Sustainable Development

Report

2019

INDEX

Letter from the Directors

Provital Do Care

Taking care is taking action:Social development(Co-create with partners, Inspire people, motivate teams)

Innovation and a sustainable and ethical supply chain(Combine nature and science, Believe in taking care, Deliver emotions, Inspire people)

Sustainable production (Care for the planet, Co-create with partners)

2

3

12

37

56

MANIFIESTO

We believe that taking care is taking action.

We take care when we act. Taking care is the force that moves us forward, and is also our commitment to people, communities and the planet. We care and we take action for them.

We care by combining nature and science to develop innovative sustainable products and assuring an ethical and sustainable supply chain.

We care by promoting the social development of all our stakeholders, meeting their needs and achieving a better place for everyone.

We care by sustainably producing our products using the most efficient processes and technologies.

And, because we take care, we implement ethical and sustainable action that allows all the beings on the planet to express and feel their diverse beauty in a better world.

ProvitalDo Care

1

LETTER FROM THE DIRECTOR

Ricard ArmengolManaging Director

T Proud of what we have achieved throughout these years and, above all, of how we have done this, always taking care of people and the planet.

Confident about our present, because of the strength of our company and our values and because of our important presence in the global cosmetic market, thanks to the fact that our goal is the success of our customers.

Excited about the future, because with our firm commitment to sustainability and innovation we know that we will get through these difficult times and emerge even stronger to continue growing in the coming years.

Thank you all for being here with us and for your strength in these difficult times.

his report describes the key events for Provital in 2019.

At the time of writing, we are coping with the COVID-19 pandemic, a

dramatic situation due to the loss of so many lives as well as the enormous social and economic impact it will have subsequently. Talking about what happened only a few months ago, when something like this seemed unimaginable, may appear somewhat irrelevant.

However, it is important to remember what our past life was like, because we will get it back and improve it in many ways over the coming months.

2019 saw Provital's 40th anniversary and Provital Polska's 15th anniversary. We celebrated these milestones, proud of our past, confident about our present and excited about our future.

2

ProvitalDo Care

PROVITAL DO CARE

Key Figures

500

6 3 2

48 31EXTRACTS ACTIVE INGREDIENTS COSMOS PRODUCTS

COMPANIES SALES OFFICESNEW ACTIVE INGREDIENTS

París

Madrid

Strio

ver™

Kera

scalp™

Hyd

rafe

nce™

Lünne ( Ger

man

y )

Poznan

São Paulo

Shanghai

Barcelona

Provital Cocoon Ideas incubator6

48

500

31

32

4

Every year, 500 million people come into contact with our products.

More than 3,000 customers

9001:2015 COSMOSCERTIFIED

EMEA

58%

AMERICA 3

2,8% A

PAC 9,2%

88 C

OU

NTR

IES.

WE A

RE GLOBAL

41 D

ISTR

IBU

TORS

58% EMEA

32,8% AMERICA

9,2% APAC

% OF PROVITAL GROUP SALES

}

88

COUNTRIES

41DISTRIBUTORS

5

EVOLUTION: NEW CORPORATE IMAGE

1979

1990

2004

2012

2020

S

6

15 YEARS OF PROVITAL POLSKA AND 40 YEARS OF PROVITAL

Dinner reception at Musée

Jacquemart-AndréParis, April 2019

Seminar and joint celebration party for the 15th anniversary of Provital Polska and the 40th anniversary of ProvitalPoznan, May 2019

Multinational celebration of 40 years of Provital in BarcelonaBarcelona, October 2019

40th Anniversary DinnerBangkok, November 2019

7

COMMITMENT TO SUSTAINABLE DEVELOPMENT

20072008

20112012

2019

20132014

20152016

20092010

20172018 · Award for good

practices in Occupational Risk Prevention (ORP)

· 1st art competition “Artistas Diversos”

· Participation in circular economy projects

· Opening of new, more accessible and efficient facilities

· 2nd art competition “Artistas Diversos”

· New sustainable development

policy

· Ethical and environmental

audits: ECOVADIS, SMETA & QIMA

· The UN continues to highlight the

project in Mexico

· Projects using stem cells as a renewable plant source

· New Wastewater Treatment Plant (WWTP)

· Creation of a Provital CSR

policy

· First CSR report

· Sustainable development projects:

BioDeVaTe & Mexico Sustainability (MXS)

· 10 years of CSRRecognition of our

commitment to CSR

· Alignment with the UN SDGs

· UEBT Members

·3rd art competition “Artistas Diversos”

8

SUSTAINABLE DEVELOPMENT POLICY

We promote the development of PROVITAL and all the stakeholders, increasing internal awareness and improving the customer's perception of our ethics and sustainability as a multinational group, ensuring a balance between economic growth, environmental care and social welfare.

