2021 ADAMA ESG Report Content Our Commitment Governance & Ethics Our Products About Us...................................... 5 Corporate Governance............... 17 Our Innovative Sustainable Our Strategy ...............................12 Upholding Ethical Behavior .......22 Products ....................................29 Our Stakeholders ........................14 Agriculture Technologies ........... 36 Our People Environment Social Responsibility Diversity and Inclusion................41 Our Environmental Impact .........61 Our Social Investment Policy Growth and Development .........46 Energy, GHG and Air Quality..... 69 and Strategy ............................... 81 Ethical Employer ........................50 Water, Effluents and Waste ....... 73 Our Social Responsibility Health and Safety ..................... 52 Bringing Sustainability to Our Projects ...................................... 83 Chinese Facilities ....................... 77 Our People Engagement and Community Relations................ 90 Annex.......................................97 2 | 2021 ADAMA ESG Report| 3 Our Commitment About us ADAMA is a leading global crop protection company, providing solutions to combat weeds, insects and disease, so farmers can do what they do best: feed the world. ADAMA has one of the widest and most diverse portfolios of active ingredients in the industry, as well as state- of-the-art R&D, manufacturing, and formulation facilities. With a culture that empowers our People to listen to farmers and ideate from the field, ADAMA is uniquely positioned to offer a vast array of distinctive mixtures, formulations, and high-quality, differentiated products, to deliver solutions that meet local farmer and customer needs in over 100 countries globally. 2021 Highlights Our Products Our People Health & Safety Environment 1,450 35% 43% 30% different formulations of all open positions were of our sites ISO 45001 decrease in GHG emission filled internally certified per tonne production, $150 Million from averaged values invested in R&D 87% 0.45 2011-2020 employee retention rate injury rate Bralic 57% An exciting new biological 18.6% of our sites are product based on garlic oil of managers are women ISO 14001 certified extract alone 36% more recycle and reused hazardous waste compared to 2020 4 | 2021 ADAMA ESG Report| 5 Our Values Our purpose and values are about who we are as a company. They are our DNA and they serve as a compass that guides our behavior. GETTING CREATING EMPOWERING PASSION IT DOUN SIMPLICITY PEOPLE FOR PEOPLE Our get it done attitude We keep things simple. Each of us has the Our passion is the fuel drives us to constantly That’s because we freedom to act; to bring that propels us. We’re seek better, more get how complex and new ideas to strengthen passionate about effective solutions for our challenging farming and ADAMA and improve the agriculture and the role customers with energy our industry is. solutions we provide our we play in helping farmers and enthusiasm. customers. produce the food needed We bring a straightforward to nourish the planet. We roll up our sleeves to and clear approach to We’re empowered to meet their challenges, doing business with our take initiative and to We’re passionate about keep our promises and customers and work hard think entrepreneurially. seeing ADAMA succeed deliver results. That’s when to make farmers’ lives This goes together with a and in the larger success we’re at our best. easier with effective, commitment to mentor, of our customers, partners easy-to-use solutions. train, inspire and provide and colleagues around the resources to help us world. perform better. Who We Are Global Presence ADAMA offers a comprehensive range of high quality, differentiated, and effective herbicides, insecticides, and fungicides that help farmers worldwide to increase yields by preventing or controlling weeds, insects, and diseases that harm their crops. 100+ Farmers everywhere are facing a growing set of challenges, driven by climate change and the rising demand for nutritious, safe, and affordable food. Reaching Farmers in 100+ Markets With the broadest portfolio in the world, ADAMA is uniquely positioned to address local customer needs, offering 45 high-quality off-patent products as well as unique, market-leading solutions. Countries with a presence on the ground 2 Fully backward-integrated production hubs Our Leadership Framework in Israel & China Our leadership framework describes what we value as leaders in ADAMA and encodes it in a framework that helps guide the way we 22 lead now and in the future. Synthesis and formulation facilities worldwide This framework establishes a set of guiding principles for all our leaders. It transcends all levels, and aims to help each of us develop 4 our mastery over time. State-of-the-art R&D Centers 6 | 2021 ADAMA ESG Report| 7 Our Management Finance ADAMA’s experienced international Leadership Team is committed to strengthening and shaping our sustainability agenda to further contribute to all ADAMA`s stakeholders. Michal Arlosoroff, EVP Legal, Chief Communications, & Sustainability Officer, is responsible for managing and overseeing all sustainability activities, An Experienced International including the reporting of an annual ESG report. Total Sales in 2020 Total Sales in 2021 Leadership Team 4,127 4,813 President & CEO Ignacio Dominguez in Million $ in Million $ Legal, Sustainability, CFO Global Operations People Communication Shahar Florence Elad Shabtai Mody Benaiah Michal Arlosoroff Executive Committee Sales by Regional Performance Brazil APAC & IMA Europe Americas China Romeu Stanguerlin David Peters Rob Williams Steven Hawkins An Liru 572 650 IDR Marketing & PS India, Middle East India, Middle East Yoav Avidor Walter Costa & Africa & Africa 1,036 1,072 Business Committee Europe 324 Europe 513 Finance South Europe Latin America China Operations China China Efrat Nagar Edgardo Iglesias Carlos Danilowicz David Ben Simon North Europe 332 2020 2021 IMA Yossi Goldshmidt Jean-Philippe US Ag Jake Brodsgaard Asia Pasiific 385 Bordes Asia Pasiific 1 917 North America 776 1,088 North America 1,276 Latin America Latin America Sales by Product Category 389 464 Non Agro Non Agro 857 1,707 952 1,972 Fungicides Fungicides Herbicides Herbicides 2020 2021 1,175 1,425 Insecticides Insecticides 8 | 2021 ADAMA ESG Report| 9 Economic Value Generated and Distributed* Our History ADAMA celebrates its more than 75-year heritage, having started from two Israeli crop protection companies, 2020 2021 Agan (1945) and Makhteshim (1952), which merged in 1997 to form Makhteshim Agan. (USD, Thousand) (USD, Thousand) In 2011, we became part of the ChemChina Group (the China National Chemical Corporation), which started a new and exciting chapter in our story. In 2014, we introduced our new global brand and became known as ADAMA. In 2017, with our landmark combination with Sanonda, we returned to the public markets. Direct economic value generated: revenues (total net sales) 4,127,751 4,813,041 Today, ADAMA is a member of the Syngenta Group, the world’s largest agricultural inputs company. Economic value distributed: 4,127,751 4,813,041 1952 1992 1998 2011 2014 2016 2017 2020 Makhteshim Makhteshim Merger of ChemChina Launch of ChemChina Adama and Sanonda Adama become Total operating costs (including R&D expenses, employee wages, Chemical Listed on Makhteshim acquires 60% global brand acquires 100% combine to create a distinctive 4,057,924 4,741,003 Works TASE and Agan ownership ADAMA; New ownership first integrated member of and other expenses) founded Listed on TASE leadership, organizational Global-China Crop Protection leader industry leader Syngenta Group structure Total payments to employees including wages and benefits 522 560 (pension, social security, etc.) 1945 1982 ADAMA Ltd. become Agan Chemicals Agan listed publicly traded on founded on TASE Shenzhen Stock Exchange Total payments to suppliers 3,150 3,410 Total amount paid to providers of capital 9,162 12,349 1958 Sanonda 1993 Sanonda 2005 ChemChina founded listed on becomes largest Shenzhen shareholder in Stock Exchange Sanonda Capital expenditure 214 402 Total payments to governments (taxes, etc.) by country 31,552 59,045 Total community investments 2,807 2,599 GRI Sustainability Reporting Standards Total economic value distributed 4,101,445 4,814,996 GRI 103, GRI 102-9, GRI 102-44, GRI 307-1, GRI 413-1, GRI 413-2 Sustainabe Development Goals * The financial information above should be read in conjunction with the consolidated financial statements of ADAMA Ltd. as filed in the Shenzhen stock exchange in accordance to the PRC GAAP. End poverty in all it's forms Build resillient infrastructure, everywhere promote inclusive and sustainable industrialization and faster innovation End hunger, achieve food Ensure sustainable security and improoved consumption and production nutrition and promote patterns sustainable agriculture 10 | 2021 ADAMA ESG Report| 11 Our Strategy Materiality Assessment Impact Model ADAMA’s promise is to Listen > Learn > Deliver. When it comes to our customers, our best solutions develop During 2019-2020 we conducted in-depth and extensive when we take their input and learn from their experience. That is why we actively seek opportunities to listen to research among our employees, farmers, retailers, and Conducting farmers, channel partners, and agronomy experts, to understand the specific challenges they face, their pain consultants in 13 of the countries in which we operate. The Good Business points, and needs. purpose of the study was to listen, gather insights, and learn about expectations and trends from these main stakeholder We integrate the information we acquire externally with the expertise and know-how that we bring to the table groups, to deepen our understanding and learn more about from years of experience in the industry. our products, our perceived added-value, and our brand. The research insights were processed and incorporated into the We have approached our sustainability strategy in the same way. Reducing Our Caring for updated materiality assessment, alongside additional data we Environmental Our People gathered to assure an in-depth, updated analysis. Impact The research helped us recognize the expectations of our Our North Star stakeholders, while also examining industry practices, analyzing SASB sectorial materiality topics, CDP, and EcoVadis. The North Star presents a clear strategic roadmap to achieve sustained growth and maintain a leadership position in our industry. Through this process, we identified three key sustainability pillars that incorporate the material sustainability topics that It's made up of four interconnected key levers that work together to create a dynamo effect - each one are essential to us. building on the other, creating momentum and enhancing everything we do to create a strong and enduring competitive advantage for ADAMA. These three pillars serve as the basis for our Impact Model, and the organizing principle of this report. We learn from farmers’ Materiality Map insights and bring our expertise in advanced The updated materiality map and the global urgency to promote environmental sustainability led us to Farmer-Inspired & formulation innovation the understanding that the key sustainability issues we need to prioritize are the environment which have a Channel-Partnered to develop differentiated, significant impact on our business, our People, and our planet. To that end, we reformulated our sustainability superior products with We listen to farmers, advisors features and benefits that mission: and experts to understand Materiality a Growing Global Population While Fulfilling the Needs of Farmers Around the World. Meeting the Needs ofMap local needs and deliver deliver significant advantages solutions that address their for our customers. pain points, all in collaboration with our channel partners. Super-Class Climate risks and opportunities Supply Global hunger and nutrition Energy management E Reducing Public health and safety management environmen security Formulation Impact on stakeholders tal impact Farmer’s empowerment – information, Environmental Mastery We develop and manage Affordability tools and technology compliance Environmental impact of our Caring for S Hazardous and Toxic products Our global network of our portfolio by focusing on our people Environmental investment materials management Equal opportunity and anti- manufacturing assets and strategic crop segments in harassment Diversity and Inclusion Product and process Innovation – New Reduce emissions and unique solutions, wide range of partnerships is agile, reliable each of our markets to deliver Human Rights management products and cost competitive, allowing valuable and sustainable G Conducting good business Employee welfare and Water consumption management Occupational Health & Safety Responsible supply-chain for flexible supply models to solutions that meet the current labor relations Waste and Effluents better serve our customers. We and future needs of growers. Data security and privacy Transparency management Business ethics maintain the highest standards Value-Optimized Community relations and Anti Bribery and Product quality, Stewardship, high efficiency and Safety Portfolio employee engagement corruption Fair competition of quality and Health, Safety and Environmental (HSE) Employee empowerment and Economic impact and Biodiversity performance standards. development Impact on ADAMA GRI Sustainability Reporting Standards GRI 103, GRI 102-44, GRI 102-47 12 | 2021 ADAMA ESG Report| 13 Listening to Farmers and Customers As part of our commitment and vision, ADAMA built dedicated crop management teams throughout the world to maintain ongoing and direct communication with farmers. Each team consists of expert agronomists that provide unbiased advice on the best solutions to maintain the healthy crops, and support farmers in using ADAMA products in a safe and sustainable way. Listening to Our People Only by actively listening and seeking out additional opportunities to hear from our People, can we improve as a company. In addition to daily dialogue, we implement periodic engagement surveys and a “360° assessment” of managers. The engagement survey reflected that our People are satisfied with the physical work environment, culture and values, customer focus, and work/life balance. Although we have made great improvements since 2016, our People identified areas for further improvement in learning and development, career opportunities, and employer brand, as well as in rewards and recognition. Based on this feedback, ADAMA launched our new learning platform, SPARK. Listening to Our Communities We apply our listening approach to the communities we operate in, and build personal, lasting relationships with our partners. With each collaboration that we initiate or engage Our Stakeholders in, we take time in advance to understand the needs of those involved, whether they are local authorities, welfare departments, NGOs, or other local organizations. We continue an ongoing dialogue with our partners throughout the year. The ability of farmers to meet the needs of a growing global population while using fewer natural resources and reducing greenhouse gas emissions depends on collaboration across the agricultural community. Our Industry Memberships Sustainable agriculture is too important and too complex for one business to lead the agenda alone. Therefore, We recognize the importance of participating in both international and local committees we place great emphasis on listening to and learning from our stakeholders, to help us to incorporate and organizations to achieve improvement in industry-related issues. Taking part in such sustainability into every aspect of our operation. committees allows us to create a dialogue and share knowledge with other industry members and with governmental and non-governmental organizations, to benefit all stakeholders. “Climate change and the imminent global food crisis demand We hold memberships in Chambers of Commerce in several of the countries in which we that agriculture and our industry must transform if we are operate and are active in committees on various relevant topics around the world. We to have sustainable food security for a growing population. actively participate in the initiatives of various organizations, including those listed below, and ADAMA chooses to put ESG values in the center of its activity we frequently share information with other organization members as we strive for a safe and and to integrate sustainability into every aspect of the business – sustainable future. products, manufacturing, operations, and people. Our investment in novel formulation technologies to deliver superior products with enhanced biological performance is resulting in better solutions for farmers and a favorable sustainable footprint, ultimately benefiting all our stakeholders. We'll continue to listen to farmers and deliver what they need to succeed, making sustainable agriculture part of the solution". Ignacio Dominguez President and CEO 14 | 2021 ADAMA ESG Report| 15 Governance & Ethics Corporate Governance Strong corporate governance, based on the principles of professionalism, leadership, accountability, and transparency, is an integral part of our core values. We regard it as a critical aspect of our sustainable growth and value creation. To uphold the principles of corporate governance, we have adopted a code of conduct, among many other initiatives, which applies to all our People and stakeholders, and is strengthened by various internal programs. Following the combination of ADAMA Agricultural Solutions Ltd. (“ADAMA Solutions”) and Hubei Sanonda Co. Ltd., a listed entity traded in the Shenzhen Stock Exchange (“Listed Entity”) in 2017, the Listed Entity was renamed ADAMA Ltd., with one global management leading both companies. In June 2020, ADAMA Group became a distinctive member of the newly established Syngenta Group - an agricultural industry leader owned by ChemChina, which was created by unifying the agricultural businesses of ChemChina and Sinochem (“Syngenta Group”). No change consequently occurred in ADAMA Solutions’ or ADAMA Ltd.’s controlling shareholder. ADAMA Solutions continues to be headquartered in Israel, and ADAMA Ltd. continues to be traded on the Shenzhen Stock Exchange, while we at ADAMA maintain our own un ique brand and positioning. Board of Directors Member Description BoD BoD of the Board ADAMA Ltd ADAMA Solutions Erik Fyrwald Mr. Fyrwald, age 63, was appointed Chairman Chairman of the of the Board of Directors of ADAMA Ltd.. He also Board of Directors serves as CEO of Syngenta Group Co., Ltd., CEO and Executive Director of Syngenta AG, and Chairman of the Syngenta Foundation for Sustainable Agriculture. He currently also serves on the board of directors of CropLife International, the Swiss-American Chamber of Commerce, and the listed entities Bunge Limited and Eli Lilly & Company. Mr. Fyrwald holds a B.Sc. in chemical engineering from the University of Delaware, and completed the Advanced Management Program at Harvard Business School. 