Marfrig Global Foods SA

MRFG3:BZ BRMRFGACNOR0
Key Information
HQ:
Brazil
Market Cap:
$0.83bn
Primary Markets:
North America, Asia, LATAM



Company Information

Company Summary

Marfrig is one of the largest global animal protein companies, involved in producing, processing, manufacturing, selling and distributing animal protein (cattle, sheep and poultry) and various food products such as breaded, ready-made food, fish, frozen vegetables and desserts. It recently announced the acquisition of National Beef, making it the world's second-largest beef producer. The Company operates worldwide in the Americas, Asia, Europe and Oceania.
Marfrig

Revenue

Total revenue:

$15.8bn

Revenue by Geography

Revenue by Protein

Revenue by Product Type

Note: This financial breakdown is based on Annual reports released in 2022, containing, in most cases, FY2021.


Disclosures

CDP ScoresLast Reviewed: 11/10/2023

CDP ClimateCDP ForestsCDP Water
YesYesYes

Science Based Target InitiativeLast Reviewed: 03/10/2023

Target classificationStatusDate
1.5°CTargets Set2022

Coller FAIRR Protein Producer Index

Analysis Overview

Index-Radar-2023
Greenhouse Gas Emissions Deforestation & Biodiversity Water Use & Scarcity Waste & Pollution Antibiotics Animal Welfare Working Conditions Food Safety Sustainability Governance Alternative Proteins

Analysis Breakdown

Risk Score

68/100
Low Risk



Greenhouse Gas Emissions

71/100

Scope 1, 2 & 3 Target
83/100
Type of Target
0.4/0.5
Strength of Target - SBT
3.75/4.5
Source(s): Effluents and Waste; Marfrig Sustainability Progress Report 2022, page 102; Marfrig Sustainability Report 2022, page 102; Science Based Target Initiative Webpage

Innovation on GHG Emission Reduction
80/100
Innovation to Reduce Agriculture Emissions
1/1
Feed Farming Innovation
1/2
Animal Farming Innovation
2/2
Source(s): GHG 2.3 - Sustainability Report 2022; Marfrig Sustainability Report 2022, page 94, 104, 105, 106

Quality of GHG Inventory
90/100
Quality and scope of GHG inventory Completeness
1.5/1.5
Feed & Animal Farming Emissions
1.5/2
Transparency of GHG Inventory
1.5/1.5
Source(s): Marfrig CDP Climate 2022, page 5, 60, 61, 62, 90; Marfrig Sustainability Report 2022, page 103, 106, 107

Emissions Performance
25/100
Overall Emission Performance
1.25/5
Source(s): Marfrig CDP Climate 2022, page 43, 45; Marfrig Sustainability Report 2022, page 107; Science Based Target Initiative Webpage

Climate-related Scenario Analysis
75/100
Climate-related Scenarios Analysis Conducted
1/1
Disclosure of Analysis Results on Material Risks
2.75/3
Disclosure of Financial Material Events & Alignment of CAPEX
0/1
Source(s): Marfrig CDP Climate 2022, page 17, 20, 21, 22, 23, 33, 34; Marfrig Sustainability Report 2022, page 100, 105; veterinary and medicine costs



Deforestation & Biodiversity

58/100

Deforestation/Conversion-free Target - Soy for Animal Feed
73/100
Risk Assessment to Identify High-risk Locations
0.25/0.5
Strength of Deforestation Commitment
1.4/2
Regional & Operational Coverage of Commitment
1.25/1.25
Transparency - Progress Against Commitment
0.75/1.25
Source(s): CDP Forests 2022, page 11; Marfrig CDP Forest 2022, page 6, 7, 30, 35, 60, 64, 65; Marfrig Sustainability Report 2022, page 84, 85

Deforestation/Conversion-free Target - Cattle
83/100
Risk Assessment to Identify High-risk Locations
0.5/0.5
Strength of Deforestation Commitment
1.4/2
Regional & Operational Coverage of Commitment
1.25/1.25
Transparency - Progress Against Commitment
1/1.25
Source(s): DEF 1.0 Sustainability Report 2022, page 85, 91; Marfrig CDP Forest 2022, page 28, 30, 32, 33; Marfrig Sustainability Report 2022, page 23, 84, 85, 88, 90