In our goal to be a reference in our sector, we deploy this concept of sustainable development at all levels of the Provital group, in three key aspects:

· Sustainable production

· Innovation and a sustainable and ethical supply chain

· Social development

9

Branding videohttps://www.weareprovital.com/landing/templates/videos/update/corporate_long.mp4

Letter from the Directors

Provital Do Care

Taking care is taking action:

SUSTAINABLE DEVELOPMENT

Three key aspects based on the 17 United Nations Sustainable Development Goals

1. No poverty

2. Zero hunger

3. Good health and well-being

4. Quality education

5. Gender equality

6. Clean water and sanitation

7. Affordable and clean energy

8. Decent work and economic growth

9. Industry, innovation, and infrastructure

10. Reduced inequalities

11. Sustainable cities and communities

12. Responsible production and consumption

13. Climate action

14. Life below water

15. Life on land

16. Peace, justice, and strong institutions

17. Partnerships for achieving the goals

Obtain recognition that confirms our commitment (certifications, audits, awards, etc.)Increase our visibility as a sustainable company.

Sustainable production

Have efficient and sustainable facilities

Use new technologies and innovative processes

Improve environmental aspects: waste, water, energy, air, and soil

Invest in new social projects for access and benefit sharing (ABS)

Inspire the creation of new sustainable and circular economy products

Increase traceability in our supply chain

Improve social policies: equality, diversity, conciliation, etc.

Work with ethical and sustainable partners

Promote agreements with disability-sensitive companies

Increase the well-being and health of workers and society

Innovation and a sustainable and ethical supply chain

Social development

10

SUSTAINABLE DEVELOPMENT

Social development

Innovation and a sustainable and ethical supply chain

Sustainable production

Social development · Co-create with partners · Motivate teams

Combine nature and science · Believe in taking care · Deliver emotions · Inspire people

Care for the planet · Co-create with partners

11

Social development

Co-create with partners

Inspire people

Motivate teams

SOCIAL DEVELOPMENT

Staff, Customers, Distributors

and SuppliersCommunity, Society and

InstitutionsFight against world

poverty and discrimination

No

pove

rty

Zero

hun

ger

Goo

d he

alth

and

w

ell-

bein

g

Qua

lity

educ

atio

n

Gen

der

equa

lity

Clea

n w

ater

and

sa

nita

tion

Aff

orda

ble

and

clea

n en

ergy

Alignment with the SDGs

At PROVITAL we contribute to the social, labour, environmental and

economic improvement of our environment, taking direct action on

social aspects of the various stakeholders:

13

“Active participation in society to inspire people”

weareprovital.com

INSPIRING PEOPLE

Organised by Terrassa City Council (Barcelona), the "Nous Professionals" awards are aimed at promoting the entrepreneurial and innovative spirit of students doing vocational training or training and insertion programmes. We had the pleasure of presenting the second prize to the most innovative project, “Constant Fight”

Provital collaborated with Fresc Festival Sabadell 2019, a cultural festival that includes 28 shows divided into four categories: music, theatre, word, and family. This open-air festival was held in the gardens of the Espai Cultura Fundació 1859, in Sabadell (Barcelona).

Fresc Festival Sabadell 2019

14th edition of the “Nous Professionals” awards

15

SOCIAL DEVELOPMENT

We gave a seminar in which we explained some of our Corporate Social Responsibility projects. We talked about the art competition we organise in collaboration with Artistas Diversos, a project that promotes the social and professional inclusion of people with disabilities through art

Course on the implementa-tion of the Nagoya Proto-col in Cosmetics

Organised by CANIPEC (Mexican Association of the Cosmetics Industry)Mexico City, February 2019

Course on responsible consumption

Organised by Beauty Cluster BarcelonaBarcelona, June 2019

We had the pleasure of participating in the 7th Feria disCapacidad&Empleo held in Barcelona.