16 | 2021 ADAMA ESG Report| 17 Member Description BoD BoD Member Description BoD BoD of the Board ADAMA Ltd ADAMA Solutions of the Board ADAMA Ltd ADAMA Solutions Ignacio Mr. Dominguez, age 62 serves as the President and CEO President and CEO President and CEO, Ge Ming Mr. Ming, age 70, serves as an independent director Independent Director Dominguez of both ADAMA Ltd. and ADAMA Solutions and, as well and Chairman of the of ADAMA Ltd. He holds a master’s degree in western (Member of the as the Chairman of the Board of Directors of ADAMA Board of Directors accounting, and he is a senior accountant, a certified Audit Committee, Solutions. Chinese public accountant as well as an Australian Nomination He holds an M.Sc. in physics, specializing in automatic certified public accountant. He previously served as Committee, calculus, artificial intelligence structure of microprocessors, the chairman and chief accountant of Ernst & Young Remuneration and programming languages, from the Universidad Hua Ming Certified Public Accountants Firm, and as the Committee, and Complutense de Madrid. managing partner, chief accountant and senior advisor Strategy Committee) of Ernst & Young Hua Ming Certified Public Accountants Chen Mr. Lichtenstein, age 54, serves as a Director of ADAMA Director Director (special general partnership). Mr. Ming currently serves Lichtenstein Ltd. and ADAMA Solutions, and also serves as the CFO of as an independent director on the board of directors Syngenta Group Co., Ltd. and its wholly-owned subsidiary of AsiaInfo. He currently also serves on the supervisory - Syngenta AG. He holds joint doctoral degrees from boards of the Bank of Shanghai, Bank of Suzhou, Tencent Stanford University's Graduate School of Business and Foundation, and serves as the executive director and School of Law, and a B.Sc. (physics) and LL.B. from the general manager of Beijing Huaming Fulong Accounting Hebrew University of Jerusalem. Consulting Co., Ltd. An Liru Mr. Liru, age 52, serves as a Director of both ADAMA Director Director Dalit Braun Ms. Braun, age 56, is the founder and partner of Realya External Director Ltd. and ADAMA Solutions, and serves as Senior Vice USA, is a business development and economics advisor for (Chairperson President, China Cluster. Mr. Liru holds an MBA, an M.Sc. Israel Airports Authority, and the founder and former CEO of the Audit in chemical engineering, and a B.Sc. in applied chemistry, of Pick’nTell. She has an MBA from the Tel Aviv University, Committee and all from Nanjing University. an LLM in European business law from Anglia Ruskin the Remuneration University in the UK, and a B.Sc. in industrial engineering Committee; member Ning Mr. Gaoning, age 64, serves as the Chairman of the Board Director and management from the Technion, Israel Institute of of the Financial Gaoning of Directors of China National Chemical Corporation Technology. Ms. Braun formerly served as an External Statements Review (Frank) Ltd., Syngenta AG and Syngenta Group. He holds a B.A Director of NTA, a governmental mass transit company, Committee) in Economics from the Shandong University, and an MBA and formerly served as an External Director of "Dira from the University of Pittsburgh. LeHaskir” (an Israeli government company). Xi Zhen, Dr. Zhen, age 58, is Cheung Kong Scholar of Pesticide Independent Director Gustavo Mr. Traiber, age 61, is the owner and CEO of Spain- External Director Ph.D Science of the Ministry of Education, Chairman of the (Member of the Traiber Israel Investments Ltd. and the former CEO of a public (Chairperson of the Department of Chemical Biology, Professor of Chemistry Audit Committee, company in the field of solar energy. He has extensive Financial Statements and Chemical Biology, Fellow of the University Committee Nomination experience in the strategic and marketing aspects of Review Committee; of Nankai University in China, and Director of the National Committee, business development, having held previous director and member of the Audit Pesticide Engineering Research Center (Tianjin). Dr. Zhen Remuneration senior management roles. He has an MBA with a finance Committee and has held various posts in academic institutions in both Committee, and concentration from the Interdisciplinary Center (IDC), the Remuneration China and the US, including at the Harvard Medical Strategy Committee) Herzliya, and a BA in political science and international School, the Wuhan University School of Medicine, the Committee) relations from the Hebrew University in Jerusalem. Beijing Institute of Chemical Reagents, and Nankai Mr. Traiber concurrently serves as an independent director University. He is also a member of several professional of Cellcom Israel Ltd., an Israeli public company. organizations. Dr. Zhen holds a Doctorate in bio-organic chemistry from Uppsala University in Sweden, a Master's degree from the Institute of Elemental Organic Chemistry of Nankai University, and an undergraduate degree from Central China Normal University. 18 | 2021 ADAMA ESG Report| 19 Member Description BoD BoD Board of Directors’ Committees - ADAMA Agricultural Solutions of the Board ADAMA Ltd ADAMA Solutions The Audit Responsible for supervising all ADAMA Solutions’ group activities and ensuring that Jiashu Mr. Cheng, age 69, is an Executive Director of the Stanford Independent Director Committee they are conducted in compliance with all legal provisions. The Committee currently Cheng consists of three members, all of whom are independent directors and two of whom Center at Peking University. He was previously the (Member of the are external directors. President of the Celanese China Operation. Mr. Cheng Financial Statements In 2021, the Committee held ten (10) meetings with a 97% attendance rate. has Master's degrees in Economics and in Economic Review Committee, Development both from Stanford University, and Major the Audit The Financial Responsible for discussing and formulating recommendations to the board of directors in planning and statistics from the Department of Statements Review regarding financial statements. The Committee currently consists of three members, all Committee and Economics, Hebei University. Committee of whom are independent directors and two of whom are external directors. the Remuneration In 2021, four (4) meetings of the Committee were held with a 92% attendance rate. Committee) The Remuneration Responsible for approving and formulating recommendations regarding the Committee remuneration of officers, based on the adopted governing remuneration policy. The In 2021, ten (10) meetings of ADAMA Ltd.’s Board of Directors were held. In 2021, the Board of Directors of ADAMA Solutions held seven (7) meetings, with the directors’ attendance rate being 76%, and the Committee currently consists of three members, all of whom are independent directors independent directors’ attendance rate being 90%. and two of whom are external directors. In 2021, five (5) meetings of the Committee were held with a 100% attendance rate. Committees of the Board of Directors Risk Management To help the board of directors effectively and efficiently fulfill its responsibilities, it has established several ADAMA Agricultural Solutions utilizes a comprehensive risk management methodology that is designed to standing committees. maximize financial returns for its stakeholders regardless of unavoidable risks and uncertainties in the business environment. This methodology includes a risk assessment survey, most recently performed in 2018, that maps Board of Directors’ Committees - ADAMA Ltd the key activity areas and processes in which there is risk exposure, such as strategic, operational, legal, financial and regulatory risks. ADAMA Agricultural Solutions conducts an in-depth analysis of the residual risk level for all Audit Committee Responsible for monitoring the company’s internal control system, financial risks and prepares a multi-year work plan for internal auditing based on its results. information, and its disclosure. The Committee currently consists of three members, two of whom are independent directors. In addition to the risk assessment survey, we carry out periodic fraud risk assessments, with the most recent In 2021, the Committee held six (6) meetings, with a 100% attendance rate. completed in 2020, aimed at assessing the overall fraud risk level by evaluating and identifying weaknesses in the work and control processes, which could be exploited for fraudulent or improper activities. Nomination Responsible for formulating standards and procedures and making recommendations To increase visibility of risk and to assist in management decision making, risks in both the risk assessment Committee regarding the election of candidates for directorship. The Committee currently consists survey and fraud risk assessment are mapped and evaluated according to their residual risk based on their of three members, two of whom are independent directors. inherent risk and the in-place internal controls framework. The categories are each defined by 5 levels ranging In 2021, the Committee held one (1) meeting with a 100% attendance rate. from very low to very high. Compensation and Responsible for reviewing and formulating recommendations regarding remuneration The Board of Directors has overall responsibility for establishing and monitoring the framework of the risk Appraisal Committee policies for directors and senior management. The Committee currently consists of management policy. The Financial Statements Review Committee is responsible for establishing and monitoring three members, two of whom are independent directors. the Group’s actual risk management policy. The Chief Financial Officer reports to the Committee on a regular In 2021, the Committee held two (2) meetings with a 100% attendance rate. basis regarding these risks. Strategy Committee Responsible for conducting research and formulating recommendations regarding the company’s long-term strategic development plans and major investment decisions. GRI Sustainability Reporting Standards The Committee currently consists of five members, two of whom are independent directors. GRI 103, GRI 102-18, GRI 405-1, GRI 418-1 20 | 2021 ADAMA ESG Report| 21 Upholding Ethical Behavior We encourage employees to speak-up! All HR representatives have been trained in the service and are required to bring the Speak Up to the attention of their employees and in particular to new joiners. At ADAMA, we continually strive to be a socially responsible and trusted company that is driven by the highest Promotional posters are located in office locations. Our intranet has a Compliance Corner where the Speak Up ethical standards and legal compliance in all our business practices. We view compliance as an essential part of is also highly visible to all employees. Also, an annual report is published on the internal messenging service of our long-term success. the Company and in the Corporate Sustainability Report. We do not tolerate any violation of the law, our code of conduct, or internal regulations. In 2021, there was an increase in the number of complaints - from 5 in 2020 to 23 in 2021 (46%). This is after several years of stability in the number of complaints. We conducted in-depth research about these increases Our businesses are managed responsibly and in compliance with the statutory and regulatory requirements and the findings arise from the nature of the complaints. of each country. We have established an ethics committee to examine and review resolution of various ethical issues in a consistent manner, with two senior management members participating and reporting to the ADAMA’s Code of Conduct makes it clear that any reporting of issues must be treated confidentially, and the Executive Committee. messengers wishes respected and properly dealt with without fear of recrimination or retaliation. In 2009, we established the role of Ethics Officer to handle ethics-related issues in a professional and confidential manner. Michal Arlosoroff, Executive Vice President, General Legal Counsel, Company Secretary, and Chief Sustainability & Communication Officer, who has held this office since 2009, reports regularly to management SpeakUp Compliant Type on the Company’s ethical performance. Processes which have been established by the Ethics Officer make it straightforward for our People to seek advice or counseling regarding any ethical question, dilemma, or complaint in an anonymous and/or confidential manner, ensuring that all queries are handled properly. 1 Auditing & Accounting 4 Bribery & Corruption SpeakUp – Reporting Concerns 1 Conflicts of Interest ADAMA operates a global confidential reporting system available 24/7 to all employees and suppliers/ service providers. It is operated by an independent service provider based in the Netherlands. 9 Discrimination and Harassment ADAMA recognizes that sometimes issues are too sensitive to report directly and therefore we encourage the 2 Health, Safety and Environment confidential or anonymous reporting of concerns about ethical issues or breaches of applicable law relating to the Company and its activities. 2 HR-management matter The SpeakUp service is, a confidential toll-free call or e-mail reporting system. SpeakUp is available in countries 1 Labour Rights and unfair employment practice where ADAMA operates and being web based is not dependent upon location. It is available in 27 languages - all our employees’ native languages. The system is also available for non-employees, such as service providers, who may wish to raise ethical concerns, here the access is promoted via our ADAMA website and Suppliers Code of Conduct. The complaints were on various topics. The majority of the complaints (45%) dealt with were based on The reports are recorded by an independent, external third party, translated if needed, and forwarded to two discrimination or harassment. members of ADAMA’s Legal Team for confidential investigation. The person reporting (Messenger) receives a reference number confirming the receipt of the report so that they can call back or log in to receive feedback or 20 inquiries were found to be justified and handled with varying degrees of severity including an employment provide further information. termination case. We will continue to encourage our employees to submit complaints in any concerns that may arise, small as SpeakUp by Country may be, and we will continue to deepen the examination process and internal investigation of these complaints. 23 Other than SpeakUp, compliance incidents or queries are reported through managerial levels directly to General Counsel or senior managers. 10 5 5 5 2017 2018 2019 2020 2021 8 Mexico 1 Mexico 1 Mexico 2 Brazil 5 China 4 USA 1 Germany 3 Germany 2 China 1 Poland 1 Columbia 1 Vietnam 1 Israel 1 Poland 1 Columbia 2 USA 1 India 1 Peru 1 Israel 2 Israel 1 South Africa 6 Ecuador 22 | 2021 ADAMA ESG Report| 23 SpeakUp - Action Taken Our policy is to require all relevant employees to complete online anti-bribery training on an annual basis. Where necessary, online training is provided in the local language. In 2019, we planned various initiatives as part of our commitment to preventing bribery and corruption. These plans included the creation of an online library of compliance case studies, as well as continued training and adoption. In 2020, ADAMA internally developed the anti-bribery training. The online training was deployed on a 4% global scale throughout ADAMA, and is accessible to all employees in their local languages. Ongoing 32% Corporate Compliance training is an annual requirement for performance review and part of onboarding for 5% Referred to HR/Mgmt new employees. Termination Since 2018, completion of all compliance training programs are a necessary condition for receiving a bonus. 9% Policy/Process Review Compliance Moments Site In 2020, we launched our Compliance Moments program, a user-friendly way to raise awareness for 9% compliance. The Compliance Moments program consists of cases featuring real-life ethical and legal dilemmas No Action Necessary from a wide range of topics, to be shared by our leadership members in the first five minutes of meetings they 23% lead. 18% Training/Coaching Our new Compliance Moments website is home to all Compliance Moments cases, currently available in four Advice Given languages – English, Chinese, Portuguese, and Spanish. Each case, labeled with a catchy title, includes a multiple-choice question and suggested points for discussion, referring to our Code of Conduct. Compliance Moments can be shared in the traditional way, i.e. using slides, or through our new interactive user- friendly app, allowing the interactive, dynamic, and real-time participation of all members. Code of Conduct Our Code of Conduct is the blueprint by which we ensure ethical practices and integrity. In the Code, we outline our commitment to our People and stakeholders and set out our expectations of them. It encompasses our corporate culture, community relations, and the components of appropriate behavior. In 2019, compliance with the Code of Conduct was discussed during the General Assembly and throughout the Company to raise awareness of the subject. In 2019, the Code of Conduct, as well as a Q&A section giving day-to-day examples of situations of ethical dilemmas, was reissued in the Asia-Pacific region, translated into four new languages, and made available in a total of 21 languages. In order to achieve full alignment, roll out and training on the Code of Conduct was conducted on a global scale throughout ADAMA. 6,191 employees participated in the programs, and 88% of users completed them. Zero Tolerance for Bribery and Corruption ADAMA has zero tolerance for, and is committed to preventing, bribery and corruption. It is committed to full compliance with all applicable laws, regulations, and contract requirements relating to the fight against bribery and corruption. No Political Donations Our code of conduct strictly prohibits offering, giving, or receiving bribes, either directly or through a third party. Entering into business relationships with an individual or entity which has a history of engagement with bribery We do not use funds or corporate resources to support any political candidate or party. We recognize the rights is forbidden. We share, implement, supervise, and enforce our anti-bribery and anti-corruption principles with all of our employees to participate in the political process, provided they act independently of ADAMA and do not of our People. use ADAMA time, property, or equipment in the process. 24 | 2021 ADAMA ESG Report| 25 Ethical Supply Chain ADAMA recognizes that the quality of its products is influenced, among other factors, by the quality of its relations with its suppliers. The company conducts efficient, honest, and legal commercial relations with its suppliers, based on clear and organized procedures. We operate in accordance with environmental and social regulations, and expect our suppliers to do so as well. Our Code of Conduct applies equally to all of our suppliers, and includes aspects concerning environmental protection and community commitment. The Company attaches importance to having business relations with suppliers who are strict about fulfilling legal provisions regarding rights of employees, health and safety, protecting the environment, etc. within their businesses. Use ADAMA time, property, or equipment in the process. Importer/ Distributor Retailer Farmer Formultor Data Privacy Training In 2021, ADAMA relaunched an online data privacy training module. The module, which is available in eight ADAMA is currently in the process of improving our supplier evaluation languages, covers the scope of data protection and data privacy laws, personal data processing, employee Looking process, which will include screening all new suppliers based on responsibilities, data breach management, data security, and more. All new employees are required to complete environmental friendliness, sustainability, employment practices, and social the training as part of their onboarding at ADAMA. Ahead criteria. The procedure launched in a specific Supplier Code of Conduct available since June 2020. 1,038 Completed Invitees 925 913 839 Data Privacy 781 793 ADAMA’s Global Information Security Policy emphasizes the critical role our business plays in protecting the 677 personal data of our People as well as our stakeholders, and putting in place preventative security measures 623 593 to avoid data breaches. We control and supervise access to personal information, balancing the interests 529 524 and privacy rights of individuals with those of our business interests and assets, in full compliance with GDPR 484 470 regulations. 