Together with Our Local Communities
(Community Involvement /
　Development and Social Dialogue)

Sustainability

• Sustainability Management
  • Message from the President
  • The Nippon Soda Group's Sustainability Management
  • Value Creation Model
  • Six Types of Capital for Value Creation
  • Toward a Sustainable Society
  • Responses to Climate Change Issues (Information Disclosure Based on the TCFD Recommendations)
  • Human Capital
  • Promotion of CSR Management
  • FY 2024 CSR Activity Policy and Targets of the Nippon Soda Group
  • CSR Activity Policy for FY 2024
  • Medium-Term CSR Activity Targets (FY2024-2026)
• CSR Activities to Improve Corporate Value
  • Agriculture
  • Healthcare
  • Environment
  • ICT
  • Initiatives for the Next Generation
• CSR Activities to Protect Corporate Value
  • Environmental Protection
  • Process Safety and Disaster Prevention/BCP
  • Occupational Safety and Health
  • Logistics Safety and Quality Assurance
  • Chemicals and Product Safety
• Stakeholder Engagement
  • Together with Our Customers (Consumer Issues)
  • Together with Our Shareholders and Investors
  • Together with Our Business Partners (Fair Operating Practices)
  • Together with Our Employees (Human Rights and Labor Practices)
  • Together with Our Local Communities (Community Involvement / Development and Social Dialogue)
• Corporate Governance /
  Compliance /
  Risk Management
  • Corporate Governance
  • Compliance
  • Risk Management
• Third-Party Verification
• CSR Activities at Plants
• Stakeholder Dialogue
• CSR Report (until 2019)
• Guidelines

To coexist with our local communities as a corporate citizen and ensure our sustainable development, at the Nippon Soda Group we proactively participate in community activities, exchange opinions with community stakeholders, and engage in an array of social contribution activities. In addition, through dialogue with local communities, we aim to further our understanding of their needs and values regarding the environment, safety, and health, and put our findings to good use to ensure better business activities.

Basic Policy

• Based on the concept of contributing to the sustainable development of society through business activities, promote CSR activities from the viewpoints of contributing to resolving global environmental issues, a harmonious relationship with local communities, and contributing to the development of local communities.
• Develop good relationships with local residents through various activities that meet the needs of local communities and that are designed and implemented by each business site and Group company.

Harmonious Relationship with Local Communities

Contribution to local economies and local employment

Nippon Soda works to enhance local economies and create opportunities for local employment.
At our nationwide manufacturing plants, we purchase packaging materials and reagents from local companies to contribute to the regional economy.
Furthermore, through the provision of stable employment at our nationwide worksites, we are contributing to the creation of employment opportunities in our local communities. Moreover, to ensure healthy work-life balance and enhance job satisfaction for our employees, we regularly communicate with labor unions to ensure working conditions are in line with current trends. Based on this policy, our standard minimum wage continues to be above the legal minimum wage in all areas we conduct business, and we are contributing to raising income levels in the regions in which we operate.

Comparison of the standard minimum wage to the local minimum wage in the year ended March 2024

Site	Location (Prefecture)	Local minimum wage (Yen/hr)	Our Company’s standard minimum wage* (Yen/hr)	Comparison with the minimum wage （%）
Head Office	Tokyo	1,113	1.245	111.9
Odawara Research Center	Kanagawa	1,112	1.245	112.0
Chiba Research Center	Chiba	1,026	1,242	121.1
Nihongi Plant	Niigata	931	1,242	133.5
Takaoka Plant	Toyama	948	1,242	131.1
Mizushima Plant	Okayama	932	1,242	133.3
Chiba Plant	Chiba	1,026	1,242	121.1

• * Standard minimum wages for the Company were calculated based on the starting salary (same for men and women) for those joining the Company at the age of 18 in the manufacturing and non-manufacturing groups. Wages have been rounded down to the nearest yen.