16

SOCIAL DEVELOPMENT

CEW FRANCE: “Journée de la Beauté“ - Presentation of our sustainability policyFrance, June 2019

2nd CSR/Sustainability Forum, organised by Beauty Cluster Barcelona (BCB)Barcelona, April 2019

We participated in the second edition of the corporate social responsibility and sustainability forum organised by Beauty Cluster Barcelona, on 25th April, 2019. Provital explained to attendees the importance of CSR and sustainability in its business strategy, and talked about different success stories, including our active ingredient Agascalm™, which preserves biodiversity and fosters employment among a community of women in Querétaro (Mexico), a project that has been highlighted by the UN on several occasions

17

Experience in ABS projectsDecember 2019

“We care for the most disadvantaged”

weareprovital.com

INSPIRING PEOPLE

For over nine years, we have been collaborating with Oxfam Intermón on a wide range of projects aimed at combating hunger and improving the living conditions of needy populations in different parts of the world.

For this reason, Oxfam Intermón has presented us with a video showing all the projects we have participated in, and which we would like to share in order to provide more details about some of our CSR actions.

Now, together with Aldeas Infantiles and its social project “Constructores del presente” (Builders of the Present), we continue to participate in social transformation towards a better world

More information at : https://youtu.be/P_VOmG-kFok

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Sustainable production

0%

20%

10%

30%

40%

50%

2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019

0€

11,000€

4,000€

2,000€

6,000€

8,000€

10,000€

7,30

8€

5,77

5€

7,71

3€

8,31

0€

8,05

5€

9,30

0€

10,7

85€

10,3

05€

9,87

0€

9,63

0€

3,87

4€WE CONTINUE TO COLLABORATE WITH ALDEAS INFANTILES.

Year after year, we have a high rate of participation in solidarity projects.

2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019

27% 32% 39% 49% 57% 47% 52% 50% 52% 46% 45%

EVOLUTION OF CONTRIBUTIONS €

EVOLUTION OF CONTRIBUTIONS %

21

CABELEGRIAWigs bringing smiles and self-esteem to cancer patients

Provital do Brasil collaborates with Cabelegria, a non-profit organisation founded in October 2013, that collects hair, makes wigs, and then distributes them free of charge to children and women diagnosed with diseases that cause hair loss, such as cancer.

Creating a healthy environment for the children who need it most

Provital Polska collaborates with SOS Children’s Villages International to support vulnerable families so that they can take proper care of their children.

Cosmetic Executive Women (CEW) Foundation

Provital France collaborates with the CEW Foundation, a non-profit organisation dedicated to helping women. In 2001, the Foundation launched the programme Cancer & Careers. This innovative programme is dedicated to empowering and educating people with cancer to thrive in their workplace, offering expert advice, interactive tools and educational events. Cancer & Careers aims to eliminate fear and uncertainty for people working with cancer.

COLLABORATIONS WITH NGOS

www.cabelegria.org

www.sos-childrensvillages.org

www.cew.org

22

ZHANG YUELIN OVERCOMING LIMITATIONS

Provital Shanghai decided to continue helping ZHANG Yuelin, an eight-year-old blind girl.

The girl was born healthy, but at the age of four she suffered a significant visual impairment that resulted in a complete loss of sight in both eyes.

Operations and hormone treatments are not covered by social security and her mother is the only source of income for the family.

In 2019, we helped with her pipa classes; the pipa is a traditional Chinese musical instrument.

PROVITAL DO CARE

23

“We collaborate with national and international organisations who see the world

and understand it like we do”

weareprovital.com

COLLABORATION WITH NATIONAL AND INTERNATIONAL ORGANISATIONS

COSMETIC VALLEY

UNITIS

THE BOTANICAL ALLIANCE

PROVITAL is a founding member of “The Botanical Alliance”, an association set up to lead a European research project of the highest importance for everyone involved in the processing and use of plants and botanical extracts, particularly professionals in the field of cosmetics and nutraceuticals.

Provital France SAS is a collaborating partner in the Cosmetic Valley competitive cluster, located in France, which incorporates the world’s leading companies in the cosmetic and perfume industry. These companies collaborate to boost the cluster’s role as a catalyst for innovation in the sector.

PROVITAL is a founding member of this European professional organisation, which since 2002 has united companies in the cosmetic ingredients sector.In discussions with official regulating bodies, this is the voice of the industries involved in natural cosmetic ingredients.

25

COLLABORATION WITH NATIONAL AND INTERNATIONAL ORGANISATIONS

PRUAB

IFSCC

BEAUTY CLUSTER PROVITAL is a recent member of Beauty Cluster Barcelona, an organisation made up of 200 companies that work to boost the growth and competitiveness of its value chain partners in the beauty sector.

