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SUPPLY CHAIN CIRCULAR ECONOMY Reporting our progress towards A Better Tomorrow 35 Microplastic Policy: We comply with the ban on microplastics in cosmetic and cleaning products as directed by the Irish and UK governments. Reusable Fruit & Vegetable Bags: Since September 2019, we have introduced reusable fruit and veg bags in stores. The bags are designed to give customers a sustainable choice and reduce plastic use and waste in the long term. The ‘Green Bags’, provide customers with an affordable, reusable alternative to single-use plastic fruit & vegetable bags. Recycling Stations: We were the first retailer in Ireland to provide this service in 2019, introducing Recycling Stations to all stores. Offering recycling bins behind our tills for customers to dispose of unwanted excess packaging. We then ensure the material is recycled on their behalf and made into new products where possible. The aim of this initiative is to take responsibility for the packaging we put on the market and are currently working to reduce. Bags for Life: We were the first retailer to remove all our ‘bag for life’ shopping bags and to introduce reusable heavy duty bags made of 100% recycled content in 2020 in Ireland. Lidl’s new recycled shopping bags will see 6.3 million ‘Bags for Life’ eliminated from circulation annually. ‘Bags for Life’ are reusable shopping bags made from plastic which, although are meant to be an environmentally friendlier alternative to single-use plastic bags, can often have a large environmental footprint as they are frequently not reused. Lidl was the first retailer in Ireland to only offer heavy-duty plastic bags which are made from 100% recycled plastic. The new reusable bags are more durable and feature puns to encourage their re-usability selected from a competition. Pictured here for example “Lettuce all reuse our bags”. Microplastic Policy At Lidl, we define “microplastic particles” as solid, visually recognisable plastic particles smaller than five millimetres that are not water-soluble. This includes polyamide (PA), polyethylene (PE), polyethylene tereph-thalate (PET), polyester (PES), polyimide (PI), polypropylene (PP) and polyurethane (PUR) plastics. New Responsible Packaging Label In 2020 a new label for our own-branded products was created to highlight and inform customers about our packaging improvements. This new label has been put in place on the packaging of many of our own-brand items after packaging has been optimised or improved by reducing the amount of plastic by a minimum of 10%, increasing the recycled content to 30% or replacing the packaging materials for a more sustainable alternative. TARGETS: By the end of 2022 we will reduce own- brand plastic packaging by 20%. By the end of 2025, 100% of own-brand packaging will be recyclable, reusable, refillable or renewable. By the end of 2025, 50% of our own-brand packaging will be made of recycled content. SDG 12 – Responsible Production & Consumption We are committed to SDG 12.5 By 2030, substantially reduce waste generation through prevention, reduction, recycling and reuse. We fully comply with the Irish and UK government bans on microplastics in Lidl cosmetic and cleaning ranges. < 5mm RESOURCES Protection of Ecosystems Animal Welfare Standards Environmental Protection: Supply Chain SUPPLY CHAIN Employment Related Supplier & Market Human Rights Development Corporate Environmental Management OPERATIONS Employee Responsibility Responsible Products CUSTOMER Transparency Social Value Responsible at Point of Sale Creation Communication