Participation in local cleaning activities

In order to fulfill our role and responsibility as a corporate citizen, we regularly carry out local cleaning activities around our worksites. We also actively participate in local cleaning activities in tandem with local communities, such as through eco-walks and cleanup campaigns.

Number of community cleanup activities

	FY 2020	FY 2021	FY 2022	FY 2023
Nihongi Plant	2	1	2	2
Takaoka Plant	2	2	2	2
Mizushima Plant	1	1	1	1
Chiba Plant & Chiba Research Center	4	4	4	3
Odawara Research Center	1	1	2	2

Social Dialogue with Local Communities

Communication activities at major worksites

Nippon Soda holds local gatherings and regularly hosts tours of plants and research centers for residents in areas around its worksites are located in order to provide information on CSR activities and exchange views and comments.

External communication events at major sites (Frequency)

	Site	Local gatherings	Site tours	RC Committee regional dialogue of the Japan Chemical Industry Association	Other
FY 2021	Nihongi Plant	3	2	0	7
	Takaoka Plant	0	6	0	60
	Mizushima Plant	0	0	0	22
	Chiba Plant	0	0	0	2
	Odawara Research Center	0	0	0	2
	Chiba Research Center	0	5	0	0
FY 2022	Nihongi Plant	0	2	0	10
	Takaoka Plant	0	0	1	74
	Mizushima Plant	0	0	0	19
	Chiba Plant	0	0	1	41
	Odawara Research Center	0	4	0	3
	Chiba Research Center	0	3	0	0
FY 2023	Nihongi Plant	2	2	0	11
	Takaoka Plant	5	17	2	101
	Mizushima Plant	0	0	1	20
	Chiba Plant	0	0	1	29
	Odawara Research Center	0	15	0	6
	Chiba Research Center	0	0	0	0
FY 2024	Nihongi Plant	2	1	0	15
	Takaoka Plant	6	17	0	110
	Mizushima Plant	3	0	1	19
	Chiba Plant	0	0	2	30
	Odawara Research Center (Odawara area)	2	37	0	6
	Odawara Research Center (Chiba area)	0	0	0	0

Dissemination of information on CSR activities

The Nippon Soda Group disseminates information on its CSR activities in the following ways:
Anyone can read about our CSR activities in our Integrated Report as well as in the ESG Data Book on our corporate website. Also, we submit an implementation report and plan to the Japan Chemical Industry Association, and announce the report and plan in dialogue with local communities and other settings. Each of our worksites provides information on our activities through regular tours and other gatherings.

Dialogue with local residents

Regular gatherings are held at our worksites to give us an opportunity to hear the opinions of local residents.

External communication

The Nihongi Plant conducts environmental monitoring in cooperation with five residents living near the plant, and the Takaoka Plant does the same with twelve residents in its vicinity. In FY 2024, we were provided with information on six incidents, dealt with the situations properly, explained our response to those who provided the information, and gained their understanding.

Major Social Contribution Activities of Nippon Soda

Aiming to build harmonious relationships with local communities, Nippon Soda conducts a range of social contribution activities that contribute to their sustainable development, such as employee-led local cleaning activities.