It promotes innovation, internationalisation, training and business interconnection based on specific values: integrity, dynamism, openness, collaboration, and equity.

PROVITAL continues to place innovation at the heart of its business strategy and, with this in mind, it has signed an agreement with the UAB Research Park Private Foundation (PRUAB) to form part of the PRUAB Innovative Companies Committee.

PROVITAL is a benefactor of the International Federation of Societies of Cosmetic Chemists (IFSCC). The funds provided support high-quality cosmetic science education efforts around the world, and enable the IFSCC to recognise scientists who make a noteworthy contribution to cosmetic science.

26

Artistas Diversos (Diverse Artists) is a project that promotes the socio-professional inclusion of people with disabilities through art.

It offers the world free exhibitions showcasing the artistic expression of people with different disabilities, highlighting the value of their work; famous artists with disabilities included Beethoven, Goya, Van Gogh, Frida Kahlo, Cervantes, Mozart, and Helen Keller.

It serves as a meeting point that improves the quality of life of these artists.

This commitment to disability and diversity management is part of Provital's corporate culture and, as such, we maintain our collaboration agreement with the Artistas Diversos platform.

For more information:www.artistasdiversos.org

COLLABORATION WITH NATIONAL AND INTERNATIONAL ORGANISATIONS

27

“We care about people”

weareprovital.com

We adopt measures that facilitate the reconciliation of professional and personal lives to improve the quality of life of our employees, through various actions.

STAFF: SOCIAL BENEFITS

NEWS 2019

Gift voucher for the birth of a baby.

Contract with Refruiting, a company that delivers free fruit every week.

First step in a new Flexible Remuneration Plan.

First telecommuting trials.

Childcare voucher with tax advantages for employees with children up to 3 years old in day-care.

29

Annual training programme

Life insurance

Private medical insurance

Childcare voucher

‘Baby cheque’

Savings plan

Physiotherapy

Gift for 25 years with Provital

Subsidised catering

Flexible working hours

Fruit basket

Coffee and other drinks

Working days adapted to special situations

Profit sharing

PROVITAL GROUP GENDERS

PROVITAL GROUP NATIONALITIES

STAFF: DIVERSITY

Diversity charterWe remain committed to the Diversity Charter, which embodies the European Union Directive, and to continuing to contribute to the fulfilment of its objectives by fighting against discrimination

For more information: www.fundaciondiversidad.org

45% MEN

55% WOMEN

66% SPANISH

34% OTHER

55% 45%

Our facilities meet the accessibility criteria for people with disabilities and we adapt job positions according to specific needs

30

Working days adapted to special situations

Profit sharing

STAFF: ACCESS TO INFORMATIONTo promote the team's commitment, participation and integration we have several platforms for accessing the company's most important information

WEBSITE VITAL BO

ARD

EVENTS DAYS

P

ROVINEW

S

SES

SIO

NS

BULLETIN

COMPANY

OPEN

IN

FORM

ATIO

N

Our families join us to visit our workplace.

Corporate publication that is distributed to all staff, subsidiaries and distributors.

All employees are informed about the company’s development and future projects.

We have updated our website to make it more visual, intuitive, search-optimised and adapted to all platforms.

Corporate social Intranet to improve PROVITAL's internal communication.

A space where information on various specific or organisational issues is posted.

Events promoting direct interaction between the staff.

INFO

OPE

N D

AY

SW

EBSI

TE

VIT

AL

BULL

ETIN

BO

AR

D

CO

MPA

NY

EV

ENTS

PRO

VIN

EWS

INFO

RM

ATI

ON

SES

SIO

NS

31

STAFF: ACCESS TO INFORMATION

Improvements in internal management and communication for greater agility

Globalisation of the Vital intranet

Implementation of the new cooperation and teamwork system (TEAMS)

Expansion of our IT services for recording incidents

Implementation of the cloud system

32

STAFF: PROVIDAYWe celebrated a new PROVIDAY, this time in the heart of nature, and presented the company’s new strategy.

33

STAFF: SAFETY AND HYGIENE

Provital has provided the production and warehouse areas with several exoskeletons to improve working conditions.

These exoskeletons are light and comfortable to wear, and are designed to redistribute the effort between the workers and the machine, with the aim of reducing occupational risks, such as back pain and joint injuries caused by handling heavy loads.

This technology is also environmentally friendly, as it consumes no energy and does not need a battery.

