WH Group Ltd

288:HK KYG960071028
Key Information
HQ:
China
Market Cap:
$7.78bn
Primary Markets:
North America, Asia, Europe & Russia



Company Information

Company Summary

WH Group is the largest pork company in the world, with number one positions in China, the US and key markets in Europe. It integrates hog production, hog slaughtering and the processing and distribution of packaged meats and fresh pork. It is a majority shareholder in Henan Shuanghui Investment & Development, China's largest meat processing business. It also owns Smithfield Foods in the US.
WH Group

Revenue

Total revenue:

$27.3bn

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
NoNoNo

Science Based Target InitiativeLast Reviewed: 03/10/2023

Target classificationStatusDate
Has not set SBTWithdrawn-

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

36/100
Medium Risk



Greenhouse Gas Emissions

31/100

Scope 1, 2 & 3 Target
25/100
Type of Target
0/3
Strength of Target - Non-SBT
1.25/2
Source(s): Environmental, Social and Governance Report 2022, page 8, 35, 40, 41; SBTi Website; Smithfield Sustainability Report 2022, page 27, 28

Innovation on GHG Emission Reduction
36/100
Innovation to Reduce Agriculture Emissions
0.8/1
Feed Farming Innovation
1/2
Animal Farming Innovation
0/2
Source(s): Environmental, Social and Governance Report 2022, page 44, 77; Smithfield Sustainability Report 2022, page 29

Quality of GHG Inventory
53/100
Quality and scope of GHG inventory Completeness
1.2/1.5
Feed & Animal Farming Emissions
1/2
Transparency of GHG Inventory
0.45/1.5
Source(s): Environmental, Social and Governance Report 2022, page 79, 114; Smithfield Foods, Inc. CDP Climate Change 2022.pdf, page 2, 44; Smithfield Sustainability Report 2022, page 28

Emissions Performance
5/100
Overall Emission Performance
0.25/5
Source(s): Environmental, Social and Governance Report 2022, page 40, 114; Smithfield Sustainability Report 2022, page 28

Climate-related Scenario Analysis
35/100
Climate-related Scenarios Analysis Conducted
1/1
Disclosure of Analysis Results on Material Risks
0.75/3
Disclosure of Financial Material Events & Alignment of CAPEX
0/1
Source(s): Environmental, Social and Governance Report 2022, page 34, 36, 41, 43; Smithfield Foods, Inc. CDP Climate Change 2022.pdf, page 13; Smithfield Sustainability Report 2022, page 82, 83



Deforestation & Biodiversity

3/100

Deforestation/Conversion-free Target - Soy for Animal Feed
0/100
Risk Assessment to Identify High-risk Locations
0/0.5
Strength of Deforestation Commitment
0/3.25
Transparency - Progress Against Commitment
0/1.25
Source(s): Annual Report 2022, page 31; Smithfield Foods, Inc. CDP Forests 2022.pdf, page 3, 12; Smithfield Sustainability Report 2022, page 9, 11, 28

Engagement, Monitoring & Traceability - Soy for Animal Feed
5/100
Supplier Engagement
0/1.25
Compliance monitoring & Traceability
0/3.25
Feed Innovation
0.25/0.5
Source(s): Environmental, Social and Governance Report 2022, page 44, 67; How Smithfield Foods creates environmental and business benefits through supply chain partnerships, page 6, 11, 24; Smithfield Foods, Inc. CDP Forests 2022.pdf, page 16; Smithfield Sustainability Report 2022, page 9, 31



Water Use & Scarcity

21/100

Water Use & Scarcity in Facilities
34/100
Monitoring Water Consumption & Withdrawals
0.49/0.75
Target to Reduce Water Consumption & Withdrawals
0.1/1
Disclosure & Performance of Water Risks in Facilities
1.1/3.25
Source(s): Environmental, Social and Governance Report 2022, page 75, 76, 77; Smithfield Foods, Inc. CDP Water Security 2022.pdf, page 6, 12, 13, 20, 21, 22; Smithfield Sustainability Report 2022, page 31, 74, 89