Engagement, Monitoring & Traceability - Soy for Animal Feed
34/100
Supplier Engagement
0.24/1.25
Compliance monitoring & Traceability
1.23/3.25
Feed Innovation
0.25/0.5
Source(s): DEF 2.9 - Sustainability Report 2022, page 94; Marfrig CDP Forest 2022, page 24, 68, 75, 98, 99; Marfrig Sustainability Report 2022, page 91

Engagement, Monitoring & Traceability - Cattle
43/100
Supplier Engagement
1.25/1.25
Compliance monitoring & Traceability
0.78/3.5
Feed Innovation
0.13/0.25
Source(s): Marfrig CDP Forest 2022, page 68, 85, 97, 98; Marfrig Sustainability Report 2022, page 29, 84, 88, 89, 90, 92; NGOs demand Webpage 2023



Water Use & Scarcity

58/100

Water Use & Scarcity in Facilities
83/100
Monitoring Water Consumption & Withdrawals
0.75/0.75
Target to Reduce Water Consumption & Withdrawals
0.5/1
Disclosure & Performance of Water Risks in Facilities
2.88/3.25
Source(s): Marfrig CDP Water 2022, page 4, 10, 64; Marfrig Sustainability Report 2022, page 82, 108, 109, 110, 111, 112; POL 1.8 Sustainability Platform

Water Use & Scarcity in Feed Farming
40/100
Supplier Engagement in Water Use in Feed Farming
1.2/2.5
Disclosure of Water Risks in Feed Farming
0.8/2.5
Source(s): CDP Water 2022, page 17; GHG 2.3 - Sustainability Report 2022, page 110; Guide to Good Production Practices, page 23; Marfrig Sustainability Report 2022, page 91, 94, 113

Water Use & Scarcity in Animal Farming
52/100
Supplier Engagement in Water Use in Animal Farming
1.6/3
Disclosure of Water Risks in Animal Farming
1/2
Source(s): Engaging With Third Parties In Water Use; Marfrig CDP Water 2022, page 17, 18; Marfrig Sustainability Report 2022, page 113



Waste & Pollution

36/100

Wastewater at Facilities
85/100
Disclosure & Targets for Wastewater Quality & Volume Discharged
1.35/1.5
Transparency on Water Pollution Risks
2/2
Performance on Wastewater Quality & Volume Discharged
0.9/1.5
Source(s): Marfrig CDP Water 2022, page 25, 29; Marfrig Sustainability Report 2021; Marfrig Sustainability Report 2022, page 108, 116, 117, 118, 119; POL 1.8 - Statement of Verification, page 2

Nutrient Management in Feed Farming
16/100
Supplier Engagement in Nutrient Pollution Risks
0.2/4
Innovation to Improve Nutrient Management in Feed Farming
0.6/1
Source(s): Marfrig Sustainability Report 2022, page 94

Manure Management in Animal Farming
8/100
Disclosure of Pollution Risks from Manure
0.4/1.25
Supplier Engagement in Manure Management
0/1.5
Innovation to Improve Nutrient Management in Animal Farming
0/2.25
Source(s): Marfrig Sustainability Report 2022, page 30, 94, 114; POL 1.8 - Sustainability Report 2022, page 95



Antibiotics

65/100

Policy on Antibiotics Use
70/100
Policy on Antibiotics Use
3.5/5
Source(s): Marfrig Sustainability Report 2022, page 94; Statement on Antimicrobial Stewardship 2022, page 1

Disclosure of Quantity of Antibiotics Used
60/100
Disclosure of Quantity of Antibiotics Used
3/5
Source(s): Marfrig Sustainability Report 2022, page 94



Animal Welfare

63/100

Animal Welfare Policy
92/100
Welfare Policy
2/2
Key Welfare Issues
2.6/3
Source(s): Animal Welfare Policy 2023, page 1, 7, 9, 10, 11, 12; Marfrig Sustainability Report 2022, page 96, 98, 100

Assurance & Certification
40/100
Auditing & Assurance by an Animal Welfare Organisation
0.98/4
Public Reporting on Welfare
1/1
Source(s): Animal Welfare Report 2021, page 32; Marfrig Sustainability Report 2022, page 93, 96, 101

Performance on Key Material Risks
59/100
Performance on Key Material Welfare Risks by Protein
2.94/5
Source(s): Animal Welfare Policy 2023, page 9, 11; Marfrig Sustainability Report 2022, page 96, 100



