the fiscal year ended March 2021, we are carrying out internal supply chain management surveys of our subsidiaries in order to ensure they properly understand our Sustainable Supply Chain Policy and they properly understand our Sustainable Supply Chain Policy and that it is implemented by their suppliers. The surveys investigate matters such as how well the group's policies are understood and what items are being used to check suppliers. Feedback is provided to subsidiaries together with explanations of policy details aimed at improving understanding.

For the FY2021 survey, we selected Toho Bussan Kaisha Ltd, Hokkaido Biomass Energy Co., Ltd., and Tomakomai Biomass Power Co., Ltd. (an affiliated company) for inspections. Through interviews with managers and employees, we explained our approach to supply chain management and reiterated our requirement that our policies be understood and implemented, while at the same time checking aspects such as to what degree our Sustainable Supply Chain Policy is understood, the status of sending the policy to suppliers, standards for selecting new suppliers and accompanying management frameworks, and whether each company has internal regulations and policies. Also, due to the effects of the COVID-19 pandemic, we surveyed eight main suppliers to Toho Bussan through written interviews rather than on-site visits.

Issues Revealed Through Recent Surveys and Improvement Guidance

Surveys carried out to date have confirmed that affiliated companies are practicing supply chain management based on our Sustainable Supply Chain Policy. However, it was also revealed that the policy had not yet been sent to some suppliers, so we responded by belatedly sending the policy to these suppliers and requesting that they understand and implement it.

Employee Initiatives

Raising Awareness and Training

We continuously carry out awareness raising activities and training for employees regarding the importance of human rights and labor issues and the details of our policies in order to raise sensitivity to issues, including human rights and labor issues, and to prevent problems before they can happen.

Training Track Record

Please scroll horizontally to look at table below.

  FY Mar/2018 FY Mar/2019 FY Mar/2020 FY Mar/2021
Number of participants 35 120 266 392

Human Rights: Human Rights Training

Compliance and Integrity: Compliance Education and Training