Nestlé Assessment Checklist: Farming Practices What Does Nestlé Expect .

Nestlé Assessment Checklist: Farming Practices "What does Nestlé expect from (its) farmers" Section Nutrient & Pest and Disease control Management # 23 Topic / Item Questions [guidance and additional information in ()] Yes No n/a Comments Rating (0-4) Agrochemical application and Is the equipment for the application appropriate? approriate material / equipment for their use Is the agrochemicals (fertilizers and crop protection) application equipment in good state of maintenance? ( e.g. visual check, check maintenance records and calibration certificates where applicable) Is nutrient management and application plan based on agronomic parameters? (informed decision making) 24 Nutrient management and application plan Is soil analysis conducted on a regular basis? if yes, how often (frequency)? Does the farmer receive technical support from an agronomist? Does the farm recycle as fertiliser animal manure or other in-house source of organic matter like compost ? 25 26 Agrochemicals packaging and labelling if yes, explain Are crop protection materials kept in their original packaging with label? Are all containers labelled? Are the principles of integrated pest management (IPM i.e. prevention, Principles of integrated pest monitoring, intervention) known and applied ? management (IPM i.e. prevention, Is there evidence of "preventive" and "monitoring" activities (e.g. pest monitoring, intervention) trap, pheromone confusion, etc.)? if yes, explain if yes, explain Preserving Natural Capital Is the farm located in a water stressed area? 27 If yes, which water source does the farmer use? Water usage on farm, especially in water stressed areas Are actions taken to decrease or optimise water usage? Is the overall water usage on the farm measured? Protection of surface and Is there clear evidence of pollution of surface and underground water? underground water from pollution (farm's effluents, chemicals etc. ) and waste water management Is there any relevant national, regional or local legislation that needs to be adhered to? Is any water analysis or monitoring conducted? (for water used on the farm) Version Water 6 March 2016 28 COPYRIGHT 2016, NESTEC S.A own well, community water, underground water etc. if yes, explain which if yes, explain how if yes, explain if yes, explain if yes, how often and which parameters? 5

Protection of surface and underground water from pollution and waste water management Section Water # Topic / Item Nestlé Assessment Checklist: Farming Practices "What does Nestlé expect from (its) farmers" Questions [guidance and additional information in ()] 28 Is the run-off water from the yard managed? Yes No n/a Comments Rating (0-4) if yes, explain Are waste waters from the farm, manure and other farms effluents managed? Is there a plan to prevent contamination of water ways when applying organic fertilisation? if yes, explain Is any part of the water recycled? if yes, for which purpose is it used and is it tested? if yes, how? Is irrigation used? Rotation, flood etc. If yes, which system is used? 29 Irrigation Are licenses required to extract water for irrigation? (check license - does the farmer have the license) Are there methods in place to control and calculate the quantity of water applied for irrigation? Do water quality assessments regularly take place? 30 For annual crops is crop rotation applied and based on agronomic parameters? Is crop rotation being practiced? (except for corn & grassland) Is it based on agronomic parameters? (disease mgt and nutrient depletion) if yes, explain if yes, how often? explain Is there evidence of soil erosion on the farmland? Soil 31 Soil erosion Conservation of biodiversity, including protected or endangered native flora and fauna 32 Do farmers use trees or other vegetation as natural barriers (buffer strips) at edges of water sources (rivers, lake, etc)? (to reduce run-off and erosion) Are there actions taken to minimise soil compaction? (check) if yes, explain Has the biodiversity within the farm area been assessed? Is there any evidence of protected or endangered native flora and fauna? Are there any practices in place to enhance or maintain biodiversity? (e.g. buffer zones with natural vegetation) Is there a local legislation relating to de/re-forestation? Does the farmer comply with legislation? if yes, explain if yes, explain if yes, explain if yes, explain how Are there any maps of the farm area allowing comparison between now and pre-2008? Biodiversity & Deforestation and protection of high conservation Version 6 March value areas 2016 33 Cultivated fields converted from natural forest, natural grassland, peatland natural wetlands, water COPYRIGHT 2016, NESTEC S.A 6

