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13 The previous steering group developed five values to guide the development of the framework. We will continue to check in with these values as we develop the implementation for the framework. Relevance: The priority area is important to our customers, the community and the Australian beef industry and is within the industry s scope of influence. Inclusivity The constructive views of industry, customers, consumers, government and community groups as to how industry can continually improve performance will be valued and considered throughout the process Credible in that the decisions are grounded in evidence. We have committed to focus on what canor has the potential to be monitored and managed. Practical The industry is able to make changes that represent value in the supply chain through continual improvement. Transparency The industry can provide an open and honest picture of performance using the most appropriate data available. 13

14 Four themes, under which there are 23 priority areas (what is most important to our stakeholders) and 51 indicators (what we plan to measure) 14

15 How does industry plan to use the framework: Most importantly its about directing investment for continual improvement. And that is one of the key outcomes we would like to get from the Consultative Committee to understand from the 23 priority areas, what do you see as the most critical for industry to direct attention to. The framework has to date been almost the lighthouse on the hill, that has helped to articulate where shared objectives are between diverse stakeholders. WE certainly hope that we can continue to work constructively and collaboratively together. Obviously its not only market access, but access to finance and investment both of which we know increasingly require proof of sustainability performance And of course there is an element of wanting to promote to our customers and community the good things that we are doing. We are very deliberate that this is done in a way that also recognises where there is work to be done. In the end it is about transparency and continual improvement. And we want to work constructively with our stakeholders, to ensure that the beef industry stays abreast of what the sustainability priorities are of our stakeholders. 15

16 As articulated in the framework report, despite the very comprehensive process of developing the framework. We are really at the start. 16

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18 Step 1 was to establish a new independent grass roots Sustainability Steering Group, recognising that a different skills mix was required to the development group. I (Bryce Camm) Chair this and I m joined by another 6 members who span the beef value chain from grass fed production, grain fed production, processor, live export and retail. It was important for our industry that the process was led by an industry group. 18

19 Recognising that there is little value in only having the views of those within industry, we have established this group A Consultative Committee. It is critical that your views are heard and considered by the steering group and wider industry as we roll out the implementation plan for this framework. This slide has some, but not all, of the logos of the organisations that are represented in the room today, or who have been consulted but weren t able to make the first workshop. Our objectives for the group, which I d welcome feedback on are to: Share information and insights about emerging trends, issues and opportunities for sustainable food production; Confirm the priority areas of sustainable beef production for reporting progress to stakeholders and the wider community; Enable the industry to better anticipate emerging focus areas for customers and other stakeholders; and Provide industry with constructive direction in order to make more informed decisions in regard to implementation of the Framework We hope that this group evolves and new members join. We certainly have our doors open to all that can work constructively to help us realise our vision of a thriving beef industry. 19

20 The next step, which will become clearer this afternoon when we rank the priority areas is to form expert groups with mutli disciplined experts to provide advice on how to firstly measure and also advise on strategy to deliver continual improvement. This isn t a short term activity, but rather the beginning of a longer conversation. We are looking for your advice today on which of the 23 priority areas are the priority for the input of expert groups to progress. 20

21 For the key areas that we agree require concerted attention, we plan to undertake a stocktake of activity. This will include an audit of current initiatives and reporting across the value chain that address a select number of priority areas. The areas that you will help us define today. From this audit data we will identify gaps and opportunities for improved collaboration between individual projects and programs within and external to industry. 21

22 The first report was released in April and is the framework but you would have noticed that there are only a few measures currently reported. When the next report is released next year, we plan to have closed significantly more data gaps, but there will still be some where there isn t agreement on how to measure yet, or collecting the measures may be cost prohibitive. We plan to update the report annually and then every five years have a more detailed review, which will fit in with our industry strategic planning. We will also use the input of this group to continually review whether the priority areas within the framework are the most appropriate. 22

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25 As you would have seen in the framework there are 23 priority areas across the four themes of animal welfare, environment, economic and social. All 23 have been included in the framework because they are important to our stakeholders and industry. The first Sustainability Steering Group worked very hard to try and reduce the number, but could not streamline any further for the first report than 23. I think we can all relate to this guy in our day to day jobs, there is so much to do and almost everything is important Recognising that all 23 are critical, we don t want to stop working on anything, but we do want to focus on the most critical or the biggest risks The steering group has had a guess that five is the magic number of priority areas we should commit to focussing on, but let s test that today 25

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27 While diagrams make everything very linear, steps 3 and 4 are really complementing each other. And for both we want to direct our efforts to the top 5 (or thereabouts) of the most critical priority areas that our stakeholders think industry should focus on. We debated about trying to pull together a summary of all of the activity that is currently underway to address the 23 priority areas. It is a huge job that would be almost impossible to synthesise in a workshop. Take for example the priority areas of manage climate change risk, within Meat & Livestock Australia there are numerous individual research projects underway, with AMPC there is large investment and there is extension work being undertaken by DPI, NRM groups and a suite of other groups. This is one area where arguably the stock take might find areas of duplication, where we can work more effectively together. There are other areas, where the stock take might find gaps where new investment is required. This is a very large exercise and again, why we need your help to rank the top five priority areas. 27

28 Challenge is that there are different levels of information within the room and different perspectives. This is both great and a challenge. It is great because perception is reality without facts and as such still represents risks to the industry. For example if food safety in the people pillar is one of the top five, then industry will be able to report back to you that there are well established and effective food safety systems and it is perhaps a lack of awareness that is the issue. On the other hand there might be an issue that is highlighted where perhaps industry can t clearly demonstrate a coordinated strategy. This would then flow into investment in research and adoption programs. 28

29 Our commitment from this session is to: Listen to what you collectively advise are the top priority areas to focus on To consider these positions when the SSG meets next month And then to report back on what priority areas will be the focus in the first phase of the framework And most importantly to keep you informed and clearly report on progress against the five areas. 29

30 Now to look at the 23 priority areas. As Bryce outlined prior to the previous steering group developing the straw man framework, there was a materiality review undertaken in This was the starting point. In October last year we undertook a refresh of this materiality review, to ensure that we weren t missing any of the key issues. The materiality review was undertaken using AA1000, 5 point materiality process. This was presented to the steering group to consider at the same time as they reviewed feedback from external consultation. What you see in the above matrix, has been adjusted to align the language used with what is in the framework report. The materiality review did have slightly different language. The issues up the top right, are the most material and moving down to the bottom left, least. 30

31 This is how the steering group then ranked them into low, moderate and high (no lows) The colours align to the four themes as per the bottom left. 31

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