Reducing and Recycling of Waste and Byproducts

The Kikkoman Group has been striving to reduce, to reuse and to recycle waste and byproducts, such as soy sauce cake and oil, fruit juice residue, and okara (bean curd refuse), and other waste (such as sludge) through policies that target improvements in the yield ratio and the manufacturing process. The Group has set the following objectives focusing on waste reduction, in the Medium-term Environmental Preservation Goals FY2016-2018, although achieving the 99.6% waste and byproducts recycling rate in domestic and overseas manufacturing companies in fiscal 2015:

[Objectives of Medium-term Environmental Preservation Goals FY 2016-18]

1

To keep the waste generation per unit of production at the domestic and major overseas manufacturing divisions comparing with the level of the previous fiscal year or below.

2

To keep the waste generation per unit of production at the domestic sales and back-office divisions comparing with the level of the previous fiscal year or below.

In FY 2016, the Kikkoman Group achieved the following:

1

The waste generation per unit of production at the domestic and major overseas manufacturing divisions were 0.0335t/t, 4.4% higher than the FY 2015 level (0.0321t/t), and the Group did not achieve the objective.

2

The waste generation per unit of production at the domestic sales and back-office divisions were 330t, 3.1% higher than the FY 2015 levels (320t), and the Group did not achieve the objective.

Individual activities for reducing and recycling waste and byproducts generation are compiled in the Kikkoman Group Environmental Preservation Activities Case Book.

The Kikkoman Group will continuously strive to further reducing and recycling of waste and byproducts.

Animal feed made from byproduct (soy sauce cake), generated in soy sauce manufacturing

Animal feed made from byproduct (soy sauce cake), generated in soy sauce manufacturing

Cows eating the animal feed (soy sauce cake)

Cows eating the animal feed (soy sauce cake)

Fertilizer made from sludge generated at wastewater treatment facilities

Fertilizer made from sludge generated at wastewater treatment facilities

Strawberries cultivated using the fertilizer

Strawberries cultivated using the fertilizer