Second-Party Opinion Download

Sustainalytics is of the opinion that the Barry Callebaut Sustainability Bond Framework is robust, credible and impactful, and aligns with the Sustainability Bond Guidelines 2018. This assessment is based on the following:

USE OF PROCEEDS

The eligible category for the use of proceeds is aligned with those recognized by both the Green Bond Principles (GBP) and Social Bond Principles (SBP). While the framework focuses on financing operational expenditures, Sustainalytics considers the purchase of responsibly sourced raw materials and financing for farmer support programmes to have positive environmental or social impacts and to advance the UN Sustainable Development Goals 1, 8, 12, 13 and 15.

PROJECT EVALUATION/SELECTION

Barry Callebaut’s internal process of evaluating and selecting projects is aligned with market practice. Barry Callebaut’s Corporate Governance, Sourcing, Treasury, and Corporate Communications departments are responsible for project selection and evaluation.

MANAGEMENT OF PROCEEDS

Aligned with market practice, Barry Callebaut’s Treasury department will track the use of proceeds for eligible projects. Pending full allocation, proceeds may be temporarily held in Barry Callebaut’s treasury liquidity portfolio, in cash or other short-term and liquid instruments or used to pay back a portion of its outstanding indebtedness.

REPORTING

Barry Callebaut intends to report on allocation of proceeds and on impact in its Forever Chocolate progress reports and Cocoa Horizon reports on an annual basis until full allocation. Regarding impact, Barry Callebaut is committed to reporting on the percentage of sustainably sourced cocoa, the number of cocoa farmers lifted out of poverty, the number of cocoa farmers who have access to coaching, inputs such as tools and seedlings, or finance and the productivity improvement per hectare of these farmers. In Sustainalytics’ view, reporting on these metrics is in line with market practice.