Provital integrates exoskeletons and robots to improve employee working conditions as well as production and storage efficiency.

Provital has also incorporated two robotic arms in the production and warehouse areas to move carboys, to minimise load handling and to make the packaging and palleting process more efficient.

This technological incorporation is in line with Provital's Corporate Social Responsibility strategy with which we contribute to the social, employment, environmental and economic improvement of our surroundings.

34

INCIDENCE RATE2019

STAFF: ACCIDENT RATE

The accident rate for 2019 was 0

2000

3000

4000

1000

0

SECTORPROVITAL

SECTORPROVITAL

SECTORPROVITAL

-100%

-100%

-100%

SEVERITY RATE2019

0,50

0,75

1,00

0,25

0

FREQUENCY RATE2019

20

30

40

10

0

3,202,9

0.0

0.94

31.9

0.001

0.0

35

Sant Jordi is one of the most original celebrations in Catalonia and takes place in spring, on 23rd April.

It is a popular festival that brings together culture and romance, combining the celebration of World Book Day with the Catalan ‘lovers’ day’.

On this day, it is customary for couples to exchange gifts: the men receive a book and the women a rose.

However, it is increasingly common for both men and women to give each other books and roses.

This year, to celebrate Sant Jordi, books were delivered to Provital’s workers, and we collaborated with ARTISTAS DIVERSOS in the delivery of the book

“El caso de las joyas robadas” (The Case of the Stolen Jewels)

STAFF: TRADITIONS

36

Innovation and a

sustainable and ethical

supply chainCombine nature and science

Believe in taking care

Deliver emotions

Inspire people

INNOVATION AND A SUSTAINABLE SUPPLY CHAIN

Biodiversity conservationSustainable use of biodiversity

Fair and equitable sharing of benefits derived from the use of biodiversity

Socio-economic sustainability (production, financial, and market management)

Compliance with national and international regulations

Respect for the rights of actors involved in BioTrade activities

Clarity about land tenure, use, and access to natural resources and knowledge

Dec

ent w

ork

and

econ

omic

gro

wth

Indu

stry

, inn

ovat

ion,

an

d in

fras

truc

ture

Redu

ced

ineq

ualit

ies

Sust

aina

ble

citi

es a

nd

com

mun

itie

s

Alignment with SDGs

Ensure and promote an ethical and sustainable supply chain, taking into account biological

diversity, respect for ABS (Access and Benefit-Sharing) regulations, and proactive

application for the necessary permits, in alignment with the seven principles of BioTrade

38

"We inspire society"

weareprovital.com

INSPIRING PEOPLE

Seminar “Latests Trends in Cosmetics” Morocco, October 2019

Seminar “Tendencias” ( Trends) Barcelona, Casa Fuster, MayValencia, Las Arenas Hotel , SeptemberMadrid, Meliá Fénix Hotel , November2019

40

INSPIRING PEOPLE

Seminar “Nature science for beautiful life”Indonesia, May 2019

Seminar “Activos y tendencias para pro-ductos estrella" (Active Ingredients and Trends for Star Products)

Workshops in Colombia, Guatemala and Costa Rica, February 2019

Beauty toursTokyo, November 2019

Beauty toursNew York, July 2019

41

Provital has provided the production and warehouse areas with several exoskeletons to improve working conditions.

These exoskeletons are light and comfortable to wear, and are designed to redistribute the effort between the workers and the machine, with the aim of reducing occupational risks, such as back pain and joint injuries caused by handling heavy loads.

This technology is also environmentally friendly, as it consumes no energy and does not need a battery.

Fairs:

in-cosmetics Global (Paris), in-cosmetics Asia (Bangkok), in-cosmetics Korea (Seoul), in-cosmetics Latin America 2019 (Sao Paulo), Cosmetorium (Barcelona), HPCI Central and Eastern Europe (Warsaw), Cosmo Tech Expo (New Delhi), Cosmetic Business (Munich), CITE Japan (Yokohama), HPCI (Mumbai), PCHi (Guangzhou), Cosmetagora (Paris).

Seminars:

Seminar "Actives and trends for star products" in Colombia, Guatemala and Costa Rica. Seminar "Natural sciences for a more beautiful life" in Indonesia. Barcelona, Valencia and Madrid Workshops 2019. Seminar “the latest trends in cosmetics” in Morocco. Seminar "Sciences and Awareness Going Beyond Beauty" in Jakarta.