Participation in local events

FY 2024
Site	Name of local event	Date	Summary	Number of participants
Nihongi Plant	Itabashi Neighborhood Association Spring Festival	April 17, 2023	Shrine ritual	1
	Fujisawa Neighborhood Association Spring Festival	April 17, 2023	Shrine ritual	4
	Eco-Walk	April 18, 2023	Litter picking in Nakago Ward	51 plant employees(including partner companies)
	Midori no Hane Community Chest	June 1, 2023	Fundraising by Nakago Junior High School students outside the plant's main gate	13 students and 2 guides
	Nakago Junior High School grade 2 plant tour	July 4, 2023	Parent and child plant tour	25 students, 25 guardians, 3 guides, 1 Satomaru member
	Fujisawa Neighborhood Association plant tour/environmental gathering	July 4, 2023	Hosted before the Fujisawa area environmental gathering	10
	Science Festival (Myoko City)	July 29, 2023	Scientific experiments, etc., at Waku Waku Land Arai	Many (unknown)
	Plant tours for families of Nippon Soda employees	July 31, 2023	Plant tours and chemical experiments, etc., for families of Nippon Soda employees	56 (eligible employees and families)
	Itabashi Neighborhood Association Autumn Festival	August 23, 2023	Shrine ritual	1
	Fujisawa Neighborhood Association Autumn Festival	August 24, 2023	Shrine ritual, kagura dance, portable shrine parade	5
	Nihongi Station Railway Festival	September 16, 2023	Hosted event at Nihongi Station	2
	Eco-Walk	October 17, 2023	Litter picking in Nakago Ward	57 plant employees(including partner companies)
	Nakago rice tasting event	October 17, 2023	Hosted meeting on the future of agriculture in Nakago	Distributed 200 sample onigiri (rice balls)
	Red Feather Community Chest fundraising	October 26, 2023	Fundraising by Nakago Elementary School students outside the plant's main gate	18 students and 2 guides
	Nakago rice tasting and sales event (2nd)	November 30, 2023	Hosted meeting on the future of agriculture in Nakago	Sample onigiri (rice balls) and sales
	Nakago Ward New Year celebration	January 6, 2024	Attended as a guest the new year celebration hosted by the town development association	Plant manager
Takaoka Plant	Traffic safety guidance on the street	May 11, 2023	Traffic safety guidance for plant surroundings and nearby roads	24
	Maintenance of environment around the plant	June 14, 2023	Environmental maintenance for plant surroundings and nearby roads	199
	Traffic safety guidance on the street	September 26, 2023	Traffic safety guidance for plant surroundings and nearby roads	24
	Maintenance of environment around the plant	October 27, 2023	Environmental maintenance for plant surroundings and nearby roads	157
	Nisso "Thanking Local Residents" event	November 11, 2023	Plant tour, chemistry experiments for children, panel displays	170
	Meeting with environmental monitors	November 20, 2023	Exchange of opinions with environmental monitors	8
	Meeting with local residents(four local neighborhood associations)	November 29 and 30,December 4 and 7, 2023	Exchange of opinions with local residents	38
Mizushima Plant	Takashima cherry blossom viewing	April 2, 2023	Gathering	1
	Utouma Kanahama cherry blossom viewing	April 8, 2023	Gathering	1
	Honjo Elementary School area ground golf competition	May 13, 2023	Ground golf competition	1
	Simultaneous cleaning of Takashima Road	May 23, 2023	Maintenance of environment around Plant 2	15
	Shionasu Neighborhood Association Bon Dance Festival	August 11, 2023	Bon dance festival	1
	Utouma Kanahama Neighborhood Association Bon Dance Festival	August 12, 2023	Bon dance festival	1
	Takashima Neighborhood Association Bon Dance Festival	August 13, 2023	Bon dance festival	1
	Shionasu Shrine Autumn Festival	October 29, 2023	Grand festival	1
	Kisshoin lo-inari Grand Festival	November 11, 2023	Grand festival	1
	Honjo Area Mochi Pounding Event	December 10, 2023	Mochi pounding event	1
	Responsible Care Okayama Area 13th regional discussion	February 8, 2024	Regional discussion	3
	Utouma Kanahama Neighborhood Association friendship cherry blossom viewing	March 30, 2024	Friendship cherry blossom viewing	1
Chiba Plant	Goi Rinkai Festival		Local residents coming together at Ichihara Ryokuchi Park	Cancelled
	Wakamiya Hachiman Shrine Grand Festival	July 16, 2023	Wakamiya Hachiman Shrine Grand Festival	1
	Yoro Shrine Summer Grand Festival		Yoro Shrine Summer Grand Festival	Cancelled
	Dezu Bon Dance Festival		Dezu-cho Association Bon Dance Festival	Cancelled
	Kashi Bon Dance Festival		Kashi-cho Association Bon Dance Festival	Cancelled
	wasaki Bon Dance Festival		lwasaki Bon Dance Festival at Ryokuchi Sports Park	Cancelled
	Tamasaki Summer Festival		Summer festival at the plaza in front of the Tamasaki Community Building	Cancelled
	Matsugashima Summer Festival		Matsugashima Town Council Summer Festival	Cancelled
	Kazusa Ichihara Kokufu Festival	September 30, 2023	Local residents coming together at Kazusa Sarashina Park	3
	Omiya Shrine Autumn Festival	November 1, 2023	Autumn festival at Omiya Shrine	1
	Industrial Complex Marriage Event	November 4, 2023	Marriage event at the Brick & Wood Club	1
	Omiya Shrine Saitan Festival	January 1, 2024	Saitan Festival at Omiya Shrine	1
	Kashi Fuki Inari Shrine New Year Event	January 1, 2024	Fuki Inari Shrine New Year event at Kashi Community Center	1
	Omiya Shrine Setsubun Festival	February 3, 2024	Mamemaki ritual at Omiya Shrine	1
	lwasaki Inari Shrine Annual Spring Festival	March 3, 2024	Annual spring festival at lwasaki Inari Shrine	1
	Kashi Fuki Inari Shrine Festival	March 10, 2024	Kashi Fuki Inari Shrine festival at Kashi Community Center	1
	Dezu Town Council Spring Festival	March 10, 2024	Spring festival at Yakumo Shrine	Held exclusively by shrine employees(no employee participation)
	Omiya Shrine Spring Festival	March 27, 2024	Spring festival at Omiya Shrine	1
	Volunteer Support Program	June 14, 2023	Cleanup alongside National Route 16	Cancelled due to rain
		September 13, 2023		40
		November 8, 2023		50
		February 14, 2024		45
Odawara Research Center	Local community cleanup	June 6, 2023	Cleanup of roads near Odawara Research Center	17
	Local community cleanup	November 1, 2023	Cleanup of roads near Odawara Research Center	18
Chiba Research Center	Volunteer Support Program	June 14, 2023	Cleanup alongside National Route 16	Cancelled due to rain
		September 13, 2023		Included in the number of people reported by the Chiba Plant
		November 8, 2023		Included in the number of people reported by the Chiba Plant
		February 14, 2024		Included in the number of people reported by the Chiba Plant

