Due to the nature of our business, we work with a diverse set of suppliers from family farm partners who raise our chickens and hogs to multinational companies that manufacture and provide services for our production facilities. We work in partnership with over 11,200 suppliers to ensure the highest-quality inputs.

We strive to engage in supplier relationships with vendors who share our values to achieve a more sustainable food supply. Impacts related to the environmental and social pillars of sustainability differ for each of our unique suppliers based on the material they manufacture or sell, the species of livestock or poultry they raise, and the service they provide. Our approach to managing our supply chain includes consistent collaboration with all our suppliers. We establish long-term supplier relationships built on trust and shared values that contribute to continued progress for our sourcing programs and sustainability goals.

Procurement for Pilgrim’s is centralized in the U.S. through our JBS USA corporate offices and embedded within Pilgrim’s Mexico, Pilgrim’s Moy Park, Pilgrim’s UK, and Pilgrim's Food Masters businesses. The Heads of Procurement lead several teams responsible for certain products or services related to production, employee and corporate services, energy, facilities services, capital expenditure and equipment, and maintenance, repair and operations. This structure allows us to maximize vendor relations across the business and ensure consistency.

*Includes all facilities in the U.S.

To help minimize impacts in the supply chain, we developed a Supplier Code of Conduct, which ensures suppliers agree to meet or exceed our high standards when conducting business with Pilgrim’s. The code covers human rights, forced labor, freedom of association and collective bargaining, minimum age for employment, employment practices, health and safety, environmental issues and business integrity, including anti-corruption and bribery.

Additionally, all suppliers providing products or services that have direct contact with food are required to pass the Global Food Safety Initiative (GFSI), or an equivalent certification and provide a letter of guarantee certifying the products are safely produced and of consistent quality. We defer to organizations like GFSI to evaluate the effectiveness of audits, collect feedback and make adjustments.

We evaluate all potential manufacturing suppliers based on criteria, including compliance, risk management, quality, reliability, financial capability and reputation. We prioritize local companies as sourcing from within our communities helps further support local economies, and we prefer to work with companies at their local offices, whenever possible.

Within our own facilities, Pilgrim’s utilizes ISNetworld (ISN), a contractor safety management database. ISN helps us objectively manage contractor safety prequalification requirements by working with contractors to gather, evaluate and verify safety information based on Pilgrim’s criteria.

In 2022, Pilgrim’s partnered with more than 4,100 U.S., Puerto Rican, Mexican and European poultry family farm partners who maintain our standards of excellence. In the U.S., we do not own poultry facilities, but partner with family provide poultry and feed, technical and veterinary services.

We audit a subset of our U.S. family farm partners according to Animal Welfare Program requirements, conducted by internal Professional Animal Auditor Certification Organizations certified team members and third-party auditors. In Mexico, every farm is audited in compliance with government standards, including Ministry of Agriculture and Rural Development, Mexico-U.S. Commission for the Prevention of Diseases and Other Exotic Animal Diseases, Secretariat of Agriculture, Livestock, Rural Development, Fisheries and Food, Ministry of the Environment and Natural resources and State Civil Protection. In Europe, all poultry farms are Red Tractor approved and audited by independent, approved certification bodies.

For purchased meats, Pilgrim’s Moy Park operates under a Policy for Supply Chain Assurance, ensuring products come from suppliers who meet Red Tractor or equivalent standards. Moy Park also established a Responsible Sourcing Soy Policy. This initiative is crucial as we build trust among our customers, team members, investors and other stakeholders. We continue to develop our Responsible Sourcing agenda and work diligently with supply chain partners to increase transparency in sourcing.