CDP Climate Change / CDP Forests Questionnaire (2022)

Unilever plc CDP Forests Questionnaire 2022 01 August 2022

Welcome to your CDP Forests Questionnaire 2022

F0. Introduction

F0.1

(F0.1) Give a general description of and introduction to your organization.

BACKGROUND

Unilever makes and sells more than 400+ brands in over 190 countries which are used by

some 3.4 billion consumers worldwide every day. Our brands include Knorr, Dove, Rexona,

Lipton, Hellmann’s, Omo, Lifebuoy and Ben & Jerry’s - amongst many others.

In 2021, our business was organised across three divisions: Beauty & Personal Care, Foods &

Refreshment and Home Care. Total turnover in 2021 was €52.4bn.

OUR PURPOSE

Unilever’s purpose is to make sustainable living commonplace which we believe is the best way

to deliver long-term sustainable growth. We put sustainable living at the heart of everything we

do, including our brands and products, our standards of behaviour and our partnerships which

drive transformational change across our value chain.

In June 2020, we released new commitments to fight climate change and protect nature as part

of our new integrated business strategy, the Unilever Compass which builds on the Unilever

Sustainable Living Plan, which came to an end in 2020. Some of our Unilever Compass

commitments include:

· Net zero emissions for all our products by 2039.

· A deforestation-free supply chain by 2023.

· A new Regenerative Agriculture Code for all our suppliers.

· Water stewardship programmes to 100 locations in water-stressed areas by 2030.

· Investing €1 billion in a new Climate & Nature Fund, which will be used by Unilever’s brands

over the next ten years to take meaningful and decisive action.

OUR REPORTING AND DISCLOSURE

Unilever’s primary report is our Annual Report & Accounts (ARA). In our ARA, we report

progress against our Unilever Compass commitments as well as a range of other non-financial

indicators. Our ARA also includes TCFD disclosures. We provide additional climate related

disclosure and commentary in the Planet & Society Hub on unilever.com.

ASSURANCE

Unilever plc CDP Forests Questionnaire 2022 01 August 2022

PricewaterhouseCoopers LLP (PwC) scope for their assurance work on selected Compass &

Environmental & Occupational Safety performance indicators can be found in the PwC Basis of

Preparation 2021 document in the Independent Assurance and metrics section on our website,

alongside their findings in the PwC Limited Assurance Statement for 2021.

DISCLAIMER

This CDP submission may contain forward-looking statements, including ‘forward-looking

statements’ within the meaning of the United States Private Securities Litigation Reform Act of

1995. Words such as ‘will’, ‘aim’, ‘expects’, ‘anticipates’, ‘intends’, ‘looks’, ‘believes’, ‘vision’, or

the negative of these terms and other similar expressions of future performance or results, and

their negatives, are intended to identify such forward-looking statements. These forward-

looking statements are based upon current expectations and assumptions regarding

anticipated developments and other factors affecting the Unilever Group (the ‘Group’). They are

not historical facts, nor are they guarantees of future performance. Because these forward-

looking statements involve risks and uncertainties, there are important factors that could cause

actual results to differ materially from those expressed or implied by these forward-looking

statements. These forward-looking statements speak only as of the date of this document.

Except as required by any applicable law or regulation, the Group expressly disclaims any

obligation or undertaking to release publicly any updates or revisions to any forward-looking

statements contained herein to reflect any change in the Group’s expectations with regard

thereto or any change in events, conditions or circumstances on which any such statement is

based.

F0.2

(F0.2) State the start and end date of the year for which you are reporting data.

Start Date

End Date

Reporting year

January 1, 2021

December 31, 2021

F0.3

(F0.3) Select the currency used for all financial information disclosed throughout your

response.

EUR

F0.4

(F0.4) Select the forest risk commodity(ies) that you are, or are not, disclosing on

(including any that are sources for your processed ingredients or manufactured

goods); and for each select the stages of the supply chain that best represents your

organization’s area of operation.