Each worksite is engaged in a range of activities in line with regional needs, and strives to build sound relationships with their communities.

Local community cleanup
(Odawara Research Center, June 6, 2023)

Environmental maintenance for plant surroundings
(Takaoka Plant, June 14, 2023)

Plant tour/environmental gathering
(Fujisawa Neighborhood Association)
(Nihongi Plant, July 4, 2023)

Plant tour
(Nakago Junior High School grade 2)
(Nihongi Plant, July 4, 2023)

Science Festival
(Nihongi Plant, July 29, 2023)

Volunteer support
(Chiba Plant and Chiba Research Center,
September 13, 2023)

Eco-walk
(Nihongi Plant, October 17, 2023)

Environmental maintenance for plant
surroundings
(Takaoka Plant, October 27, 2023)

“Thanking Local Residents” event
(Takaoka Plant, November 11, 2023)

Investing in Our Local Communities

With a desire to contribute to sustainable agriculture and regional development alongside our communities, we donated ¥30 million (using the corporate hometown tax system) to the citrus fruit industry and projects tackling issues in the industry in Uwajima City in Ehime Prefecture, one of Japan’s leading citrus-producing regions.
In Uwajima City, the lack of successors among citrus farmers is becoming a serious issue, and so we are working to acquire and develop successors by offering a comprehensive range of support to new farmers from both inside and outside the prefecture, assisting in everything from their training to their independence. Our donations will be used for the creation of development programs at the Mikan School, which was set up by JA Ehime Minami, and in the Uwajima Citrus Farmer Successor Development Project, which is working to improve environments in facilities that are used to train new farmer candidates.
Moreover, as an agrochemical manufacturer, we also offer support for the creation of educational manuals on agrochemical usage methods. In addition to having new farmers of the future further their understanding of Nippon Soda and agrochemicals as they learn about correct agrochemical usage and safety management, by having farmers share information on actual usage conditions and issues, we are using the information to discover new needs and for product development.
Our aim is to create a virtuous cycle that connects investment in local communities to the improvement of corporate value. In doing so, we will aim for the sustainable development of our local communities.