Nestlé Assessment Checklist: Farming Practices "What does Nestlé expect from (its) farmers" Biodiversity & Section Deforestation and protection of high conservation value areas # Topic / Item Cultivated fields converted from natural forest, natural grassland, peatland natural wetlands, water 33 stewardship livelihoods or high conservation value area after specific cut off dates Questions [guidance and additional information in ()] Yes No n/a Comments Rating (0-4) Have any current agricultural surfaces been converted from primary forst, natural grassland, peatland or high conservation value areas since 2008? Is there any peatland under agricultural usage? Is there any potential HCV area on the farmland? (drop down) Does the farmer demonstrate its protection? Verify whether there is supporting evidence of protection What is the result of the latest audit by relevant authorities? If yes, since when? HCV 1 Concentrations of biological diversity including endemic species, and rare, threatened or endangered species, that are significant explain at global, regional or national levels. e.g. blacklisted Has the farmer been requested to make improvements by authorities and, if yes, have they been implemented? Are there local legal requirements regarding emission of green house gases in farming? Greenhouse gas emissions and carbon cycle 34 Climate change Are greenhouse gas emissions controlled and monitored against local targets (when existing)? if yes, how? Does the farmer process organic waste to produce organic fertilizers? 35 Use of renewable energy Does the farm use solar energy, roof water harvesting or any other renewable energy sources? Dispose of agrochemical containers How does the farmer dispose of agrochemical containers and product and product leftovers leftovers? (e.g. collected, burned, buried) Do agrochemical vendors collect empty containers? Waste Mgt 36 Does the farmer triple rinse and break the empty containers? (in order that they cannot be used for other purposes) What happens with the rinsing water? Animal Health and Welfare Skills and training Version 6 March 2016 37 Is there evidence of sufficient skills and experience and training to Do the farmer and other personnel safeguard the welfare of the animals in their care? responsible for animals have Is there documented evidence of trainings? sufficient skills, experience and training to safeguard the welfare of (appropriate to size and nature of farm) the animals in their care? Is there other evidence of understanding of animal welfare? (i.e. asking rather then seeing) COPYRIGHT 2016, NESTEC S.A if yes, explain 7

Nestlé Assessment Checklist: Farming Practices "What does Nestlé expect from (its) farmers" Section Breeding # Topic / Item 38 Animals of robust breeds suited to local conditions. They must not be cloned or genetically modified and should not be over-selected for production at the expense of health and welfare. Questions [guidance and additional information in ()] Do the animals seem well suited/adapted to the farming system and location? (type, breed) Is the farmer using cloned or genetically modified animals (GMO)? Is there evidence of animal welfare problems associated with breed selection? (e.g. high growth rate, broiler lameness, beef caesarians) Comments Rating (0-4) if no, explain (type, breed) if yes, explain (type, breed) if yes, explain bought in forage / fodder, home grown/own production, bought in cereals etc., bought in compound feed, other Where does the farmer get feed from 39 Yes No n/a Does the farmer buy any feed and feed additivies from non-registered Animal feed obtained from reliable, suppliers? (check evidences) secure and traceable sources Are feed and feed additivies traceable? Does the farmer ensure freedom from hunger? Feeding Animals should have access to sufficient, appropriate feed and water to maintain health and vigour and avoid prolonged hunger, malnutrition and thirst. Is stored feed protected from weather? if no, explain Is stored feed protected from vermin? if no, explain Is there appropriate pest control in the feed storage? 40 Obtaining and maintaining animal feed of appropriate quality Is the cleaning of feed storage adequate? (appropriate to size and nature of farming operations) if no, explain if no, explain Is feed stored longterm or is there a rapid turnover of stored feed? Feed quality: Is there evidence of poor feed quality? How does the farmer monitor and verify feed quality? 41 Do all animals have access to sufficient water and feed, without All animals have access to feed and inappropriate competition? (at all time) water appropriate to their needs Are the animals in good physical condition? if yes, explain lab testing, visual / organoleptic checks, supplier testing, none if no, explain if no, explain (accordance to age etc.) 42 Version 6 March 2016 Performance enhancers (growth promotors, production enhancers, hormones) Is there a legal status for the use of performance enhancers? if yes, which? Are performance enhancers used? COPYRIGHT 2016, NESTEC S.A 8

Nestlé Assessment Checklist: Farming Practices "What does Nestlé expect from (its) farmers" Section # Topic / Item Questions [guidance and additional information in ()] Yes No n/a Comments Rating (0-4) Does the farmer comply with legal & industry standard norms? (whichever provides the greater protection) What is the max. stocking density per m2/kg/ha? Which housing / production system is used? 43 Housing and Husbandry Suitable physical environment is provided for all animals Which bedding material is used? if no, explain Is space adequate? Animals should be kept in an environment that provides the conditions and facilities needed for health, comfort 44 and normal behaviour including movement, rest and social behaviour. Methods of husbandry and handling should 45 minimise fear and distress. Is the bedding material of good quality? Management of air quality, temperature, humidity and noise Did you observe any physical structures which might cause severe injuries to animals? if yes, explain Is the environment satisfactory? (temperature, air quality, noise and humidity) if no, explain Does the farmer monitor environmental conditions? (appropriate to the farming system) Is there protection of extrem conditions? Do animals remain in the same group while on farm? Management of social grouping of animals to allow positive social behaviour and minimise injury, distress and chronic fear if no, explain Does the farmer take action to reduce mixing? if no, explain if no, explain if yes, explain Is there evidence of aggressive behaviour or injuries? What kind of environmental enrichments are provided? 46 47 Version 6 March 2016 Appropriate handling of animals Maximising farm biosecurity How do animals react when you enter the farm? (evidence of panic or extrem reaction to human presence?) Is there evidence of deliberate cruel or inappropriate treatment of animals? Are appropriate facilities available for the storage of disposal of dead animals? Are there facilities for isolating sick from healthy animals? Arre there biosecurity controls in place for incoming vehicles and personnel? COPYRIGHT 2016, NESTEC S.A if yes, explain if yes, explain if yes, explain 9