Provital has also incorporated two robotic arms in the production and warehouse areas to move carboys, to minimise load handling and to make the packaging and palleting process more efficient.

This technological incorporation is in line with Provital's Corporate Social Responsibility strategy with which we contribute to the social, employment, environmental and economic improvement of our surroundings.

INSPIRING PEOPLE

We participate in several trade fairs and seminars around the world

42

"We combine science and nature to create new projects""

weareprovital.com

INSPIRING PEOPLE

BioDeVaTe

Pilar ComasParc de les Olors

ioDeVaTe is a Provital PROJECT started in 2009, in partnership with Parc de les Olors (a sensory park) and farmers from the Vall de Tenes (a community 50 km from Barcelona), to obtain raw materials from native Mediterranean aromatic plants that are fully traceable, grown locally and organically using a sustainable cultivation system.

This project also helps to promote awareness of the region’s botanical diversity, through scheduled visits to the cultivation sites by schools and other relevant associations.

You can see the results at:https://youtu.be/QnEPIWBbkCc

BioDeVaTe on TV3

We were delighted to be able to show our BioDeVaTe project on Telenotícies, a news programme on Catalan television channel TV3. In this project we collaborate with farmers from Vall del Tenes to obtain fully-traceable, organically-grown aromatic plants, which provide the raw material for our active ingredients and extracts.

BioDeVaTe allows us to strengthen agricultural production from a socio-environmental perspective, and to maintain a sustainable and resilient supply chain in accordance with our policy to create products that respect both people and the planet.

B

45

Provital continues to collaborate with the project run by the association “Women and Environment”, as an example of activism for women's rights and the development of their full potential.

As part of this project, women from Querétaro (Mexico) work the land to produce organically grown medicinal plants, with cosmetic applications, that comply with the Nagoya Protocol.

WOMEN AND ENVIRONMENT: LA CARBONERA

We continue our work to empower women in Mexico

More information at : https://youtu.be/6YJb6FuzHlQ

46

The UN continues to highlight our Mexico project

We are proud that the UNDP (United Nations Development Programme) continues to highlight Provital and our project in Mexico as an example of an ABS (Access and Benefit-Sharing)

project that complies with the Convention on Biological Diversity and the Nagoya Protocol.

It can be found on page 198 of its report entitled: “ABS is Genetic Resources for Sustainable Development”.

https://abs-sustainabledevelopment.net/resource/abs-is-genetic-resources-for-sustainable-development/

47

ABS: ACCESS AND BENEFITS SHARING

The Nagoya Protocol: a step closer to a fairer and more equitable world

The Nagoya Protocol is part of the ABS regulation and aims to share the benefits derived from the use of genetic resources in a fair and equitable way, taking into account all rights over those resources and technologies, in order to contribute to the conservation of biodiversity

Watch this video to learn more about the Nagoya Protocol: https://youtu.be/jA9oDKyrVOA

48

HYDRAFENCE™ : A SUSTAINABLE PROJECT

This active ingredient, launched in 2019reflects Provital's new sustainability policy, inspired by the concept of developing more sustainable products based on the concept of a circular economy.

1

3

4

5

6

7

8910

11

13

14

15

1617

RESPONSIBLE PRODUCTION AND CONSUMPTIONWe adopt sustainable consumption and production patterns by using rice by-products.

ZERO HUNGERWe promote Up-Cycling initiatives with the aim of giving new uses to food waste

2

12

SUSTA

INAB

LE DEVELOPMEN

T GO

ALS

A project designed with key aspects of the 17 United Nations Sustainable Development Goals in mind.

1. No poverty3. Good health and well-being4. Quality education5. Gender equality6. Clean water and sanitation7. Affordable and clean energy8. Decent work and economic growth9. Industry, innovation, and infrastructure10. Reduced inequalities11. Sustainable cities and communities13. Climate action14. Life below water15. Life on land16. Peace, justice, and strong institutions17. Partnerships for achieving the goals

49

Fairs:

in-cosmetics Global (Paris), in-cosmetics Asia (Bangkok), in-cosmetics Korea (Seoul), in-cosmetics Latin America 2019 (Sao Paulo), Cosmetorium (Barcelona), HPCI Central and Eastern Europe (Warsaw), Cosmo Tech Expo (New Delhi), Cosmetic Business (Munich), CITE Japan (Yokohama), HPCI (Mumbai), PCHi (Guangzhou), Cosmetagora (Paris).