Water Use & Scarcity in Feed Farming
20/100
Supplier Engagement in Water Use in Feed Farming
1/2.5
Disclosure of Water Risks in Feed Farming
0/2.5
Source(s): Smithfield Code of Business Conduct and Ethics 2021, page 11; Smithfield Foods, Inc. CDP Water Security 2022.pdf, page 4, 6, 9, 15; Smithfield Sustainability Report 2022, page 4, 31

Water Use & Scarcity in Animal Farming
10/100
Supplier Engagement in Water Use in Animal Farming
0.5/3
Disclosure of Water Risks in Animal Farming
0/2
Source(s): Environmental, Social and Governance Report 2022, page 76; Smithfield Foods, Inc. CDP Water Security 2022.pdf, page 6



Waste & Pollution

23/100

Wastewater at Facilities
31/100
Disclosure & Targets for Wastewater Quality & Volume Discharged
0/1.5
Transparency on Water Pollution Risks
0.65/2
Performance on Wastewater Quality & Volume Discharged
0.9/1.5
Source(s): Environmental, Social and Governance Report 2022, page 41, 78; Smithfield Foods, Inc. CDP Water Security 2022.pdf, page 10, 22, 23; Smithfield Sustainability Report 2022, page 69

Nutrient Management in Feed Farming
24/100
Supplier Engagement in Nutrient Pollution Risks
0.6/4
Innovation to Improve Nutrient Management in Feed Farming
0.6/1
Source(s): Environmental, Social and Governance Report 2022, page 43, 77, 81; Smithfield Foods Announces Partnership with Anuvia‚Ñ¢ Plant Nutrients to Develop and Market Bio-Based Sustainable Fertilizer Products Webpage; Smithfield Foods Partners with Granular Insights to Give Grain Farmers in its Supply Chain the Digital Edge on Sustainability; Smithfield Sustainability Report 2022, page 31; Supply Chain Management Webpage

Manure Management in Animal Farming
13/100
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
0.25/2.25
Source(s): Environmental, Social and Governance Report 2022, page 6, 38, 40, 43, 75, 81; Global Water Tool; Smithfield Foods Announces Partnership with Anuvia‚Ñ¢ Plant Nutrients to Develop and Market Bio-Based Sustainable Fertilizer Products Webpage; Smithfield Sustainability Report 2022, page 29, 69, 91



Antibiotics

58/100

Policy on Antibiotics Use
69/100
Policy on Antibiotics Use
3.43/5
Source(s): Annual Report 2022, page 17; Environmental, Social and Governance Report 2022, page 70, 71, 72; Smithfield Antibiotics Use Policy Webpage; Smithfield Sustainability Report 2022, page 24, 25, 70

Disclosure of Quantity of Antibiotics Used
48/100
Disclosure of Quantity of Antibiotics Used
2.38/5
Source(s): Environmental, Social and Governance Report 2022, page 71, 104, 117; Smithfield Sustainability Report 2022, page 18, 25, 70



Animal Welfare

35/100

Animal Welfare Policy
38/100
Welfare Policy
1.4/2
Key Welfare Issues
0.5/3
Source(s): Animal Care Management Webpage; Environmental, Social and Governance Report 2022, page 67, 68, 69, 71, 72; Smithfield Animal Care Policy 2021, page 1; Smithfield Sustainability Report 2022, page 20, 21, 22, 23, 70, 71

Assurance & Certification
25/100
Auditing & Assurance by an Animal Welfare Organisation
0.98/4
Public Reporting on Welfare
0.25/1
Source(s): Smithfield Sustainability Report 2020, page 19; Smithfield Sustainability Report 2021, page 19, 101; Smithfield Sustainability Report 2022, page 21, 22, 71

Performance on Key Material Risks
44/100
Performance on Key Material Welfare Risks by Protein
2.2/5
Source(s): Environmental, Social and Governance Report 2022, page 51; Smithfield Sustainability Report 2022, page 21, 22, 23



Working Conditions

48/100

Human Rights
20/100
Strength of Policy
1/1
Due Diligence Process
0/3
Evidence of Remediation
0/1
Source(s): Environmental, Social and Governance Report 2022, page 87, 88; Smithfield Sustainability Report 2022, page 104, 105

Fair Working Conditions
54/100
Policy for Direct Operations
1.68/3
Monitoring & Discosure
1/2
Source(s): Environmental, Social and Governance Report 2022, page 19, 21, 22, 64, 87, 88, 104; Smithfield Supplier Code of Conduct Webpage; Smithfield Sustainability Report 2022, page 97, 106

