The New National Sustainable Agriculture Standard: ANSI/LEO-4000 Stowe Beam, Senior Director Corporate Development

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The New National Sustainable Agriculture Standard: ANSI/LEO-4000 Stowe Beam, Senior Director Corporate Development SCS Global Services 1

Quick Introduction to SCS 3 rd party certifier since 1984 based in the US operating with representatives worldwide Ag product certifications sustainability, organic, non-gmo, pesticide residue free, food safety, etc. Involved in national and international sustainability standards development: o agriculture (ANSI) o forestry (FSC) o fisheries (MSC) o biofuels (RSB) o building materials (ANSI) o furniture (BIFMA) o LCA and Climate (ISO) Member of the ANSI/LEO-4000 Standards Committee Scientific Certification SCS Global Systems Services 2

The Need for a National Standard SCS Global Services 3 Scientific Certification SCS Global Systems Services

Consumer Interest in Sustainably Grown Food Example: International Food Information Council (IFIC) Findings 73% of U.S. adults say producing foods sustainably is important. Top characteristics valued by consumers: Conserving the natural habitat (44%) Reducing amount of pesticides used to produce food (43%) Ensuring an affordable food supply (37%) Scientific Certification SCS Global Systems Services 4

The Sustainability Landscape Different interpretations Supermarket Initiatives Individual Retailer Sustainable Supply Chain Specifications (e.g., Starbucks, Costco) The Sustainability Consortium Producer Group Initiatives Keystone Field to Market Metrics Stewardship Index for Specialty Crops Lodi Rules for Sustainable Winegrowing Global Initiatives GLOBALG.A.P. NGO and Proprietary Initiatives Rainforest Alliance Certification Fair Trade Certification Equitable Food Initiative Organic Scientific Certification SCS Global Systems Services 5

Lack of Consistency Example: SAI Platform Survey Scientific Certification SCS Global Systems Services 6

Websites, apps, and social media add to the confusion Scientific Certification SCS Global Systems Services 7

Need for a National Standard Findings of the Multi-Stakeholder Needs Assessment Task Force Create a common understanding of sustainability Establish a national baseline Protect and conserve natural resources Create safe, healthy work environment Support farm workers and farm communities Ensure inclusivity and accessibility Encourage innovation Stimulate producer incentives and market rewards Prevent greenwashing Provide basis for international harmonization Scientific Certification SCS Global Systems Services 8

ANSI/LEO-4000: American National Sustainable Agriculture Standard SCS Global Services 9 Scientific Certification SCS Global Systems Services

ANSI Standard First national sustainable agriculture standard Addresses economic prosperity, social responsibility, and environmental stewardship 7-year multi-stakeholder process Committee: producers, users, government agencies, academia, NGOs, etc. Two public comment periods Initial Scope: Agricultural crops (to farm gate) Scientific Certification SCS Global Systems Services 10

Key Aspects of the ANSI Process Process managed by Leonardo Academy, a 501c3 ANSIaccredited standards developer Voluntary Multi-stakeholder Consensus-based Non-proprietary Open and transparent Scientific Certification SCS Global Systems Services 11

Structure Principles Objectives Criteria Indicators Self assessment (for internal use) or third party certification (for market claims) 4 tiers of performance Achieved through conformance with a combination of required (100%), general (80%) and optional (20%) indicators Producer sustainability plan Small farmer supplement Resource guide Platinum Gold Silver Bronze Scientific Certification SCS Global Systems Services 12

Criteria and Indicators Fall Under These Objectives... General 3.1. Recordkeeping 3.2. Legal Compliance 3.3. Confidentiality and Transparency Environmental 4.1. Production System 4.2. Soil Resources 4.3. Water Resources 4.4. Air Resources and Climate 4.5. Biotic Resources 4.6. Energy Resources and Use 4.7. Waste Management Social 5.1. Work Agreements 5.2. Wages 5.3. Benefits 5.4. Working Hours 5.5. Child Labor and Voluntary Labor Protections 5.6. Non-Discrimination and Freedom of Association 5.7. Human Resource Management 5.8. Health and Safety 5.9. Community Relations Economic 6.1. Business Accounting, Planning, and Reporting 6.2. Continuity and Risk/Resilience Strategies 6.3. Land Tenure and Lease Terms 6.4. Product Food Safety 6.5. Local and Regional Community Sourcing, Sales, Services, and Support Scientific Certification SCS Global Systems Services 13

Certification at Silver or Higher Qualifies for On-Product Labeling Scientific Certification SCS Global Systems Services 14

Applications and Implications SCS Global Services 15 Scientific Certification SCS Global Systems Services 15

Federal Preference for Voluntary Standards OMB Circular A-119 Deference to voluntary consensus standards where appropriate to: Avoid cost to the taxpayer of developing and enforcing regulatory standards Incentivize establishment of standards to serve national interests Encourage long-term growth for U.S. enterprises and promote efficiency and economic competition by harmonizing standards Encourage reliance on private sector to supply government needs for goods and services Federal Participation in the Development and Use of Voluntary Consensus Standards and in Conformity Assessment Activities (Revised February 10, 1998). Scientific Certification SCS Global Systems Services 16

Guidance for Growers Provides a roadmap for growers interested in sustainable farming practices Establishes a path for continuous improvement with increasing levels of recognition Scientific Certification SCS Global Systems Services 17

Guidance for Retailers Provides a roadmap for supplier specifications Creates a foundation for marketing sustainability to interested consumers Scientific Certification SCS Global Systems Services 18

Benchmark for Proprietary Standards Provides a structure and baseline for sustainability standards developers and scheme operators. For example, SCS Sustainably Grown, our international certification program for agricultural crops, is now: Benchmarked to ANSI/LEO-4000; Benchmarked to the Social Reference code of Europe s Global Social Compliance Programme (GSCP); and Aligned with the principles of the Sustainable Fruits and Vegetables Covenant (SIFAV 2020) Scientific Certification SCS Global Systems Services 19

Thank you Stowe Beam sbeam@scsglobalservices.com Leonardo Academy Inc. info@leonardoacademy.org Scientific Certification SCS Global Systems Services 20