Seminars:

Seminar "Actives and trends for star products" in Colombia, Guatemala and Costa Rica. Seminar "Natural sciences for a more beautiful life" in Indonesia. Barcelona, Valencia and Madrid Workshops 2019. Seminar “the latest trends in cosmetics” in Morocco. Seminar "Sciences and Awareness Going Beyond Beauty" in Jakarta.

"We believe in the importance of doing things right, in an ethical and

responsible way"

weareprovital.com

More information: www.ethicalbiotrade.org

SUSTAINABILITY RISK

We assess the sustainability risk of our supply chainWe do this using the new tool for the risk assessment of each of our raw materials (RM) by supplier, and via a detailed plan of improvement actions for materials that present a higher sustainability risk

In recognition of the company's commitment to ethics and sustainable development, and after complying with all the obligations, the Union for Ethical BioTrade (UEBT) sent us a renewed membership certificate for 2019.

% RM assessed with respect to total ingredients (2019)

48% ASSESSED

52% PENDING ASSESSMEN

T

% RM assessed with respect to total purchase volume (2019)

33% PENDING ASSESSMEN

T

67% ASSESSED

51

48% 52%

33%67%

ISO 16128

Assessment of our products according to ISO 16128The natural and ecological content of all products supplied by Provital is evaluated according to ISO standard 16128

As general criteria, this evaluation is based on the 12 principles of green chemistry.

G R E E N

CHEMISTRY

1

2

3

4

5

6

7

8

9

10

11

12 Prev

entio

n

Min

imis

ed ri

sk o

f ch

emic

al a

ccid

ents

Economy of atoms

Less toxic chemical intermediates

Safer end products

Reduced use of

auxiliary substances

Red

uced

ene

rgy

con

sum

ptio

n

Use o

f ren

ewab

le

raw m

ater

ials

Reduced unnecessary

derivatisation

Developm

ent of

analytical technologies

for real-time m

onitoring

Use of catalysts

Design for degradation

100% ORGANIC BIO100%

NATURAL GUARANTEE

52

HALAL PRODUCTS

To continue to comply with sustainability and diversity criteria, we renewed our Halal certification in 2019

We comply with international HALAL regulations and offer our customers a wide range of HALAL-certified ingredients, thanks to our certified production facilities.

53

ECOVADIS January 2019: EcoVadis evaluated Provital's Social and Environmental Responsibility management system, and gave us a Silver rating. This important award endorses Provital's sustainability strategy and makes us proud as a natural cosmetic ingredients company committed to environmental protection and corporate social responsibility.

QIMA October 2019: QIMA conducted an environmental audit based on the ISO14001 standard and an ethics audit based on the SA8000 standard. Both of these standards cover the different aspects of good practices in business ethics, including the following areas: work, health and safety, environment, and ethics.

The audits were carried out with satisfactory results and the proposed improvement actions have been implemented.

INTERNEK June 2019: Intertek conducted an ethics and sustainability audit based on the four cornerstones of SMETA.

The audits were carried out with satisfactory results and the proposed improvement actions have been implemented.

ETHICAL AND ENVIRONMENTAL AUDITS

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Provital Cocoon S.L.U., a Provital company dedicated to the incubation and financing of startups in the field of biotechnology focused on active ingredients for cosmetics, and with the aim of incorporating its technology.

www.provitalcocoon.com

PROVITAL COCOON

From ideas to facts

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Sustainable Production

Care for the planet

Co-create with partners

1. No poverty3. Good health and well-being4. Quality education5. Gender equality6. Clean water and sanitation7. Affordable and clean energy8. Decent work and economic growth9. Industry, innovation, and infrastructure10. Reduced inequalities11. Sustainable cities and communities13. Climate action14. Life below water15. Life on land16. Peace, justice, and strong institutions17. Partnerships for achieving the goals

INNOVATION AND A SUSTAINABLE SUPPLY CHAIN

Guarantee sustainable consumption and production patterns

Adopt measures to combat climate change and its effects

Conserve and sustainably use oceans, seas, and marine resources for sustainable

developmentSustainably manage forests, combat desertification, halt and reverse land

degradation, and halt biodiversity lossPromote just, peaceful and inclusive

societies Revitalise the Global Partnership for

Sustainable Development

Resp

onsi

ble

prod

ucti

on

and

cons

umpt

ion

Clim

ate

acti

on

Life

bel

ow w

ater

Life

on

land

Peac

e, ju

stic

e, a

nd

stro

ng in

stit

utio

ns

Part

ners

hips

for

achi

evin

g th

e go

als

Alignment with SDGs

Another of our objectives is to minimise any pollution resulting from the group's activity, by promoting the responsible use of resources and

raising awareness among staff.