Commodity

Stage of the

Explanation if not disclosing

disclosure

value chain

Unilever plc CDP Forests Questionnaire 2022 01 August 2022

Timber

Disclosing

Manufacturing

products

Palm oil

Disclosing

Manufacturing

Cattle

Not disclosing

Manufacturing

We first assessed the proportion of meat products,

products

and then the sub-category of cattle products in our

portfolio. In doing so, we found that in 2018, beef by-

product accounted for around 0.18% of our

procurement volumes and was responsible for less

than 0.5% of our total turnover & so was not a

material forest risk. We did not submit a response

for Cattle products in our CDP 2021 submission &

are continuing with this approach for CDP 2022. Our

dependency on meat-based products is falling as

growing consumer demand for meat-free produ

ctsrises and is reflected in our Compass & portfolio

strategy. In 2018 we purchased the Vegetarian

Butcher which has grown in all 55 markets where it’s

available (as of 2021). We’re working with food-tech

specialists, ENOUGH, to develop new plant-based

products based on mycoprotein - from a process

that uses 93% less water, 97% less feed and 97%

less carbon than meat. We have a 3-year

partnership in place with the World Wildlife Fund

(WWF) to promote 50 plant-based foods through our

largest food brand, Knorr. We also assessed our

footprint relative to the total production of cattle in

Brazil and estimate that our footprint equated to less

than 0.01% of total cattle production from Brazil.

Given our footprint and our sourcing of beef by-

products compared with fresh beef cuts, our impact

and influence on the supply chain is limited. In the

future, we anticipate sourcing even less beef by-

product due to trends and meeting the preferences

of our consumers.

Soy

Disclosing

Manufacturing

Other -

This commodity is

Rubber

not produced,

sourced or used

by our

organization

Other -

Disclosing

Manufacturing

Cocoa

Other -

Not disclosing

Manufacturing

98% of Unilever’s forest-risk commodity exposure

Coffee

comes from Timber, Soy and Palm oil. Unilever

Unilever plc CDP Forests Questionnaire 2022 01 August 2022

sources a very small quantity of coffee for use in one

market. Its use is limited to the Refreshment

portfolio of our Foods & Refreshment division and

accounts for 0.4% of our total procurement volume.

F0.5

(F0.5) Are there any parts of your direct operations or supply chain that are not

included in your disclosure?

F0.6

(F0.6) Does your organization have an ISIN code or another unique identifier (e.g.,

Ticker, CUSIP, etc.?)

Indicate whether you are able to provide a unique identifier for

Provide your unique

your organization

identifier

Yes, an ISIN code

GB00B10RZP78

F1. Current state

F1.1

(F1.1) How does your organization produce, use or sell your disclosed

commodity(ies)?

Timber products

Activity

Using as input into product manufacturing

Buying manufactured products

Distributing/packaging

Form of commodity

Paper

Boards, plywood, engineered wood

Primary packaging

Secondary packaging

Tertiary packaging

Source

Trader/broker/commodity market

Contracted suppliers (processors)

Contracted suppliers (manufacturers)

Country/Area of origin

Argentina

Unilever plc CDP Forests Questionnaire 2022 01 August 2022

Australia

Brazil

Chile

Colombia

Ecuador

India

Indonesia

Mexico

Nigeria

Philippines

Thailand

Viet Nam

% of procurement spend

1-5%

Comment

Unilever purchases virgin paper and recycled fibre for use in in our paper and board

packaging. Unilever uses virgin fibre when safety regulations demand it, otherwise we

select the best quality material for the application for use in our food, home care and

beauty & personal care brands. For distributing/packaging, we source packaging from

contracted suppliers (both processors and manufacturers), globally.

Palm oil

Activity

Exporting/trading

Using as input into product manufacturing

Form of commodity

Crude palm oil (CPO)

Crude palm kernel oil (CPKO)

Palm oil derivatives

Palm kernel oil derivatives

Source

Smallholders

Single contracted producer

Multiple contracted producers

Trader/broker/commodity market

Contracted suppliers (processors)