Community Connections through the Echigo TOKImeki Railway

In February 2020, Nippon Soda celebrated the 100th anniversary of the Company’s founding. As one of our commemorative projects, in 2016 we teamed up with the Echigo TOKImeki Railway in Niigata Prefecture to decorate trains running along the Myoko-Haneuma Line between Naoetsu Station and Myoko Kogen Station.
The trains are wrapped using designs from students at Nakago Junior High School. Moreover, in July 2024, we acquired the naming rights for Nihongi Station (Joetsu City, Niigata Prefecture) on the Myoko-Haneuma Line, giving it the alternative name Nippon Soda Mae. While aiming to build even closer relations with locals for the next 100 years, we will contribute to the development of our local communities and develop alongside them.

Employee Volunteering

At Nippon Soda, in support of employees’ social contribution activities, and to promote their participation in volunteer activities, we have introduced a new volunteer leave system in which employees can use up to five days of their expired accumulated paid annual leave for volunteer activities. Through this system, employees can receive a normal wage when volunteering and take up to five days of special paid leave to contribute to society and take advantage of opportunities for self-development. Our aim is to improve employees’ social awareness and reinforce our collaboration with local communities.
In FY 2024, four employees used this system to take paid leave.

External ESG Ratings

To enhance our understanding of rapidly changing international social needs and values, we are proactively working to acquire ESG ratings from domestically and internationally recognized third-party institutions.
Through these initiatives, in addition to verifying the effectiveness of our CSR activities and identifying points for improvement, we are aiming for highly transparent information disclosure that meets the expectations of our diverse stakeholders.

Received DBJ Environmentally Rated Loan Program 2019 Highest Rank

In March 2020, Nippon Soda Co., Ltd. received a loan from the Development Bank of Japan under the bank’s DBJ Environmentally Rated Loan Program for our “environmental management systems and initiatives, including our especially progressive approach to environmental awareness,” the highest possible rating (Rank A).

Selected among the brands in the SOMPO Sustainability Index for 4 consecutive years

FTSE Blossom Japan Index (two consecutive years) and FTSE Blossom Japan Sector Relative Index (three consecutive years) Selected as index constituent

Shinfuji Kaseiyaku Co., Ltd. acquired “Gold” rating in EcoVadis sustainability survey.

Efforts to prevent occupational accidents

As part of our efforts aimed at stakeholder engagement, our Chiba Plant underwent an occupational accident prevention survey (diagnosis) by Sompo Risk Management Co., Ltd. (December 8, 2023)

Third-party Verification of Integrated Report and ESG Data Book

In FY 2024, our Head Office and Takaoka Plant underwent third-party verification by the Japan Chemical Industry Association. (For more details, see Third-party Evaluations: ESG Verification on p. 97)

Diagnosis of disaster prevention capability

We underwent disaster prevention capability diagnoses by Sompo Risk Management Inc.

Nihongi Plant November 16–17, 2023
Takaoka Plant September 28–29, 2023
Mizushima Plant September 21–22, 2023
Chiba Plant June 2, 2023
Nisso Metallochemical Co., Ltd. Aizu Plant May 25–26, 2023
Nisso Fine Co., Ltd. Isohara Plant June 22–23, 2023

Signing of and support for economic, environmental and other initiatives, social charters, and principles

Membership categories at advocacy organizations and institutions in Japan and abroad