Safety & Turnover Data
57/100
Committee representation of workers
0.6/2
Disclosure of safety and turnover data
2.25/3
Source(s): Environmental, Social and Governance Report 2022, page 88, 89, 90, 104, 115, 116; Smithfield Health & Safety Policy Webpage; Smithfield Sustainability Report 2022, page 49, 50, 100

Freedom of Association
61/100
Strength of Policies
1.6/3
Disclosure of Collective Bargaining Metrics
1.45/2
Source(s): Annual Report 2022, page 17; Environmental, Social and Governance Report 2022, page 86, 88, 104; Smithfield Supplier Code of Conduct Webpage; Smithfield Sustainability Report 2022, page 76, 104



Food Safety

73/100

Food Safety System
50/100
Certifications
2.25/3.5
Performance
0.25/1.5
Source(s): Environmental, Social and Governance Report 2022, page 6, 46, 47, 48, 51, 52, 54, 68; Smithfield Sustainability Report 2022, page 56, 57, 69, 70

Product Recalls & Market Bans
95/100
Product Recall Systems
2.75/3
Performance
2/2
Source(s): Environmental, Social and Governance Report 2022, page 54, 117; Smithfield Sustainability Report 2022, page 70



Sustainability Governance

35/100

Assessment of a Company's Sustainability Governance
35/100
Board Sustainability
1.25/2
Incentives & Policy Engagement
0/2.5
Innovation & Benchmarking
0.5/0.5
Source(s): Environmental, Social and Governance Report 2022, page 6, 15, 17, 24, 25, 26, 28, 30, 38, 43, 54, 55; Focusing on High-Quality Products Webpage; Leadership Webpage; Smithfield Sustainability Report 2022, page 61, 73



Alternative Proteins

35/100

Diversification of Products to Alternative Protein Sources
35/100
Existing product portfolio
0.25/2.5
Investing for future growth
1.5/2.5
Source(s): Environmental, Social and Governance Report 2022, page 37, 39; Focusing on High-Quality Products Webpage; Plant-Based Protein Portfolio Webpage

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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

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Grievance Mechanisms - Availability & Access
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Grievance Mechanisms - Effectiveness & Evaluation
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Grievance Mechanisms - Categories & Reporting
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Grievance Mechanisms - Channels for H&S and Worker Rights
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Grievance Mechanisms - Resolution Process
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Economic Incentives - Sick Pay Entitlement
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Economic Incentives - Other Economic Incentives
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Fair Working Conditions

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Distribution by Contract Type
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Oversight of Governance Structure
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Worker Representation

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Support Worker Representation - Internal & External Structures
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Support Worker Representation - Restrictions Under Law
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Support Worker Representation - Operations in China
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Support Worker Representation - Collective Bargaining
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Engage Workers on Industry Trends - Impact assessment on Employees
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Engage Workers on Industry Trends - Workforce Engagement
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Engage Workers on Industry Trends - Just Transition
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Workstream Information
YoY Performance:
Increased Disclosure glyph / arrow / up
Index Working Conditions Score:
48/100
Assessed Proteins:
Pork
Last Updated:
18 March 2024
2023 Resources
Phase 3 | Progress Report


Working Conditions Engagement Icons - Link Out

Waste & Pollution Engagement

Analysis Overview

Waste-Pollution-Radar
Risk Assessment Value Chain Coverage Risk Mitigation Circularity Company Engagement

Analysis Breakdown




Risk Assessment

Poor
Coverage of water quality risk assessment
Transparency and disclosure of water quality indicators
Recognition of nutrient pollution risk on biodiversity



Value Chain Coverage

Poor
Inclusion of upstream feed and livestock suppliers in risk assessment
Downstream use of manure by animal feed suppliers
Acknowledgment of regulatory risks
Transparency on non-compliance from suppliers



Risk Mitigation

Medium
Biogas generation and organic fertilisers from animal waste
Target-setting for water quality
Support to third-party suppliers



Circularity

Medium
Pilot projects around nutrient circularity
Disclosure of investment in circular solutions
Targets to increase share of manure under circular initiatives



Company Engagement

Good
Level of company engagement with the coalition

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