Country/Area of origin

Brazil

Cambodia

Colombia

Costa Rica

Côte d'Ivoire

Ecuador

Unilever plc CDP Forests Questionnaire 2022 01 August 2022

Ghana

Guatemala

Honduras

Indonesia

Malaysia

Mexico

Nicaragua

Panama

Papua New Guinea

Solomon Islands

Thailand

% of procurement spend

6-10%

Comment

Unilever purchases palm oil, palm kernel oil and palm fractions and derivatives for use

in our food, home care and beauty & personal care brands. In 2021, we sourced palm

oil from 18 countries of origin, and 90% of our core volume was sustainably sourced via

a combination of RSPO Mass Balance, RSPO Segregated and RSPO Independent

Smallholder certificates. We establish the origin of our materials, to the location of the

palm oil mill and plantation through a supplier declaration, which is required under our

People and Nature Policy.We also have partnerships enabling traceability to over 17

million hectares of palm oil plantations and we are mapping over 20,000 smallholder

palm oil plots in a partnership with Meridia, commencing 2021. Our suppliers have

declared a list of over 1400 mills to which we trace our palm oil materials in 2021 that is

publicly available on our website.

Unilever Oleochemical Indonesia (UOI) facility in North Sumatra produces

oleochemicals that we use in our own beauty & personal care products, of which a small

volume gets sold externally.

Soy

Activity

Using as input into product manufacturing

Form of commodity

Soy bean oil

Source

Trader/broker/commodity market

Country/Area of origin

Argentina

Austria

Bolivia (Plurinational State of)

Brazil

Canada

Unilever plc CDP Forests Questionnaire 2022 01 August 2022

China

Croatia

Czechia

France

Germany

Greece

Hungary

Romania

Serbia

Ukraine

United States of America

% of procurement spend

<1%

Comment

Unilever purchases soy oil mainly for our dressings business for brands such as

Hellmann’s and Sir Kensington’s, which are part of our Foods & Refreshment division..

We mainly source soy oil for our dressings businesses. We to support the RTRS

through representation on the board and through place-based partnerships to drive up

the production of RTRS certified soy bean oils and protein.

Other - Cocoa

Activity

Using as input into product manufacturing

Form of commodity

Other, please specify

Cocoa

Source

Trader/broker/commodity market

Contracted suppliers (processors)

Contracted suppliers (manufacturers)

Country/Area of origin

Côte d'Ivoire

Ghana

Indonesia

% of procurement spend

<1%

Comment

Unilever purchases cocoa mainly for our ice cream business for brands such as

Magnum, Wall’s and Ben & Jerry’s.

Unilever plc CDP Forests Questionnaire 2022 01 August 2022

F1.2

(F1.2) Indicate the percentage of your organization’s revenue that was dependent on

your disclosed forest risk commodity(ies) in the reporting year.

% of revenue

Comment

dependent on

commodity

Timber

91-99%

The % of revenue dependent on each commodity is an approximation

products

based on annual turnover for our Beauty & Personal Care, Foods &

Refreshment and Home Care divisions. This is not based on actual

product-specific data and does not take into account the level of

inclusion or whether or not it is substitutable/one of a number of

sources. Each commodity is assessed based on revenue per division

and an approximate calculation (%) of brands within that division that

use paper and board. Paper and board is widely used across all

divisions in some form i.e. box packaging, so we have selected >90%

of revenue.

Palm oil

51-60%

The % of revenue dependent on each commodity is an approximation

based on annual turnover for our Beauty & Personal Care, Food &

Refreshments and Home Care categories. This is not based on actual

product specific data and does not take into account level of inclusion

or whether or not is substitutable/one of a number of sources.

Each commodity is assessed based on revenue per category and a

rough calculation (%) of brands within that category that use palm oil.

Palm oil is used in Beauty & Personal Care, Home Care and Food &

Refreshments. Based on this estimation, palm oil accounts for about

51-60% of revenue.

Soy

6-10%

The % of revenue dependent on each commodity is an approximation

based on annual turnover for our Beauty & Personal Care, Foods &

Refreshment and Home Care divisions. This is not based on actual

product specific data and does not take into account the level of

inclusion or whether or not it is substitutable/one of a number of

sources.

Each commodity is assessed based on revenue per division and an

approximate calculation (%) of brands within that division that use it.

Soy is only used in only a small amount of our Foods & Refreshment

portfolio, so the revenue is calculated as 6-10% of the total.