406 We have solidified our environment using cutting-edge cybersecurity tools and systems. All new systems that 305 necessitate access to our data are required to undergo vetting by our cybersecurity compliance and intelligence team. 232 162 We annually audit and check our third party solutions for continued data privacy and cybersecurity compliance. 84 We have deployed multi-factor authentication for all users (employees, contractors, etc.) who require access to our data. LATAM Lycored APAC Brazil China Americas Europe IMA Israel We leverage our cybersecurity intelligence systems to better understand what vulnerabilities our environment and data are susceptible to, to enhance our enterprise’s defense. We have deployed incident response procedures and escalation processes to be ready for any potential incident. We also test our environment and the procedures we have created. GRI Sustainability Reporting Standards GRI 103, GRI 102-8, GRI 401-1, GRI 405-2 We are currently working on our ISO27001 certification to better display our ongoing efforts to secure our environment. 26 | 2021 ADAMA ESG Report| 27 Our Products Our Innovative Sustainable Products ADAMA is developing a leading pipeline of effective, safe, and sustainable crop protection solutions to meet both the current and future needs of farmers. Together with the hundreds of active ingredients already in our portfolio, ADAMA now has a one-of-a-kind toolbox that allows us to create unique formulations and mixtures to address farmer pain points around the world. Moreover, we have recently entered into the development of biological products that allow us to offer a variety of sustainable products. Product Development Process We begin our ideation process from the field, listening to our customers, agronomy experts, and leading researchers to understand the specific requirements farmers have. We combine these insights with our own expertise and know-how to deliver effective, sustainable, and high-quality products. This process is the driving force in our product development. Our ideation process begins in We integrate the insights we When the prototype meets the field. We create ongoing receive in the field with the all product requirements, we listening opportunities with local knowledge and expertise of our freeze the formulation, conduct farmers and agronomic experts, product development, R&D, regulatory trials, and undertake through our crop management formulation, and product strategy local demonstration trials to show teams, to understand farmers’ experts at ADAMA. All product farmers first-hand the features and current pain points and concepts undergo extensive benefits of the new product. anticipate future needs. screening and prototyping to optimize the formulation, ensuring efficacy and selectivity. 28 | 2021 ADAMA ESG Report| 29 Facing a Growing Set of Challenges Our Product Development Strategy Farmers everywhere face a growing set of challenges: ever-increasing threats from weeds, pests, and diseases; Our product development strategy is spread over a wide range of the adverse impact of climate change; rising consumer demand for nutritious, safe and affordable food; and options that address the needs of farmers alongside the needs of the societal expectations that the agricultural community limit greenhouse gas emissions. world's sustainability. We take into account the reduction of active In the absence of crop protection ingredients, developing new innovative formulations that maximize the products, farmers would lose 30%- effectiveness of the product with a less active substance, alongside the 70% of their crop yields. development of biological products." With the broadest portfolio of active Yoav Avidor ingredients and products in the VP Innovation, Development, world, we are uniquely positioned Research & Registration to address the global challenges and local needs of our customers. ADAMA carefully selects the most effective and sustainable molecules with which to create everything from our more common off-patent products to our differentiated, Discontinue Use of Selected Active Ingredients market-leading solutions. This gives There are countries that have defined certain active substances as prohibited. farmers an array of offerings that address all their various needs. In 2021, we decided that although there are countries that approve the continued sale of these materials, and while understanding the business and financial damage involved, their sale to all countries will be reviewed and gradually stopped. Decisions regarding the continued marketing of products are made through a dedicated committee that convenes specifically to make decisions that comply with the company's policy on the subject. Product Portfolio The process is complex and must be done with sensitivity and appropriate preparation, since it is necessary to address the needs of the farmers to offer alternative products while providing sufficient time until we stop ADAMA’s product portfolio includes approximately 300 active ingredients and 1,450 different formulations. marketing the product. Case Study: Proactive and responsible approach In 2021, we decided to discontinue sales of a leading insecticide in Brazil. While the product is still on the market, other countries have started to limit its use and ADAMA decided to take a proactive responsible approach, to stop sales rather than wait a few more years until it is ultimately restricted. Herbicides Insecticides Fungicides We discontinued marketing a leading insecticide in most of Farmers face significant yield Crops suffer from direct damage, Fungi are a common cause of the world and it is now banned for food crops. Marketing for another leading insecticide product has been loss every year due to weed diseases, and contamination diseases in plants, impairing their discontinued at a rate of at least 90%. competition. ADAMA’s broad range caused by a wide variety of pests. development and negatively of herbicide solutions addresses Our insecticide portfolio offers impacting the quantity and Case Study: Barroz resistance challenges, overcomes an extensive range of trusted quality of crop yields. weeds, and helps guarantee a solutions and a growing number Our fungicide portfolio utilizes A new product sold in India is replacing carbofuran, an effective substantially increased harvest. of differentiated mixtures and multiple active ingredients and active ingredient which is less desirable due to its potential Our portfolio is comprised of the formulations and innovative is specifically designed to be environmental impact. Barroz is a proprietary ADAMA novel most advanced, effective, and products. effective in the face of increased mixture that does not include carbofuran, while showing very sustainable molecules, which we resistance. high efficacy for treatment of insects in rice, with documented combine to create smart mixtures improvement in crop yields. Barroz is a great example of how and formulations. innovation can lead to better efficacy alongside a safer profile. 30 | 2021 ADAMA ESG Report| 31 Innovative Products that Reduce Active Substance While Delivery Technologies Maximizing its Impact Our objective is to optimize the performance of each active ingredient, to maximize its efficacy while minimizing unwanted side effects. This can be done through enhanced formulations, which achieve more efficient delivery We are constantly working on formulation technologies that to the relevant site in the plant or pest, creating opportunities to obtain more value from less material. help us limit active ingredient rates without compromising the effectiveness of the product, with the objective of reducing the ADAMA has been investing in technologies that improve the delivery of active ingredients to their targets and in product's environmental impact. the analytical and biological tools necessary to measure and guide this type of development. It is anticipated that this next generation of formulations will do a better job of controlling crop disease, combating resistance, We have already achieved a number of successes over recent and enhancing farm yields and food supply, while requiring fewer crop protection active ingredients. This will years in our journey to create a more environmentally conscious limit our product footprint on the environment and in the food chain. portfolio. We target three main areas in our delivery technology efforts: Case Study: Soratel Rainfastness and Leaf/Insect Adherence The product is based on prothioconazol, a leading fungicide used Increasing the proportion of material remaining active on the leaves, thus reducing the amount of product to effectively treat a variety of diseases in key crops including needed to achieve the desired crop protective effects. wheat, barley, oil-seed rape and more. ADAMA's new formulation delivers 10-20% higher efficacy as compared to the original Penetration and Systemic Migration prothioconazole product, as well as higher crop yields, while using Driving more of the active ingredient into the plant toincrease the curative effects of our products, while the same amount of active ingredient per acre treated. administering smaller quantities and leaving less residue in the environment. Soratel supports our goal of helping feed the world in a more Bioavailablity and Controlled Release sustainable way. Enhancing active ingredient bioavailability through controlled release, targeting, and active ingredient protective technologies, to achieve more with less. Biological Products Development In 2021, we established a new team in our Innovation, Development, Research & Registration department which is focused on the development of biological products. Our sales and new product pipeline of biological products are still small, yet they are now growing faster than our traditional portfolio. Development of crop-protection products based on biological active ingredients poses a variety of challenges. For example, the biological efficacy is often lower than that of synthetic active ingredients, so farmer yields and economics are impacted, and with them the food supply. Therefore, what is required is a holistic approach that will create solutions that farmers can rely on. Thus, ADAMA seeks to encourage farmers to integrate the use of biological products in a hybrid model - for example, use of synthetic active ingredient-based products alongside biological products, to provide a full response to farmers' needs. Case Study: Bralic An exciting product developed by ADAMA in Mexico is now expanding globally to additional markets. Building on prior data showing that garlic has a favorable impact on insect infestation, Bralic is a biological product, based on garlic oil extract alone. We are proud of this new natural product with its favorable effectiveness - low environmental impact offering. We are currently working on developing additional courses of action in the field that will allow farmers to maximize existing cultivation limitations. 32 | 2021 ADAMA ESG Report| 33 Investing in World Class R&D and Formulation Centers Product Stewardship The new era of ADAMA innovations began with the establishment of the Innovation, Development, Research, We are committed to developing high quality, and Registration division (IDR) in 2014, which consolidated product development, formulation R&D, chemical sustainable solutions that are safe for both users and R&D, and registration functions under one roof. Better alignment of the work process and cooperation between the environment. Our products are developed to functions has enabled us to be more efficient, responsive, and agile, giving us the capability to develop cutting- meet the strict safety standards set by government edge next-generation products. authorities, and they undergo robust testing before they reach the market. ADAMA’s internal Quality In recent years, ADAMA has augmented its research Policy ensures that we constantly monitor our and development capabilities by hiring dozens of new products’ performance and customer satisfaction, researchers, and building appropriate infrastructure allowing us to address any issues that arise. and capabilities for synthesis and advanced formulations. In 2021, $150 million was invested in R&D toward more climate-friendly products (double the amount in 2020) Looking Adding over 20 molecules to create unique formulations and mixtures Ahead to address farmer pain points around the world. Launching new biological products. Our Global R&D Center in Israel In 2019, ADAMA inaugurated our newest R&D Center in Neot Hovav, Israel, relocating our traditional facility in GRI Sustainability Reporting Standards Beer Sheba and adding to our global R&D network in Agan in Ashdod, Israel; Hyderabad, India; Nanjing, China; GRI 413-1, GRI 413-2 and Londrina, Brazil. The new campus houses over 100 researchers and provides state-of-the-art laboratory facilities. The Neot Hovav complex covers all stages of research and development: from basic chemical Sustainabe Development Goals research, the development of processes and active ingredients, and formulation development and scale-up, to the final stages of developing new products for commercial use by farmers. The Center is also where we focus on building connections between academic research and industry bodies, making it possible to utilize cutting-edge scientific knowledge in the company’s market-leading products. End poverty in all it's forms Build resillient infrastructure, everywhere promote inclusive and sustainable industrialization and faster innovation Case sStudy: A unique program for chemists with Tel Aviv University As part of the company’s vision for the next generation End hunger, achieve food Ensure sustainable of crop protection products, in December 2019 we security and improoved consumption and production launched the ADAMA Center at Tel Aviv University nutrition and promote patterns with a $3.5 million investment. sustainable agriculture The ADAMA Center is a unique teaching program on formulation sciences, intended for postgraduate students from a variety of fields including chemistry, engineering, materials, and plant sciences. The ADAMA Center includes a novel curriculum developed jointly with the university and ADAMA, and a state of the art teaching formulation lab, and offers a number of PhD and MSc scholarships each year following a highly selective process. Our vision and investment in the Center demonstrate ADAMA's commitment to prepare the next generation of formulation experts, who are much needed as the field of formulation becomes increasingly critical to ADAMA and the industry at large. 34 | 2021 ADAMA ESG Report| 35 Agriculture Technologies "Farmers cannot work harder but can use smarter methods and tools. To that end, ADAMA is collaborating with innovative AgTech entrepreneurs who have been carefully selected to provide solutions to farmers' pain points. The synergy of chemical and technological ADAMA is committed to promoting innovative solutions to reduce our environmental impact. Integrating knowledge, born in these partnerships, allows farmers to minimize all agricultural technology (AgTech) into our solutions for farmers, together with our traditional product offerings, danger to crops, themselves, or the environment, and to apply products helps them use our products in a more effective way while increasing efficiency, reducing costs, and minimizing correctly and optimally". the potential impact on health, safety and the environment. Georgiana Francescotti Head of AgTech & Digital Services Registration Listen and Learn from Farmers and Distributors Our strategy is farmer centric, technology neutral. We start by listening and learning from the farmers about their challenges and pain points. Every farmer and every crop in every country, and every disease, weed and pest, is unique. It is in our DNA to work closely with farmers and learn about their different needs, in order to create unique and dedicated 'tailor made' solutions, while looking for opportunities to expand and adapt these solutions to other regions so that they become commercially viable. Our Approach to Developing AgTech Solutions Farmers face many challenges, such as the need to reduce costs and increase the quality and quantity of food, that Will Offer True Value to Farmers in the face of growing demand to reduce environmental impact and ensure crop health. All this while meeting constantly changing local regulations, on-going competition, and climate change. Expectations and demands We at ADAMA developed a strategy to guide us in implementing AgTech in a way that will offer the best from farmers are also changing. For example, consumers, who today more than ever emphasize environmental outcomes to all our partners involved in the process. Our guiding principles are: sustainability and health, expect farmers to offer smaller fruits for reduced consumption and food waste. Together with this, they need to gain larger yields from existing fields, and achieve all this using smaller amounts 1. We listen to farmers - have an ongoing of pesticides. dialogue with them and monitor their needs and challenges The main practical way to achieve all farmers’ aspirations is by encouraging innovation. 2. We map the challenges faced by AgTech makes it possible to bring innovation that provides a solution to the needs of farmers but also to the farmers today and identify pain points needs of the environment and growing population, by using less chemicals while maintaining the quality and quantity of the crop. 3. We scout for innovative technologies and initiatives that can provide a valuable solution. We use our extended database, global networks, conferences, and meetings. 4. We ask ourselves a series of questions in the context of how can we give true value to farmers: Does the innovative solution bring value to farmers? How does it answer their needs? How do we measure success? Is this solution suited to their needs? Is it possible to scale up the service to a wide range of farmers? 