July 12, 2020


Zilor's Biorigin publishes 7th sustainability report



Zilor - Bioriginpublishes its 7th sustainability reportwithresults of 2018/2019 and 2019/2020 crops.


Zilor/ Biorigin's highlights in the last biennium:

1. There is 9.2% growth in the amount of crushed sugarcane when comparing the 2018/2019 and 2019/2020 harvests, achieving an increase in sugar production (+18.1%) and ethanol production (+5.3%) and in electric energy exports (+12.2%).

2. In the 2019/2020 crop, 511,000 MWh of electricity were exported, enough clean energy to light up a city with more than 500,000 inhabitants for a year.

3. There is 13% less water relative consumption (m3/ tonne of crushed cane) in 2019/2020 crop compared to 2018/2019 crop.

4. In the last two years, it invested BRL3.6 million in restoration programmes and planted more than 332,000 seedlings, reforesting 195.4 hectares.

5. The company held almost 140,000 hours of training for employees, mainly for the development of leadership skills, the strengthening of safety culture and operational excellence.

6. In the 2019/2020 harvest, there was an 81% reduction in the rate of accidents with lost time compared to the 2017/2018 harvest.

7. It has invested more than BRL8 million in social projects in the communities, impacting around 800 students from the Brazilian cities of Lençóis Paulista, Macatuba and Quatá.

8. Net revenue grew by about 15% between the two harvests, reflecting the gains in efficiency and productivity achieved from the various projects of operational excellence, technological development and risk management.

One of the main producers of sugar, electricity, ethanol and natural ingredients in Brazilsince 1946, Zilor has been transforming itself every crop year. Sustainability is part of its DNA, from the cultivation of sugarcane to the final product, as well as the pursuit for productivity, efficiency, and innovation.

The 7th edition of Zilor's Sustainability Report shows results that renew the organisational culture, reinforcing values such as integrity, safety, and the accomplishment ability of their teams. In the last two-year period, the company has evolved in all aspects that increase the business competitiveness and profitability.

With solid governance, efficient risk management, and qualified professionals who are aware of their responsibility, Zilor and Biorigin have matured the management systems and successfully concluded the company's financial restructuring, with important results that confirm the effectiveness of their strategy.

In the last two-year period, Zilor achieved expressive productivity and efficiency rates. The agricultural area increased its productivity, and the milling of sugarcane increased by 9.2% in the 2019/2020 crop. This growth was reflected in 18.1% higher volume of sugar and 5.3% higher volume of ethanol produced, and 12.2% of electricity exported, in comparison with the previous period. The total production was 889,000tonnes of sugar, 1,034,000 cubic meters of ethanol, 965,000 MWh of clean electric energy, and with Biorigin produced 82,800 tonnes of natural ingredients.

These results were achieved with the support of the Agricultural Partners, responsible for 70% of Zilor's sugarcane cultivation area. The Agricultural Partnerships, a pioneering model implemented by Zilor in operation for more than 20 years, allows partners to be responsible for the cultivation and harvesting of sugarcane in part of Zilor's own areas or leased by the company, which contribute even more to the generation of jobs and income in the regions where they operate.

One of the highlights of the company's performance model in the last two-year period was the Bonsucro certification of 13 Agricultural Partners. As a result, they now have the second largest certified cultivated area in the world, located at São José unit (Macatuba-SP), according to the international entity and main certification for the sugar-energy sector that guarantees the social and environmental responsibility of sugarcane producers, required by customers in Brazil and abroad.

Another highlight is the 81% reduction in the frequency of accidents resulting in accident leave, which reflects the investments made in leadership training, and the strengthening of management systems. It also demonstrates the company's commitment to safety in their activities to achieve the objective of zero accident inthe units.

Biorigin, Zilor's business unit, is relevant to the company's strategic diversification. The unit produces natural ingredients to enhance flavour, increase conservation and add nutritional features. It provides tastier and healthier foods to the population, and nutritionally enriching diets that improve health, performance and care for farm animals and pets.

One of Biorigin's differentials is the traceability of the entire supply chain, starting with the raw material used in the production of yeast by Zilor itself to the final product.

In addition to the highlights in the production volume, of 82.8 tonnes of natural ingredients, the achievement of ISO14001 certification for the Environmental Management System also demonstrates the business unit's commitment to its entire production chain.