Sustainable use and procurement of fishery resources

Awareness of ethical consumption is on the rise worldwide, and momentum is building in Japan as well to procure and sell sustainable seafood. TOREI aims to achieve sustainable procurement by promoting the procurement of raw materials produced using sustainably produced methods and eliminating overfishing and IUU fishing (※).

As a company that handles seafood, TOREI has been taking steps to procure sustainable seafood and not handle seafood related to IUU fishing (※). In particular, with regard to tuna, which is often viewed as problematic due to environmental resource issues, international overfishing, and social human rights issues, we established tuna procurement guidelines in August 2022 with the aim of contributing to solving these issues. We will continue to promote efforts in accordance with these guidelines from the perspectives of both long-term business continuity and a stable supply of seafood for future generations.

*IUU fishing: Refers to fishing that is conducted illegally, unreported and unregulated. Poaching, overfishing, and inaccurate reporting of fishing practices are major causes of the deterioration of the marine environment and the decline of fishery resources, and in recent years human rights issues have also become a concern. TOREI has been working to prevent the handling of seafood produced by IUU fishing, and will further strengthen this system by conducting supply chain investigations and formulating procurement policies.

Tuna Procurement Guidelines

We recognize that a company cannot survive if it does not take the environment into consideration, and we are committed to contributing to the development of a better society while proactively and sincerely working to protect and improve the global environment in all of our corporate activities, including purchasing, processing, manufacturing, storage, logistics, sales, and services. We recognize that the safe and sustainable use of marine resources is the foundation of our business activities. With the aim of procuring raw materials that have been produced and procured through sustainable methods and contributing to solving issues such as international overfishing, IUU (illegal, unreported and unregulated) fishing, and human rights violations, we have established the following procurement guidelines for tuna (Atlantic and Pacific bluefin tuna, southern bluefin tuna, bigeye tuna, yellowfin tuna, albacore tuna, and skipjack tuna) and will promote initiatives based on these guidelines.

A) Environmental aspects of tuna procurement policy

With a view to both ensuring long-term business continuity and a stable supply of seafood for future generations, we will be taking the following steps to procure tuna in a sustainable manner based on scientific evidence.

1. ① Working with suppliers to promote and further develop the standards for sustainable fishing for wild tuna set by certification programs accredited by the Global Sustainable Seafood Initiative (hereinafter "GSSI") (hereinafter "GSSI Accredited Certification") within the seafood industry.
2. ② Actively cooperate with companies and suppliers seeking GSSI-recognized certification to help them introduce Fishery Improvement Projects (hereinafter referred to as "FIPs") based on scientific and objective plans.
3. 3) In order to avoid the risk of procuring tuna through IUU fishing, as defined by the Food and Agriculture Organization of the United Nations, the United Nations must establish interoperable traceability by incorporating key data elements recommended by the Global Dialogue for Seafood Traceability (GDST).
4. ④ Regarding transshipment at sea, we will support the implementation of a robust monitoring and supervision regime based on international treaties.
5. ⑤ Support fishing vessels that comply with the international treaty requiring observers to be on board longline vessels, and support increasing the onboarding rate and strengthening the onboarding management system through electronic monitoring, etc.
6. ⑥ Provide necessary cooperation to tuna regional fisheries management organizations and relevant government ministries and agencies in order to achieve these procurement guidelines.
7. ⑦ Create opportunities for the exchange of opinions with stakeholders, such as NGOs, to realize sustainable procurement of wild tuna.

1. ① Support and actively cooperate in establishing standards for farmed/ranched tuna through GSSI-accredited certification.
2. ② Actively cooperate with aquaculture/farming suppliers aiming to obtain GSSI certification so that they can carry out their activities based on scientific and objective plans.
3. 3) Establish interoperable traceability and prepare key data elements recommended by the GDST in order to avoid handling tuna caught through IUU fishing, as defined by the Food and Agriculture Organization of the United Nations.
4. ④ Provide necessary cooperation to tuna regional fisheries management organizations and relevant government ministries and agencies to achieve these procurement guidelines.
5. ⑤ Create opportunities for the exchange of opinions with stakeholders such as NGOs to realize sustainable procurement of farmed/ranched tuna.
6. ⑥ Actively cooperate to obtain GSSI certification for feed resources used in aquaculture and farming.

B) Social aspects of tuna procurement policy

We believe that respecting human rights is an important element of doing business around the world. In order to address IUU and human rights issues in the tuna supply chain and to realize a responsible supply chain, we will work with various stakeholders, including suppliers, in accordance with the policies of Mitsubishi Corporation, our shareholder, and take steps to resolve the issues.

Human Rights Policy (from Mitsubishi Corporation corporate website)

C) Initiatives based on these guidelines

We will take the following steps to effectively realize the above procurement policies A) and B).

attempt		goal
The percentage of GSSI certified products among the tuna products procured by our company will be 30%.	▶	2030
Actively support suppliers implementing FIP	▶	As needed
Organize and confirm the status of collection of key data elements in accordance with GDST standards	▶	2023
Conducting voluntary risk assessments of our tuna suppliers	▶	In progress
By conducting external audits of our tuna suppliers, we will identify risks and issues in the supply chain, share the audit results with relevant suppliers, and jointly consider and implement improvement measures.	▶	Starting in 2022, By 2025 Make it a regular occurrence
In cooperation with Mitsubishi Corporation, we will participate in dialogues with relevant government ministries, suppliers, NGOs, and other stakeholders.	▶	Starting in 2022
In cooperation with Mitsubishi Corporation, we will work with suppliers to promote and develop certification programs for the realization of responsible supply chains and to create an environment that provides "decent work" as defined by international treaties.	▶	Consideration to begin in 2022

Certification serves as a measure of sustainability for seafood products, proving that they comply with certain standards. Currently, certified products have not yet fully penetrated the Japanese market, but there are an increasing number of opportunities to see products with the "Fishery Eco Label," which indicates that the product is certified, especially at major mass retailers, and demand is expected to increase in the future. TOREI also plans to expand its "certified product procurement capabilities" and "domestic supply chain."

We conduct supply chain surveys of our business partners that include questions about their efforts and responses to human rights, social, and environmental risks. This survey utilizes the platform of our parent company, Mitsubishi Corporation, to identify products that are deemed to have high environmental and social risks as "survey target products."
With regard to the tuna and shrimp that are the subject of the survey, which are among the products handled by TOREI, Mitsubishi Corporation has set up a grievance mechanism to receive consultations from external stakeholders regarding cases in which the business activities of the Mitsubishi Corporation Group, including our company, have had or are concerned may have a negative impact on human rights or the environment.

• Human Rights Policy
• Sustainable Procurement Policy
• TOREI Sustainability
• Materiality (important issues)
• Sustainable use and procurement of fishery resources
• Reducing environmental impact
• Improving economic productivity
• Creating an attractive workplace