Flour Mills of Nigeria Plc (FMN), Nigeria’s leading Food and Agro-allied Group and owner of the iconic brand ‘Golden Penny’ has released its 2021/2022 Sustainability Report.
The report titled ‘Building a Sustainable Future, Scaling Impact’, provides viable insights on how the Group has been impactfully and transformatively driving food self-sufficiency in Nigeria while developing local content.
The Group’s latest report describes its performance in relation to stated sustainability goals for the 2021/22 reporting period. FMN established its sustainability activities and commitments utilizing four key strategic pillars called FMN ‘Tropos’ – Governance, Social, Financial, and Environmental factors. On the Group’s Governance commitment, the leadership of the Company entrenched adherence to best practices and principles. In respect of its social commitment, the Company was very mindful of the Group’s impact in the areas of diversity and inclusion, labor and working conditions, occupational health & safety, and customer health & safety.
FMN’s Financial Commitments address the economic value created for local communities across Nigeria and progressively across the continent while the organization’s environmental commitment highlights the Group activities in actively reducing the negative impacts of its operations on the environment. Key environmental elements like Greenhouse gas (GHG) emissions, water consumption, land use &ecological sensitivity, and Solid waste were duly analyzed and reported.
As a responsible organization that is committed to sustainable development, FMN has developed and implemented a comprehensive sustainability strategy that is aligned with the United Nations Sustainable Development Goals (SDGs) and core ESG domains of Governance, Planet, People, and Prosperity as well as the Nigeria Exchange Group’s (NGX) Sustainability Disclosure Guidelines.
Over the last 3 years, the Group has recorded increases in its economic value generated, distributed, and retained, an attribute that increased from N706.7 billion in FY 21 to N1.108 trillion in FY 22.
The Group’s investment in developing local content through procurement and backward integration continues to increase. During the reporting year, the total amount paid to suppliers rose from N552.5 billion in 2021 to N649.9 billion.
During the reporting year, FMN partnered with World Connect in funding the education and empowerment of students across different states in Nigeria. Various students received grants for a variety of entrepreneurship and vocational skills.
Following FMN’s effective supply chain strategies, the Group received the Sustainability, Enterprise, and Responsibility Awards (SERAS) for the best company in supply chain management during the 20/21 Financial year.
The Group recycled 2,068 MT and 780 MT of packaging materials across its, Morpack Lagos and Kano offices respectively and as a testament to its commitment to environmental compliance, 6 sites within the Group renewed their Environmental Audit Reports (EAR) during the financial year.
During the reporting year, FMN obtained ISO 27001 Information Security Management System (ISMS) certification making the Group the First indigenous FMCG organization in Nigeria to have obtained the certification.
In a customer satisfaction survey carried out in FY 21/22 on the quality of our flour products, 97% of FMN’s customers were satisfied with the quality of the products, with 80% rating the products either as excellent or as very good.
FMN did not receive any fine or penalty for noncompliance with established product safety and quality regulations and standards agency within the reporting year.
The group through FMAN (Flour Milling Association of Nigeria) recorded a significant increase of 251% in the number of wheat farmers during the financial year, and a new record for the highest yield of wheat from a female farmer was also recorded.
There was the continuous expansion of operational sites and capacity to support the development of Nigeria’s food and agro-allied sector and foster shared value creation.
Also, responsible Farm-To-Table practices highlighted the Group’s investment in product quality and process innovation.
Commenting on the Report, Mr. Boye Olusanya, the Group’s Managing Director, said: “Our consistency in developing the Group’s sustainability report is a testament to our commitment toward running a transparent and people driven business. As we create value for our stakeholders and investors, it has become a key imperative for now and in the future to deepen our commitment toward local content development as we understand that sustainable growth is driven by the principle of self-sufficiency and sustenance”.
Flour Mills of Nigeria Plc conducts its business operations in a way that guarantees the sustainability of the natural ecosystems while preserving them for the benefit of the present and future generations.