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“We take care of the planet by minimising resource consumption”

“We take care of the planet by minimising resource consumption”

weareprovital.com

Indicators of resources needed and waste generated in the manufacturing of 1 kg of product at Provital's facilities

GREATER SUSTAINABILITY AND EFFICIENCY

New, more sustainable, efficient facilities enable year-on-year improvement of environmental indicators

698g

0,036 l.

Corporate video: youtu.be/yBSoDYSGEss

CO2

Gas Oil

0,82kWhElectricity

220 grWaste

82%Evaluated

5,31 l.Water

(1)

(1) Preliminary data

1 Kg

Consumption of resources and waste generated for 1 kg of manufactured product

59

As general criteria, this evaluation is based on the 12 principles of green chemistry.

REDUCED WATER CONSUMPTION

Due to improvements we have made, the new facilities and the new production processes we have implemented, over the last 6 years we have reduced water consumption per kg produced by more than 40%.

CUMULATIVE ANNUAL VARIATION M3 WATER CONSUMPTION PER KG MANUFACTURED

EVOLUTION OF LITRES OF WATER CONSUMED PER KG MANUFACTURED

0%

-13%

-25%

-38%

-50%

0%

-13%

-25%

-38%

-50%

2014 2015 2016 2017 2018 2019

2014

2015

2016

2017

20182019

-18% -12% -33% -48% -38% -40%

6.957.34

5.77

4.93

5.41 5.31

5.31l.Water

consumption for 1 kg of

manufactured product

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REDUCED ENERGY CONSUMPTION

Thanks to the improvements we have made, our new facilities, and the new production processes we have implemented, we have reduced our energy consumption by 30% with respect to kgs produced

1 Kg

0.82 kwh

0.036 liters

2019201820172016 -4.0%

-14.7%-21.0%-31.0%

201920182017 -18.20%

-23.6%-25.4%

Cumulative annual variation kWh electricity consumption with respect to kgs manufactured

Cumulative annual variation kWh Gas Oil consumption with respect to kgs manufactured

Energy

Renewable 100%

2015

0.700 1.200

2016 2017 2018 2019

2019

1.121Kwh 1.076Kwh 0.961Kwh 0.900Kwh 0.819Kwh

2019

0.700 1.2000.700 1.2000.700 1.2000.700 1.200

0.020 0.048

2016 2017 2018 2019

0.048 litros 0.039 litros 0.037 litros 0.036 litros0.020 0.0480.020 0.0480.020 0.048

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“We take care of the planet by co-creating new solutions with our

partners”

weareprovital.com

WASTEWATER TREATMENT

We have improved management with increased external support and monitoring.

We have implemented technological improvements that allow a higher performance of the facilities.

During 2019 we continue to monitor the wastewater treatment and dehydration of biological sludge, for the correct operation and management of the WWTP.

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INDUSTRIAL SYMBIOSIS

Provital management systems

WASTE SEGREGATION IN THE CANTEEN

We initiated the pilot project for the collection of organic and plastic waste generated in industry canteens, in collaboration with Barberà del Vallès City Council

INDUSTRIAL SYMBIOSIS

AGENT /NEGOTIATOR

MANAGER

TRANSPORT COMPANYMANUFACTURER

DISTRIBUTION

CONSUMPTION, USE, REUSE, REPAIR

COLLECTEDREC

YCLED

Paper

Plastic

Organic

Other

CIR

CULA

R ECONOMY

RAW MATERIALS

QHSEQualityHealthSafetyEnvironment

(A-/N-)

(T-)(P-)(E-)

DES

IGN

PRODUCTION

AND REPROCESSIN

G

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WASTE MANAGEMENT

Taking the circular economy and sustainable development as our starting point, we have improved our waste management to achieve the maximum possible value.

1 Kg

0,22Kg 82% EVALUATED

2012 2013 2014 2015 2016

2017

201

8

2019

0,22

0,230,25

0,29

0,22

0,16

0,18

0,22

kg of waste per 1 kg produced

Progress of waste recovery efforts

2009 2010 2011 2012 2013 2014 2015 2016

74%

82%

74%

85%

80%

79%

82%

67%

0%

23%

45%

68%

90%

> 70

% o

f o

ur waste is managed in line w

ith the concept of the circular econ

omy

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