Nestlé Assessment Checklist: Farming Practices "What does Nestlé expect from (its) farmers" Section # 48 Health Animals should be 49 bred and managed to maintain health and physical fitness, avoiding pain, injury and disease wherever possible and treating them promptly when they occur. 50 Topic / Item Questions [guidance and additional information in ()] Are there preventive measures in place to reduce the incidence of Husbandry systems and practices to illness? (e.g. vaccination) prevent the occurrence of diseases and minimizing the use of veterinary Are practices in place to prevent illness and promote health? (e.g. cleaning, manure management, hoof trimming, regular inspection, drugs isolation of sick animals) Does the farmer have access to veterinary advice in the use of animal medicines? Is there evidence that the farmer is using veterinary drugs in compliance Appropriate use of veterinary drugs witht the veterinary prescription? (records) and legal compliance Are antibiotics used as growth promoters? Yes No n/a Comments Rating (0-4) if yes, explain if yes, explain if yes, which? Does the farmer ensure compliance with withdrawal periods? Is there an animal health plan? Is it up to date? Was it produced in consultation with the farm veterinarian? Animal health plan and appropriate Is there evidence that sick or injured animals are not prompt and treatment of sick animals appropriately treated with veterinary advise if needed? if yes, explain Are appropriate facilities available to treat sick and injured animals? Where treatment is not feasible and suffering is unavoidable are sick and injured animals euthanased promptly y an appropriate methof? 51 Avoidance of painful procedures (such as castration) Are painful procedures conducted on the farm other than for therapeutical reasons? (e.g. tail docking, dehorning, disbudding, castration) Where painful procdures are conducted do they use anaesthetic? if yes, which? Is post-operative analgesia provided? Transport Appropriate loading and unloading Does the farmer have appropriate loading and unloading facilities for facilities for moving animals onto and moving animals onto and off vehicles? 52 off vehicles What are the arrangements for catching and transferring poultry onto transport vehicles? Only animals fit to travel should be Does the farmer have data for catching damages and transport injuries? transported, and the number and If so, which incidence of damage is recored? length of journeys (e.g. %, nr. of injured/damaged animals vs. total transported animals) should be Livestock transporter / farmer ensure minimised. the welfare of animals during Version Procedures 6 March for2016 53 COPYRIGHT 2016, NESTEC S.A transport loading, 10

Transport Only animals fit to travel should be transported, and the number and lengthSection of journeys should be minimised. Procedures for loading, transporting and unloading should safeguard welfare. Nestlé Assessment Checklist: Farming Practices "What does Nestlé expect from (its) farmers" # 53 Topic / Item Questions [guidance and additional information in ()] Livestock transporter / farmer ensure Does the livestock transporter ensure that he meets regulatory the welfare of animals during requirements when available or else is adequate? (e.g. space by animal) transport Does the livestock transporter ensure that protection from extreme temperatures or other adverse weather conditions is provided and that water and feed are made available when required? (Note that the risk of death in transit from heat stress is significant, particularly in humid conditions.) Yes No n/a Comments Rating (0-4) explain Are there facilities and protocols for dealing humanely with animals that have been injured during transport? 54 Slaughtering Are lairage facilities available to cater for the expected volume of animals, to protect them from adverse weather conditions, to enable ante mortem animal health and welfare inspection and to avoid mixing of arriving groups? Is there evidence of excessive excitement or stress during preslaughter How does the slaughterhouse handling or of handling and transport injury? protect the welfare of animals from What protocol does the slaughterhouse have to protect animal welfare in unloading through to the point of the event of a prolonged line stoppage? slaughter? For mammals: do facilities permit animals to walk on the level or on ramps with low gradient and good footing? if yes, explain Are handling facilities in place for smooth, low stress movement of animals without the use of sticks and goads? Animals should be treated humanely before and during slaughter, including by stunning before bleeding. Is there evidence that sticks and goads are used? For poultry: are birds unloaded and transferred to the point of slaughter gently? Are animals stunned before bleeding? Was stunning effective? (was it possible to obtain?) 55 Stunning If not stunned, what facilities are in place to minimise stress? Is stunning material maintained? Are backup stunning operators available? 56 Version 6 March 2016 Animal health and welfare Is animal health and welfare information recorded by the information recorded by the slaughterhouse? slaughterhouse and available to the Is it available to the farmer? farmer COPYRIGHT 2016, NESTEC S.A 11

Nestlé Assessment Checklist: Farming Practices "What does Nestlé expect from (its) farmers" Section # Topic / Item Questions [guidance and additional information in ()] Yes No n/a Comments Rating (0-4) Is there evidence that employees, who are members of trade unions or participating in their activities, are discriminated against or adverse