Introduction | Becoming People & Planet Positive | Stakeholder engagement | Sustainability governance | SDG index Healthy & sustainable living - Our circularity agenda - Our climate agenda - Regenerating resources - Fair & equal - IWAY Commitments and goals FY23 summary of progress • Continue to secure and develop responsible sourcing standards In FY23, we continued to work across • Inorganics: We completed pilot for raw materials that include environmental, social and animal and map supply chains and secure best mappings of prioritised IKEA supply welfare criteria. practices for the responsible sourcing chains back to their source for • Continue to source wood from more sustainable sources,1 of materials used in our products. inorganic raw materials (page 41). promoting responsible forest management to eliminate forest We’re striving to always take a holistic degradation and deforestation and going beyond our supply perspective when it comes to avoiding • Secondary raw materials (recycled): chain. Using innovative approaches to forest management, and decreasing negative impacts from We’re supporting the development of protection, restoration and regeneration. our supply chains on both people and the a standard that promotes responsible planet. waste management practices. We • Lead regenerative projects on degraded land, deforested areas joined The Circulate Initiative (TCI) and agriculturally cultivated areas. Progress within our four material blocks forum in support of the TCI Responsible • Become good water stewards by leading and developing water during FY23 includes: Sourcing Initiative, which aims to stewardship programmes. Leading regenerative projects to improve human rights across recycled • Forestry (wood): Together with plastic value chains in ways that can clean polluted waters and protect biodiversity, speci昀椀cally ® be measured, managed, and are focusing on leading projects to clean plastic pollutants from the Forest Stewardship Council ® compliant with regulations (page 42). oceans. (FSC ), we’re working to gain a better understanding of how FSC-certi昀椀ed • Continue to source wood, cotton, food, and other raw materials forests impact biodiversity (page 35). Working to responsibly source raw from more sustainable sources (supported by credible external materials is a continuous and long-term sustainability standards and systems). • Agriculture: We are developing IWAY endeavour. Collaborating with suppliers, • Providing and promoting services, solutions, inspiration requirements that we will use to guide policymakers, governments, industry partners, NGOs, experts and other our e昀昀orts on responsible sourcing of and o昀昀ering easy access to knowledge to prolong the life of agricultural raw materials. Currently, brands fosters context for change and products and materials. Inviting and enabling customers and we are piloting projects as part of our improvement in our supply chains. other partners to be part of the solution by making it easy to acquire, care for, and pass on products. increased e昀昀orts to measure and scale regenerative agriculture across our value chain and have become active members of One Planet Business for Biodiversity (OP2B) (page 38). 1 We de昀椀ne more sustainable sources as FSC-certi昀椀ed or recycled wood. 31 - IKEA SUSTAINABILITY REPORT FY23