Grupo Herdez Champions Sustainable Water Management

Grupo Herdez reaffirmed its commitment to sustainable water management as a leader in the food industry in the face of water scarcity and drought in the Mexican agriculture sector. With 110 years of history in Mexico, the company contributes to the fulfillment of seven of the United Nations' Sustainable Development Goals (SDGs) through its sustainability strategy, including SDG 6: Clean Water and Sanitation. As part of this goal, projects are being implemented with the necessary measures to ensure universal access to safe and affordable drinking water by 2030, as well as significantly increasing the efficient use of water resources across all sectors.

Through its Sustainable and Regenerative Agriculture Program, Grupo Herdez and its fresh raw material suppliers combine actions and strategies that benefit the generation of quality agricultural products, while ensuring environmental conservation. In terms of water use management, the program promotes the adoption of drip irrigation systems, which are more efficient and environmentally friendly. With this system, up to 60% of water consumption is saved compared to traditional systems.

Moreover, as part of the commitments of the 2030 Agenda, achieving universal and equitable access to clean water is sought. Globally, between 2015 and 2022, the proportion of the world's population with access to safely managed drinking water services increased from 69% to 73%, according to the United Nations. Grupo Herdez has joined these efforts through the Saber Nutrir program, facilitating access to clean drinking water in vulnerable communities.

Water scarcity and poor water quality affect childhood nutrition, so the program focuses on providing rainwater harvesting cisterns, purifying wells, and biodigester toilets in communities. In 2023, 265 rainwater cisterns, 74 hygiene and sanitation systems, and 160 purifiers were installed in Chiapas, Estado de Mexico, Yucatan, and Jalisco.

Grupo Herdez drives proper water resource management from various fronts. Through its suppliers with the sustainable agriculture program, in communities with Saber Nutrir, and with financial tools, such as the sustainability-linked bond it issued in 2022 on the Mexican Stock Exchange. The company's commitment with this issuance is to reduce water consumption by 25% per ton produced by 2030.