AI Content Chat (Beta) logo

73 SUSTAINABILITY RESPONSIBLE SOURCING VANILLA We seek to increase transparency and traceability within our most complicated and sensitive supply chains, such as vanilla, which we use as a fragrance in products across our portfolio. In fiscal 2021, we completed the second year of a pilot program in which our Responsible Sourcing team and Aveda used blockchain technology to trace our Madagascan vanilla supply chain from harvest through production. Using digital ID cards, unique identification codes via a QR reader, and mobile phones, product and producer information was recorded on a blockchain, forming a traceable chain of custody. In September 2021, Aveda launched a consumer facing website experience to explain blockchain and why it matters, as well as show the journey of their blockchain vanilla from Madagascar to France to Minnesota via a mapping tool. MICA Mica is used in some cosmetics to provide a pearlescent effect. We continue to engage with stakeholders in India to address the risk of child labor in the mica supply chain. For example, since 2005, we have partnered with the Kailash Satyarthi Children’s Foundation (KSCF). KSCF works to eliminate child labor in India by partnering with local communities to develop proactive and sustainable solutions, including through the creation of Bal Mitra Grams or Child Friendly Villages. In fiscal 2021, our work with KSCF pivoted in response to the devastating impact of COVID-19 within India, allowing resources to be redirected to meet the immediate needs of children and families impacted by the pandemic. Read more on page 49. RESPONSIBLE SOURCING OF FOREST COMMODITIES Our No Deforestation, No Peat, No Exploitation (NDPE) Policy explicitly outlines our expectations for our raw material suppliers regarding no deforestation and no conversion. The policy is based on criteria from The Accountability Framework , a set of common norms and guidance for establishing, implementing, and monitoring ethical supply chain commitments in agriculture and forestry. We have begun a due diligence process to ensure compliance with the policy, in addition to conducting key commodity supplier assessments. These assessments will further inform commodity-specific action plans for specific ingredients. In fiscal 2021, we published our Palm Action Plan . In addition to maintaining forestry standards for our manufactured products, we have a goal calling for 100% of our forest-based fiber packaging cartons to be FSC-certified by the end of calendar year 2025. Learn more on page 87. Our brands also support environmental causes, including a commitment to help safeguard the health of forests for future generations. For example, Origins has long supported environmental nonprofit organizations that support tree planting efforts, help restore ecosystems, benefit local communities, and fight climate change. Read more on page 51. For more information about our assessment of risk and response to forest-based commodities, please read our response to the CDP Forests Questionnaire.

Estee Lauder Companies Sustainability Report - Page 74 Estee Lauder Companies Sustainability Report Page 73 Page 75