36 | 2021 ADAMA ESG Report| 37 Examples of AgTech Applications Case Study: Trapview (EFOS) a Pest Control Forecast to Improve Pest Control Trapview technology is an automated pest monitoring and forecasting application. It is an AI-based decision Case Study: support system that offers real-time analysis and forecast of the exact treatment required to be implemented in Eagle Eye - Drone Technology the field. Just as there is no one-size-fits-all solution, Trapview offers various models of traps in different shapes, (by Agremo) colors, or modes of attraction (pheromone, color, feeding attractant, or light) depending on the pest. The technology allows farmers to make more informed decisions in implementing proactive preventive treatment, Conducting field visits is one of our key actions to instead of reactive treatment, based on reliable and accurate data collection. demonstrate to farmers the efficacy of our products and to spend time with them, listening and learning ADAMA offers the technology in several countries around the world. about their needs and pain points. During the COVID-19 pandemic, we were denied this ability to conduct field research with farmers and partners. ADAMA Eagle Eye is a digital platform that uses AI to distill analytics from drone imagery to provide information about fields and crops. This application allowed us to virtually visit fields, collect 3-D images and data, and document the progress of our field trials. The technology has allowed us to reach many of our key partners through virtual field trials in a safe, efficient, and personalized manner. We believe that this technology will be part of a future hybrid solution for field tests and management, although it is clear to us that it cannot replace valuable face-to-face encounters we enjoy with our partners. Furthermore, this application allows us to reach many more farmers, distributors, and partners, who even under normal circumstances would not be able to meet us in the fields. GRI Sustainability Reporting Standards GRI 103, GRI 203-2 Sustainabe Development Goals We at ADAMA believe in collaboration. We are not a tech company, nor are we a software End poverty in all it's forms Build resillient infrastructure, development company. What we bring to the everywhere promote inclusive and table is our agronomy and chemical expertise. sustainable industrialization We look for the right tech companies so that and faster innovation together we bring the right solutions to farmers. As such, we maintain "technological neutrality" – we collaborate with start-ups but do not invest in their equity. It is important that we remain open to entrepreneurship and other innovative End hunger, achieve food Ensure sustainable solutions. This concept allows us the freedom to security and improoved consumption and production explore and maintain our approach that there is nutrition and promote patterns no one-size-fits-all solution. sustainable agriculture 38 | 2021 ADAMA ESG Report| 39 Our People Diversity and Inclusion We at ADAMA start everything with listening to and learning from our stakeholders, and it is most important when we want to promote a diverse and inclusive workforce. We believe that diversity and inclusion promote our business success, by bringing varied cultures, ideas and opinions to our company. That is why we have listened to the different populations with whom we work in developing our inclusive culture. Employing more than 9,000 people in over 45 countries, ADAMA cherishes the richness of numerous cultures and enjoys the benefits of this vibrant mosaic. At ADAMA, we aim to create an engaging, passionate, and empowering environment, where all our People have equal opportunities to grow and thrive. "Our People are our source of strength - and therefore, we invest great efforts in promoting their development and empowerment, in nurturing and promoting them within ADAMA, and in preserving and jointly developing our unique organizational culture. We pay special attention to diverse recruiting which enriches our wide range of opinions and cultures, and strengthens our creative thinking. All is based on the respect we have for each and every one of our People and on ensuring the ethical and fair infrastructure in everything we do." Mody Benaiah Evp People Our Growing Team Since 2017, our team has been growing rapidly, reaching 9,162 people by the end of 2021. Our employee turnover rate stayed within normal range, varying from 12.8% in 2020 to 13.7% in 2021. Our Employee Retention Rate in 2021 is 87% 40 | 2021 ADAMA ESG Report| 41 Total Number of People 2015 2016 2017 2018 2019 2020 2021 ADAMA Diversity Number of people 4,864 4,955 5,057 7,675 7,759 7,505 9,126 & Inclusion New Hires 2019 2020 2021 Our Diversity & Inclusion Ambition Employees 944 749 2,617 ADAMA evolved from a diverse group Managers 112 65 191 of entities and individuals. Our people End of Employment flourish when we embrace differences 2019 2020 2021 and empower them to be authentic. Employees 866 1,101 1,014 Managers 79 113 135 By valuing inclusivity, showing respect to all and embodying equality, we strive Our People’s roles to better the lives of others. During 2021, the dedicated D&I committee conducted extensive research to formulate ADAMA's new strategy - setting key pillars, goals, and dashboards, and defining projects to advance Diversity and Inclusion in the company. The committee gives guidance with regard to the promotion of gender and age equality, as well as the recruitment of people with disabilities. In addition, in relevant countries we are focusing on recruiting specific populations. For example, in Israel, cooperation has recently begun with the Co-Impact organization to recruit Diversity and Inclusion (D&I) Ambition employees from Arab society. In 2020, ADAMA established a global D&I Committee comprised of people from around the world, from various functions and diverse backgrounds. The committee developed a clear D&I ambition and drive the execution of various initiatives to improve and amplify the diversity of our teams and the inclusiveness of our culture. 42 | 2021 ADAMA ESG Report| 43 Case Study: Partnership in Israel with Gender Diversity Co-Impact – a Local NGO Integrating Arab Society in Employment 24.4% of workforce and 18.6% of managers are women Since 2020, ADAMA has been collaborating with ADAMA places great importance on encouraging the employment of women in all roles across the company, Co-Impact, a local non-profit organization aimed and recognizes the need to increase the percentage of women in the workforce. Wherever possible, we have at integrating employees from the Arab sector into established a policy of flexible work hours to enable our People to balance work hours and family time. We also Israel's economy and society. enable our People to do some of their work from home. As part of this partnership, we established a broad steering committee that includes senior ADAMA Workforce by gender people from nearly every functional group: People, Communications, Legal, IDR, and more.Together, we set goals and generated a work plan which was approved by the CEO. In early 2022, we communicated our work plan as part of our global diversity and inclusion policy, including materials that were translated into Arabic. Co-Impact assists us in locating talented candidates for various positions, and supports us in adapting our recruitment processes to this population. We are pleased to share that since the beginning of 2022, two women have been recruited from the Arab community, bringing us nearer to our goal of three new academic recruits from this sector for 2022. In fact, we are hoping to exceed the recruitment target set for this year. Additional activities included a recruitment conference with Arab students aimed at introducing them to employment opportunities at ADAMA, and community outreach projects. These and other activities were detailed in an annual progress report that was shared with the President of the State of Israel, Mr. Isaac Herzog. Age Diversity 31% of the workforce and 40% of managers are employees over the age of 50 At ADAMA, the age of our People is not a factor in hiring decisions, remuneration, or promotion. The company GRI Sustainability Reporting Standards believes that diversity regarding multiple parameters, including age, is important for the quality of work and the GRI 103, GRI 102-8, GRI 401-1, GRI 405-2 overall working environment. Workforce by age 591 4 2 44 | 2021 ADAMA ESG Report| 45 Growth and Development SPARK Learning Hub ADAMA’s learning hub offers multiple opportunities both from the company and using external resources, to train and inspire our People, anywhere Learning & Development Opportunities and anytime, and accessible in several languages. At ADAMA, we know that achieving excellence requires the highest level of professionalism alongside The platform combines in-house learning a robust company culture. ADAMA is committed to continually investing in our People’s personal and modules and ADAMA-specific content, our unique professional development. We provide our People with the knowledge and skills that will enable them to Marketplace of Opportunities offering interpersonal succeed in their present role, as well as prepare them to take the next step in their career. learning, workshops and mentoring sessions, as well as access to diverse content and courses from the LinkedIn Learning and Learning Edge online libraries. "When it comes to development and growth, ADAMA is like a candy shop with hundreds of jars filled with all kinds of candies, all with Learning Edge, Syngenta Group’s online learning platform, was integrated into Spark in 2021 which further different shapes, tastes and colors. Being a global company, active strengthens our continuous learning culture, with podcasts, videos, online courses, articles, and much more. in 50 countries, 20+ languages, with people in so many professions, from chemistry and agronomy to marketing, law, HR and more, we have plenty to offer. Whatever we want to learn, whatever direction we want to take our career, and given the right motivation and intrinsic Mandatory and Local Training capabilities, our People have the freedom to develop careers thanks On a global level, our People are required to complete to this unique abundance. There is nothing more gratifying as a online sessions & trainings, which cover various topics People professional than to see our People grow through development such as the ADAMA Code of Conduct, Health and opportunities within the company." Safety, Data Privacy and more. In addition, our local Michal Rozenkrantz sites offer training sessions and workshops that are Head of People Development specified to their local needs. Welcome to ADAMA Employee Onboarding Joining ADAMA can be the start of a fruitful and exciting partnership between the new colleague, their direct manager, peers, team and company. The first months are a time to learn; both for the new Forming Strong Leaders employee to learn about ADAMA, and for us to learn about our new team member. We believe that the success of a company is deeply grounded in the quality of its leadership. Our online onboarding platform is a collection of Our Leadership Framework describes the skills materials and tools that support this mutual learning, and behaviors that characterize a successful to ensure we onboard our people in a valuable, manager at ADAMA. The Framework serves effective and personal way. as the basis for screening and hiring senior personnel and drives the content of various management development programs, succession plans and manager evaluations. 46 | 2021 ADAMA ESG Report| 47 "Maestro" Global Career We designed a Managerial Development Program Development Program called "Maestro", based on our Leadership Framework. We introduced a global Career Development Program which includes online workshops intended for both This program aims to strengthen ADAMA’s managerial employees and managers. The purpose of the workshops aimed for employees is to provide the opportunity to community, sharpen managers’ influence skills get acquainted with their strengths, learn how to explore further opportunities, understand what skills they need and foster a winner’s mindset, which together help to fulfil their aspirations and put a plan in place for future development. As for managers, the workshops strive reinforce ADAMA’s DNA. to empower career development by providing our leaders with the framework and tools to hold a fruitful and efficient career dialogue and support their employees' career journey. We have developed a “managerial toolbox” to promote the integration of the Leadership Framework into daily routines. These tools include fortifying personal resilience, building trusted relationships, growing and empowering people, increasing team Internal Mobility effectiveness, and promoting effective relationship interfaces. 35% of all open positions were filled internally in 2021 We aim to provide our People with room for growth. Our internal mobility policy encourages and enables our We strive to help our managers develop the skills that will enable them to successfully lead in complex people to pursue complete, long-term careers within the organization. environments. We believe that it is in everybody’s best interest to provide full support to team members who want to grow and In 2020, with the start of the pandemic, the "Maestro" program was transformed to take place in a virtual advance to a different role within ADAMA. For this reason, our internal mobility policy sets a clear priority for format and we continued growing our leaders. In 2021, we completed 20 programs, adding over 200 leaders all internal applicants over external applicants for open positions at ADAMA. After working for two years at ADAMA, over the world to our Global Maestro Alumni community. any employee may apply for a new position within the company. All applicable jobs are available on the internal career portal and are published two weeks before becoming “Leadership Pathway” publicly available. For senior leaders we’re conducting a special leadership program called “Leadership Pathway”, for providing participants the skills and knowhow for developing resilient, future-proofed teams. The program aims to provide its participants with the skills to: GRI Sustainability Reporting Standards Cultivate greater self-awareness to both leverage existing strengths and intentionally develop leadership gaps GRI 103, GRI 102-41 Proactively manage both theirs and the team’s energy and resilience to add value to the business, even during challenging times Sustainable Development Goals Develop future-proofed teams by anticipating challenges and boosting the empowerment of their teams through a coaching approach Gain clarity on how to manage through continuous change, and drive their team’s objectives in a VUCA Ensure inclusive and equitable environment quality education and Improve influence, communication, and executive presence to strengthen their network and brand in the promote lifelong learning organization opportunities for all. Embed the principles of agile and self-directed learning in themselves and their team to enable micro-changes with exponential impact Talent Mapping Our annual “High-Performance: High Potential” (HiPo) mapping process takes place among our Leadership Community, including our People who are one-level below Leadership. The purpose of this process is to assess our bench strength and support our high potential employees (HiPo’s) with creating Individual Development Plans including a variety of learning opportunities through coaching, mentoring and various training sessions. Management discussions regarding People issues are conducted on a quarterly basis. Our Leaders and People Business Partners accompany our HiPo’s in their development journey. 48 | 2021 ADAMA ESG Report| 49 Ethical Employer Freedom of Association ADAMA recognizes the right of our People to join trade unions, conduct collective negotiations, At ADAMA, we are committed to creating an environment in which everyone is treated in a fair manner. and enjoy all the rights available to them through We strive to support equal opportunities without discrimination in hiring, compensation, access to training, their membership in those unions. We have never promotion, termination, or retirement, for all our People and employee candidates. restricted freedom of association, and we continue to support the process of collective negotiations that ADAMA neither distinguishes nor discriminates on any occasion on any basis, including gender, race, sexual cover pay rates, working hours, certain benefits, and orientation, religion, nationality, age, disability, marital status, union membership, or political affiliation. ADAMA other terms and conditions of employment. is an active human rights supporter and fair employer. Employee Assistance Fair Employment Program (EAP) ADAMA complies with all relevant labor and employment laws in all countries At ADAMA, the health and safety of our People in which we are active, including the payment of required minimum wage or remains our priority, and many life-events, whether above. they are predictable or come as a surprise, impact our emotional, psychological, and social well-being, The conditions for employment at ADAMA are determined by collective agreements, personal contracts, or affecting how we think, feel, and act. other arrangements, in accordance with the relevant laws in our countries of operations. In many cases, we have established employment. The Employee Assistance Program (EAP) is an independent counselling and resource service available 24/7 to all our People and their families in local languages, providing confidential access to Full and Partial Employment professional counselling and helpful resources. At the end of 2021, only 17 of our People were employed part-time. Human Rights ADAMA is committed to protecting the human rights of all people. We place great importance on this value Fair Remuneration and view it as a cornerstone of our activities. ADAMA provides our People with all the benefits required by law – and in many cases more than that required Moreover, we see compliance with the Code of by law. To help us define criteria for salaries and benefits, we conduct annual salary surveys (salary benchmarks), Conduct and applicable laws as the responsibility of which help us evaluate the standard for our terms and conditions versus the market in each country. each individual. We invest great efforts into identifying This is especially prominent during the process of Fair Employment, our global annual compensation review and working with business partners who conduct their process. The benchmark survey focuses on parallel or similar industries around the world. Our goal is to provide operations in a similar manner. remuneration that is equivalent to, or surpasses, that in local markets. GRI Sustainability Reporting Standards Anti-Harassment Policy GRI 103, GRI 102-41 ADAMA has a zero-tolerance policy for discriminatory, harmful, harassing, or humiliating behavior towards our Sustainable Development Goals People. We have established a clear policy against harassment, and we conduct training sessions to ensure the requisite respect towards one another. We place great importance on this matter, and handle any complaint with immediate attention and the utmost seriousness. ADAMA acts in accordance with applicable laws, relevant Promote inclusive and sustainable economic growth, employment and decent agreements, and the company Code of Conduct. work for all Sustained and inclusive economic growth can drive progress, create decent jobs for all and improve living standards. 50 | 2021 ADAMA ESG Report| 51 Health and Safety Some sites have a dedicated program on the subject, such as the wellbeing program we conducted in India last year. This particular site employs close to 500 people and therefore, safety is of paramount importance. Accordingly, we have formulated a proactive plan that expands our efforts to promote employee health and safety in the context of the employee experience – focusing on empowerment, enablement, and engagement. At ADAMA, we believe that everyone is entitled to a work environment that is both safe and healthy. To fulfill Various safety infrastructural processes were implemented alongside new initiatives that deal with a variety of this commitment, we strive to proactively address health and safety risks, identify skill gaps, and promote a issues such as: Physical & Mental Health; Safety Culture Development; Job Responsibility Design; Fun at the safe organizational culture. Our commitment to health and safety is formulated in the Global HSE policy and Workplace; and more. supported by the ADAMA Code of Conduct. The program includes training sessions, periodic inspections, thematic happenings, safety competitions, and gamification to ensure employee involvement. We are proud to share that the program is a success and shows a consistent increase each year in employee engagement, one of the main objectives of the program. Emotional Connection & Commitment Reward & Recognition Engagement Development Opportunities Quality & Customer Focus Fun at work Participation in initiatives Cross functional culture Employee Employee Trust Experience Role Optimisation Clear Roles & Supportive Environment Responsibilities Performance Superior Willingness to Management Delegate Resources Job enrichment Empowerment Enablement Training Clear Expectations Job Design & Work Independent decisions Processes In accordance with our mission to Collaboration & better listen and learn, we actively Information Sharing involve employees in formulating Support initiatives to improve their safety and well-being. For example, we have Physical Amount of activites regular meetings of employees and Eating & drink Habits managers to discuss ways to improve Daily routine our performance. We also use our internal communication channels to invite employees to give us feedback and share suggestions for initiatives we Well-Being should implement to improve our conduct in the field. Mental Social Ability to handle the A Positive & Another important means of stress of life Supportive Social employee involvement is our learning Maintain positive Network processes from actual events that are attitude based on listening and learning from Sense of purpose the employees themselves on ways for improvement, and then sharing insights gathered. 