Working Conditions

74/100

Human Rights
50/100
Strength of Policy
1/1
Due Diligence Process
1.5/3
Evidence of Remediation
0/1
Source(s): Marfrig Sustainability Report 2022, page 46, 70, 88, 123; Modern Slavery Statement, page 2; Social Responsibility Policy 2022, page 2, 3, 4

Fair Working Conditions
72/100
Policy for Direct Operations
2.1/3
Monitoring & Discosure
1.5/2
Source(s): Code of Ethics & Conduct 2023, page 7, 8; Marfrig Sustainability Report 2022, page 46, 47, 48, 56, 66, 76, 123; Third-party Code of Ethics and Conduct 2021, page 2, 3

Safety & Turnover Data
95/100
Committee representation of workers
1.75/2
Disclosure of safety and turnover data
3/3
Source(s): Marfrig Sustainability Report 2022, page 72, 73, 74, 77, 149, 150

Freedom of Association
78/100
Strength of Policies
2.45/3
Disclosure of Collective Bargaining Metrics
1.45/2
Source(s): Code of Ethics & Conduct 2023, page 3, 8; Marfrig Sustainability Report 2022, page 65, 67, 68



Food Safety

93/100

Food Safety System
85/100
Certifications
2.75/3.5
Performance
1.5/1.5
Source(s): Marfrig Sustainability Report 2022, page 55, 57, 58

Product Recalls & Market Bans
100/100
Product Recall Systems
3/3
Performance
2/2
Source(s): Marfrig Sustainability Report 2022, page 55, 62; Recall Procedures 2023, page 1



Sustainability Governance

98/100

Assessment of a Company's Sustainability Governance
98/100
Board Sustainability
2/2
Incentives & Policy Engagement
2.4/2.5
Innovation & Benchmarking
0.5/0.5
Source(s): Boards, Directors and Committees Webpage; Governance; Marfrig CDP Climate 2022, page 17; Marfrig CDP Water 2022, page 54; Marfrig Sustainability Report 2022, page 11, 29, 30, 33, 34, 39, 40, 92, 132



Alternative Proteins

60/100

Diversification of Products to Alternative Protein Sources
60/100
Existing product portfolio
0.5/2.5
Investing for future growth
2.5/2.5
Source(s): Marfrig Sustainability Report 2022, page 14, 28

Members-only supplement

If you would like to view the Analysis Breakdown, sign up to become an investor member or log in to the FAIRR network.

Working Conditions Engagement

Analysis Overview

WC-Radar
Grievance Mechanisms Economic Incentives Distribution by Contract Type Oversight of Governance Structure Support Worker Representation Engage Workers on Industry Trends

Analysis Breakdown




Health & Safety

Good glyph / arrow / up
Grievance Mechanisms - Availability & Access
Good glyph / arrow / Same
Grievance Mechanisms - Effectiveness & Evaluation
Partial glyph / arrow / Same
Grievance Mechanisms - Categories & Reporting
Good glyph / arrow / up
Grievance Mechanisms - Channels for H&S and Worker Rights
Good glyph / arrow / up
Grievance Mechanisms - Resolution Process
Good glyph / arrow / up
Economic Incentives - Sick Pay Entitlement
Partial glyph / arrow / Same
Economic Incentives - Other Economic Incentives
Good glyph / arrow / Same



Fair Working Conditions

Good glyph / arrow / Same
Distribution by Contract Type
Good glyph / arrow / Same
Oversight of Governance Structure
Good glyph / arrow / Same



Worker Representation

Partial glyph / arrow / up
Support Worker Representation - Internal & External Structures
Good glyph / arrow / up
Support Worker Representation - Restrictions Under Law
N/A
Support Worker Representation - Operations in China
N/A
Support Worker Representation - Collective Bargaining
Good glyph / arrow / Same
Engage Workers on Industry Trends - Impact assessment on Employees
Low glyph / arrow / Same
Engage Workers on Industry Trends - Workforce Engagement
Did Not Find glyph / arrow / Same
Engage Workers on Industry Trends - Just Transition
Low glyph / arrow / up

Members-only supplement

If you would like to view the Analysis Breakdown, sign up to become an investor member or log in to the FAIRR network.