Other -

6-10%

The % of revenue dependent on each commodity is an approximation

Cocoa

based on annual turnover for our Beauty & Personal Care, Foods &

Refreshment and Home Care divisions. This is not based on actual

product specific data and does not take into account the level of

inclusion or whether or not it is substitutable/one of a number of

sources.

Unilever plc CDP Forests Questionnaire 2022 01 August 2022

Each commodity is assessed based on revenue per division and an

approximate calculation (%) of brands within that division that use it.

Cocoa is used by our Ice Cream portfolio and to a lesser extent in

Savoury products, so the revenue is calculated as 6-10 of the total.

F1.5

(F1.5) Does your organization collect production and/or consumption data for your

disclosed commodity(ies)?

Data availability/Disclosure

Timber products

Consumption data available, disclosing

Palm oil

Consumption data available, disclosing

Soy

Consumption data available, disclosing

Other - Cocoa

Consumption data available, disclosing

F1.5a

(F1.5a) Disclose your production and/or consumption figure, and the percentage of

commodity volumes verified as deforestation- and/or conversion-free.

Forest risk commodity

Timber products

Data type

Consumption data

Commodity production/ consumption volume

956,520

Metric for commodity production/ consumption volume

Other, please specify

metric tons

Data coverage

Full commodity production/consumption

Have any of your reported commodity volumes been verified as deforestation-

and/or conversion-free?

Yes

% of reported volume verified as deforestation- and/or conversion-free

92.9

Please explain

Unilever plc CDP Forests Questionnaire 2022 01 August 2022

In 2021 Unilever worked with an organisation with assurance expertise to develop a set

of independent verification protocols for deforestation free claims. One outcome of this

review process was to verify that the certification standards applied in the Paper and

Pulp sector were supportive of those claims while we also understand that further

enhancements are needed such as tier 2+ traceability. The 93% reported includes FSC

certified and FSC certified recycled (81.9%) and PEFC certified and recycled (11%).

The remaining 7.1% of our total timber consumption is either recycled board but not as

yet certified or is not certified. These volumes will be converted to certified by 2023.

Additionally, we are developing further tier2+ traceability.

Forest risk commodity

Palm oil

Data type

Consumption data

Commodity production/ consumption volume

902,449

Metric for commodity production/ consumption volume

Metric tons

Data coverage

Partial commodity production/consumption

Have any of your reported commodity volumes been verified as deforestation-

and/or conversion-free?

Yes

% of reported volume verified as deforestation- and/or conversion-free

Please explain

Figure covers all branded food and home and beauty & personal care product usage.

Unilever consumes 902,449 metric tons for core volumes. Core volumes includes all

volumes of palm oil and palm kernel oil, but excludes derivatives of palm fatty acid

distillates, which are by-products of the refining process, and tail ingredients. Tail

ingredients represent very small volumes in our products (2% of total annual volume)

and given our footprint and our sourcing of these by-products compared with palm oil,

palm kernel oil and their derivatives, our impact and influence on the supply chain is

limited. We are also reducing our consumption of these by-products from 2020. Due to

these reasons, by-products and tail ingredients are excluded, summing to around 14%

of the total volume we purchase annually.

Unilever is progressively moving our palm oil supply chain to areas of low risk for

deforestation. By the end of 2021 80% of our core palm oil volumes originated from

areas of lower risk for deforestation. However, we do not believe this is enough to

declare these volumes as deforestation-free. Instead, Unilever is making extensive

Unilever plc CDP Forests Questionnaire 2022 01 August 2022

changes transform our supply footprint, going beyond certification. We will verify the

deforestation free percentage of our transformed supply footprint. This will happen in

line with our 2023 target, using independent verification.

Forest risk commodity

Soy

Data type

Consumption data

Commodity production/ consumption volume

300,251

Metric for commodity production/ consumption volume

Other, please specify

tons soy oil (=*5 tons soy beans)

Data coverage

Full commodity production/consumption

Have any of your reported commodity volumes been verified as deforestation-

and/or conversion-free?

Yes

% of reported volume verified as deforestation- and/or conversion-free

Please explain

Unilever is progressively moving our soy oil supply chain to areas of low risk for

deforestation. By the end of 2021 93% of our soy oil volumes originated from areas of

lower risk for deforestation.