52 | 2021 ADAMA ESG Report| 53 We have promoted a wide range of proactive initiatives and practices in the Monitoring and Assessment past three years that has resulted in our increasing performance in HSE. The We measure and monitor all processes and perform in-depth analysis of each safety incident, so that we are journey to achieving our ZERO accidents goal is full of challenges, but we will better prepared to prevent recurrence. continue to invest the necessary efforts and resources to achieve it. ADAMA’s Global HSE team hosts monthly meetings with HSE managers from all our sites, and with all our “Our employees are our top priority and therefore, we are committed senior management. These meetings provide the opportunity to discuss the current safety indicators’ status, to investing everything necessary to ensure their health and safety. We and determine what steps we should take to strengthen and monitor their implementation. Additionally, we work in accordance with a clear and systematic plan, based on global measure and publish monthly safety KPIs and reports. During 2021, we started a quarterly review meeting with standards, to ensure compliance with the zero-accident target." our operational sites, and a monthly meeting with the Chinese site (due to its size). Yossi Kronman Periodic tests are held to ensure the health of our employees. These may include blood and urine tests to help Former Head of HSE Standard & Operation Excellence determine whether employees have been exposed to unsafe substance levels. In addition, we hold periodic tests at all our manufacturing plants, to determine the level of hazardous materials that may be present in each working area. During 2020, we conducted two comprehensive HSE Internal Reviews due to Covid-19 guidelines. Managing Health and Safety Analyzing HSE Risks While managing our employees' health and safety In recent years, we introduced a new management review process that includes root cause analysis. Besides is important in all our facilities around the world, it analyzing the direct cause of incidents and their physical consequences, this analysis helps us identify their is especially crucial at our production sites, where underlying roots – meaning, the source of the cause we need to tackle. the potential for accidents, exposure to hazardous We conduct a safety monitoring process for all our sites, in accordance with a dedicated matrix that tracks materials, and erroneous use of equipment is higher their proactive safety activities with clear goals and KPIs. The sites report on an ongoing basis, according to this than at other facilities. matrix and according to their size, with larger sites reporting more often than smaller ones. Sites are divided Our sites are governed by localized HSE policies and according to small sites with up to 100 employees, medium with 100-300 employees and large sites with over guidelines. We are in the process of completing ISO 300 employees. certifications for all our sites with ISO 45001, 14001 The proactive safety activities matrix includes measuring and reporting on near miss and unsafe conditions, certifications expected by the end of 2023. unsafe condition closure ratios, site manager tours, HSE personal safety tours, safety committees, training, exercises, and more. By the end of 2021, 57% of our sites were ISO 14001 certified and 43% were ISO 45001 certified Direct Cause Root Cause Global HSE Processes icie s, d Com mitm e 4% 14% Pol ard an acc and nt Wrong Behavior Ignore Risk n d ives ount Sta bject abilit In 2021, we continued to build our global safety processes, by: o y 27% 19% pa d s as nd c 2% ca an rce Reporting according to Syngenta Group standards a se on y Ris men ol Wrong Tool Ignore Risk u lit ss tr 70% so No PPE k bi Leadership Building the overall HSE model and system Re Poor Risk ts Recording 213 events, of which 179 were low severity and near miss 16% Asessment 10% implementation Management reporting and Stakeholders Managing Covid-19 aspects across all global locations Monitoring. No PPE customers Desigen learning The Risk and Building our process safety education program Fundamental Training and certifying new process safety engineers 4% Taking an active part in major safety projects Work Procdure 4% m ety As view em t Continues im re rov en ge af su a en Poor p Improvement na ss S ra n ts 8% nc d Our process safety is led by proactive Job Hazards and Process Design Ma oce 18% e Risk Pr Exe Safety Analysis (HAZOP, JSA, PSA) and is based on the 20 c act ution nd Work Enviorment Asessment ns a s ivit of Pla edure OSHA elements for assessment, which are followed closely and ies Proc documented. 54 | 2021 ADAMA ESG Report| 55 Developing H&S Culture 5. Dedicated training for emergency crews Injuries Safety conversations - for managers and employees on the subject Safety is automatically Monthly enrichment sessions At ADAMA, we aim to build an incident-free work 4. integrated into our business environment, in which safety is automatically Safety is a recognized value, Communication regarding lessons learned post-accident – after each event in a one-pager to all integrated into business practices. We are already 3. company employees with focus on culture halfway to achieving our goal, and our main BEING SAFE All sites measure, monitor and report back on the safety training they have undertaken. Regards safety as a priority and focuses on 2. a safety management system managerial focus is now concentrated on developing an organization-wide safety culture, which will Complies with local legal regulations ACTING SAFE influence all our employees’ behavior. 1. No interest in safety Communicating About Safety Time - HSE Portal The steps towards incident-free work environment To make communication about safety more accessible, we launched an HSE portal with all the relevant information, which is now available to all employees. Health and Safety This information includes policies, updated global Commandments procedures, tutorials, and KPIs. To create a simple, unified H&S approach across our global sites, we have created our own “safety commandments.” Containing ten clear and concise rules, the guide has been translated into local languages and is posted in a central location at all our facilities, so it is visible to all employees. HSE Apps - ADAMA-Safe To further ensure convenience in accessing the safety information, we have developed and launched an HSE app. Aligning with Syngenta Group All our sites adopted local mobile applications that are used to report unsafe conditions, including assigning During 2021, we finalized our full integration of Syngenta Group’s life-saving rules, and communicated them incidents to the responsible party, tracking progress, across the organization. and handling the hazard. Training on HSE Injuries KPI Analyzing site safety challenges has led to employees According to OSHA, there were 49 recordable injuries taking greater care and thereby avoiding many at ADAMA's sites in 2021. Although ADAMA increased accidents. Therefore, we invest a great deal resources its total number of employees during 2021 by opening in training our employees and in prevention,including: a new site in China (an increase of about 30% in the total number of working hours), we were able to Mandatory training for all employees - each continue and show improvement in this KPI. employee must undergo a refresher training of one to two days, according to the site’s local regulations site Most injuries (~60%) were cuts of various types, and Local safety risks - all employees undergo annual there was a number of fractures. Unfortunately, we training regarding the risks in their specific work had two cases of severe cuts and one hip surgery. environment About 16% of accidents were related to exposure to chemicals (two from 2020). During 2021, we had 1,744 missed days due to injuries, double that of 2020, due to three events that accounted for 833 sick days, and accidents from 2020 that continued into 2021. 56 | 2021 ADAMA ESG Report| 57 Five of our sites had ZERO injuries during the last three years - Poland, CSI, Tifton, Ocilla, and Mexico, and we encourage all our sites to follow their success. It is important to emphasize that we treat all employees as equals, which is why the number of accidents In 2022, our goal is to decrease total injuries by 10% includes permanent employees, contractor employees, and accidents on the way to and from work. Looking In 2022, we plan to audit our international sites, as soon as the Ahead Covid-19 limitations are eased We achieved a continuous reduction of the injury rate since 2012, reaching 0.45 in 2021 Operational Injury Rate 2015-2021 1.49 GRI Sustainability Reporting Standards 1.51 GRI 103, GRI 102-7, GRI 102-8, GRI 404-2, GRI 404-3 1.21 Sustainabe Development Goals 0.76 0.58 Build resillient infrastructure,promote inclusive and sustainable 0.46 0.45 industrialization and faster innovation 2015 2016 2017 2018 2019 2020 2021 Managing Health and Safety During the COVID-19 Pandemic The Covid-19 pandemic has forced us to formulate new mechanisms adapted to the new constraints, to continue to ensure the health and well-being of our workers in their homes. Therefore, we have established new guidelines and protocols, including implementing the following steps: Ongoing monitoring of the number of workers in isolation, active infections, etc. We are sorry to report that we lost 10 employees to the COVID-19 pandemic. We investigated and we could not find that the infection took place on site. ADAMA provided support to employees who fell ill due to COVID-19, including support for family members, delivery of medicines, ensuring hospitalization and the best local medical services, etc. ADAMA proactively donated oxygen machines to a local hospital in India, which serves the community close to our site there. 58 | 2021 ADAMA ESG Report| 59 Our Environment Our Environmental Impact As a global agrochemical company, we strive to minimize our environmental impact while supporting farmers' efforts to increase global food production in a more sustainable way. We take a comprehensive approach to monitoring our environmental impact and mitigating risks at every stage of our product life cycle, starting from raw material supplies, to production, transportation, application, and all the way to end-of-life management. This approach enables us to continuously improve our environmental performance indicators. Our environmental sustainability policy was designed based on listening and learning from farmers, employees, surrounding communities, environmental organizations, and other stakeholders. This is how we become familiar with their expectations from us, and with innovative technologies and ways that can help us better manage in the field. We actively work to engage the communities living near our operation sites, to jointly create projects that reduce potential disturbances. In our production plants, we host regular community dialogues to listen to and address public concerns. For example, we send a biannual operational update to community leaders, as well as run a verified monitoring station that transmits real-time information about chemical emissions, so our stakeholders can be certain that we are well below admissible levels. HSE Management To put our commitment into practice, we have established and continuously maintain an effective environmental management system for most of our production processes, based on the International Standard ISO 14001. Our Health, Safety and Environment (HSE) Policy adopts a sustainable approach to protecting both our People’s health and safety, and the environment, by promoting renewable energy, recycling, and emissions reduction. We strongly maintain our commitment to the nearby communities, and foster a corporate culture of individual responsibility at all our sites. 60 | 2021 ADAMA ESG Report| 61 Making Environmental Progress – Beyond Compliance Despite our growing production volumes, we are committed to outperforming regulatory requirements and dramatically limiting our energy, water, and hazardous waste footprint. We have launched a variety of projects that will steadily improve our environmental performance in absolute terms over the coming years. "At ADAMA, we make sure that the HSE field is managed methodically and systematically to ensure significant achievements over time and as part of our commitment to sustainability, which is embedded in our core business. Our publicly published reports and ESG ratings reflect our progress, and we are proud of it." ADAMA has updated its HSE and Sustainability Policy to include aspects of process safety, which are associated Eran Segal with environmental incidents such as spills and release. Moreover, ADAMA formulated four new environmental Head of HSE and sustainability procedures covering two-way impact, quantification methods, and short- and long-term and Operational Sustainability activities to meet its global and local sustainability goals. The procedures focus on the following topics: Carbon footprint Water resources use Hazardous materials and waste Reporting and transparency Investing in a Greener Future In 2021, we increased our investment in preventing and mitigating environmental risks while reducing the 2021 Highlights potential environmental effects of our activities. Specifically, we constructed a new chlorine gas production facility, shifting from technology based on mercury to a membrane-based technology. Moreover, we built a new 5000m3 wastewater reactor and 1000m3 balancing pool to enhance treatment efficiency and redundancy. We installed two new scrubbers to upgrade our air emission control measures. Our facilities are managed according to stringent European directives or analogous local regulations. 2019 2020 2021 Investment in facilities (million $) 9 19 60* 30 % 51 % 36 % Current costs (million $) * Including China ( 19 million USD ) 48 51 54 Decrease in GHGs emission Decrease in TOC discharge more recycle and per tonne production from per tonne production from reused hazardous waste averaged values 2011-2020 averaged values 2011-2020 compared to 2020 62 | 2021 ADAMA ESG Report| 63 Sustainable Operations Pillars Technological and Organizational Solutions We operate five (5) major synthesis sites and twelve (12) formulation and packing sites. Hazardous waste Condensation system to reuse solvents In 2021, the new Chinese subsidiary, Jiangsu Huifeng Bio Agriculture Co., Ltd, started to report on its Dewatering system for reducing volume of sludge environmental and sustainability performance. Recycling of used plastic packages Whenever significant changes or new operations are planned, we first carry out a survey to identify potential Noise nuisance Silencers on stacks and equipment environmental risks. Physical barriers around workshops We strive to improve our production processes by integrating advanced technological and environmental solutions at all our sites. Acoustic walls Accident prevention Only certified drivers handle hazardous materials Warehouse employees are trained in safe loading and storage of hazardous materials Warehouses managed in compliance with storage safety constraints and labeling requirements, according to UN code and SDS Facility floor covered with leach-proof concrete and drainage trenches Ground water, marine environment, and air pollutants are monitored in areas surrounding the plant Our 2024 Environmental Goals: 10% reduction in energy generated by fossil fuel Looking in absolute terms and/or per tonne production Ahead from 2019 values 15% reduction in hazardous waste disposed to landfill or incineration in absolute terms and/or per tonne production from 2019 values 10% reduction in water consumption Meeting ADAMA's emissions goals and continuing our journey to become a more sustainable company in absolute terms and/or per tonne production compels us to apply the best available technologies. The following technologies were adopted by ADAMA to from 2019 values. realize our environment and sustainability vision: Pillars Technological and Organizational Solutions Water and wastewater Biological wastewater treatment plants and desalination plant Treatment and reuse of effluents Closed-loop cooling towers Clean-in-Place (CIP) water reuse Energy use Use of steam and electricity generated by cogeneration natural gas plant Renewable energy sources Air pollutants and odor Thermal oxidizer units nuisance Denoxers based on ammonia injection Scrubbers Activated carbon systems Sieve and HEPA filters Magnetic pumps 64 | 2021 ADAMA ESG Report| 65 Sustainability Assessments Learning and Improving ADAMA is continuously improving its sustainability performance in leading global and local ESG ratings. Since 2022, ADAMA HSE and sustainability newsletters have provided global information on new regulations, EcoVadis and Maala (Israeli sustainability ranking organization) ratings focus on environment, labor and human major HSE incidents, and sustainability activities of agrochemical companies. The goal is to expose our HSE rights, ethics, and sustainable procurement. teams to upcoming regulations, implement corrective actions from external HSE incidents, and to learn about sustainability activities within our industry. CDP (Carbon Disclosure Project) focuses on climate change impact, disclosure practices, targets, policies, and governance. EcoVadis ranked ADAMA for 2020 data at “Bronze” level and Maala as “Platinum+”. HSE and Sustainability The 2021 assessment is ongoing for both initiatives, and final scores will be available towards Q3 2022. CDP ranked ADAMA as D, typical for first year companies, starting their climate change journey. We used these ESG ratings to analyze the results, formulate a detailed gap analysis and prepare a multiyear plan. Sep - Dec 2021 Territory Territory Title Title Links Links Regulation UKUK Amid fears ofofchemical shortages, the Environment Agency introduced aa waiver that Amid fears chemical shortages, the Environment Agency introduced waiver that >> Regulation >> enabled companies that cannot comply with permit conditions to skip the nal stage of enabled companies that cannot comply with permit conditions to skip the nal stage of wastewater treatment, valid until the end of 2021. wastewater treatment, valid until the end of 2021. US The EPA is to set an industrial wastewater discharge limit for the release of PFAS from >> US The EPAinis numerous industrial wastewaterthedischarge limit for the release of PFAS from to set an industries, including >> >> plants organic chemical industry. >> plants in numerous industries, including the organic chemical industry. US The EPA ordered to gradually phase down the use and production of hydro uorocarbons >> US The EPA ordered within the nextphaseyears asthe useofandeproductionreducehydro uorocarbons >> (HFCs) by 85% to gradually 15 down part its orts to of greenhouse gas >> >> next 15 reduce part its e (HFCs) by 85% withinthetherule couldyears as globalofwarmingortsbytoupreduce greenhouse gas emissions, claiming to 0.5 °C by 2100. emissions, claiming the rule could reduce global warming by up to 0.5 °C by 2100. US In order to ght hazardous pollutants, the EPA agreed to review and propose new >> US Inemissiontostandards for plants that produceEPA agreedorganic chemicals by thenew order ght hazardous pollutants, the synthetic to review and propose end >> >> emission standards for plants that produce synthetic organic chemicals by the end >> of 2022. of 2022. Brazil The National Council for the Environment (CONAMA) approved end of limits on polluting >> Brazil The Nationalfrom oil platforms,Environmentcouncil appealed againstendlawsuit ledonbypolluting >> emissions Council for the after the (CONAMA) approved a of limits the Federal from oil platforms, opposed the proposal to emissionsPublic Ministry whichafter the council appealedendagainst a lawsuit led by the emission limits. Federal Public Ministry which opposed the proposal to end emission limits. Brazil - The Governor of the state published a decree requesting to extend water emergency >> Brazil - The Governor preventstate published a decree requestingthetoWater andwater emergency(IAT) >> Paraná measures to of the waste. According to the decree, extend Land Institute Paraná legal waste. According to the the restrictions on and measuresoftoitspreventattributions, will evaluate decree, the Water waterLandowInstitute (IAT) the use granted for the use of its legal attributions, will evaluate the restrictions on water ow granted for agricultural, industrial and commercial activities. with the industrial and commercial training We treat all accidentsagricultural,highest care, and invest inactivities. and a culture of safety, so that even though weColombia guarantee a zero-incident rate, we can learnDevelopment cannot from mistakes tothe >> preventClimate occurrences. future Colombia Action Law, Environment and a roadmap for the country on >> The Ministry ofwhich will function asSustainable Development passeditsthewaynewto Climatecarbon reduce >> Action Law,bywhich will functiondeforestation byfor2030 and achieveitscarbon toneutrality carbon as a roadmap the country on way reduce >> emissions four byThe40%,incidents,zerowhich were of reducing and emission factor treated. In 2020, we experienced 2050.major40%,reachalsozerosetsdeforestationimmediately containedcarbon ofneutralityoxides emissions by new law reach the goal by 2030 the achieve and nitrous 80% per unit of sets the production plants the chemical of fertilizer sectors. byby2050.toThe new law alsoproduct ingoal of reducing theinemission factorand nitrous oxides up by up to 80% per unit of product in production plants in the chemical and fertilizer sectors. Mexico The Secretary of the Environment introduced the Management Program to Improve >> Mexico >> Case Study: Odor Nuisance at The Secretaryin ofthetheMetropolitan Area of the ValleyManagementwhich involves Improve to Air Quality in the Metropolitan Area of the Valley of Mexico, whichasinvolves an update to >> >> Makhteshim Production Site, Neot the regulatoryschemes to control emissions in priority industries. as applying auditing and Our 2024 Environmental Goals: Hovav Israel (2021) surveillance schemes to control emissions in priority industries. EU The European Commission adopted a proposal o ering new limits for Persistent Organic >> Looking ADAMA intends to join the Together for Sustainability Initiative (TfS) of global EU The European Commission adopted a proposal o ering new limits for Persistent Organic >> Poor control of PCMM (Perchloromethylinmercaptan) Pollutants (POPs) waste, including PFOA, dicofol and pentachlorophenol. chemical companies, which aims to deliver the de facto global standard for Ahead environmental, social, and governance performance of chemical supply chains. facility caused an odor emissions from a productionPolish Ministry of Climate and Environment published a bill to tackle the waste Poland The >> nuisance atPolandsite andTheneighboring communities.andWeEnvironment published a billadopted in Q1the2022. >> Therefore, to enable us to join, we are making a continuous effort to increase our of the chemical plants in large-scale brown elds, to be adopted in Q1 2022. identified the root causedisposal byemissions and replaced EcoVadis score to at least 60 (current score is 52). Spain >> The decrease emissions and a bag filter system to sharplyGoverning Council of Castilla y León approved the Plan for Improving Tropospheric >> Spain The Governing Counciltheof region, which includes measures tofor reduce nitrogen oxide, We will also continue our efforts to improve our CDP score. odors. Ozone Airorganic compounds andwhich includes measures to reduce nitrogenindustrial volatile organic compounds and ozone precursor pollutants emissions from industrial sources. >> E Events US One contract plan worker of Zachry Group died after being exposed to unidenti ed >> >> HSEEvents US One contractat plan BASF chemicalZachry Group died after being exposed to unidenti ed >> >> 67 66 | chemicals at a BASF chemical plant in Louisiana. 2021 ADAMA ESG Report| >> >> US Six contract employees were injured by an explosion at Westlake Chemical's Petro >> >> >> US SixComplex plant in Louisiana. injured by an explosion at Westlake Chemical's Petro >> Case Study: Overflow of Effluents from a Storage Tank at Makhteshim Production Site, Beer Sheva, Israel (2021) Energy, GHG and Air Quality We stopped effluent flow in the pipe, pumped excess effluents to a tanker back to the wastewater treatment plant, identified the breakdown point, and fixed the broken pipe within a few hours. An electrical check to detect We are committed to reducing our GHG emissions and improving the air quality surrounding our sites. Explicitly, leaks along the pipeline was embedded into routine maintenance to prevent future issues. we are committed to reducing our absolute and/or per tonne production energy generated by fossil fuels by 10% by 2024 (2019 baseline), through developing and promoting solutions that support efficient and responsible energy use. Despite production enhancement in 2021, we have succeeded in maintaining energy consumption at a similar GRI Sustainability Reporting Standards level, and we were able to bring an approximately 30% decrease in GHG emission per tonne production from GRI 103, GRI 102-9, GRI 102-44, GRI 307-1, GRI 413-1, GRI 413-2 average values 2011-2020. Sustainabe Development Goals Carbon Footprint Measurement With our renewable and energy efficiency projects, wastewater treatment and recycling activities, and soil and groundwater reclamation, as well as our green revamping of our Chinese facilities, we aim to contribute ADAMA collects energy data from production sites and calculates its carbon footprint digitally. During 2021, to the advancement of UN Sustainable Development Goals 6, 7, 9, and 12, focusing on the following ADAMA revised its scope 1 carbon footprint emission factors from CO2 only to CO2e, which accounts for more subtargets: greenhouse gases (e.g., CO2, N2O, CH4, HFCs, PFCs). The new emission factors follow the UK Department for Environment, Food & Rural Affairs reporting guidelines. 6.3 By 2030, improve water quality by reducing pollution, eliminating Similarly, scope 2 carbon footprint emission factors, electricity and steam, were adjusted for each supplier, dumping and minimizing release of hazardous chemicals and materials, according to supplier specific data or the energy mix of the region/state electricity supplier. halving the proportion of untreated wastewater and substantially increasing recycling and safe reuse globally. 7.2 By 2030, increase substantially the share of renewable energy in the global energy mix. 9.4 By 2030, upgrade infrastructure and retrofit industries to make them sustainable, with increased resource-use efficiency and greater adoption of clean and environmentally sound technologies and industrial processes, with all countries taking action in accordance with their respective capabilities. 12.4 By 2020, achieve the environmentally sound management of chemicals and all wastes throughout their life cycle, in accordance with agreed international frameworks, and significantly reduce their release to air, water and soil in order to minimize their adverse impacts on human health and the environment. 12.5 By 2030, substantially reduce waste generation through prevention, reduction, recycling and reuse 12.7 Promote public procurement practices that are sustainable, in accordance with national policies and priorities. 12.A Support developing countries to strengthen their scientific and technological capacity to move towards more sustainable patterns of consumption and production. 68 | 2021 ADAMA ESG Report| 69 CO2 Emissions, (Tonne) Green Energy 2014 2015 2016 2017 2018 2019 2020 2021 The transition to cleaner energy consumption is part of our long-term goal to reduce our impact on the environment and our GHG emissions. Our production sites in Spain, Colombia, and Brazil utilize renewable CO2 (tonne) 383,051 386,773 251,956 237,942 242,249 241,163 214,437 276,061* resource-based electricity. * CO2e emission factors were embedded during 2021 At our Spain site, we switched to 100% renewable resources, based on solar panels and wind turbines. In Brazil and Colombia, we purchased electricity that was mainly generated by a hydroelectric power station, Energy Consumption, (TJ) combined with biomass combustion resources. Solar panels were installed on the roofs at ADAMA production sites, with a large 300KWH installation at the 2013 2014 2015 2016 2017 2018 2019 2020 2021 Agan logistics center. During 2021, the Dahej site (India) installed 25KWH solar panels on its warehouse roof. Energy consumption, (TJ) 3,313 3,272 3,312 3,243 3,227 3,344 3,493 3,250 3,758 The Bonide site (USA) has been running solar panels on its roof for several years. ADAMA Solutions data. The performance of our two Chinese sites is reported separately. Saving energy will be achieved also by reducing the demand for electricity by replacing poor efficiency electrical units (e.g. motor, compressors, and lighting) with high efficiency ones. ADAMA has a designated budget to support such environmental initiatives. Yet renewable energy adoption and energy conservation plans are not sufficient to meet the estimated 15% GHGs emission reduction required to offset the global warming effect, by targeting a 1.5°C global temperature increase by 2030, as calculated by the CDP (Carbon Disclosure Project) and SBTi (Science Based Targets initiative) organizations. Therefore, we expect to accelerate the utilization of carbon-free fuels as hydrogen, and carbon neutral fuels as biomass (wood). 2022-2023 Energy Conservation Actions The high energy-efficient chlorine gas production with modern membrane Looking technology will enter commission in 2023, potentially saving up to 45% energy Forward usage per tonne of product. Agan is going to operate 38 electrical ion forklifts, saving 185,000 liters of diesel annually. Reducing Energy Use On-going upgrade of energy-inefficient equipment, such as medium to large motors. Energy Cogeneration Shifting to LED lighting technology. Cogeneration is an environmental improvement, as it allows us to use the same energy twice. Natural gas drives the first turbine and residual heat generates steam to drive the second turbine, which is reused by our facilities for heating processes. Two cogeneration power plants running on natural gas supply electricity and steam to our Makhteshim and Agan Air Quality facilities, which account for 82% of our total electricity consumption and 93% of total steam consumption. This has We invest extensive resources in mitigating air emissions at our production plants, to meet and exceed air allowed us to reduce our fossil fuel use and indirectly reduce greenhouse gas emissions by 30% since 2015. quality standards. We acknowledge the importance of disclosing particulate matter (PM) emissions, and started collecting this information in 2020. During 2021, additional production sites monitor PM and implement the best available technologies to control the risk. Use of energy sources (%) The elevated NOX emissions can be attributed to the increased use of fossil fuel. No change was detected in 2019 2020 2021 SOX due to use of low sulfur fuel. Electricity 40 40 37 Steam 30 28 26 Internal production (Fossil Fuels) 30 32 37 * ADAMA Agricultural Solutions data. The performance of our three Chinese sites is reported separately. 70 | 2021 ADAMA ESG Report| 71 2014 2015 2016 2017 2018 2019 2020 2021 Water, Effluents and Waste NOX (tonne) 114 100 60 90 106 129 97.3 114.3 SOX (tonne) 67 31 32 22 32 48 21 20 Reducing Water Use Water is an essential resource that is used in our production cycle. Explicitly, we are committed to reducing our PM (tonne) 14 21 absolute and/or per tonne production water consumption by 10% by 2024 (2019 baseline), through developing ADAMA Agricultural Solutions data. The performance of our two Chinese sites is reported separately. and promoting solutions that support efficient and responsible water use. Reuse of wastewater, cooling water, and wash-water are the major practices implemented by ADAMA. Water Consumption (m3) 2022-2023 Air Quality Target Looking During 2023, ADAMA Makhteshim and ADAMA Brazil are going to install two new 2013 2014 2015 2016 2017 2018 2019 2020 2021 2024 regenerative thermal oxidizers (RTOs) to better control organic air pollutants. Forward Water ADAMA’s hydrogen production capacity at Makhteshim is going to increase consumption 3,616,837 3,521,101 3,517,081 3,631,392 3,231,135 3,503,711 3,580,210 3,586,590 3,575,850 3,222,189 significantly in the coming years. As hydrogen is a zero GHG fuel with 3 times the (m3) amount of energy as natural gas, ADAMA works to extend the use of hydrogen fuel in its thermal oxidizers, replacing natural gas. * ADAMA Agricultural Solutions data. The performance of our three Chinese sites is reported separately. Water Reclamation GRI Sustainability Reporting Standards Water reclamation projects allow us to reuse wastewater, cooling and wash-water, reducing the environmental GRI 103, GRI 301-2, GRI 301-3, GRI 306-1, GRI 306-3 impact of discharged water, and saving the consumption of freshwater. At the Makhteshim site, we reuse our wastewater following advanced treatment: we operate a reverse osmosis Sustainabe Development Goals desalination facility to treat our wastewater following a biological wastewater treatment plant (B-WWTP). The reclaimed water is utilized at the major production facility onsite. At the Agan, Londrina, and Madrid sites, we reuse wash-water. Ensure availability and Ensure sustainable At the Poland site, we recycle cooling water back into the production process. sustainabe management of consumption and production water and sanitation for all patterns Water, reclaimation (000m3) 282 Ensure access to affordable, 235 reliable, sustainable and 221 208 modern energy for all 195 185 161 136 114 2013 2014 2015 2016 2017 2018 2019 2020 2021 The decrease in reclaimed wastewater is due to a decrease in the demand for desalinated water.from averaged values 2011-2020 72 | 2021 ADAMA ESG Report| 73 Reducing Effluent Loads Reuse and Recycling of Waste Our production processes generate hazardous and non-hazardous waste that is treated in full compliance with We aim to keep our surrounding marine and freshwater environments healthy and clean, and so strive to curtail local environmental protection laws. Waste handling is also an important focus for reducing our environmental any discharges created at our facilities. Our effluent’s treatment system is a multi-stage process comprises of impact, and to that end we promote diverse initiatives that implement circular economy methodology. physical, chemical and biological technologies. Controlling measures includes online monitoring, composite sampling, and impact assessments. Moreover, at the Agan site, the Israeli Oceanographic and Limnological Research Institute quantify the impact of the effluents, discharged to the Mediterranean Sea, twice a year. The findings are submitted directly to the Israeli Ministry of Environmental Protection. As of today, no evidence of any impact on marine life and environment has been found. Case Study: Herbicides at Agan Site We invest continuous efforts into reducing the residuals of herbicides discharged into the Mediterranean Sea from the Agan site. To that end, we: Ensure optimal conditions at our B-WWTP Convert liquid waste to solid Maintain a high level of housekeeping to eliminate spills Despite our increased levels of production, the total amount of discharged herbicides decreased in 44% to 780 Kg within 5 years Herbicides discharged 1.38 1.39 to the sea (000 kg') 1.24 1.12 0.83 0.78 ADAMA promotes recycling, upcycling, and reuse projects to prolong the lifecycle of the materials we use: 2016 2017 2018 2019 2020 2021 Case Study: Effluents and Waste Hazardous waste used as fuel at Agan and MCW BS 2014 2015 2016 2017 2018 2019 2020 2021 During 2021, 4,295 tons of high caloric value hazardous waste was used as fuel substitute to the thermal oxidizers at Agan and MCW NH, saving natural gas. TOC in effluents (tonne) 302 201 178 208 212 189 181 193 Sulfuric Acid is Reused to Produce Fertilizer, MCW NH Hazardous waste (tonne) 21,940 22,765 27,543 27,126 23,429 28,151 26,588 33,326 During 2021, 1,200 tonnes of sulfuric acid, originated from our fungicides production was purified and reused by a fertilizer company to produce phosphorus fertilizer. Reused or recycle New Life for Plastic hazardous waste (tonne) 2,817 8,107 7,404 The Plastic recycling centers at Agan and MCW BS continues to wash and shred empty containers (IBCs, barrels, ADAMA Agricultural Solutions data. The performance of our three Chinese sites is reported separately and jugs). During 2021, the plastic recycling activity was extended by collecting and recycling empty plant The increase in Hazardous waste is due to increase in production at the sites without an internal wastewater protection containers from Israeli farmers. Designated recycle bins (“Green Stations”) were constructed and treatment facility. located at 15 farms, collecting 1-2 tons per month. 