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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 ANNUAL CROPS (CONTINUATION) PERENNIALS Economic empowerment for communities Integrating climate responsiveness into Palm oil Co昀昀ee in cotton landscapes of Pakistan agriculture practices in Pakistan In FY23, 99.9% of the palm oil used was In FY23, we used 100% Rainforest In order to build resilience to the impacts of Freshwater is a scarce natural resource Roundtable on Sustainable Palm Oil Alliance-certi昀椀ed co昀昀ee.² climate change in cotton landscapes, WWF in Pakistan. Close to 90% of available (RSPO)-certi昀椀ed. and the IKEA business have been actively freshwater is used for agriculture. With • Candles: 15,170,000 kg (100% RSPO Cocoa engaging with communities, and particularly measures taken through the WWF and IKEA certi昀椀ed) In FY23, we used 100% Rainforest Alliance- women, in acquiring alternative skills – such partnership project and the adoption of • Food: IKEA Food Supply AG (IFSAG):² certi昀椀ed cocoa in IKEA Branded products.² as embroidery, bee farming, micro-nurseries climate-smart agriculture practices, farmers 733,630 kg (100% RSPO certi昀椀ed); and and kitchen gardening – that can support have documented savings of 24% in crop- Trader 1,260 kg (96% RSPO certi昀椀ed) Tea establishing small businesses while also water productivity.1 Through technology and • Total: 15,904,890 kg increasing resilience to climate change. improved sowing techniques, 535 hectares In FY23, we used 100% Rainforest Alliance-certi昀椀ed and Fairtrade-certi昀椀ed tea in our range.² These e昀昀orts have resulted in an almost 20% of agricultural land have saved 791,908 increase in family income, on average, in the m3 of farm water and reduced nearly 24% communities where this applies. in greenhouse gas emissions (GHG) per hectare. In addition, to mitigate the e昀昀ects of warming temperatures, project farmers have used agricultural land unsuitable for cotton production to grow indigenous plants. 1 2 Crop water productivity is the total crop yield divided by total This percentage is based on food ingredients supplied by IKEA Food Supply AG, which represents approximately half of the total food ingredients sourced amount of water used to raise the crop. for the IKEA food business. For the remaining ~50%, we continue to build a better understanding of the gaps and how to be more comprehensive for future reporting. 39 - IKEA SUSTAINABILITY REPORT FY23

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