Once we have made this physical shift of our supply base, we will then verify the

deforestation free percentage. This will happen in line with our 2023 target and via the

use of independent verification.

Suppliers volumes with deforestation-free solution in place and a contract signed were

considered low risk. The 93% is the 2021 exit date percentage and it is given by the low

risk metric volumes divided by the total 2021 volumes.

Forest risk commodity

Other - Cocoa

Data type

Consumption data

Commodity production/ consumption volume

Unilever plc CDP Forests Questionnaire 2022 01 August 2022

50,939

Metric for commodity production/ consumption volume

Metric tons

Data coverage

Full commodity production/consumption

Have any of your reported commodity volumes been verified as deforestation-

and/or conversion-free?

Yes

% of reported volume verified as deforestation- and/or conversion-free

Please explain

Unilever is progressively moving our cocoa supply to areas of lower risk for

deforestation. In 2021, 60% of our cocoa volumes were bought using the Rainforest

Alliance Segregated certification standard including with polygon maps.

Independent verification of our results will happen in line with our 2023 target and via

the use of our independent verification protocol.

F1.5b

(F1.5b) For your disclosed commodity(ies), indicate the percentage of the

production/consumption volume sourced by national and/or sub-national jurisdiction

of origin.

Forest risk commodity

Palm oil

Country/Area of origin

Brazil

State or equivalent jurisdiction

Specify state/equivalent jurisdiction

Para

% of total production/consumption volume

0.5

Please explain

Our suppliers have declared that the origin of our palm oil is 18 countries, 79 regions

and 318 districts/municipalities.

Methods used to measure the % of total production or consumption: 3Keel identifies the

countries, regions, districts of origin, mill name, location and GPS details using the

Unilever plc CDP Forests Questionnaire 2022 01 August 2022

RSPO PalmTrace system and undertakes traceability surveys on behalf of Unilever

twice yearly. Palm oil mills are a proxy of the Fresh Fruit Bunch (FFB) supply shed as

FFB must be processed quickly, limiting the distance it can travel.

We are compiling a plantation/estate database associated with these mills which covers

more than 17 million hectares of oil palm concession areas in these districts /

municipalities. Our suppliers provide traceability information on RSPO certified and non-

certified volumes. This allows us to have visibility of all the mills in our supply chain to be

able to assess and manage risk. Our lists of more than 1400 mills and 150 refineries /

oleochemical plants / kernel crushing plants are publicly available on our website. In

Brazil, we source from Para region alone.

Forest risk commodity

Palm oil

Country/Area of origin

Cambodia

State or equivalent jurisdiction

Specify state/equivalent jurisdiction

Kaôh Kong

% of total production/consumption volume

0.07

Please explain

Our suppliers have declared that the origin of our palm oil is 18 countries, 79 regions

and 318 districts/municipalities.

Methods used to measure the % of total production or consumption: 3Keel identifies the

countries, regions, districts of origin, mill name, location and GPS details using the

RSPO PalmTrace system and undertakes traceability surveys on behalf of Unilever

twice yearly. Palm oil mills are a proxy of the Fresh Fruit Bunch (FFB) supply shed as

FFB must be processed quickly, limiting the distance it can travel. We are compiling a

plantation/estate database associated with these mills which covers more than 17

million hectares of oil palm concession areas in these districts / municipalities. Our

suppliers provide traceability information on RSPO certified and non-certified volumes.

This allows us to have visibility of all the mills in our supply chain to be able to assess

and manage risk. Our lists of more than 1400 mills and 150 refineries / oleochemical

plants / kernel crushing plants are publicly available on our website. In Cambodia, we

source from provinces Kaôh Kong and Krong Preah Sihanouk.

Forest risk commodity

Unilever plc CDP Forests Questionnaire 2022 01 August 2022

Palm oil

Country/Area of origin

Cambodia

State or equivalent jurisdiction

Specify state/equivalent jurisdiction

Krong Preah Sihanouk

% of total production/consumption volume

0.07

Please explain

Our suppliers have declared that the origin of our palm oil is 18 countries, 79 regions

and 3184 districts/municipalities.