74 | 2021 ADAMA ESG Report| 75 We are committed to continue reducing the use and disposal of plastic in our Bringing Sustainability operation and increasing waste recycling. Looking We are in the process of embedding recycled plastic in the production of our containers. to Our Chinese Facilities Ahead We are in the process of evaluating the disposal of organic hazardous waste to a cement furnace, as an alternative to incineration and landfill. Since 2018, and even more so during 2021, we managed an ambitious project to improve the environmental impact of our Chinese facilities, by relocating them from the old commercial quarters of their respective cities to new industrial parks, while upgrading their environmental design. Actions to Minimize our Historical Impact The relocation of Sanonda was completed at the end of 2020. The new plant is already producing, including two state-of-the-art regenerative thermal oxidizers, an upgraded biological wastewater treatment plant, and Soil and Groundwater Remediation odor and noise control. Special attention was given to infrastructure eliminating the risk of soil and groundwater contamination. Minimizing hazardous waste disposal is planned through the operation of the designated on-site We thoroughly monitor and remediate contaminated soil and groundwater in most of our sites. In 2020, we solid waste incinerator. initiated a groundwater and soil gas remediation at one site, finalized a comprehensive soil gas, soil, and groundwater analysis at another site and conducted verification sampling to verify remediation outcome at a During 2021, the Sanonda wastewater treatment plant (WWTP) was upgraded to include the MBR-PAC third site. technology. This upgrade allows to meet and go beyond the Chinese wastewater national discharge standards, and protects the Yangtze river, which serves as the local fresh water source. The current structure of our Sanonda WWTP comprises a multibarrier systems: i) an advance oxidation section Case Study: based on Ozone and Hydrogen Peroxide; ii) a biological section with aerobic and anaerobic zones combined Remediating Historic Groundwater with activated carbon adsorption; iii) an ultra-filtration unit, and vi) a phosphorus polishing system. Contamination at the Agan Site The WWTP treats more than 10,000 m3 wastewater per day and removes 98.5% of organic matter, 98.6% of During 2021, remediation of contaminated Nitrogen and 99.9% of phosphorous. groundwater and soil gas took place at the Agan Similar systems will be installed during the relocation of Anpon, which is expected to be finalized during 2024. site. A designated well, located at the center of Meanwhile, in order to ensure continuity of production, waste gas systems were installed at the old site. the plume, extracts the pollutants, which are removed by a treatment system. Remediation is Huifeng is a new Chinese entity which synthesizes and formulates plant protection products. It joined ADAMA planned to last >10 years, until we meet remediation during 2021. goals. Simultaneously, remediation of soil gas was implemented using Soil Vapor Extraction technology. GRI Sustainability Reporting Standards GRI 103, GRI 301-2, GRI 301-3, GRI 306-1, GRI 306-3 Sustainabe Development Goals Ensure availability and Ensure sustainable sustainabe management of consumption and production water and sanitation for all patterns 76 | 2021 ADAMA ESG Report| 77 Environmental Systems Being Implemented in Our Chinese Facilities GRI Sustainability Reporting Standards Waste type Environmental Systems Being Implemented Sanonda Anpon Huifeng GRI 102-10, GRI 203-2 Sustainabe Development Goals Biological treatment + + + Wastewater Membrane filtration + + + Ensure availability and Build resillient infrastructure, Waste gas treatment + + + sustainabe management of promote inclusive and Organized source treatment water and sanitation for all sustainable industrialization + + + and faster innovation by thermal oxidizers Non-organized source treatment by Air and Odor + + + adsorption system Comprehensive organized and non- Ensure access to affordable, Ensure sustainable + + + organized source capture system reliable, sustainable and consumption and production modern energy for all patterns Hazardous Waste Solid and liquid incinerators + - + Isolated floor and drainage ditches Soil and Groundwater + + + surrounding workshop and facilities Absolute performance indicators for ADAMA’s Chinese entities for the last 3 years, pre-relocation Parameter 2019 2020 2021 Investment in HSE facilities, million $ 21 9.5 19 Total energy consumption, Tj 8,992 7,506 6,758 Used energy sources (%): Electricity 24 42.4 40 Steam 0 7 11 Internal production (Fossil Fuels) 76 50.6 49 Water consumption, m3 6,707,923 8,037,799 9,235,279 NOx, tonne 201 34 45 SOx, tonne 130 4 22 CO2**, tonne 620,207 1,059,181 934,799 TOC in effluents, tonne 95 188 490 Hazardous waste, tonne 13,798 14,061 16,138 * CO2e emission factors were embedded during 2021 78 | 2021 ADAMA ESG Report| 79 Our Social Responsibility At ADAMA, we believe social responsibility is an inseparable part our business. This means we continuously listen to our stakeholders, communities, and partners to deepen our understanding of their needs and design programs and initiatives together, using our combined capabilities, strengths, and resources. As a result, our programs are built on rock-solid foundations, ensuring long-lasting relationships that make a positive impact with our communities and on our employees. Our recent collaboration in Israel with the NGO "HaShomer HaChadash" is a great example of the way we work. The COVID-19 pandemic led to Israel’s farmers struggling to obtain field workers, alongside a range of unprecedented challenges. Together, we developed a unique youth volunteer program to support local farmers, while connecting them to the land and the field of agriculture. 2021 Social Responsibility Highlights. $2.5M 18.5%* Monetary donations Employee engagement 2,777* 2.9% Volunteering hours Community investment from total profit (before tax) * Measured only in Israel, work in progress designing a global tool for reliable data collection 80 | 2021 ADAMA ESG Report| 81 Our Social Investment Policy and Strategy Our Community Investment Strategy Our strategy focuses on three main pillars, two of which are aligned with our core business, promoting educational programs in chemistry, agriculture, and sustainability (60% of our budget). The third pillar changes Each year ADAMA donates at least 1% of its profit according to the needs of our local communities, and addresses a wide range of challenges in the fields of before tax each year. In 2021, ADAMA donated $2.5 health, culture, welfare, and more (40% of our budget). million (2.9% of profit before tax). This exceptional donation was due to the additional needs and challenges caused by the COVID-19 pandemic. Our social investments are mainly in Israel, India, Educating Future Brazil, and North America. However, we encourage Chemistry Scientists and support local community activities in every Strengthening the country ADAMA operates in. chemistry sector } 60% Our Social Investment Policy Agriculture, Sciences & Promoting agricultural Our policy implementation guidelines are based on six key principles awareness and education Sustainability Programs Alignment with ADAMA core business We aspire to align our investments with the company’s core business areas. Geographical focus & multi-sectoral partnerships Promoting welfare, health, education, culture and excellence leadership Supporting neighboring communities needs } 40% We prioritize projects in the areas surrounding our sites (globally). Our programs are usually based on multisectoral partnerships that include governmental, NGO’s and business sectors. Long-term partnerships with potential for independent continuation We accompany our social partners for a period of at least 3 years to increase the impact of our investments, while encouraging their independent continuation. Measurable impact We put an emphasis on measuring and evaluating our strategic programs to ensure they meet the set goals. Employee engagement We prioritize projects that allow our people to volunteer or mentor. It is a win-win situation where both our people and communities benefit. Contribution to the company's reputation We choose projects that have positive impact on our reputation and create a sense of pride amongst our people. 82 | 2021 ADAMA ESG Report| 83 Our Social Responsibility Projects "ADAMA’s ‘Marie Curie’ program enabled me to complete a year of university studies in chemistry while still at high school. Despite the challenge of combining both studies, I’ve succeeded in pursuing my dream of becoming a chemical engineer.” Educating Future Chemistry Scientists Tal-Or Cohen We strive to educate and nurture the future generation of chemists. Throughout the years, we have collaborated Student in the “Marie Curie” program extensively with leading academic institutions to promote excellence and encourage chemistry studies. ADAMA leads, funds, and supports various programs, from their ideation process to their execution. We also facilitate training, mentoring, on-site visits, steering committees, and more. YESODOT - Chemistry Excellence Program Through these integrated continuum programs, we instill curiosity in chemistry and empower students YESODOT (Foundations) is a Chemistry Excellence throughout their years of study, with the aim of strengthening the chemistry sector. Program in the city of Beer Sheva, Israel, aiming to increase the number of students studying chemistry in high school. The program focuses on training chemistry teachers and also encouraging students to participate in the ‘Marie Curie’ program. The program is a 3-year partnership (2020-2022) with the Beer Sheva municipality, Ben-Gurion University, and other local partners that promote STEM (Science, Technology, Engineering and Mathematics) education Marie Curie & Yesodot ADAMA Center at Excellence in the city. ADAMA employees are involved in the Archimedes Tel aviv University Scholarships program committees, as well as supporting the ongoing activities. ADAMA built a website and social media pages where we share the activities, promote the program, and Marie Curie and Archimedes - Academic Excellence Programs increase engagement. ADAMA is proud to have established two leading academic chemistry programs for outstanding high- school students in Israel. The aim of these programs is to "With the help of ADAMA, the city of Beer-Sheva, and all of our amazing increase the number of students studying chemistry at partners, we’re delighted to see our ‘Marie Curie’ graduates receive academic levels, and create connections between the excellence awards in their academic degrees and graduate studies." students, ADAMA, and the industry. Prof. Gabriel Lemcoff Since we launched the “Marie Curie” program at Ben- Dean of Natural Sciences Faculty, Ben Gurion University Gurion University of the Negev in 2014, around 400 students have taken part. The “Archimedes” program at the Technion – Israel Institute of Technology – established in 2012, has accommodated around 600 students. 2021 Highlights Over 20 teachers and 600 students participated in the program. Our programs include practical tools within the Dosens of teachers visited our global R&D center at Meot Hovav and were exposed to ADAMA's chemical research. academic curriculum. In 2021, a group of 25 students The yesodot Lab was inougurated in Beer Sheva, sarving as a center of excellence for chemistry in the city. from “Marie Curie” visited ADAMA’s Global R&D Center in Neot Hovav, Israel. They toured the site's labs, attended lectures from researchers, and were "Our dream in the YESODOT' (Foundations) Program is to see a significant exposed to future professional opportunities. increase in the number of high school students who choose to study In 2021, we launched an impact assessment process chemistry, participate in competitions and projects, and pass on their love for the “Archimedes” program, led by an expert in the for the profession to the next generation.” field of educational program to evaluate and improve Sophie Bar Dov its impact. In 2022, we will begin a similar process for Director of the YESODOT Program the “Marie Curie” program. 84 | 2021 ADAMA ESG Report| 85 ADAMA Center for Novel Crop Protection Delivery Systems Science & Sustainability Projects In 2019, ADAMA and Tel Aviv University launched a unique research and teaching program on active substance delivery and formulation, an innovation and growth driver in the worlds of agriculture and crop protection. The collaboration combines the commercial industry with academia, training advanced degree research students in "Sowing Seeds of Science" chemistry, life sciences, and engineering in the delivery and formulation of active crop protection substances, a The Scientific Research field in desperate need of more experts. Greenhouses ADAMA invested in a world-class research laboratory ”Sowing Seeds of Science" is ADAMA's flagship that was established in the Tel Aviv University community program in Israel. The project was School of Chemistry, where students carry out the initiated in 2013, following our vision to promote program’s research and lab experiments. In 2021, advanced agriculture by investing in learning ADAMA awarded scholarships to 6 students from infrastructures in the educational system. a range of disciplines, such as chemistry, materials engineering, and plant sciences, who earned their Over the years we have invested over $500,000 advanced degrees with a specialization in delivery in three educational farms in Ashdod (2013), and formulation. This program provided students with Beer Sheva (2014), and Lod (2020). Our access to ADAMA’s state-of-the-art laboratories, in investment focused on building state-of-the- which they can conduct experiments and will receive art infrastructures, which include scientific practical training from our experienced researchers. research greenhouses and digital classrooms, and developing unique educational programs. Thousands of school students visit the three farms each week, experimenting with scientific ADAMA Excellence Scholarships research under the supervision of the educational staff at the farm, experts from the academic Each year, ADAMA awards around 60 scholarships world, and our People who volunteer there on a to outstanding students in chemistry, chemical regular basis. In 2021, we added new professional engineering and agriculture studies, including 11 content to include aspects of precision students studying at The ADAMA Center for Novel agriculture, healthy nutrition, and more. Delivery Systems in Crop Protection at Tel Aviv, 9 of whom were female researchers. In 2021, $140,000 overall was granted to these scholarships. These scholarships are part of our commitment to educate and support the future generation of "Our partnership with ADAMA in the program 'Sowing Seeds of Science' scientists, and strengthen our relationships with enables us to encourage and nurture students and teachers in this critical academic departments and their outstanding period of climate change.” graduates. Tali Sabag PhD Head of Agricultural farm in Beer Sheva, Israel Promoting Agriculture, Sciences & Sustainability In 2020, we launched an in-depth evaluation and measurement process with an expert researcher in the field of We understand the importance of educating youth education. Over the past two years, we conducted dozens of in-depth interviews and sent questionnaires to over about where our food comes from and the challenges 90% of the students studying at the farms. The the results are being analyzed, and changes and improvements of growing crops. By rolling up their sleeves and will be introduced in accordance with these insights and professional recommendations. The program benefits digging their hands in the soil, we help children from the full cooperation of its local partners, including the local authority, the Ministry of Education, and the discover the world of agriculture, connect them to farm's educational staff. nature, and promote the values of sustainability. ADAMA has initiated several programs over the years, focusing on educational activities, scientific experiments, and agricultural volunteering, emphasizing the value of work, mutual responsibility, and love of the land. We know diversity drives creativity, so these programs focus on reaching a variety of sectors within the vibrant and multicultural fabric of our society. 86 | 2021 ADAMA ESG Report| 87 Community Gardens Through these activities we aim to empower and "Thanks to ADAMA's significant support and partnerships, Ofanim's strengthen underprivileged populations and promote students in Kseife have seen the STEM content they learn in our mobile awareness of environmental sustainability. Each year, labs be implemented in the real world.” more than 6,000 participants take part in 25 projects across Israel. Eli Dror CEO of Ofanim Evaluation & Measurement Processes “ADAMA Ofanim” For the past three years, ADAMA has led evaluation and measurement processes in our major educational and social projects (investments of more than $30,000 per year) to understand and improve our social impact. The This unique project within the Bedouin community in processes are led by Dr. Liora Pascal, an expert on evaluation and measurement in the education system. Israel connects our social activities with our D&I goals, by involving our People from the Arab sector sharing These evaluations are based on: their personal experiences with the students. In the next 3 years, we are planning to expand this program Learning from people on the ground, research evaluation questions, development of assessment tools, data to reach 75 additional participants each year. gathering, and analysis of findings. Metric definitions of the Israeli Ministry of Education’s Future-Oriented Pedagogy, and the OECD’s Learning Compass. Building our social partners' independent evaluation capacity, to deepen the long-term social impact of our investments. Projects evaluated: "Sowing Seeds of Science" (2020-2023), "Archimedes" “The New Guard” (2021), "Marie Curie" (beginning in 2022) The Covid pandemic and other challenges, led to labor shortages in the farming sector. Together, with "The New Guard" a local NGO that assists farmers, we formed a unique program to support farmers with "Evaluation processes with long-term monitoring and measurement to labor in 4 volunteering centers in Israel. The young identify trends, contribute to refining the goals of the projects and the volunteers gain experience in the world of agriculture. expected results of the target populations. ADAMA’s explicit requests and expectations, made this happen". Liora Pascal PhD 88 | 2021 ADAMA ESG Report| 89 Our People Engagement ADAMA INDIA and Community Relations Saving Lives by Providing an Oxygen Generation Plant to a Medical Health Center Employee engagement is a core value at ADAMA. We believe engagement creates a sense of fulfillment, As India battled the second wave of COVID-19 in 2021, motivation, and pride for employees. the country faced a shortage of oxygen in hospitals. ADAMA India provided access to oxygen care, testing, Our volunteers are our ambassadors and main force for good. That is why we design a wide range of and screening in several hospitals across the country. volunteering opportunities to ensure things get done with energy and enthusiasm. A core team executed the project, surveying the rural ADAMA supports volunteering during working hours (subject to manager approval). areas where oxygen supply was most limited. The team met government officials, conducted research, We are currently focusing on formulating tools for reliable data collection. and identified the government hospitals in the country where oxygen was most scarce and the death toll highest. A budget to procure eight oxygen generation plants and two oxygen storage tanks was approved. The Formulation Plant Engineering team had to procure the ADAMA Brazil equipment, which was a challenge seeing as this was in high demand across the country. However, the team Insituto ADAMA - Brazil rose to the occasion and executed the project from procurement to installation at all sites within just 15 days. Due to the COVID pandemic, ADAMA Brazil held their activities on virtual platforms, introducing several issues with a special pedagogic campaign called: The Our Continued Support other side of the mirror: our uniqueness! This campaign of Asmita Vikas Kendra Center aimed to contribute to the development of children so for Special Children they can become responsible citizens. Since 2019, ADAMA Formulation Plant in India has Some of the topics discussed included: collaborated with Asmita Vikas Kendra hospital by 1. Combating and preventing bullying adopting a group of 10 children with special needs and 2. Non-abuse: breaking the silence two teachers. We have taken care of their education, 3. Health and wellbeing residence, nutrition, clothes, medical treatment and 4. Citizenship: knowing, acting, and transforming other various needs. The campaign was held both internally and externally: In 2021, our team renovated the children's classrooms Internally: Developing activities for our children in the hospital facility. The design was innovative and Externally: Activities on social media channels. In 2021, we reached 172,790 people and engaged 16,254 fun, and suitable for the needs of the children. The people through 504 posts (YouTube, Facebook, Instagram, LinkedIn, Spotify, Deezer, Google Podcast, and classrooms were inaugurated in a dedicated ceremony along with the local dignitaries, where the community Radio Public). We also maintained virtual classes with WhatsApp groups, as that was the most democratic expressed their appreciation for ADAMA's continuous support. way to include vulnerable children. After creating a specific plan, we returned to assist the children in the last quarter of 2021. It was a great experience that taught us how to proceed in our new post-pandemic reality. Apprentice School Planning 2021 This program, which has been under development for the last 20 years, has undergone a significant shift due to COVID-19. Students who joined in March 2020 did not have the opportunity to experience practical training due to social restrictions. Project: “APPRENTICED” – “Aprendizando” The project aims to provide professional experiences and new learning opportunities to students in 2020/2021 at the Apprentice School. During lockdowns, the coordinator launched a social media development proposal to support and improve the network of Instituto ADAMA. 90 | 2021 ADAMA ESG Report| 91 ADAMA Colombia Supporting the Children of Local Tomato Growers ADAMA Colombia’s marketing team organized a drawing contest for the children of local tomato farmers to spark creativity, well-being, and fun using colored pencils and a bit of imagination. Students who participated received gifts such as piggy banks, games and bicycles for those who go to remote schools. Throughout the project, we delivered 600 kits of colored pencils, piggy banks, games and more, while 26 children were given bicycles. Our entire Colombian sales team was involved in the campaign, with farming families encouraging the children to participate. Our People even delivered the prizes! Children are an important part of the Colombian agricultural value chain. They learn all about their community’s traditions from their parents and grandparents, while simultaneously being agents of change. By promoting the welfare of children, we promote the welfare of their communities. Implement a global volunteering framework to ensure each ADAMA employee volunteers at least once a year by 2030 ADAMA Israel Looking Short-term KPI: 50%-70% employee participation in volunteering activities Participating in the Annual Charity Event "ALYN's Wheels of Love 2021” ahead 3-year plan: Build a community program in 10-15 of our biggest countries production sites 28 riders from ADAMA participated in the annual charity event "ALYN's Wheels of Love 2021" in the Ramon New impact measurement and evaluation methodology Crater in Israel. ALYN Hospital is Israel’s only pediatric and adolescent rehabilitation facility, and treats children with a wide range of congenital and acquired conditions. This year ADAMA was represented by an excellent team, and a donation was transferred to the hospital on behalf of each of them. Our Social Response to COVID-19 During the COVID-19 pandemic, ADAMA demonstrated its commitment to our neighboring communities by supporting local initiatives and helping those in need. Giving Back to the Community - Volunteer Event with ADAMA Israel and Their Families During the Jewish holiday of Hanukkah 2021 (and after almost two years apart), we went outside to volunteer with our People’s children. Together, we harvested 2,000 Kg of kohlrabi, which was donated to 1,000 disadvantaged families in the city of Lod, and we also made a cash contribution to send parcels of fresh fruit and vegetables to those in need. The project is a collaboration of ADAMA with "Leket Israel" - the National Food Bank for the collection and Our People in Our People in Spain Donating food parcels ADAMA India Families receiving distribution of fresh produce to people in need in Israel. Argentina collected donating weekly boxes to people in need who adopted 10 children masks and protective money for with fresh fruit to local lost their jobs in with mental health equipment in populations in need NGO’s South Africa problems Brazil 92 | 2021 ADAMA ESG Report| 93 Education and Sport Virtual volunteering by Support of sports ADAMA employees in associations in Be’er Repair of dozens of the a “Preparation for the Sheva experiencing Job Market” course for financial distress Purchase of computers organization’s computers high school students for school students for donation and distribution Purchase of from disadvantaged to at-risk teens ventilators for the families in Be’er Sheva, Corona ward and Ashdod and the support of the Yavneh region Corona ICU, gifts for medical staff Advancement of Disadvantaged Populations and Welfare Contribution to the purchase of hundreds ADAMA’s social of food parcels for the elderly and for engagement in Israel during Health vulnerable families Supply of Purchase of the 2020 COVID-19 crisis hypochlorite life-saving respiratory to disinfect all public spaces devices for Disbursement of grants 1,352,000 NIS donated to in the city home use to women and children who are victims of the community, alongside domestic violence in Ashdod and Jerusalem employee volunteer hours and Support children in engagement with a variety the hospital, who are considered an of social partnerships at-risk population Distribution of educational kits to young families living in the older neighborhoods Support of in Ashdod disabled children, who are considered an at-risk population Purchase of products from Sending agricultural produce Joining dozens of leading companies small businesses harmed to hundreds of underprivileged to support personal victims of the by the crisis, for donation families, and payment of a grant Corona crisis through collection to patients in hospitals in to farmers who donated their of donations from employees and southern Israel produce and experienced distress matching the amount from the as a result of the crisis company Support for Economic Victims of the COVID Crisis GRI Sustainability Ensure inclusive and equitable quality Reporting Standards education and promote lifelong learning opportunities for all. GRI 103, GRI 102-12, GRI 413-1 94 | 2021 ADAMA ESG Report| 95 Annex About the Report We present here our ESG report with regard to the result of the year 2021. This report was issued in accordance with the Global Reporting Initiative (GRI) SRS framework at the “Core” level for the period from 1 January 2021 to 31 December 2021.The detailed GRI content Index that provides an overview of all relevant information to fulfill the GRI indicators can be found in the Annex of this report. We also provide a description of how we contribute to the United Nations’ Sustainable Development Goals (SDGs). The disclosures and performance data in this report addresses our globally owned and managed facilities and assets for the fiscal year 2021. The report has been prepared with assistance from external ESG specialist consultants. We have conducted both internal and third party appropriate checks on the validity of the detailed data, and have reasonable confidence in all published figures and practices. However, as in any document, there may be generalizations, inaccuracies, errors or omissions. All Forward-Looking Information within this document is based on the company’s current estimates/intentions, but may not materialize due to various reasons. In any case of discrepancy between the information in this report and information appearing in the Company's financial statements to the public, the information in the Company's financial statements is more accurate. We wish to thank all the people and entities involve with the collection of the data. ADAMA will continue to the report on our sustainability performance as well as an ESG format, to provide clear and comparable data, and to actively encourage discussion about how we can make improvements. For any questions or comments, please contact: Michal Arlosoroff EVP, General Legal Counsel, Company Secretary, Chief Corporate Communication & Chief Sustainability Officer Michal.Arlosoroff@adama.com 96 | 2021 ADAMA ESG Report| 97 Assurance 2018 2019 2020 2021 Adittional Information Coal (TJ) 0 6,735 3,753 3,210 Specific parts of this report has undergone an independent third-party assurance by KPMG Somekh Chaikin in accordance with the International Standards on Assurance Engagements (ISAE) 3000 for performing Assurance Natural Gas (TJ) 675 556 753 1,125 Engagements other than Audits or Reviews of Historical Financial Information, issued by the International Auditing and Assurance Standards Board (IAASB). This standard emphasizes the need for comprehensive Fuel Oil (TJ) 95 87 85 80 procedures for evidence gathering processes and assurer independence and outlines the steps to be followed Diesel (TJ) 112 39 34 40 and conditions to be met by auditors who provide assurance on behavior, GRI, or other information. LPG (TJ) 83 41 37 20 Not including Hydeogen Other ossil fuels (TJ) 286 506 246 127 and Biomass (wood) Total Indirect Energy (TJ) 2,093 4,516 6,023 5,831 External Electricity (TJ) 1,248 3,448 4,539 4,082 External Steam (TJ) 845 1,068 1,485 1,749 Based on energy mix of Renewable Energy Used (TJ) - 50 34 51 electricity supplier Greenhouse Gas Emission Includes Huifeng (2nd Scope 1+2 GHG emissions 242,249 1,429,852 1,273,618 1,210,860 semester), Lycored and (tonne CO2e) Chilen production site GHG Intensity 68 358 309 252 (tonne CO2e/ $million revenues) GRI Index Scope 1 emissions: On-site fuels (tonne CO2e) 93,702 688,557 421,172 413,466 Scope 1 emissions: company vehicles not not 2021 less lockdowns due 11,391 24,287 (tonne CO2e) measured measured to the epidemic ESG Performance Table Scope 2 emissions: Indirect energy 2018 data includes only ADAMA Solutions data. In 2021, the data boundary is expanded to also include two 148,547 741,295 852,446 797,393 (tonne CO2e) large sites in China - Sanonda and Anpon Scope 3 emissions: others indirect not 3,048,317 Not evaluated (tonne CO2e) measured Adittional 2018 2019 2020 2021 Information Water Energy Includes Huifeng (2nd Total Water Consumption (m3) 3,503,711 10,289,074 11,624,389 13,565,073 semester), Lycored and Includes Huifeng (2nd Chilen production site Total Energy Consumption (TJ) 3,344 12,480 10,966 10,516 semester), Lycored and Chilen production site Water Intensity 989 2,574 2,816 2,818 (m3/ $million revenues) Energy Intensity 0.94 3.12 2.66 2.18 (TJ/ $million revenues) Total Wastewater discharged (m3) 1,837,594 6,434,057 9,398,207 9,511,529 Total Direct Energy (TJ) 1,251 7,964 4,908 4,686 Total Wastewater reclaimed ** (m3) 114,090 282,155 220,690 160,531 98 | 2021 ADAMA ESG Report| 99 Adittional Adittional 2018 2019 2020 2021 2018 2019 2020 2021 Information Information TOC in effluents (tonne) 212 284 369 682 Significant Environmental Incidents 5 3 4 4 COD in effluents (tonne) 636 852 1,107 2046 Health and Safety TSS in effluents (tonne) 94 235 254 234 Recordable Injuries 55 49 40 49 Herbicides discharged *** (tonne) 1.2 1.1 0.84 0.8 Fatal Incidents 0 0 1* Air Emissions Injury Rate (IR) 0.76 0.56 0.46 0.45 not not Includes Huifeng (2nd Total Days missed due to safety incidents 710 878 874 1,744 Particulate matter (tonne) 14 28 semester), Lycored and measured measured Chilen production site Recordable Occupational Illness cases 0 0 0 0 NOx emissions (tonne) 106 330 131 159 Sites certified to ISO 45001 or 56% 43% to an eqv. Standard (%) SOx emissions (tonne) 32 178 25 41 VOC emissions (tonne) 72 82 89 81.3 Quality Employment Total Employees 7,675 7,759 7,505 9,162 Solid Wastes *Female 1,825 1,800 2,236 Total Hazardous Waste (tonne) 23,429 44,766 121,262 158,735 *Men 5,934 5,705 6,926 Hazardous waste to landfill/incineration NA 40,827 40,649 49,464 (tonne) Total full-time employees(FTEs) 7,635 7,719 7,562 9,145 Hazardous waste to recycling (tonne) NA 3,939 80,613 109,271 *Female 1,793 1,800 2,222 Total Non-Hazardous Waste (tonne) 8,214 108,804 79,256 78,061 *Men 5,926 5,676 6,923 Non-Hazardous waste to Total part-time employees 40 40 29 17 NA 107,165 72,646 71,049 landfill/incineration (tonne) *Female 32 22 14 Non-Hazardous waste to recycling NA 1,639 6,611 7,013 *Men 8 7 3 (tonne) Environmental Management Unionized employees portion of 23% 21% 21% 16% workforce (%) Expenditures on Environmental Protection 12 9 19.2 41* *Not include China *Female 3% (Million USD) Expenditures on Environmental Protection *Investment in China *Men 13% 19* (Million USD) only Employee Retention rate (%) 89% 88% 87% Investments on Environmental Protection Employee Turnover rate (%) 8.70% 12.20% 12.80% 13.70% 48.6 48.2 50.6 54.5 (Million USD) 2020 - Due to Sites certified to ISO 14001 or New Hires- Employees 742 944 749 2,617 reorganization and NA NA 64% 57% Huifeng and Colombia to an eqv. Standard (%) relocation in China Environmental Compliance New Hires- Managers 100 112 65 191 Environmental Fines (Million USD) 0 0.1 0 0.008 100 | 2021 ADAMA ESG Report| 101 Adittional Adittional 2018 2019 2020 2021 2018 2019 2020 2021 Information Information New hires by gender and age group R&D 238 264 243 250 Female <30 _ _ _ 97 Sales & Registration 1,716 1,835 1,739 1,939 Female 30-50 _ _ _ 525 Management & Administration 568 485 469 500 Female >50 _ _ _ 67 Other 1,932 2,141 2,237 2,602 Men <30 _ _ _ 257 Total 7,675 7,759 7,505 9,162 Men 30-50 _ _ _ 1107 Employee Age distribution Men >50 _ _ _ 755 Total employees senior managers 127 131 130 125 Total new hires <30 _ _ _ 354 Total employees middle managers 523 621 684 810 Total new hires 30-50 _ _ _ 1632 Total employees non-managers 7,004 6,986 6,672 8207 * Include new company Top management 21 21 19 20 Total new hires >50 _ _ _ 822 ADAMA Huifeng & ADAMA Dibai Female Top Management 2 2 2 2 End of Employment- Employees 595 866 1,101 1,014 Female senior managers 21 24 25 25 End of Employment- Managers 72 79 113 135 Female middle managers 140 161 176 212 Leavers by gender and age group Female non-managers 1,588 1,638 1,597 1,997 Female <30 _ _ _ 24 Men Top Management 19 19 17 18 Female 30-50 _ _ _ 165 Men senior managers 106 107 105 100 Female >50 _ _ _ 68 Men middle managers 383 460 508 598 Men <30 _ _ _ 81 Men non-managers 5,416 5,348 5,075 6,210 Men 30-50 _ _ _ 478 Total Top managers - under age 30 0 0 0 0 Men >50 _ _ _ 333 Total Top managers - age 30-50 5 4 2 2 Total leavers <30 _ _ _ 105 Total Top managers age - age 50 and up 16 18 17 18 Total leavers 30-50 _ _ _ 643 Total senior managers - under age 30 0 0 0 0 Total leavers >50 _ _ _ 401 Total senior managers - age 30-50 54 55 49 43 Employees participating in Total senior managers age - age 50 and 93% 95% 96% 95% 73 76 80 81 performance review* (%) up Open positions filled Total middle managers - under age 30 8 7 4 4 27% 25% 35% by internal candidates (%) Total middle managers - age 30-50 378 446 460 526 Employee Role distribution Total middle managers - age 50 and up 135 166 214 279 Manufacturing 3,221 3,034 2,817 3,871 Total non-managers - under age 30 995 833 603 591 102 | 2021 ADAMA ESG Report| 103 Adittional Adittional 2018 2019 2020 2021 2018 2019 2020 2021 Information Information Total non-managers age 30-50 4,554 4,540 4,447 5,172 % of workforce participating *** Volunteering figures 10% 10% 20% 19% only currently available in volunteering *** (%) Total non-managers - age 50 and up 1,447 1,602 1,610 2,444 for ADAMA Israel Total employees - under age 30 1,003 840 607 595 *** Volunteering figures Hours of employee volunteering (hours) 1,400 1,120 1,300 2,777 only currently available Total employees age 30-50 4,991 5,045 4,958 5,743 for ADAMA Israel Total employees - age 50 and up 1,671 1,862 1,921 2,824 *** Volunteering figures Hours of volunteering per employee 10.6 8 9 11.5 only currently available (hours per employee) for ADAMA Israel Diversity and Gender Equality 2222 (All = Board of Directors - ADAMA Ltd Women FTEs 1,719 1,793 1,800 2,236) Total number of directors 6 5 5 5 6923 ( All Men FTEs 5,916 5,926 5,705 Number of Non-Executive Directors on = 6,926) 4 4 4 4 Board Non-Management Employees - Women 1,588 1,638 1,597 1,997 Number of External Directors 2 2 2 2 Middle Management Employees - 140 161 176 212 Number of Independent Directors 2 2 2 2 Women Separate Chair and CEO Yes Yes Yes Yes Senior Management Employees - Women 21 24 25 25 Annual Election of Directors 6 0 3 5 Top Management - Women 2 2 2 2 Average Age of Directors 56 57 58 59 Non-Management Employees - Men 5,416 5,348 5,075 6,210 Women directors 0 0 0 0 Middle Management Employees - Men 383 460 508 598 Board meeting held 11 9 10 10 Senior Management Employees - Men 106 107 105 100 Attendance rate - Top Management - Men 19 19 17 18 100% 100% 100% 100% general board meetings (%) Gender Salary Ratio- non-management 79% 77% 76% 72% Audit Committee - meetings held 6 5 5 6 employees ** (%) Audit Committee - attendance rate (%) 100% 100% 100% 100% Gender Salary Ratio - 103% 100% 97% 93% middle management ** (%) Nomination Committee - meetings held 2 - 5 1 Gender Salary Ratio - Nomination Committee - 110% 109% 105% 114% 100% - 93% 100% senior management ** (%) attendance rate (%) Gender Salary Ratio - Compensation and Appraisal Committee 113% 113% 109% 112% 2 2 3 2 top management ** (%) - meetings held Community Engagement Compensation and Appraisal Committee 100% 100% 100% 100% - attendance rate (%) Community donations (USD) 1,866,000 1,920,000 2,738,000 2,599,000 Strategy Committee - meetings held 0 0 0 0 Donation per pre-tax profits (%) 0.90% 0.94% 2.70% 2.80% 104 | 2021 ADAMA ESG Report| 105 Adittional Adittional 2018 2019 2020 2021 2018 2019 2020 2021 Information Information Board of Directors - ADAMA Solutions Remuneration Committee - 78% 92% 92% 100% attendance rate (%) Total number of directors 7 7 7 7 Ethics Number of Non-Executive Directors 5 5 3 3 on Board % of Employees trained on code of ethics 80.00% 92% 87% Number of External Directors 2 2 2 2 % of Employees trained on data privacy - 63.40% - Number of Independent Directors 1 1 1 1 Commitment to avoid political donations Yes Yes Yes Yes Aviram Lahav served 20 cases were reported as the Company's CEO via SpeakUp and 3 in & CFO until September addition were reported Complaints reported to speakup hotline 5 20 Separate Chair and CEO Yes Yes Yes Yes 30, 2021, continuing directly to General to be employed by the Counsel or senior company till December managers/HR 31, 2021 % of complaints regarding suspect Please note that there is - 40% - 10% of bribery/corruption no regulatory nor other need within the AOA for % of complaints regarding HR issues - 20% 20% 20% an annual re-election of the board members, % of complaints regarding Product whom are being - 20% - - Annual Election of Directors No No No No Compliance nominated by the sole shareholder. The external % of complaints regarding Other Issues 80% 70% directors preside for 3-year terms (for a tenure no longer than nine-year Economic Value Shared period) Payments to suppliers (Million USD) 2,851 3,006 3,150 3,410 Average Age of Directors 58 57 59 60 Employee wages and benefits (Million 479 495 522 560 Women directors 1 1 1 1 USD) Board meeting held 7 7 7 7 Payments to governments (taxes) 92 100 31.5 59 (Million USD) Attendance rate - 89% 80% 84% 76% Includes payment of general board meetings (%) Payments to providers of capital 114 144 9 12 interest on loans and (Million USD) dividends to shareholders Audit Committee - meetings held 11 8 13 10 Audit Committee - attendance rate (%) 93% 93% 92% 97% Capital expenditure (Million USD) 196 207 214 402 Financial Statements Review Committee Community donations (Million USD) 1.87 1.92 2.8 2.6 4 4 4 4 - meetings held Total Economic value shared (Million 3,734 3,954 3,930.0 4,446 Financial Statements Review - USD) 92% 100% 83% 92% attendance rate (%) Remuneration Committee - 3 4 8 5 meetings held 106 | 2021 ADAMA ESG Report| 107 108 |